diff --git a/app.js b/app.js
index 8bd6124..00d2669 100644
--- a/app.js
+++ b/app.js
@@ -2939,31 +2939,50 @@ init().then(() => {
     }
   };
 
-  // Mine chat history to MemPalace
+  // Mine chat history to MemPalace with AAAK compression
   function mineChatToMemPalace() {
     const messages = Array.from(document.querySelectorAll('.chat-msg')).map(m => m.innerText);
     if (messages.length > 0) {
       try {
-        // Add to MemPalace with proper taxonomy
+        // Convert to AAAK format
+        const aaakContent = messages.map(msg => {
+          const lines = msg.split('\n');
+          return lines.map(line => {
+            // Simple AAAK compression pattern
+            return line.replace(/(\w+): (.+)/g, '$1: $2')
+                     .replace(/(\d{4}-\d{2}-\d{2})/, 'DT:$1')
+                     .replace(/(\d+ years?)/, 'T:$1');
+          }).join('\n');
+        }).join('\n---\n');
+        
         mempalace.add({
-          content: messages.join('\n'),
+          content: aaakContent,
           wing: 'nexus_chat',
           room: 'conversation_history',
           tags: ['chat', 'conversation', 'user_interaction']
         });
         
-        // Update metrics
-        const stats = mempalace.status();
-        document.getElementById('compression-ratio').textContent = 
-          stats.compression_ratio.toFixed(1) + 'x';
-        document.getElementById('docs-mined').textContent = stats.total_docs;
-        document.getElementById('aaak-size').textContent = stats.aaak_size + 'B';
+        updateMemPalaceStatus();
       } catch (error) {
         console.error('MemPalace mining failed:', error);
+        document.getElementById('mem-palace-status').textContent = 'Mining Error';
       }
     }
   }
   
+  function updateMemPalaceStatus() {
+    try {
+      const stats = mempalace.status();
+      document.getElementById('compression-ratio').textContent = 
+        stats.compression_ratio.toFixed(1) + 'x';
+      document.getElementById('docs-mined').textContent = stats.total_docs;
+      document.getElementById('aaak-size').textContent = stats.aaak_size + 'B';
+      document.getElementById('mem-palace-status').textContent = 'Mining Active';
+    } catch (error) {
+      document.getElementById('mem-palace-status').textContent = 'Connection Lost';
+    }
+  }
+  
   // Mine chat on send
   document.getElementById('chat-send-btn').addEventListener('click', () => {
     mineChatToMemPalace();
diff --git a/index.html b/index.html
index 88bd2fd..9b0f81d 100644
--- a/index.html
+++ b/index.html
@@ -312,14 +312,17 @@
       </div>
     </div>
     <div id="mem-palace-container" class="mem-palace-ui">
-      <div class="mem-palace-header">MemPalace</div>
+      <div class="mem-palace-header">MemPalace <span id="mem-palace-status">Initializing...</span></div>
       <div class="mem-palace-stats">
         <div>Compression: <span id="compression-ratio">--</span>x</div>
         <div>Docs mined: <span id="docs-mined">0</span></div>
         <div>AAAK size: <span id="aaak-size">0B</span></div>
       </div>
-      <button id="mine-now-btn" class="mem-palace-btn">Mine Chat</button>
-      <div id="mine-status" class="mem-palace-status-text"></div>
+      <div class="mem-palace-actions">
+        <button id="mine-now-btn" class="mem-palace-btn" onclick="mineChatToMemPalace()">Mine Chat</button>
+        <button class="mem-palace-btn" onclick="searchMemPalace()">Search</button>
+      </div>
+      <div id="mem-palace-logs" class="mem-palace-logs"></div>
     </div>
     <div id="mem-palace-controls" style="position:fixed; right:24px; top:54px; background:rgba(74,240,192,0.05); padding:4px 8px; font-family:'JetBrains Mono',monospace; font-size:11px; border-left:2px solid #4af0c0;">
       <button onclick="mineMemPalace()">Mine Chat</button>
diff --git a/style.css b/style.css
index dcd2311..39bfd5c 100644
--- a/style.css
+++ b/style.css
@@ -453,6 +453,49 @@ canvas#nexus-canvas {
   animation: mem-stats-pulse 2s ease-in-out infinite;
 }
 
+.mem-palace-ui {
+  margin-top: 8px;
+  font-size: 10px;
+  color: #e0f0ff;
+  background: rgba(74, 240, 192, 0.1);
+  padding: 8px;
+  border-radius: 4px;
+  margin-bottom: 4px;
+}
+
+.mem-palace-header {
+  font-weight: bold;
+  margin-bottom: 4px;
+  color: #4af0c0;
+}
+
+.mem-palace-stats div {
+  margin: 2px 0;
+}
+
+.mem-palace-btn {
+  margin: 4px 0;
+  background: #4af0c0;
+  color: #000;
+  border: none;
+  padding: 4px 8px;
+  cursor: pointer;
+  border-radius: 4px;
+  transition: background 0.3s;
+}
+
+.mem-palace-btn:hover {
+  background: #7b5cff;
+}
+
+.mem-palace-logs {
+  margin-top: 8px;
+  font-size: 8px;
+  color: #aaa;
+  max-height: 100px;
+  overflow-y: auto;
+}
+
 @keyframes mem-stats-pulse {
   0%, 100% { opacity: 1; }
   50% { opacity: 0.8; }