Question about HAV, page-4

"My quick take on Havilah Resources is, just a guess, quality assets, but you would need at least $200 million on more drilling."

@Isladar how did you arrive at your estimate of $200 million (what projects does it cover)?

You may find this of interest.

Exploration and evaluation expenditure for 'discovery' and developing the Kalkaroo copper-gold-cobalt project totals $21,789,758 as at 31 January 2024.

Havilah Resources Limited's management has kept exploration and evaluation expenditure relatively low for the Kalkaroo project (compared to say Hillside, which is closer to $200 million), in part because it had third parties (Glencore, Wanbao Mining, OZ Minerals, BHP) fund it while still retaining all project upside. The Kalkaroo mining leases are 100% owned by Havilah, with no legacy royalties or other encumbrances.

For copper mineral developers, I always look at a company's accumulated losses vs share capital raised, to see how judicious they have been with shareholders' funds.

	Column 1	Column 2	Column 3	Column 4
0		Hillgrove Resources	Rex Minerals	Havilah Resources
1		$	$	$
2	Accumulated losses	(269,237,000)	(232,988,000)	(36,188,343)
3	Share capital raised	292,947,000	272,034,000	85,220,663
4	Exploration and evaluation assets	5,328,000	3,243,000	41,969,359
5	Market capitalisation (26/7/24)	129,900,000	344,600,000	61,740,000

Will Hillgrove Resources Limited ever have enough profits from its 'reopened' Kanmantoo mine to recover all its accumulated losses, even if metal prices go through the roof during the relatively short-time it will be producing copper and by-products?

Rex Minerals Limited has been expensing all its exploration and evaluation assets, so it does not have to amortise those costs once it gets into production at Hillside. If the scheme of arrangement with the Salim Group is approved by RXM shareholders for $393 million (during October 2024), accumulated losses will be wiped clean.

Cheers

These are only my thoughts and it does not constitute investment advice. Before acting on any information you read and before making any financial or investment decisions, you should always consult your advisor(s) or other relevant professional experts.