The emphasis of your post I agree with. If you look at the 2019 DFS, you can see the probable and proven reserves are 82% of the Measured and Indicated category at that stage. With further testwork this has now moved to 92%, i.e see latest presentation, so that is already happening. Further improvements with METs and process optimisation is possible IMO (given the improvement already recorded)
@TPK, the way I post is to try to take people through the way I have got to the numbers hence the convoluted posts. But if posters have time, and follow what I have done and that I tried to explain, it provides the foundation to my thinking.
In short, to sum up all my posts of the last two days:
1. Stage 1 itself leads to a decent net present value and, in production the returns, should they meet them in production, will lead to significant share price growth potential. There is a lot of potential here but obviously there is risk/reward here too
2. Current RNU resources are tight per se in what we have reported to date in terms of Stage 1 potential expansion, so it is touch and go the extent of upsizing Stage 1 on the current proven and probable reserve estimates reported. Certainly doubling Stage 1 is unlikely at this stage but some increase is certainly likely and possible.
3. With further exploration and further testing of the process flowsheet, and optimisation, we should certainly be able to increase the resource and what ultimately ends up in the proven and probable categories (which bankable studies are based on). This will certainly aid Stage 1 expansions in future
4. Regardless of point 2 and 3, lets just get Stage 1 to production even at 28,000 tpa PSG. Offtakes and funding a key to that. Refer point 1 above.
5. Having one of the only decent graphite resources outside China, and noting the increased need of graphite in meeting EV demand, RNU is in the right space and place.
6. Posted enough last few days on RNU so will move back into the backgrounmd until we get a new Ann and/or I have anything further to add.
(20min delay)