Market Update

General - Osino Resources - Strike Energy

Good afternoon

Germany can be added to the list of crazy countries like the US, Italy, UK etc...the drama, which our politicians, especially the Bavarian offshoot of the CDU called CSU are performing in the moment, is a bad joke! Merkel is fighting for survival....

Chinese PMI for manufacturing as well as for services in line and still pointing to growth - but a sub-index for export of manufactured products dived below 50 for the first time in years, indicating some tariff-related impact....But the PMI in the US stronger than expected!

Vedanta - the largest shareholder and founder is offering to take everybody out at a 25% premium to the last price...

Osino Resources - some of you will have seen Heye Daun´s presentation at our yearly conference a few month ago in Zurich. Well, good things sometimes take longer! A disease, we as mining investor  are only too aware of! Anyway - the listing has taken longer than anticipated, mainly due to a lack of manpower at the Stock Exchange in Canada. The last placement took place at 8,75 Canadian cent, followed by a consolidation of unlisted Osino shares at the ratio of 5,4318 into listed Osino Resources shares - i.e., if you had 1 mill shares at the placement price of 8,75ct, you now have 184.101 shares in OSI CN ( theoretical price of 8.8ct = 0,4780 Can$ ) . The stock is trading at 0,63 Can$, although with very limited turnover, and has a market cap of 35 Mill A$ , of which approx 5.7 Mill Can$ are cash. Not that cheap in the moment for a Canadian explorer in a bad market - but I think major shareholders Ross Beaty and RFC, as well as the successfull management team of OSI, have created some interest! OSI are holding a very extensive groundposition in Namibia, around the two mines Otjikoto ( B2Gold, 3.5 Mill oz ) and Navachab ( private interests, 5 Mill oz ) - OSI management had discovered Otjikoto a few years ago. Pretty exciting stuff in what could be a new gold mining province in Namibia. OSI are certainly a stock to watch. I am a private investor in OSI and have purchased my stock about a year ago at the equivalent of approx 0,38 Can$. ost also know, that Heye is a cousin of my wife - so pleanty of reason to have a biased view here! I honestly believe, that OSI worth watching - and I recommend buying on weakness.  Good management, good investors, and excellent ground position - that´s more you can ask for with most junior companies!

Strike Energy - sorry, again...plenty of action here. Company announced anotehr technical update today, wwhich was great and should have taken the market higher. management reiterated, that all ingredients are in place to prove up a first reserve through testing of the current well ( in other words: proving up an economic gas field ). The market concentrated on a little paragraph, though, where the company said, that the Gas Compositional Analysis failed to deliver for some technical reasons. This is of inferior importance altogether - gas has been produced in the past in some quantity to excatly know, what the characteristics of this gas are. I think there has also just been some profit-taking followng a big run in recent weeks, and some investors might have waited for the new financial ( and  tax- ) year to take some chips of the table. Broker Taylor Collison in late May came up with a unrisked, 44ct valuation on proving up reserves here ( and I think ultimately, this will turn out to be a conservative valuation! ). On top of this, STX has the highly prospective, but as yet little know prospect in Western Australia, and a large ground position in the Cooper Basin , oustide of the current project. All in all - I feel very vindicated, and am happy with my very large holding in Strike!

Have a nice evening


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