Ann: Strategic Partnership with Zijin Mining and Placement, page-41

This is my reading of the announcement...

Phase 1 - Zijin buying 139M shares @ $0.04...will be approx 1.4B SOI after placement. And XAM will have approx $8.5M in cash (already have approx $3M). XAM valued at $0.04

Phase 2 - Zijin buying another approx 140M shares @ $0.04... 1.56B SOI. And XAM will have approx $14M in cash. Zijin will have 19.99% ownsership of XAM. XAM still valued at $0.04

Phase 3 - Zijin make cash payment of $35M US (about $47M AUD) to Khuiten for 50% ownership of Khuiten and establishment of the JV. Khuiten is 100% owned by XAM and has a 76.5% interest in the Kharmagtai copper-gold project. This values Khuiten and in effect XAM at about $100M AUD with no dilution to XAM. This equates to a XAM share price of about $0.064 based on Khuiten alone with no consideration to any other cash or projects held by XAM at the time. And Khuiten will have $35M in cash to progress the project.