Ann: Second Drill Rig Mobilised to Makuutu and Drilling Update, page-2

A couple of telling comments here:

1. 393 metres for 22 holes - 17.86 metres average drill per hole. Again, basically stating it is a near surface deposit that will be a 'likely' non-complex low capex cost mining technique here given it is essentially a clay deposit (i.e. not talking the processing stage here, just the digging stage). This will be essentially a 'scoop and shovel' approach to mining, one probably on par with a 'quarrying' techniques (i.e. not deep mining etc etc).

2. At a 3700metre drilling program and assuming say 20 metres per drill roughly 185 holes - at 30 metres 123 holes, so will be interesting how deep the average in holes depth will be. Given there will be a bit of infill drilling here, and obviously extension drilling that will identify further Inferred Resource, you would expect some of the identified resource in this drilling program, in the infill stage, to find its way into the Indicated category (which will make the subsequent revised Mineral Resource Estimate down the track an interesting read). I note Table 1 of the Ann has some Indicated Resource already. The importance of having a Indicated and Measured resource is that you can then do your feasibility studies, as you cannot assess a Inferred Resource at say plus or minus 25% which is the basis of a PFS. Scoping Studies are about plus or minus 35% from recollection. Pick below explains this and how JORC works.



All IMO