Ann: Key Engineering Milestone Complete for Technology Demo Plant, page-25

I haven’t yet commented on yesterdays announcement, however it surprised me on a few fronts.

Firstly it wasn’t very well received by the market with the SP dropping on an asx up day, I thought it was very positive.

They met their timeline, the design was delivered, admittedly on the last day of February US time - as advised.

What a great endorsement for the technology by Knighthawk. Firstly they agreed to a “success based renumeration model ” now they have discounted their success fee by 50% and converted the remaining 50% to shares, not at todays price, but at the much higher Dec 31st price of 27.5c - an almost 50% premium to todays price. And if that isn’t enough they are going to buy our shares on market.

Bottom line - Knighthawk would not invest in this technology if they didn’t think it would succeed. Remember they designed the 1st prototype before we bought the technology in March 2024. They designed the “prototype” and are now building (have built?) a 2nd testing unit, they know how well this Demonstration unit will work, they know every result over the past year, no one else has this in depth knowledge not even MTM themselves or Indium Corp etc. I know I’m going on about this, however Knighthawk have spent the best part of 18 months developing and upscaling of this technology, they know the challenges, hurdles and have put their money behind the project, wonder how many other companies they do that for? What a great endorsement !!

Also by selecting a pre approved site, tells me MTM are very confident this Demo Plant will be very successful & they don’t need to put it in premises for example Indium corp would willingly provide, or for that matter the unnamed Rare Earth Company - we all know who they are. No they are confident enough to put their first Demo Unit in their own premises & produce a metal of their own choosing.

Although there isn’t much detail about the Demo Unit (being proprietary tech) in the announcement, the limited photos of the “Prototype” show this is on a far bigger scale than the photo’s we’d previously been shown of the Lab scale initial testing. I’ve shown some photos below of development of the Prototype, bearing in mind the current photo is just a portion of the unit.

And as someone else mentioned, building a 2nd Prototype for testing shows how big the demand for products to be tested by potential customers is. Word is getting out, Indium corp was big, though a private company so not on the brokers/fund managers radar. If they do the same sort of deal with a Rare Earth or E-Waste public company watch out.

Lab Scale

Early version of prototype

Today's prototype (part of)