Ann: Status as at September 2, 2015, page-2

I have been hoping for this news for some time now...extremely exciting! Banks are pretty well lined up to fund the BFS and negotiations are well under way for the funding of the mine subject to the BFS. The figures on producing sponge iron for the domestic Nigerian market are quite staggering... It takes two tonnes of iron ore to produce one tonne of sponge iron with no need to even de phos the ore. Back of envelope cost per tonne of sponge iron is around $150 per tonne with the current depressed sale price of sponge iron around $300-$320 per tonne. That's a staggering profit of around $450 million a year! That's a mind blowing dollar a share profit per annum folks. I'm led to believe the cost of the mine will come in at around the $350 million mark...under a year to pay off!
Having just read the announcement I have already had a couple of very astute people describe Burston as a genius for putting this together. We may be off to the races after all! Hang on to your hats once funding is confirmed. Might also draw in potential suitors both past and present as well!