Ann: High Grade Drilling Results at Tiger's Creek, page-47

Hi RJ,

I doubt it. What is the old saying? One swallow does not make a spring. Ideally you want a throughput of at least 2 million tonnes per annum to be large enough to be economic. Tiger's Creek is a long way from that at the moment. One thing I have learnt about these laterites. They can be pretty patchy. I have seen other drill results nearby at 0.6% Co, but only in small areas. Let's see what the other holes show up.

My own criteria I use is 30 million tonnes at a combined % Ni + 4 times % Co of greater than 1.5%. Then I START to get interested. For example 1.1% Ni + 0.1% Co or 1% Ni + 0.125% Co. Anything lower than this has been shown historically to be marginal. Some will say I am too pessimistic, but this is what I personally use. The platinum and scandium will be cream, but the project will have to be justified on the nickel and cobalt.