Largest cobalt resource with lowest valuation, page-75

Thanks Wise-One for a insightful point made.

Nickel price finally closing into $5/lb on friday, 3rd March @ $4.96/lb

ARL's significant cobalt orebody is low grade at 0.5% and associated with Nickel laterite, also low grade 0.7%.

Until nickel prices significantly improve this part of ARL's leases will be mostly a headline "Biggest Cobalt Resource".

ARL will, unfortunately, never mine or process this ore until the Nickel price is greater than the projected processing cost of $5/lb.

Until then, IMO, ARL have only potential in their "High Grade Cobalt Zone" 50Mt @ .12%, notwithstanding it's oxide orebody (difficult and expensive processing). Laterite processing in WA is very well understood and will continue when prices permit.

Hopefully with further drilling the ARL "High Grade Zone" can be made worthwhile but I believe ARL has long term potential to exploit their low grades eventually.

Let's hope the Nickel Price keeps rising so the whole area can be producing Cobalt from Laterites not just the Pyrites.