I am going back to the conference this morning as there were a few other questions I still have for our BOD & FWR also. PLus I have a few others to visit as well.

I am trying to put out a comparison of FWR-NOT and am not sure if that is appropriate, but they are my two biggest investments in the ROF, and that is important for me. My purpose there is to decide where the best dollar can be made either short term or long. To do that one must consider where the companies themselves appear to be heading;

FWR appears to be taking the short term route. Drill the shyte out of whatever appears to offer the best return, short term, and advertise it. This will create the most public awareness of what you have, give you the best SP appreciation, and someone will come along and buy you out. This is good. I evidence this from the following;

They are drilling the most lucrative areas first.

They are concerned only with drilling results.

They are not involved in any long term logistics such as road in, or landing strip. or any other cost saving measures which will produce a more economic burn rate.

NOT, on the other hand appear to be planning on the long haul. There is huge effort being put into anything that can reduce cost tomorrow. They have moved a small cat in to move the drills around. They have made the effort to get a trail in, over which they can move fuel, and a bigger machine which will be necessary to build any sort of airstrip. which when built will lower transportation costs immensely. Joe Hamilton said that they have now reduced average costs down to just over 1.5 mill a month to date, and can still keep 3 drills going at that burn rate. The airstrip will produce another huge cost saving down to maybe 1.2 mill/month. He suggests that the next commodity peak will be in about 4-5 years and has no problem with just continuing to prove up tonnages until then, if that is what it takes to get maximum dollar return.

End of story is I am betting on NOT to give the greatest gain in the long term. They will find and/or aquire the most lucrative position which a major will want. FWR, on the other hand will probably give a healthy return short term, as I see them proving up a bunch of ore here, talking about it, and probably get taken out maybe before the year is out, possibly by NOT.

Everyone will have a different feel for what they have gleaned from this show. I especially look forward to a full report from Snug/Gowest.

Remember, this is just my opinion

K