Ann: SOUTH32 TO ACQUIRE A 45% INTEREST IN THE SIERRA GORDA COPPER, page-13

SFR holder here and bullish on copper.

Yes, good question.

The deal provides interesting comparison to the SFR MATSA deal.
- Sierra Gorda has superior qty of reserve/resource/mine life
- MATSA has superior C1 costs
- Spanish/Portuguese jurisdiction/proximity to market superior to Chile?
- Other considerations?

		SFR	S32
1	Mine Complex	MATSA	Sierra Gorda
2	Investment	1.865	1.55	bn USD	S32 has contingent liability of $500M USD if Copper price and volumes exceed threshholds
3	Ownership %	100%	45%
4	CuEquiv	110	214	Mt	Forecast production mid points
5		Cu (63), Zn (27) Ag (7), Pb (3)	Cu (84), Mo (7) Au (7), Ag (2)		Revenue proportion by mineral
6	CuEquiv Production	110.0	96.3	kt/pa	based on ownership share
7	Cu Production	69.3	80.9	kt/pa	based on ownership share
8	Min Resource	1.88	7.04	Mt Cu
9	Min Resource	3.902		Mt CuEquiv
10	Cu%	1.50%	0.40%
11	Min Reserve	0.65	6.32	Mt Cu
12	Min Reserve	1.11		Mt CuEquiv
13	Cu%	1.80%	0.40%
14	LOM on reserves	10.1	29.5	years	SFR states 6 year LOM on resource and 12 on reserves
15	C1 Cost est	0.5	1.3	USD/lb Cu