Ann: Tunkillia Gold Project - Positive Initial Scoping Study, page-2

I'll need more time to do a deeper dive but this looks to be an excellent result for our initial study.

Highlights for me so far:

- We will be starting with $410m free cash flow in the first 18 months which can cover construction costs for stage 2 expansion.

- $211m ongoing free cash flow once in full production. Where could this actually be by then if gold continues higher? $300-400m+?

- NPV of $512m (current market cap = $54.66m / 9.37% of NPV)

- Annual production will be higher than our idols CMM.

- Payback in just 1.9 years.

- Operations will place us near the top third of Aussie producers for returns and AISC.

- Conservative estimates were used. May allow for greater efficiencies and optimisation.

- So much more drilling to come. I'd be very surprised if we don't go past a 10 year LOM.

- The silver by-product is a nice addition to assist with some cost covering.


Again, an excellent outcome for shareholders. Well done to Alex and management, who continue to deliver on their promises.


Not financial advice. DYOR.