Analysis and comments, page-24

Lol! Maybe the phantom woolytio snuck into the pub and removed them from a sectet hide hole in his underpants. Rumour has it that the underpants were the upper market “Conspiracy” brand.

Just a further note on the SP. As a comparison Fenix (FEX) market cap is around $180m. They are in production and paying dividends. If Red Hawk had the same market cap the SP would be a little over $1/sh. I would have no doubt the Fenix shareholders would claim they are undervalued too.

What is holding back the Red Hawk SP?

Arguably 1) past history and lack of performance.
2) liquidity of the stock (not attractive to traders, could be difficult to exit)
3) share register, TIO’s holding, TIO control, TIO track record. Shares tightly held by TIO,OCJ and many minority holders. Again liquidity.
4) the market not yet sold that the company has a viable way to market with the necessary finance (and maybe skills)
5) acquiring RH shares is seen as a medium to long term investment (unless there is a TO bid).
6) Mr Market isn’t seeing RH as a near term TO option

The upside-
Perceptions will change as RH achieves project milestones. PFS, DFS/BFS, FID etc.
The market realises the resource and mine-life are outstanding.
A predator starts taking interest
Production commences at IO price significantly above the Platts long term forecast used in the modelling.
The realisation that the ROI may be only one year after trucking commences and the probability of good dividends imminent.

Let’s not let the SP be confused with the real value if a sale was in the wind. Regardless, it is not unreasonable to expect the future SP to be multiples of the current SP, IMO.

Market price and TO sale price would be substantially different. Every shareholder has their own opinion as to sell price in the event of a TO. Mine is pretty high.

Again, I may be wrong so do your own research.