PERMITS, page-11

Bibijan

TLG hold a permit for a 25,000 ton trial mine, at current grades that would represent 6500 tons of contained graphite material. In the past, TLG were given a 5,000 ton extraction permit, which they completed a few years back, in a quarry style operation, returning the site to its original condition to the satisfaction of the Swedish authorities. All told they have permitted access to 7500 tons of graphite material, 1000 tons of which is in hand, all together that should see them able to continue with their current plans in the short term until all the necessary permits are in place.

In my opinion this is not a question of if, but when. The LKAB tweet posted on another thread by Gero in this forum states the consequences not just for TLG, but for the future economic prosperity of Sweden if the permits are categorically refused. In addition, the one and only open pit application is Nunasvaara South, currently under consideration, the remaining three deposits at Nunasvaara North, Niska South and Niska North will be underground from the outset. TLG has just submitted its application for the exploitation of those deposits on that basis according to its latest ASX announcement.

The refusal of the open pit application would be a set back in the short term, but would have political implications for the Swedish Government as it approaches forthcoming elections. Sweden can not have its cake and eat it if it intends to continue to want to make a contribution to the environmental future of the planet. Naturally, Sweden can deny all new mining applications as a sovereign state, but such a policy would put it at odds with its place in Europe and in the world. Finally, the foot print of what TLG are proposing is very small in the context of other mining activities, such as coal or iron ore.

I note from yesterday's announcement that TLG has identified two additional sites of interest within its Vitangi holdings, the link between Nunasvaara and Niska, and Nunasvaara East.