AXG - Antipodes Gold [formerly GEL - Glass Earth]

[elZorro]

GEL filed full documents with SEDAR in Canada on 28th March 2012. Anybody can access them, and here is the MD&A document, much more detail as I suspected.

http://www.sedar.com/CheckCode.do;js...j1obfTM3k-9:-1

Biggest news item as far as confidence in GEL: Newmont is going to drill another 6,000 metres at WKP in 2012, for more data.

That's 30 drills at 200metres average.

Business Combination

As announced on March 15, 2012 the Group acquired full ownership of its placer joint venture and associated mining equipment. The transaction involved purchasing the remaining 50% of the shares in Dunstan Mining Limited (mining operator) that it did not already own and 100% of the shares in Goldmines New Zealand Limited (the other 50% joint venture party). The acquisition cost consisted of cash and deferred cash of $3.2m and the issuing of 2.188m Glass Earth Gold Ltd fully paid shares (total consideration of approximately $4mill).

Taking full control of placer mining activities will enable the Group to accelerate and increase production capacity. In 2011 the placer joint venture (then 50% Glass Earth), contributed $752,000 in gross revenue and $274,000 in net revenue based on only one Gold Recovery Unit (“GRU”)operating. The group plans to commission two further GRUs. This, together with 100% ownership and increase in throughput should enable the Group to achieve its previously articulated production goals.

This is the reason for the pricing on the deal, in NZ$ it was about $5mill, in CAD$4mill.

GEL now has over $800,000 of mining equipment assets, plus another $900,000 from Dunstan Mining. The rest of the purchase price was deemed to be the value of the permits and access agreements.

See the annual books on the GEL website too: http://www.glassearthgold.com/s/AnnualReport.asp