Ann: Manna Lithium Deal to Fund Gold Focus at Lake Roe Project, page-185

@Token83 you are happy with the share price?

"Look at the history of the share price and i am always ready to pick up more cheap chips during rainy days"

I'd like to show you the 5 year chart for BRB

Not a whole lot of value for shareholders over the last few years.

In fact, the biggest volume and run up in share price was when they announced they were drilling Manna on the 23/8. That's what created value to shareholders. The share price sunk lower when they announced they sold it.. I don't believe I am the only one who thinks that the BOD are old school and can't adapt. The share price is a true reflection on the running of the company and what it is doing with it's assets.

Breaker resources promised a pre feasibility study by June 2019... 3 years later we don't have one as they wanted to continue drilling thousands of metres before going in to studies and production. Other companies out there are bringing out feasibility studies by breaking it in stages. phase one, phase two etc. This minimizes Capex and brings nearer term cash flow. Why has it taken this long for management to convince themselves they need to complete studies?

My analysis didn't come from FFX.. By the way you are way off the mark on those figures.

Here is a slide from the the recent presentation you are quoting



That is in US dollars, it actually reflects $4.1 billion dollar NPV. it is a large project and uses a long term price much lower, less than a quarter of todays price. it still puts out a post tax IRR of 83%! The price used is less than half of the price of what spodumene has been selling for recently!

"Similarly strong conditions in the spodumene market are supporting advanced discussions for spodumene concentrate pricing in the June quarter of approximately US$5,000/t SC6% CIF on sales of approximately 50,000 tonnes.March quarter sales of spodumene concentrate were completed at a price of approximately US$2,218/t SC6% CIF DMT which includes tonnes that were delayed from the December quarter."

My analysis came from the phase one Xuxa deposit by Sigma lithium which was published 3 weeks ago..



I got it wrong actually, it's US dollars. So they will be making 387 million Australian dollars AFTER tax in free cash flow PER YEAR.

That's the same amount BRB would be making over the whole 4 years open pit. They have a PRE tax cash flow of 385m over 4 YEARS. Minus tax, and it gets a whole lot worse. I see in one of your earlier comments you have interpreted the deposit is having a 3-1 strip ratio. In fact it is 12-1 waste to ore strip ratio. 4 times worse than what you previously thought. Keep in mind the 385m over 4 years doesn't take into consideration...

"The Study is preliminary and is not intended as a feasibility study. It does
not account for the capital costs of a processing plant or other pre-mining
capital and infrastructure works. The objectives of the Study include
guiding decision-making on the optimal size of a potential processing
facility"

Now yes Sigma have cheaper labour and energy costs and have good mettalurgy. But also think Manna would have good metallurgy too, and be capable of producing 6% concentrate. While lithium is everywhere.. Battery grade lithium is not.

Sigma has an all in sustaining cost of 463/t and have assumed a Lithium concentrate price over the life of mine to be $1954/t USD.

It doesn't take a genius to realize the profit margins there. The lake roe scoping study that has an ASIC of 1540 per oz and selling for 2500, not far off where the gold price has been trading. Where as spodumene prices are still on the up.

Have a look at the amount of gigafactories to come online over the next few year, and the global omission strategies from governments. Then tell me the spod price is going to decrease so much that they will have less of a profit margin then BRB will have for it's gold.

The images in this article is from only 4 days ago....





BRB being focused on the long strategy of having a single asset gold deposit is plain silly. They are old school and haven't adapted. If the price of battery grade spodumene concentrate dropped then it would have to drop by more than 50% just to be on par with the margins they could have made with lithium. Manna is a near surface deposit open in all directions and is already 9.9Mt at over 1%.

Have a look at GL1, there is a reason why they are over 400m market cap with two deposits around 10Mt. Breaker could be fetching at the very least, half of that and with no value attributed to the gold deposit.. It's not like they are not spending millions drilling Bombora anyway.. GL1 already have off takes of which they negotiated to be at current market prices, whatever they might be, and at no cost to them. Why would they make this deal? Because they know they need to lock in supply whether lithium goes higher or not. Shows you the demand is real and people looking to secure supply are doing which ever way they can.

I'll also note that exploration for the Nickel PGE deposit, BRB received a $150,000 grant. The December quarterly was focused on gaining land access. Yet we are now in May with no evidence that they succeeded and still no exploration carried out.

I'm not here to judge your investment. But I will hold the company accountable, especially when loyal shareholders such as yourself consider my posts as unsubstantiated down ramping. After all, I'm a holder, and still hold. I like the gold deposit. But starting to think the way this company has been run is beyond a joke.