Ann: Parks Reef Resource Doubles to 6Moz 5E PGM, page-28

Whichever way we seem to cut it, with over AUD$4,000 per oz of value, a near surface open-pittable resource and what should be fairly modest initial capex to produce a concentrate (scoping study badly needed), there seem to many options to make high returns on capital. Yes it's long and narrow but so are many other ones around the world. Life of mine is likely to be very long.

It's more than frustrating that we are still in the dark on the basic economics but that should change this year. It's badly needed as ASX investors simply do not understand PGMs.

My outline figures assume that we only get AUD$2,000/oz from the refiners in the early stages. I have assumed 1.65g/t 5E PGMs (higher than MRE but lower than high grade zones for starter pit) and only 75% concentrator recovery. I have not done any work on the economics of shipping say 130-140g/t concentrate but my huge price discount should take care of that.

So the key issue is that Australian investors do not understand PGMs. South African teams do (R Baxter). Keith Goode in his July 22 report notes that:

·A number of analysts appear to be struggling to analyse orebodies that can produce 10 minerals,along with broad assumptions involving autoclaves and hydrometallurgical recovery of oxide material – whereas the standard Southern African treatment(for >50 years) is to ignore the oxide and float the harder rock sulphides to a concentrate

·One of the possible misunderstood issues is viewing PGE mineralisation/orebodies like gold mineralisation - as in treat the oxide first and then the sulphide because of high recoveries in gold oxidation, whereas PGEs appear to be more like nickel mineralisation – ie altered/difficult to treat in oxide – with flotationrecoveries often in the 30% to 50% area providing the PGEs haven’t altered tosalts or the nickel altered to violarite and caught fire from spontaneous combustion when stacked on surface (I have seen it – it can cook/alter further too) - so PGEs in oxide are often stockpiled and possibly blended later.

·Most PGE coys start producing at 100kozpa Pt (or Pd) and then have applied their cashflow to increase to higher amounts.Both Implats and Rusplat started at ~100 to 200kozpa Pt & gradually increased to ~1.2Moz to 1.5Mozpa Pt treating ~12Mt to 15Mtpa. Implats now treats~30Mtpa and Amplats (originally Rusplats) now treats ~25Mtpa from its mines.

From the outset, POD has been intent on getting value from the near surface oxides in a starter mine. The hydromet leach process has been ongoing for ages but seems to be finallygetting to a meaningful stage. Worst case POD can use the standard SA flotation process and ignore the oxides.

"Hydrometallurgydevelopment has progressed into a second round of detailed leach testing tooptimise key variables. The testing has been underway for approximately 10months and is now investigating methods of improving PGM recoveries. Results todate, outlined in Table 3, are encouraging with strong metal recovery of PGMsand associated base metals being reported." Q4 2022 CF report

POD Met History - https://hotcopper.com.au/threads/number-1-on-the-podium-find-me-a-cheaper-precious-metals-play.5607557/page-1158?post_id=62750784

WA Government (MRIWA) remains keen to assist: https://www.mriwa.wa.gov.au/research-projects/project-portfolio/new-opportunities-for-the-pgm-industry-in-wa/