exceptional graphite interceptions at nicanda , page-56

As alluded to above the key is the Grade. I had a holding prior to today but the did add to that holding this morning for the following reasons:-

1. Several large intersections and at least one ending in mineralisation.

2. Comment in announcement that implied the majority of the large intersection was "not low grade"

3. The 1st Drill line of 5 Holes was almost completely outside the boundary used for the target statement for Nicanda Hill. So like a much bigger target statement likely.

4. The Flat lying nature of the deposit bodes well for very large tonnage available to open cut mining. If some of it is on a hill then even better as open cut can go deeper. In some ways a 200m intersection


5. That they have only drilled 5 holes and intend to drill more in the same area...probably already started in fact. Meaning a possible string of announcements on visuals of drill intersections between now and the End of Jun/July.


I never said I did not like the story of TON I just wanted to see more evidence of the high grade across wider area's of the deposit. Ie a linking of high grade area's already discovered. The company has said upto 1.2bt of 5-6% graphite which they state as conservative. Prev drill cores have return from 5% to 28% C. You should also note that alot of SYR's Deposit is also lowish grade >5% but less that 13%. See the Jorc below. I would be happy with a quarter of the 1.2Bt Target being at and average grade 13% C.

On confirmation of large intervals of medium to high grade cores from the current drill program will cause me (and likely a lot of other people) to increase my position size again.


As a point of reference and comparison this is the current Jorc situation at SYR's Balama Project from the Lastest Qtrly.

At 5% C Cutoff :-
Global mineral resource for Balama East was an Inferred Resource of 579.2 million tonnes at 10.6% TGC and 0.26% V2O5 for 61.7 million tonnes of contained graphite and 1,494,000
tonnes of contained V2O5 at a 5% TGC cut off

At a 13% C Cutoff:-
The new mineral resource for the Mepiche Zone is a Measured, Indicated and Inferred Resource of 214.3 million tonnes at 16% TGC and 0.43% V2O5 at a 13% TGC cut off