Hi Cedar!

I will agree that majors and mine developers are very much aware of what KXL has done so far. And sooner or later as work advances they will probably consider making an offer to buy or JV Hercules.  But I caution that we do not have a resource yet.  What we have is a very good start, possibly just the tip of the iceberg of what could be a big, high grade gold deposit.  It is only after a big resource has been defined that some company will step forward to make a bid.  Most of the majors are not deep in exploration expertise.  They want to buy a deposit that is already outlined with a big red bow on top.  So I do not think takeover speculation is part of the trading yet.

We do not need to have a completed NI43-101 compliant resource estimate to warrant attention from a major.  Virginia did not get to that stage at Eleanore before the takeover deal.  Majors have their own geos on hand that can read exploration results and make rational estimates of what there may be in the ground.  But we have not done enough yet to build a resource of critical mass to justify more than being on the radar screen for acquisition.

During my visit to the property, I was informed that several players had already been in touch with the company regarding the discovery.  I was also told that KXL may consider going it alone and advancing to join the ranks of the producers instead of just doing exploration work and selling the deposit.  That would be a difficult transition to make, and some senior management people would have to be recruited to give KXL a chance to succeed with in-house operating staff.  I guess if gold runs to $1000 or more while exploration continues, the attractiveness of that option will grow.

cheers!

mike <---- there, no more caps so I do not offend anyone here...