i am a novice when it comes to the stockmarket and this is my first post so please excuse my lack of terminolgy etc (and the length of this email). I have some money invested in LGDI and have so for the last few years. Obviously it is not working out as planned. I read posts on this site on a daily basis and have formulated opinions on many of the regular posters.

We seem to have lost snapped/wengfuyoung in recent times and although he has a diplorable way of expressing himself, he has been right on many levels. He strongly questioned the Gutnicks track record and ability to actually 'get the job done' He questioned the relationship with axis, the continual press releases that never eventuate such as spin offs, asx listing, potential partners and the list goes on.

Many of these press releases are the main reason why many of us have invested our money. Several of you have written letters to LGDI management and posted them on here hoping that they read them. I wonder why you would not just email management directly with your concerns. I am concerned for the future of LGDI and have the following questions and was hoping you guys may be able to help. 1-Does LGDI actually own the land or do they just own the right to mine that land? 2- Who approves the salaries of the LGDI management? The current remuneration of the executives seems extraordinary to me, especially for a company whose share price has tanked for the last 3 years at a time where their salaries have more that double according to the Annual report. 3.

The first line on the LGDI website states that their main objective is to increase shareholder value. Obviously they are not doing anything to achieve this. If it can be proven that they have no interest in achieving this objective, can shareholders take action? i wrote an email to Craig Michael and asked him a few questions. Below was his reply. Take it for what its worth, as i said, i am a novice.

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Thank you for your email. To quell your fears I can assure you that the rumours you have mentioned are not true as is generally the case with rumours. We are not going bankrupt and have enough funds to last us into next year. Unfortunately we do not control the share price and any positive news that we have released in the past year does nothing to calm any investors fears so I doubt very much any announcement we put out now will have any effect either.

Most people only want to see us announce a strategic partner, with finance, which we feel is very close but of course cannot guarantee until it actually does occur. We hope to be able to be announce something in this regard very soon.

To answer your specific questions:

Q1. Will LGDI be forced to file for bankruptcy in the next few months? 1. No, Legend will not be forced to file for bankruptcy in the next few months.

Q2. What are you doing to stop the falling shareprice? 2. We are progressing the project as per our business plan and we are continuing positive discussions with potential strategic partners. As I mentioned earlier we cannot control our share price. To try to ‘control’ any market is an act of futility. Many fertilizer stocks similar to us have also fallen sharply in price so this is not just specific to our stock. We are however extremely happy with our excellent project and we will keep developing it, as we have been doing, into a successful fertilizer producer regardless of our share price.

Q3. Are there any equity partners that are ACTUALLY going to invest? 3. We believe so and are continuing positive discussions with some strong potential partners.

Q4. What have you ACTUALLY achieved in the past 3 years? 4. We have achieved a significant number of milestones which we are very proud of. Anyone following our company and interested in the project itself will have noted the progress we have made but I am happy to list our achievements to date. They include but are not limited to:

a. Dec-07: Raises $15 million through private placement to Atticus Capital

b. Apr-08: Releases phosphate project scoping study from British Sulphur (CRU International)

c. Jun-08: $105 million raised through private placement to various institutions

d. Aug-08: IFFCO exercises 5 million options in Legend, increasing its stake to 8.84%

e. Oct-08: BMO completes research analyst report on Legend, "Rated - Outperform"

f. Oct-08: Soros Fund Management increase stake to 10.2%

g. Oct-08: Legend announces JV with Mt Isa Metals; enhances D-Tree project and increases phosphate resource potential

h. Feb-09: Legend announces exploration results for the D-Tree deposit; full drilling and assay results are consistent with historical records and confirm phosphate deposits

i. Apr-09: Legend hosts special visit from the Secretary to the Government of India (Ministry of Fertilisers) and the Managing Director of IFFCO

j. May-09: Legend announces the maiden resource estimate for the D-Tree phosphate deposit

k. May-09 : Legend announces rail capacity of 3.5Mtpa available for its phosphate project

l. Jul-09: Legend granted exploration permit for Paradise North

m. Aug-09: Legend announces transport services MOU with P&O Trans Australia to service North Queensland operations

n. Sep-09: Legend announces 100% ownership of the D-Tree phosphate project in Queensland, Australia

o. Nov-09: Legend announces strategic relationship with Wengfu Group Co. Ltd; one of China's largest fertiliser producers

p. Jan-10: Wengfu group to undertake feasibility study for Legend's phosphate project

q. Mar-10: Legend announce positive initial findings from the Wengfu Group feasibility study

r. Mar-10: Legend presents at the FMB Asia Fertiliser conference in Beijing, China

s. May-10: Legend announces significant resource upgrades and project milestones

t. May-10: Legend signs MOU's with Xstrata Zinc and Coogee Chemicals in regards to potential phosphoric acid production

u. Jun-10: Legend announces positive and robust Wengfu Group feasibility study

v. Aug-10: Legend receives grant of first Mining Lease from Queensland Government for the D-Tree North Deposit

w. Dec-10: Mr. Manish Gupta, Director of Strategy and Joint Ventures for IFFCO rejoins the Legend board

x. Feb-11: Legend announces 60 year mine life for its recently completed Mineral Reserve estimate for Paradise South

y. Apr-11: Legend completes Expanded Feasibility study which shows strong economics for a doubled production scenario of 1.2Mtpa DAP/MAP project

z. Apr-11: Legend receives grant of second Mining Lease from Queensland Government for the Paradise North Deposit

aa. Apr-11: Patersons Securities Limited releases 'buy' note on LGDI and outlines strong project valuation and strong fertilizer market. Over the past 3 years we have added significant value to this project and built a competent team to achieve the many milestones listed. We have defined a SEC compliant Mineral Reserve and completed a highly detailed feasibility study showing how robust and profitable the project will be. We will achieve the financing of the project and our share price will eventually reflect the value we have added.

Kind Regards, Craig Michael | Director & Executive General Manager The Gutnick Network of Companies P: +61 3 8532 2866 | M: +61 448889747 | F: +61 3 8532 2805 Level 8 | 580 St Kilda Rd | Melbourne | Vic | 3004