Ann: Second High-Grade Copper-Gold and Base Metal Zone Discovered, page-31

The Wonmunna project has a long history of changing hands since TLM held it with it finally ending up in the hands of Mineral Resources (MIN). The brief history is detailed as follows:

• 2010/11: TLM sells project to Rico Resources (RRI) for cash (~$35m), stock (~$6m), and a 1% uncapped gross royalty on all metals. Royalty over E47/1137-I and any mining leases granted over the tenement.
• 2012: Rico progresses the project upgrading the resource, securing native title and mining leases.
• 2013 to 2014: RRI (Called Ochre Group at the time, OGH, liquidated in admin) faffed about not doing much on the asset.
• 2014: Ascot Resources (AZQ) purchased the asset. OCH Paid in cash and stock plus their own 1% GSR on top of the one TLM has.
• 2015: AZQ looks to delist from the ASX due to poor conditions.
• 2018: Ascot sold the project to the Australian Aboriginal Mining Corporation (AAMC).
• 2020: AAMC sells the project to MinRes.
• 2021: MinRes brings the project into production aiming for an initial run-rate of 5mtpa. They have stated the project could support 10Mtpa run-rate.

The project is relatively large with resource statements under AZQ suggesting the project has ~85Mt of iron ore at ~57% Fe and relatively low impurities. However, the reserve is limited to 29Mt which at current could support the current 5Mtpa for ~6yrs. We understand that MIN is drilling out the deposit to convert resources to reserves and test its potential extent. As such, we think there is a strong likelihood that the scope of the deposit will be expanded and able to support a 10Mtpa scale operation for 5yrs+. A few tells that this isn’t a far off the mark assumption are firstly, in the deal to purchase the asset, MIN also gave AAMC a royalty over the first 40Mt produced. Secondly, MIN’s recent site trip presentation states Wonmunna is a part of a 10yr strategy for their Utah Point Hub.