Ann: Volt to Launch Capital Raising, page-288

Let's take the stress tested equation one step further. VRC currently publish OPEX of US$536/tonne on a run rate of 173ktpa. We know this will increase materially when the run rate is reduced to 20ktpa. However, for the purpose of this equation let's assume it remains the same.

17,548 tonnes * ($859.5 - $536) = $5,676,778

Then the Tanzanian government takes 15% of revenues by virtue of their free carried project interest.

$5,676,778 * 85% = $4,825,261

However, if the OPEX on a production run rate of 20ktpa is US$750/tonne (more realistic) then the equation looks like this.

(17,548 tonnes * ($859.5 - $750)) * 85% = $1,633,280.

So pre tax revenue of approximately US$1.6 million per annum with an EV of A$18 million and still requiring working capital of possibly A$10 million to get through to the BFS stage plus CAPEX of US$30 million and RAP expense etcetera.

My view is this will never be a mine...