Hi Paul,Just to confirm the pro forma SOI & market cap for AR3,...

Hi Paul,

Just to confirm the pro forma SOI & market cap for AR3, there were 70.7m shares on issue pre. IPO and 40m new shares on offer in the float, so a total of 110.7m shares @ 30cps for a market cap of A$33.2m post IPO (assuming they are all sold and the float goes ahead). I note from their websitehttps://ar3.com.au/ that the offer is now closed.

I agree that the share price is of less importance in evaluating companies than the relative market cap or EV, but it's what you see changing on a daily basis whenever you log into your share account so it's understandable why most punters are overly focussed on it.

It's an interesting comparison with IXR, the Koppamurra project's inferred resource of 39.9mt @ 725ppm TREO with a cutoff of 325ppm is a bit higher grade than Makuutu's resource of 315mt @ 650ppm cutoff 200ppm, and both are midrange with respect to Chinese IAC grades. A concern for me is the average orebody thickness of 2-3m for Koppamurra would require a lot more surface disturbance & overburden removed to extract the ore in comparison with Makuutu with an average thickness of 9m, and as it is located adjacent to the Coonawarra region this would almost certainly meet with some local opposition.

One thing that I didn't appreciate with IAC deposits until I had read the Makuutu scoping study is that while IAC’s are CAPEX lite they are relatively expensive OPEX wise, possibly due to having to mine and process all that low grade ore. Makuutu's estimated OPEX was US$36.21/kg REO produced and the benchmark Chinese IAC OPEX was quoted at US$38.00/kg REO, and this is using local African & Chinese labour rates. Compared these to HAS's 2017 DFS OPEX estimate for it's Yangibana hard rock REE project of $A17.06/kg REO produced (about US$13), and this is using aussie FIFO labour rates!

Anyway, the Koppamurra IAC project has a long way to go and no doubt there will be some surprises (upside & downside) along the journey. Did you apply for any AR3’s?

**Disclosure - IXR held**