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Message: No surprise here

The market has been telling us for some time that the West Millenium results won't impress. We were told that nothing will be released until the assays are done, but the cross-section shows the cps plots and the peak cps values which, as I've mentioned before, is information known in the field shortly after the well is drilled. Thirteen wells drilled and not one of them is better than the WM-09-04 well( peak cps 1174). You need values in the % range ( > 10000 ppm) to generate any excitement. Even if the intercept length was short, at least you could validly claim you might be close. Yes you can fit a good deposit between the drill holes but these results do not tell you where to drill next.The exploration risk has not been reduced after 5 holes last year and 13 holes this year. I don't think Kodiak will even satisfy the terms of the option agreement with Canalaska, which requires $600k and 50k Kodiak shares by the first anniversary of the effective date( sometime in August this year I believe). They drilled only 2 wells on the Canalaska option land and that shouldn't add up to $600k or the whole program would be on the order of $4 million. I think Kodiak will drop the option and not waste any more $ on this play. Personally I don't agree with drilling 13 holes and then bringing in external consultants. The time to consider other options was after 6 or 7 holes when you've drilled your best anomalies and found zip. A big company attitude doesn't usually work when your a small fry.

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May 28, 2010 07:59AM
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May 28, 2010 08:08AM
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