Trilogy - Bornite, page-73

Many thanks for the post, Lomu.

Trilogy, in its 3Q23 two days ago said:

As at August 31, 2023, we had cash and working capital of $3.0 million. Management continues with cash preservation strategies to reduce cash expenditures where feasible, including but not limited to reductions in marketing and investor conferences and office expenses. In addition, the Company's Board of Directors have agreed to take all of their fees in deferred share units in an effort to preserve cash. The Company's senior management team is also taking a portion of their base salaries in shares of the Company to preserve cash.

All project-related costs are funded by Ambler Metals. Amber Metals is well funded to advance the UKMP with $66.9 million in cash and $66.0 million in working capital as at August 31, 2023. There are sufficient funds at Ambler Metals to fund this fiscal year's budget for the UKMP and the Ambler Access Project. Trilogy does not anticipate having to fund the activities of Ambler Metals until the current cash balance of $66.9 million is expended.

Any sum-of-the-parts valuation of S32's assets would put a low price on Ambler, given the existing uncertainties. More affected is S32's partner Trilogy - this is their main asset. Trilogy's MC is $C105m and it recently had to take a placement from S32 to keep going. Perhaps S32 could buy the remainder.

We cannot tell from Australia whether Alaskan conservation issues outweigh the US critical minerals agenda. Development of Arctic and Bornite might have to wait for a Republican federal government or a crazy spike in Cu prices.

The mineral deposits are of globally significant size and high quality.

Ash