initial metalluuegical tests positive, page-4

The net recevery quotes seem ok to me and my understanding is that the separation route is quite simple. I would be interested in your thoughts regarding the JORC resource strategy. Will GBE go for tonnage or for grade? From what I understand they have some high grade shots within the broader zones with (significantly) lower grades. It probably will depend on the mine design what ares of the lower grade have to be mined out but I still have no idea of where the cut-off will be set. With recoveries at a 70% average cut-off will have to be reasonably high. I expect something between 10-15 Mt @ 127 US$/t metal value after recovery which will bring the resource value beyond 1 bln US$ with a 2 bln US$ maximum. I have used metal prices of 12 US$/lb Niob, 75 US$/lb U3O8, 50 US$ Tantal and 1.5US$/lb for Zirc. I know that Niob is trading at 25 US$/lb recenly but I think due to high volatility a price of 12 US$/lb is more realistic.

Any thoughts?

Lenni