Sleeping Beauty ASX BSX, page-1103

Honestly this is a company I don't want to see corporate action on. We already have the backing of a heavyweight who will have the knowledge and skill to help us achieve downstream production and also to feed that product onto one of the major battery companies.

I have seen a few that think the MSV's aren't important and just promotion but I disagree. Especially if we can delineate a section of 9m wide SMSV/MSV. If we can get sections 5m+ it means it can be bulk mined quite easily and results in minimal dilution.

Hole 1 of MSV had visuals of 80% sulphides over the 1.05MSV hit. The veinlets following that were low Ni, high Cu which gave us the total interval of approx 4%NiEq across Ni/Cu/PGE's.

Hole 2 of the MSV is 1.2m at 95% visual estimate of sulphides. It could come back at 3.5% Ni + Cu + PGE's over 1.2m.

Hole 3 is bookended by DSS/sulphide veinlets which again could be high in Cu and then a very solid midsection which has 2.3m of MSV at 85% (double the other holes) and the same of SMSV at 20% sulphides. We could well be talking a 7.5-9m interval at 3% NiEq.

Historical costs for Ban Phuc were US$2.35/lb of which 86c was royalties and tarriffs. So we can take most of this out as we won't be paying the tarrifs. Let's leave 20c for royalties. Mining costs were 85c/lb. This can also be reduced on two fronts. Wider average vein means lower mining costs and higher grade means more metal produced. All in all I think we can conceivably see safely under $2/lb.

So let's say we feed 450ktpa of 4%NiEq at 80% recoveries through the existing plant. That produces about 14,000t of NiEq metal.

Producing end product will result in almost full payability whilst incurring some extra cost. Let's assume all in cost of $3/lb and sale price of $6/lb.

That is $92m USD generated per year as EBITDA. Half to us and half to EcoPro (I assume) as a JV.

Ban Chang should (from limited info to date) provide at least 2 years of feed. So $180m USD. NPAT might be $110m USD or so. That would likely be enough to build another 1-1.5Mtpa of processing capacity at Ta Khoa to then process what by then I hope is another 10 years of DSS very profitably