Good interview with KevinHe provided a little more meat for the...

Good interview with Kevin

He provided a little more meat for the bone that can't always be put into ASX announcements.

The drilling results are high grade and probably change the world's view of Mt Carbine being a low grade deposit. Likely to add more years of production and/or give the opportunity to increase production by having a larger plant. The lack of other suppliers suggests production can be increased without demand worries.

Sounds like the Western Extension is another ore body that is open at depth and width (tunnel near by).

The profits from the Andy White pit, providing significant free cashflow, giving the company a wide range of options regarding how to mine (open or underground) and expanding the drilling and resource extension which will continue to add $m of value (remember Cairns Post $3bn of tungsten).

The current NPV represents only 15% of the known resource and they have just found a shed load more, so more value to come. I'm not sure many projects have an IRR of 397% and payback of 1.5 years with larger upside. The project has been nearly de-risked (both Morgans and Pac Partners research suggest this) and Kevin repeated it again.

No issues with getting workers and don't need fly in / fly out the expense of running a camp.

While others struggle to get into production (recoveries) and capex issues. We have little debt (mostly fixed at low rate) and have other advantages such as an existing tunnel that saves another large amount of capex. Kevin said previous owner Roach Bros spent $20m (todays equivalent) on the decline. That's equivalent to our current capex. (Tungsten West and G6 Metals have seen this amount $20m in capex blow outs). While we are still getting freebies.

But hey, some still see weeds!

More to come! Patience is a virtue!!!!