The SOP price is the biggest variable in any sensitivity...

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sevo

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18/08/22

15:20

Post #: 63193103
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Originally posted by hopeful2: ↑

"Bottom line, its foolish to be sucked in by impressive numbers in this sector."

But surely the current numbers are the only thing that we can currently calculate future prospects by. I fully appreciate that the A$ might increase and that SOP might reduce in price. All of this is covered in the Investor Presentation. I suggest that everyone read Appendix 3 and Appendix 4 before investing in this project. However, laugh all you like, I stand by my statement. I think this is the most comprehensive, balanced and honest Investor Presentation I have encountered in my 45+ years of ASX dealings.

I know that you have opted for an alternative company in this sector but I believe that there is plenty of room for differing strategies. Time will tell.

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The SOP price is the biggest variable in any sensitivity analysis of any of these projects, even companies I may hold.

The talk of buoyant SOP prices is great but they don’t align with the near to mid term predictions used by this company last October (US$550-650).

Showing the AISC of A$492/T beside a SOP price of >A$1400/T looks much better than showing a SOP price of A$733/T (the equivalent of US$550/T, Fx 0.75).

I would love to see A$1400/T the new norm but as per 2009 it’s very unlikely to be the case.

KLL Price at posting: 5.8¢ Sentiment: None Disclosure: Not Held
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