4.54, page-24

Hi all,

SRK has provided an update on the potential sale of its Peruvian iron ore assets. Based on today’s release and
discussion with management the transaction values the company at around $3.63/share after-tax. Tax implications remains the largest unknown, however our approach is conservative.

Retain a BUY with a price target of $4.49/share based on DCF valuation.

Note that the pre-tax valuation of the transaction (i.e. speculated purchase consideration) is $4.19/share which is roughly in line with price target.