Ann: Quarterly Activities/Appendix 5B Cash Flow Report, page-15

Goedy
Not sure who you are aiming the word of one guy from, but I'm happy to wear the rose coloured glasses. I bought another 200k shares yesterday. BTW, what size investment are you complaining about!! Happy to take your holding off your hands!

I am generally an optimist. However, I actually do research the company and the industry, which includes visiting the mine 5 times. Rather than just sitting behind a keyboard and whining!

Mining is a high risk investment and investing in a junior miner is a high risk with many unknown variables. A little like renovating an old house. There is a plan and then there is actuals to deal with. Maybe you should reconsider your appetite to risk given your concerns with the company, management and performance.

Tungsten is a low grade mineral. Nearly all are less than 1% which means 99% of the ore is waste. Therefore. the processing and recoveries are vital.

I have said this before and I will say it again. Recoveries of 40% won't make a viable company. Previous Carbine, Tungsten West x3, G6M, Wolfram Camp (Almonty). Saloro (Ormond), La Parilla and a couple of Canadian and Portuguese miners have struggled to gain recoveries above 40%. Hence the reason why they aren't in production, struggling or have changed hands.

For the non-empty readers

Kevin and team are working to improve the recoveries on Saloro from below 40% to 70%. Reports are of around 50% to 60% at current levels with more improvements expected. This has meant every stage of the process has been pulled apart and put back together. Saloro has the most potential in the short term as it doesn't have any bottlenecks and more ore sorting will lift production as will higher recoveries. However, to improve the recoveries, you need to stop the plant and investigate which means down time.

I would expect a 60% recovery would deliver health cashflow (even at lower prices), but the team needs to fix the problems which means running the plant at lower through puts to make sure any improvements are sustainable. Then they can ramp up the production levels.

At Carbine, the plan is to double the processing/crushing capacity. This will be finished by year end, but at this point is creating the bottle neck. They have achieved their recovery targets of 80% plus. So now it's dealing with the capacity and processing lower grade ore as they move down to the higher grades. This also requires a stop/start approach as they add capacity.

This is not the final product, but it's important you assess your risk appetite with any investment as it may not be appropriate for you.