Avebury Site Visit

So, I’m not sure in retrospect whether it was good or bad timing, but I had an opportunity to visit Avebury Mine on 31 August. A few observations in case they are useful:

— There was a huge amount of activity on site, both employees and contractors, ahead of imminent recommissioning. It seems that’s on track for mid-September. A lot of energy, focus and optimism about the restart from everyone I talked to.

— The site is being readied for operations - lots of road base being laid, rollers and grader in action around the site, and so on. In the process shed, the crushers and mill are being test run. Advanced digital control room has been installed, which looks quite impressive.

— Although the issues with the Myanmar cash and the CR were of course known to management at the time (and the announcement on the former dropped while I was on site), it was still clearly all systems go. My personal takeaway from this is that management doesn’t see these issues as fatal and has alternate options. As I say, just my personal conclusion and view.

— As others have said before, with the power to site being 100% renewable (all of Tasmania’s electricity is), and the mine a good candidate for decarbonisation of operations, Avebury will likely be the only global source of green nickel for some years to come. That will attract a lot of attention, and at some point likely a price premium on the product as well.

So despite the recent bad news, I remain optimistic that Avebury will be a success, and that shareholders will be rewarded in time.

Usual caveats apply and DYOR.