2 + 2 = 5?, page-7

It is true that nickel/cobalt prices have fallen from their 12 month highs. However, current metal prices as shown in the following charts still compare favourably to base case & Compass Resources own modelled scenario figures provided in the broker report. The broker compiled the report and the NPV estimates but metal prices estimates have been sourced from Compass themselves.

The nickel price has been the one metal that has fallen short of the model estimates used in the report but it is not a million miles away (approx 14% less) from the base case figures used. So would still expect it to make a contribution to cover overheads backed up by the other metal mined from the diversified Browns operation.

Hence the reason for my opinion that the Browns oxide operation problems have stemmed in the main from bad feasibility studies, cost blowouts and delays.