Ann: FY22 PRODUCTION UPDATE, page-24

Currently SOL is down 45% on its investment in AIS.

The medium - long term outlook for copper is actually getting better. The longer the war in Ukraine wreaks havoc on world energy prices the more incentive there is to move to renewable energy and electric vehicles, trucks, trains and ships. And this requires a twofold - threefold increase in copper. Currently there are no large warehouse holdings of copper and overall grades being mined are falling.

The current fall in the Cu price from US$5.00/lb in early Mar'22 to US$3.25/lb is purely fear of a fall in demand amid recessionary forces. This won't last for long and the war in Ukraine looks set to go into next year. Maybe the Ruskies will run out of missiles beforehand but I think the Ukraine war has at least a year to run. By then the Europeans, especially the Germans will have decided to never be beholden to Russia for its energy needs. Many other countries will take the same view.

The other thing that the Europeans will now understand is that as long as they buy energy and anything else from Russia they are basically paying for the development of a military force whose raison d'etre is to threaten those same Europeans.

Putin is endangering the future prosperity of his Russian people. All of this will hasten the return of Cu prices to all time highs and more.

Patience and a stomach for a low AIS SP is required for the forseeable future.