Ann: Development Progress - Lindi Jumbo Mine, page-1883

Hi Croc.

Thank you for the spam,

What is more important is to understand the risks associated with WKT and any other graphite project,

We discovered in the weekend the highest forecast graphite producer's free cash margin has dropped by 60%, we did have one person claim their project included downstream processing, which is false as BMI compared apples with apples to make the table a tree representation of which project offered the best free cash margins. I am honestly surprised you didn't chip in with claiming they needed to grind it down to remove some contamination as you have claimed for SYR who lost all their forecast-free cash margins once they completed commissioning,

Stirer even tried to help out but added more concern, by suggesting the IIR report claimed WKT would receive AUD $25 mil free cash per year, sadly he didn't understand that the current graphite prices as stated by IIR are US$200 per tonne lower than the modeling used, This would remove $15mil AUD of the $25mil AUD so called free cash margins.

Even in your posts, we see the desperation where you need silicon anodes to replace graphite anodes. this isn't going to happen in the coming months while WKT is commissionoing the plant or help any time soon in lifting the graphite price to give the company its DFS forecast free cash margins.

We will soon see how good or bad WKT figures are when they complete commissioning, it must be of concern to you that the company hasn't commenced the grade control drilling to start mining, as you would be aware, with the new 3-year mine plan, they are focusing on the northern tip of the resource to try to cut down cost on transport to the mill, yet this hasn't had the amount of validation as the previous mine pit that WKT's reserves are based on.

Anyway, getting to my point, if WKT sees a similar flake size loss as Bissett Creek and Balama its a high chance that IIR lower valuations will come in play.



Based on US$750 per tonne (30% reduction on the current prices) the SP could be headed to 8 cents.

Even if everything goes to plan as the DFS forecast expects using IIR's current graphite prices less Wogen's commission, the SP for the Lindi Jumbo graphite project is only 16-20 cents.
the risk hardly seems worth it to invest in WKT for 2 cents gain. if things go bad you could be looking at 4-8 cents per share.

Anyway, I know the over-invested won't think this is possible. they only sell rainbows and unicorns now they are selling silicon anodes.