Ann: Pilbara Cu-Zn Project DFS Delivers Positive , page-5

re: Ann: Pilbara Cu-Zn Project DFS Delivers P... couple of observations
- CAPEX at $279m is obviously spooking a few being +20% over original guidance of ~$230m. However, includes a lead circuit to be introduced in year 6. Whats that worth ~$20m? Also, no mention of potential sharing arrangements with Atlas for airstrip and camp which was previously mooted. So i see this as a fully blown standalone number with room for improvement.
- Capital intensity at $10,500t is globally competitive.
- mining reserve has increased from ~7mt to 8.37mt and mine life now 8.5years on base case. Still other resources and reserves to be bolted on. Big positive.
- OPEX is higher @$1.57, but globally very competitive.
- they haven't quoted an NPV, but analysts will disc EBITDA and reveal their estimates in due course.

Overall, i think this is a pretty neat little project with plenty of upside as it goes along. Analysts will be crunching their numbers and i think we will get a re rate as it starts to sink in. Obviously, with the feasibility out now it makes a corporate action a lot easier as all the hard work is done. My guess is we are already on a few radars as the next Cu/Zn mine and watch this space..