Ann: MRG HMS - Three Very Grade Zones Confirmed at Koko Massava, page-7

Cross section of that shown here.



This should somewhat help to explain the goals from MRQ. The very high grade zonations shown in white correlate to the cross section of results shown here.

"An updated MRE for Koko Massava incorporating the new infill drilling data and additional mineralogical information has been commissioned at IHC Mining. The expected outcome of the updated MRE is an Indicated Resource (tonnage and grade) for two of the very high grade zones and at least Inferred Resource for the third (southernmost) zone."

Those areas are roughly 2250m long and 275-300m wide average and maybe average depth of the high grade maybe 35/40m or so depending on how much of the sub 5% gets pulled in.

By my estimate maybe 35-40mT in each one of those high grade zonations (obviously they are all a little different but just using first principles here and 10 mins review. Could be around 100-150mT across all 3 zonations - depends how much they want to include and what THM grade they want to target. But that would be 6-7% THM IMO just for those white area's.

Now just need the update assemblage data for those zonations and can re-run the inputs i've got. THM grade will come down from my previous assumption of 7.5% maybe closer to 6.5% - unless they increase the cut-off and target a smaller tonnage. If Assemblages can improve over the JORC content which was 42% ilmenite could quite easily offset the difference but will need to await that data.

If they achieve closer to 150mT then 17.5mtpa throughput might be the angle with support 8-9Y LoM otherwise closer to 100mT they'll opt for 15mtpa or lower with LoM around the same.

Current inputs place the NPV of those at around 220-270M AUD assuming capex 150/175M. Using 189usd/t 48% Ti02 ilmenite pricing and no consideration for titanomagnetite.

SF2TH