Ann: Kathleen Valley Project Update, page-226

Thanks for the update. I have learnt so much from you sharing these calcs. but I still have a ways to go. I have been eagerly awaiting this last instalment, as I'm sure many others have too. I can see you've been conservative with regards additional corporate and working expenses which I agree with. Just to clarify, I have no accounting experience, but I like to understand the calculations, so some of my points below maybe incorrect. Apologies in advance if this is the case.

1. The Capex is 855mil with 40 mil contingency. I assume it is sensible to include contingency in the Capex, just checking this is the case?
2.You've increased the carried forward losses in year 1 from 55mil to 146.48mil. Is this just a made up figure?
3. I would like to understand the row Debt Repayments, Working Capital + CAPEX/ CAPEX sustaining better if you don't mind please? Thank you for providing the Stage One loan reschedule. I assume the rest of the figures in this row represents mainly OPEX, correct? At first I couldn't quite understand why the figures in this row were so high, even after the loans have been repaid in 2029, but then I calculated how much it would cost to produce 600KT of SC6 and the figures made more sense. At US$750/T as per your worksheet, to produce 600KT of SC6 would cost US$450mil. Just checking I'm reading this column correctly?

Brilliant work! Thank you again in advance.

G