So we have what appeers to be a ral delima on SNO's hands here now... I say SNO's hands as I say that I have sold my position in the interm..

What we know:

1) the prep work for this was poorly done... no caustic samples taken for the immediate bulk sample area....

2) the sample removed and bagged is 500 tones... I understand more kimbie sits on site as a total swath was removed to get right to the botto of the sill.... I undersatnd about 1200 to 1300 tones total.

3) SRC has proven we have very coarse distribution of diamonds

4) all of the planted quality control diamonds were recovered... Therefore SRC did a good job of recovery.

5) DeBeers results still to come back.... If there is a larger diamond in this portion I think the stratagy should be to process as much of the entire removed kimbie on hand... 1200 or so tones.

The reason for this is is that drilling more holes will only answer any questions that we already have the answers to.... That being coarse distribution and almost no small diamonds.

More caustic disolution could be done from the pile of kimbie on site.... so as I say redundent to follow that train of thought.

I suggest they contact Tahara or BHP Shore gold or someone with a processing facility to process the remaining kimberlite..... If there is nothing in this 1200 tones... you walk away from Mud lake.... if the top sill is the largest and is not robust enough for a mining operation what is the use of defining any more there.

Cost analasis of both plans should be considered.. as I was told before that doing a lot of caustic work wold be about the same as doing the bulk sample..... why return to that as one would just get back to a bulk sample anyway...... waist of money to drill etc now..... Just send in as much as they can and either mud is a go or a no go.....

If they choose the bigger bulk sample route I would buy back in.... It's redundent to go back to preliminary sampling now.... that is done to make sure you pick the right spot.... The kimbie is out of the ground now.... and I bet that Tahara would process 1200 tones for 100 to 200 K.... Much less than a major drilling program will cost ..... and the end result is that caustic and drilling now would only tell you if it's worth while to do a bulk sample..... The kimbie is already out... send it in and find out if its got anything worthwhile in it..

1200 tone would have to yield at least 60 cts to be of intrest... and from what I've seen so far that would indicate macros +..... why waist any more money on Mud Lake to only get back to where SNO is right now..!

So far only results from 60 tones have been processed and that is insufficent to test a kimbie with coarse distribution.... Victor comes to mind!

JMHO