#1 & #2: Gary seemed confident that he knew where to get the financing and that it didn't require much more than a few phone calls. He indicated that he has been approached many times with offers, so he is confident he can raise the short-term financing required, though he did mention that it wouldn't be cheap. Unless he is unable to find a creditor, there will not be any additional shares issued... though the creditor may want warrants like Salman did. We'll see I guess, but I am fairly confident we can receive this financing without significant (or any) share dilution. Gary said that they are having a good look at whether they should sell the Redstone shaft (since they are not using it right now and have no use for it for a couple of years) for a couple of million and a couple of pieces of machinery (drum hoist) for additional cash. Once/if we are making good money, we can buy them back when we need them.

#3: Not much work at Hart. Development scheduled for second half of 2009 at this point. Estimated development cost of only $5 million due to the fact that many services (roads, power) are already in place. Still, this $5 million has to come from cash flow and right now we are short on cash.

#4: Great question. Depends on nickel prices, ultimately. If nickel rises up to $9-$10/lb, we'll have no problem paying off our debts within a year. If it stays below $8, it's going to be tight. This new financing may need a longer repayment term.

#5: Absolutely it's a possibility. Salman has first claim on the mill, JJNICL has second claim. If we are in a position where we haven't been able to pay off the full debt late next year, if we are close, we should be able to refinance with one of them or with another financier... and if not, we could be in a real bind... especially with issuing new shares not really being an option at these share prices. We may have trouble finding new financing if we haven't been able to meet our cash flow forecasts and pay down our current debt obligations. And if we do receive new financing, it may come at a very painful cost (high fee/interest and share dilution)

More to come shortly.