LJ - a Jewel in the Crown, page-43

Thanks Tomboy, love your optimism. The most recent Presentation took a much broader overview of POS nickel resources and development of prospects and nickel reserves. Management are now considering shipping Windarra sourced nickel ore to Black Swan AND drilling out multiple nickel resources / targets across a very deep pipeline.

IMHO we are in discussions with deep pockets that may fund purchase of high grade nickel ore from both Golden Swan and Silver Swan. Presentation says "finalize (nickel) offtake and financing" so this process is already at an advanced stage. It makes sense to review / put in place exploration and prospective drilling programs (from free cash flow / funding) to grow resources. Currently we are at 400,000 tonnes of nickel in our resources base with upside of an additional development opportunity of 400,000 tonnes?? in the near / medium term as POS ramps up sales of DSO and then re-opens processing plants to produce concentrate.

The Windarra gold DFS is imminent and (assume) that a JV will be established with an independent gold operator who will buy in and run the gold processing functions. May be an opportunity to establish a larger gold processing opportunity with POS shareholders receiving an equity interest and cashflow. Current NPV on the project is $23M (before the additional tailings project is added). So a 50% stake might have an EV of around $15M (before funding of around $25M is taken into account). Small chips in the grand scheme of an emerging multi-billion nickel production company.

IMHO current POS market capitalization is in the hands of sharks and hucksters who have succeeded in massively depressing the price. Am grateful for this huckster play as it has allowed me to accumulate a position that has 5x - 20x upside potential dependent on drilling results and management execution of a dynamic business plan (within next 12 months). Good luck to all longs.