Ann: Lindi Jumbo Project Update, page-273

Hi Blitz96 was thinking similar…Quote: Judging by the increased traffic from the downies here today it could be assumed that it's already been lodged.

Imo the conversion has been quite slow to this point…At the higher level of dilution only 15% is sacrificed for fully funded pathway…There are many Graphite companies still unable to achieve debt funding…Some even bothered with a BFS but only had weathered oxide to total depth and more significant they were underpinned by low pricing refractory and vanilla markets…Many mistakes made but no more than not being funded when markets are ripe for the perfect off-take agreement…Lindi has Undisputed first mover advantage into expandable markets…

China currently in supply deficit moving to a net importer of expandable graphite…They are the bigger user of expandable graphite western markets now moving to a self sufficient supply chain give greater opportunity as the market grows..

An important differentiator is Lindi is underpinned by expandable markets, can grow organically in line with those markets without the need for battery markets to grow…Well I am assuming with the expected demand for smaller flake graphite to supply the market only adds pressure to the bottom end of the basket price…

Lindi has Undisputed first mover advantage into expandable coatings markets with line of site a few short months away…The Downers will not be happy with of course as to be expected…Has been plenty of wrong calls so far among 1 Bank and also non compliance for at least 12 months on CP conditions…We are used to these daily comments but project keeps being developed on time and on budget…

Was recently impressed by the details given in question and answer times of the AGM…Really rewarding experience I must say. As already expressed discussion on off-take agreements were to begin 6 months prior to first shipment of product…IMO a possible pricing mechanism will be a 10-15% discount on the average flake graphite pricing over the few months…Great time to be in discussion with end users Imo…

While there has been plenty of discussion on dilution (minimal) we all are aware no dilution would equate to zero development…Now that would be sad as Flake Graphite pricing turned the corner being 15% premium to the DFS to miss that opportunity would be great disappointment…A 1.3% dilution over a period of 4 months is nothing to the cost of missed opportunity…What is the cost of missed opportunity…?

What is the cost of missed opportunity…?

Based on startup 40,000 tons is US$15.3 million per quarter in invoicing…US$1200 free cash per product ton with a 23% Spare capacity in the plant…With ample room to run more material with 50% redundancy in the backend of the plant…

Regards Croc