Ann: Managing Director's Presentation to 2023 AGM, page-20

I am always for a balanced discussion.

The simple facts are as follows:
1. Company's production rate currently is 200,000 and will increase by next month to 240,000 tonnes of phosphate rock per annum, all of which is committed under offtake agreements.
2. Operating margin is about AUD140-150 per tonne.
3. Overheads are about AUD7-8mln per annum.
4. Overall operating profit AUD27mln per annum.
5. Market cap @7.3c is about AUD50mln.
6. Forward PE 1.85



So I don't understand the hysteria on this forum about financing stage 1.5. The company is not going to go broke if it decides to ditch stage 1.5. It will still make AUD27mln.

If the company doesn't get debt financing, so be it. I'd rather the company be prudent financially and not dilute me just because many are fixated on stage 1.5 in the shortest possible time frame. I'd rather the company make 27mln pa, rerate to PE 7 (share price 30c) and then either self fund from profits and/ or raise at much higher price, albeit 6 months later.

The biggest mistake this company ever made was to tie its future to financing and telegraph it as a necessity in its communications.

Back to your balanced discussion...company is not under a mountain of debt which requires refinancing, and not under any commitment to expand at any cost, so I find all the doom and gloom around financing to be completely irrational and unbalanced.