Ann: Sandstone gold project surpasses 730,000oz with new resource, page-27

The announcement needs to be read and considered IN IT'S FULL CONTEXT and not selective fact finding.

• The inferred resource estimate for TMH Deeps was based on the assumed input into the block model that with ore sorting that the "mineralisation expected to be processed has halved"
• Preliminary scoping level indicates that ore sorting at a minimum delivers 185%-257% increases in grade, mill feed rate at least double potentially triple.

• Now consider that the stope optimization assumes the lesser of the 2 uplifts of mined and feed grades (100% Increase). However, scoping test results indicate 185-257% increase. So let's assume something in the middle, 2.5x the mined grade, which is a 25% improvement
• Therefore, the stope optimization of 25% from the POG $ is a fair assumption
• It's qualified that validation of the Ore Sorting is still required to be undertaken, hence, early/scoping level of the TMH Deep deposit
• It's a completely different ball game if future core samples from diamond drilling verifies that ore sorting in aggregate across the stopes are in excess of 200% and triple the mine-feed grade and making it extremely viable.
• The TMH Deep deposit won't form part of the Full Feasibility. Only the open pit resources.
• The phase 2 drilling campaign was restricted by budget/time/priority constraints and some of the open pit deposits such a McIntyre still remain open

• With the cash reserves Sandstone is going to be able to generate, it isn't going to cost us very much to acquire another say 300Koz of the locally stranded open pit deposits at a Benchmark Takeover Bid Rate of $120/oz Circa $36 Mil.