Ann: Patent Accepted for HFfree Battery Anode Material Process, page-134

Dear Spid,

"BTW, EGR financial study indicated third party supply through Technografit". "Funding is the highest risk part"

And can you please enlighten us what price assumption that EGR utilised in its internal study report ? Can you please explain why the purchase of flake from a 3rd party or the potential price increases of that supply was not discussed in the project risks ? or modelled within the financial sensitivities ?

Your entire Business Model is Flawed. You state "Oh we will just mine or secure supply in 1 continent, ship it to our plants that we are building multiple ones around the world". LOL

If your Operational Costs per tonne of Flake Graphite sits at US$572 (Which is 40% higher than RNU BTW), do you think that you are going to be able to essentially sell this flake to yourself at cost price ??? This is laughable !

Do you honestly believe that the Tanzanian Government would allow you to Rape and Pillage their resources and allow a foreign Australian Company to sell flake to themselves at Cost Price ? so that they can pass the cost benefits to their downstream plants and make a profit in another country ? AHAHAHAHA You are surely not that delusional old mate.

If your All In Sustaining Costs (If Epanko ever gets off the ground) is US$572/t, and the current market price for Flake at that moment in time is US$1,000/t. The Tanzanian Government will not allow you to walk out the front door and export material across the other side of the world to make a profit in another country without paying your due share in Tanzania.

You will be paying Company Tax on the Export Value of that commodity, you will paying your 2% royalty fee on the market value of that commodity, you will be paying the 16% free carry interest on the profit margin of the export value of that commodity. You crack me up that you would even mention or bring up a scenario whereby you would walk out of Tanzania and ship product to another country without the Tanzanian Government getting their share.

If your AISC is US$572/t and the Market Rate for -100 is US$1,000/t, by the time you pay your tax, royalties, 16% free carry to the Government on the export value (Not Cost Value). Your feedstock costs for your plant are going to be a small reduction of the current spot price (Its almost not even worth the risk of going through all that effort to be honest, easier to just buy flake on the spot market for EGR)