Thanks JandJ. I too am confident they are working on it based on...

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John8769

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03/01/24

10:48

Post #: 71705396
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Originally posted by JandJ: ↑

Hi @John 8769

Below is a copy from the Sept Quarter Report discussing assay results so far and the difficulty obtaining a 'whole of hole' assay - my edit in red.
And I think the consequence of that is self evident - how they are going to improve it remains to be seen, but I'm sure they are working on it.
My guess is we will hear soon, so long as the weather is not holding things up unduly.
"EXPLORATION HIGHLIGHTS FOR THE QUARTER
• Assaying and metallurgical test work ongoing over the quarter after the completion of 1,500mPhase 1 drill program at Sandy Mitchell Rare Earths and Heavy Minerals project in NorthQueensland.
• Drill program confirmed Rare Earths and Heavy Mineral mineralisation in every hole and thedepth of the sand averaging 10.5 m from surface and sands intersected down to 18 metres.
• Mineralisation has been panned from material at surface to the bottom of the sand profile; thereis no overburden evident across the project.
• Project contains all critical Light Rare Earths as well as Heavy Rare Earths including dysprosium(Dy), Terbium (Tb), Holmium (Ho), Erbium (Er), Thulium (Tm) Ytterbium (Yb), Yttrium (Y) andexcluding only Lutetium.
• Drilling covered an area of 1.3 square kms which is 1.2% of the radiometric high on the lease.Panned Assay results for the whole hole composites
• Panned metre samples, composited per hole, had up to 2.8% HM3s.
• The HM concentrate shows a range between 0.4% to 13.8% zirconia and 0.1% to 15.3% titania.The full REE suite is yet to be assayed, but yttrium oxide grades up to .31% and cerium oxidegrades up to 13.7%4.
• Ce2O3 concentration predicts REE grades in the HM concentrate up to 41% with an average of12%. This is validated by the Yttrium proxy for TREO which predicts a peak 27% TREO with anaverage of 14%.

• There are also a phosphate grades up to 8.5% and significant quantities of garnet that will beincorporated into the final economic mineralisation suite.

• Assays from the metre sampling across the 1500m of drilling are still pending.• The slow processing is due to samples being sequentially reviewed by a number of labs as wellas logistic issues with transport.

See ASX release dated 26/9/2023
See ASX release dated 16/8/2023
See ASX release dated 22/8/2023
See ASX release dated 8/9/2023"

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Thanks JandJ. I too am confident they are working on it based on information from management. It’s challenging to resolve it for assays from phase 1 that were already in train. For phase 2 I understand they are using a different approach to what was recommended for phase 1. However, the proof will be in the timely delivery of assay results going forward.

Regarding the weather. My understanding is they packed up before the weather turned and all phase 2 assays are at the lab.

The only other box to tick for me is clarity around market access/delivery. I am very comfortable with the economics and production simplicity but cannot see a path to market yet. Who is going to buy the concentrate? I’m not inferring it’s not saleable, I just want to understand this leg better.

AHK Price at posting: 19.5¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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