An anonymous director reports

GREAT WESTERN MINERALS PROVIDES UPDATE REGARDING CONVERTIBLE BONDS

Great Western Minerals Group Ltd. (GWMG) has provided an update regarding its $90-million (U.S.) 8-per-cent secured convertible bonds due in 2017, governed by the trust deed dated April 5, 2012, between the company and the trustee, Wilmington Trust (London) Ltd. (as supplemented).

The company did not make the interest payment on the convertible bonds of approximately $4.5-million ($3.6-million (U.S.)) that was due today (April 7). Under the trust deed, the company has 14 calendar days to make the interest payment on the convertible bonds.

The previously disclosed discussions between the company and a steering committee of holders of the convertible bonds regarding a potential restructuring of the convertible bonds have yet to result in the company and the steering committee entering into a binding agreement. The company continues to explore strategic alternatives to a consensual restructuring of the convertible bonds, which may include the initiation of a sale of, or an investment solicitation process for, the company's assets and business and/or the commencement of proceedings under applicable restructuring legislation. There is no assurance that the company will be able to restructure the convertible bonds or find an alternative to such restructuring.

We seek Safe Harbor.