Ann: Quarterly Activities Report and Appendix 5B - 30 June 2021, page-138

I'm not concerned about the road. It will be modelled on other successful projects carried out by AIDEA.


http://www.aidea.org/Portals/0/PDF Files/2017Dec-DMTSExecSummaryFinal.pdf

The project is mature (initial concepts date back to 2014). It's considering access to mining, forestry and oil & gas resources as well as recreational uses.

https://dot.alaska.gov/roadstoresources/assets/WSSARS/TAR_6_EVAL_ACCESS_RTS.pdf

This figure shows all the mining projects that could benefit from the road.



This shows some of the other types of resources ( see other maps in the above link ).



Since then the original study in 2014 the project has now progressed to greater maturity with two phases of development studies with an engineering study now completed. This is a good sign.

I think the project will be phased so that the project development parallels the development of the road with activity for initial construction supported via a Snow Road. I can envisage that equipment and fuel supplies will be prepositioned via the Snow Road

I've looked at enough feasibility studies for low-grade bulk tonnage mining projects to understand that they can be made very profitable. NVA have the advantage that they can make use of new technologies not used in previous projects. Ore Sorting wasn't mature tech when Victoria Gold's Project was designed (the Feasibility Study was completed in 2016) but the tech is mature now. This approach reduces the overall footprint of the development (heap leach pads take up a lot of space).

To me it makes perfect sense to wait for the later drilling results to be incorporated, particularly if they may allow for perhaps a 20% to 25% in average grade used in all the analysis. The reason for this is that a Scoping Study sets the basic parameters (grade, size of reserve, life of mine) that drive the drilling and studies that follow. Part of this is where to focus the feasibility study drilling (much tighter spacing). Leave the later results out of the study and they could focus the detailed resource definition drilling in the wrong spot. I'm comfortable with the logic for and the reasons for the delay to the Scoping Study.