Ann: Acquisition of Joaquin Silver District, page-8

This is a really good acquisition.

Based on my maths La Marocha alone is about 40-45Moz AgEq at ~170g/t AuEq. For max US$8m = A$12m. =A$0.30/oz lol. USL is currently trading at over double that. Raise is a small discount and as such we are buying these ounces at a discount to our valuation and this transaction is accretive on La Marocha alone. Add in the fact that all but A$3m is deferred consideration and it looks even cheaper.

That takes us to 130Moz at 175g/t. There is another 30Moz at a little lower grade in La Negra.

Exploration potential across all our tenements now looks absolutely huge. We should be pushing over 200Moz soon enough.

With SVL basically having been killed last week 200Moz at 150g/t+ pretty much pushes us right to the left of this chart.

New Pacific Metals is trading about A$370m MC currently and Vizsla at A$700m (they have expanded to about 320Moz). But you get the idea - we will be trading c. A$70m and on our way to 200Moz.

New acquisitions across Sierra Blanca and Joaquin make us more a pure PM play and less base metals too which IMO is positive.

Todd has been slow at times but he is pulling together something very solid here IMO.

I think fair value is a lot higher.