Ann: Mining commences at Sinclair, page-45

Which figures are incorrect?

The value of the pollucite is from a comment that PIO provided at a conference (where they said that they hope to achieve $2000/t) along with other discussions with people in the Cs industry that are private and confidential.

Yes the microcline may be a product that can be sold but first they need to get a resource, prove they can produce a product that can be sold and then find a market. Assume they can sell the "waste" for $50/t FOB then they need to get it into a form that can be sold....crushed? transported to the port....that will cost (on the sealed road) at least $0.08/t/km (it is closer to $0.15/t/km on dirt). These are industry standard haulage costs for road transport of ore...for the 220km to the port that is $17.6/t in transport to port alone. That cost excludes the loading and unloading costs.

So sure the waste may be worth something.....lets say $30/t for the 250,000t that is in the pit and we all know that not all the waste will be microcline but I am happy to give you the lot to show the POSSIBLE value.....total value after transport, excluing staff etc etc is $7.5million for the microcline.

Lockett how do you add a the $5million from the pollucite and a possible (but not proven) $7.5 million for the "waste" and get to $50 million?

Cheers