Ann: Appendix 4C - Quarter ended 30 June 2017, page-8

Just had another read of the Lanstead deal and now I remember why I didn't like the sound of it 7 months ago. The 400 million shares were issued @ 1c, but the sharing agreement set a benchmark of 1.3c, which was the 5-day VWAP on the day of the announcement (28/12/17)

If the 5-day VWAP is 1.3c on the draw down date of each month, Lanstead transfer $189k. If the SP is more than 1.3c, the transfer increases proportionately. If the SP is less than 1.3c, it decreases proportionately.

I can't work it out properly without knowing what the draw down date is, but as a guide, the monthly averages since the agreement was announced have been:

Jan 1.39c
Feb 1.29c
Mar 1.15c
Apr 1.14c
May 0.93c
Jun 0.84c

It worked well enough for SMA last quarter, but definitely hasn't this quarter.