If it is the former, then PEA should be done in abut 5 months at a cost of under 1 million (money could be taken from the upcoming cash rebate coming to us). If it is the latter, then we do not have the funds at this time and that would mean a spin off for VD and then raise funds for the drilling program; this would probably push PEA completion towards the end of the year.

They don't need to proceed with all the recommendations at this point in time. It makes more sense to proceed to the PEA, but if that is not doable then just complete the 10 drillholes that are needed to improve the data for the PEA. The other recommendations are for exploration on the other untested claims and that can wait for the PEA.

I agree that they will likely try and sell VD after the PEA, but they might retain the unexplored properties to work on after that sale.

The cost of the recommended 10 drills holes I would estimate to be $2,750,000. In theory we could do this work with the tax refund that is expected sometime in the first quarter.

I've never seen a report come out by a consultant that did not recommend further work. They are never going to shut the door to their future business. The trick is to pick apart the recommendations and see what really needs to be done for your business goals. In our case I think they need to get to the PEA on the historical VD property before starting exploration on the other claims.