We are awaiting an updated JORC resource that is due at the end...

We are awaiting an updated JORC resource that is due at the end of June, I don’t envisage they will delay this, rather any additional drilling results will be incorporated at a later date, improving the economics of of possibly the PFS and more likely an optimised DFS. (Look at WAF for an example of this, they announced a resource and PFS primarily based on open pit operations even though at the time they had and continue to have exceptional intersections for an UG mining operation, they are including those results in their DFS.)

The EXU metallurgical improvements were significant as was the fact they now feel the majority of the ore body is free from refectory ore. It means improved processing and recovery costs.

It would be nice to see some geological cross sections in one of their announcements soon to delineate what sort of linkage there is between the intersections and supposed lodes. If there is good continuity between the lodes this will have a big impact on the overall strip ratio and economics of the operation. Back of the envelop, If they can achieve 800koz-1moz and it's circa 80koz -100koz production over a 10 year mine life, this becomes a very compelling open pit operation. I’ve said it previously but that would have to get the attention of Evolution and other Aussie producers looking at growth options.

Whilst there is still plenty of water to go under the bridge to truly be comparable, here are some market cap’s of producers/developers in the realm of what we are hoping EXU can attain:

EXU - 80-100koz p/a??? ... current explorer -$37m mkt cap

BDR – 110-120koz p/a producer - $240m mkt cap
RMS – 130koz p/a producer - $212m mkt cap
PNR- 55k-60koz p/a producer - $153m mkt cap
MOY - 80-85k oz p/a producer - $150m mkt cap
EGS – 80k-100koz p/a producer - $175m mkt cap

GCY – 100-110koz p/a developer - $195m mkt cap