Jaded, I will ask again next time I discuss with management (I'm...

Jaded, I will ask again next time I discuss with management (I'm away all next week, so won't be till August first week), but I specifically asked this question some months ago, and have been assured that no govt free carry applies to KNL. Merelani capex wouldn't count, as it's a different mine (they won't aggregate the two), and the cost overruns would have to be huge to blow out from the BFS to over $100m. As Unicrumba said, management have taken the conservative number at every opportunity, and graphite mining construction isn't like other mines. You could almost put the modules together like a big lego set, so they don't actually have a lot of complexity.

FYI - this BFS isn't done just for us shareholders. It's primary purpose is as a banking document (hence the name). Some companies make the mistake of releasing a BFS and aiming it to the shareholders as more of a marketing document, but if you do that then you'll just find that you will have troubles getting financing.

Kryptic, KWP is correct, TK has stated that they won't announce their name in future off-takes. They also aren't going to be silly enough to suddenly announce an anonymous off-take conversion with KNL and pretend it's no longer them. It's actually a big tick to our management to convince TK to allow us to publicly state their name in the first place. Our management pushed for it, because they knew from personal experience after the EGT that the market wants to see a name (otherwise people like me keep putting pressure on management to get them to state the name of the EGT). It's also a sign of strength in the relationship and the deal that TK consented (i.e. they wouldn't have consented to their name being public if they didn't have every intention of going through with the deal).

Grenede, timing delay is definitely a risk. Last month I asked of management and was told that everything is on track for 2016 production commence, but will push this query with them again when I'm back. For me, the key is in getting financing across the line as quickly as possible. As soon as financing is in place, the ball can start rolling on equipment ordering. I'd suggest the "bolt on" style of construction of graphite mining will mean that it will likely be built fairly promptly, but only once TK and funding are announced.