fundamentals consideration, page-28

Whilst I am in sympathy with everyone who has lost out over the past 48 hours, me included, I cannot see where the company has deliberately misled or were negligent in their actions.

There are several announcements whereby PLV note that they were examining other options including pre-concentration. Obviously capex was to increase with pre-concentration especially at 28% Fe feed and the mine economics obviously support the current PFS as the best long term financial option. Over $250M profit every year makes for a good project so an increase from 350M to 700M for the capex is small change in comparison when I get a plant that can process 17Mtpa at 28% Fe. If I feed that 17Mtpa with 35% Fe my model produces nearly 15 Mtpa of 40% Fe not 8.5 Mtpa. Guys the financials are robust. We know there are higher grade pods and significant quantities of them.

If this PFS was presented to the public as the first model on the Project the Company would be praised for providing a good economic model. The NPV and IRR support a good project.

What has happened here is market panic. A lot of which has been aided by this forum. If you do the research the company is still worth more than their current market cap. It is still very profitable on what I consider a worse case scenario. Lots of upside.

Unfortunately, what has happened with the SP may place Tony in a less favourable position when negotiating with the JV/JTC. It certainly reduces any money coming in from a 10% stake in the Company.

Call me a mug but I still hold and still have confidence in a deal being done which takes this project forward. And yes buying more at these discounted prices.