Here is why I think KXL is a better company today:

* There is much more work done on the Golden Mile, with many new drill holes, and the geos are that much further along in their interpretation of the structure, ie. they will have a better idea where to drill the next holes

* There are several separate projects underway now that were not on the table before

* There are other companies active in the district now that were not there before

* The stock has gone through the full consolidation process and most of the tourists and traders are long gone, so there is less upside resistance ahead

* The stock has a greater percentage of the total market value represented by cash in the treasury. Stop to think that one through, especially if you are a value investor. Its a much better buy now than it was even a year ago

* There are more institutional managers that are following the story now and even if they are not currently owners, they will be quick to act when the discovery news improves, generating potential upside and volume for the next run

* gold is higher now and has put in a new all-time high monthly close, and it too has already gone through a prolonged consolidation process clearing the way for new highs that will put a tailwind into all juniors

Now I would agree on the point that a lot of money has been spent with no economic results to show for it. That is exploration. People forget that most of the big discovery stories today were actually old projects that have been recycled. KXL is mostly advancing new discovery data. KXL is the first company to consolidate the property interests around Beardmore-Geraldton to a large continuous block and then work a systematic exploration program. That takes time to pull together and they are following a trail of bread crumbs that can ultimately lead to the big payday.

A final comment on the money: I spoke with Dave Richardson last year and he told m that KXL could easily have raised more than double the last big PP but they did not want to overly dilute the stock. Keep in mind that it ran from the mid-50s to over $4 very quickly on the last run and it can do so again. Richardson said he and other insiders would be ready to finance the company again when the time came, and he was already a significant shareholder and had never sold a share in any of the past run ups. I do not think money is going to be an issue, and even with all that has been spent so far, KXL still has more money left in the treasury than 99% of all the other juniors.

Regarding the departure of Bill, I did not ask what was behind that. I have no reason to believe he was forced out, and the working relationship seemed very good when I was touring the property. However they are professionals and I am sure if there were differences of opinion they would have been smart enough to keep it quiet during an analyst tour. Bill is a class guy and I wish him well. KXL needs to recruit another high quality front person and regain momentum now.

cheers!

mike