2021 NVA chart, page-78

I think we are going to see a strong move to at least fair value around $0.31 over the next 2 weeks (although 31c doesn't account for the expected growth in the resource in the next 3-5 months).

We have a similar situation to what occurred at end of September. At that time, option-holders were selling heads (or options) to fund their conversions. The selling pressure then kept a lid on the share price.

The options conversions ultimately boosted NVA cash position to $16.1M at end of September. A raise was completed in November that added a further $21M to coffers, but this is also responsible for the recent selling pressure. So the company is well-funded for both PEA and PFS. The selling pressure stopped at the end of end of last week.

The share price ran hard after the selling stopped at end of September, quickly moving 100% from around 9c to around 19c. I think the share price will do a similar very strong move to at least fair value (on my numbers 31c), however this doesn't account for further upside to the resource beyond 3.3 Moz.

16 holes added 0.8 Moz to the resource in 2020, so reasonable to expect another 48 holes of could add up to 2.4 Moz to the resource. That would take the resource to 5.7 Moz. Some of the drilling is aimed at infill to lift some of the resource to increased confidence or M&I, so perhaps 5 Moz is good for bottom end of expectations.

So we have the double effect of NVA being undervalued plus potential to significantly increase the resource.

From my analysis a resource of 5 Moz with ~60% converted to M&I would support a mine life of 12 years at 200 koz pa. 12 years would be an adequate mine life for a starter pit, with so much room for growth at Korbel, RPM and so on.



Further notes added to the chart.