Ann: Complementary Royalty Funding for Mt Carbine Development, page-12

Just to emphasise this very valid point raised by scottm about the $333M of gross revenue required to repay the loan - below is the first paragraph of the EQR funding announcement which indicates the negotiations around a send tranche of $10M, which would clearly require another circa $333M (subject to negotiations).


" EQ Resources and Regal Resources Royalties Fund have agreed non-binding terms on a first
stage $10 million royalty based funding package for the Mt Carbine Tungsten Project, with the
parties intending to negotiate in good faith the terms for an additional (second stage) $10
million."

Regal Funds Management are a professional financial and regulated organisation, who will have very very stringent practices in place in terms of credit and risk analysis prior to advancing any funds at all. To be advancing $10m and considering another $10M which in total would be based on gross revenues of $650M +, it is fair to say that this is not only a massive vote of confidence in the project as a whole, the confidence of a significantly large mineral resource in the ground BUT more importantly, the confidence in the management team to get the job done.

By all accounts we are a heartbeat away from a revised BFS (which will still only relate to c.20% of the total known resource) and once these numbers are incorporated into a broker research model, and valuations and price targets etc start to get circulated, then we will all have proof of exactly how undervalued this company is.

With these funds will come a drilling program into the West Dyke area and a further increase in the official JORC resource - this drill program will be a very critical stage in the overall project as it will serve to identify a greater resource quantity, grade, LOM etc of the overall asset, which in turn is critical to establishing TOTAL PROJECT VALUE should we start to get involved in takeover discussions.

And will we ? Get to takeover discussion stage ? Absolutely we will.

There is a critical shortage of tungsten worldwide and we are the only new producer to have stepped up in quite some years and we have a considerable resource in the ground despite the fact that a sizeable percentage is not yet JORC'd up. But that doesnt matter - we know its there and so does the world, so do our customers, so does the US Dept of Defence, so does the British Geological Society and our own Federal Govt via the Critial Minerals Dept.

With other global producing tungsten mines slowly running down in terms of production, grade, LOM etc they all know we are just coming to the fore and they know where to turn their attention should they need to secure supply or participation in that supply line.

The future doesnt just look bright - it looks BLINDING !!