"I consider the Kalkaroo copper-gold project a Tier 2 asset."...

"I consider the Kalkaroo copper-gold project a Tier 2 asset."




Selected recent copper transactions showed shareholders (of RXM and C6C) that Australian copper developers and producers with scale and longevity have material strategic value.

At the end of the day, Kalkaroo is the only large-scale undeveloped copper-gold project currently for sale in Australia.

Kalkaroo’s ore reserves and longevity compare favourably with these two Tier 2 Australian copper assets in Australia:

	Column 1	Column 2	Column 3	Column 4	Column 5	Column 6	Column 7	Column 8	Column 9	Column 10
0		Location	Open pit/ Underground	Ore Reserves -copper (kt)	Ore Reserves -gold (koz)	Ore Reserves – silver (koz)	Commodity Price assumptions used for Ore Reserves	Long life asset	Acquisition cost	Sunk cost
1	Ernest Henry - producing mine	38 km northeast of Cloncurry, QLD	UG (depth over 1 km)	600	1,200	N/A	A$11,500/tonne copper (A$5.22/lb); A$2,500/oz gold	15+ years	A$1,100M	N/A
2	CSA -producing mine 1 & 2	11 km north of Cobar, NSW	UG (depth of 1.9 km)	545	N/A	6,800	US$8,279/tonne copper (or US$3.76/lb); US$22.6/oz silver	12 years	US$1,100M	N/A
3	Kalkaroo - development project 3	90 km northwest of Broken Hill	OP (conceptual open pit, depth under 300 metres)	474	1,407	N/A	US$6,380/tonne (or US$2.89/lb) copper; US$1,200/oz gold	13 years	N/A	A$22M
4	Kalkaroo - BHP Study Program 4 & 5	90 km northwest of Broken Hill	OP (conceptual open pit)	772	2,130	N/A	Not disclosed to the ASX	20+ years	N/A	N/A

Notes:

1. The CSA mine owner (MAC Copper Limited) is currently under a cash takeover offer of US$1.03B.
2. The CSA mine has a number of stream and royalty arrangements. See Post # 79261965
3. Ore reserve numbers and commodity price assumptions for the Kalkaroo project have not been officially updated since June 2018, when its maiden JORC Ore Reserves numbers were released on the ASX.
4. As part of BHP’s Study Program, open pit optimisations were run on the Kalkaroo project for higher long-term consensus copper and gold prices and higher recoveries, which had a material impact on the Kalkaroo conceptual open pit mining phase design. See Slide 14 of Havilah’s investor presentation in Post #73494827
5. BHP estimated a Kalkaroo conceptual open pit mine life of up to 23 years. See Slide 15 of Havilah’s investor presentation in Post # 73494827

Cheers

These are only my thoughts and it does not constitute investment advice. Before acting on any information you read and before making any financial or investment decisions, you should always consult your advisor(s) or other relevant professional experts.