The $1.5 prior to 2011 was posted correctly. I think that there are options to the status quo!

Just an opinion here now...

If I was SKP instead of having to proceed under the Jv terms I would propose a friendly deal :

I would make an offer to take over WEL on a 2 for 1 basis thus the whole of WEL becomes the property of SKP.

I would then continue WEL with it's present cash and any wt cash that comes via exercise and have WEL continue to hold and explore the Base metals plays in the form of "New Co WEL".

The amalgamated SKP shareholders would all be divied out the New co WEL shares on a 3 for 1 basis..

IE The combined SKP float would rise to approximately 106MM plus 44 MM =150 MM shares

If Exisitng WEL wt holders were to exercise that would be about 160MM shares and the cash availible to the base metal "New co " would be about $5 million and new float would be about 50 MM shares.

SKP would have it's present $7 million or so in cash

SKP would now control all the WEL gold properties in the belt and WEL would have all the base metal properties. We would have an amalgamated shareholder base. This would remove all conflict in the plays and SKP would be much stronger and the work commitments would be reduced and could be prioritized accordingly.

WEL would also have a larger sharholder base with the present SKP shareholders becoming holders of an additional well financed base metal play. Both companies would maintain their present managment but they would focus on their respective projects.

In this scenario all the shareholders would benifit on both sides of the fence. WEL shareholders would have a large presence in the combined Bisset area Play.

SKP shareholders would be geting a divy of WEL base metal Co and this company would also be well financed as the wts holders would likely exercise because of the implied in the money wts. I know I would.

Just my opinion ! and I am entitled to have one. Thats what I would propose anyway. I think there would be many positives with such a transaction.