keeping the price down, page-36

It will be a preliminary report, with a definitive report to follow in June 2013, I believe. I expect it will indicate a flow sheet beneficiation process and likely Fe content and level of impurities.

To some extent it is already known that beneficiation will be successful, but the end product level of impurities (particularly phosphorus and alumina) is unknown.

Ian Burston believes that most of the phosphorus will be shaken out of the sandstone host rock in the first crushing stage, because it is not embedded within the iron matrix. Perhaps we will learn if that is in fact the case.

I hope the report can be used to determine what kind of end product is likely and what the price of that product is in today's market. That would be useful for analysts to know.

The effect on the share price depends on what the market is expecting. To be honest I am not sure what it is expecting. I know that this will be a low quality product that will most likely need to be blended by the steel mills with other iron ore products due to the high level of phosphorus. But this is not a problem for the viability of the project, it just means the product will receive a low selling price. If the market doesn't expect this, then the price might fall. If the market is on top of the story (a tough ask in this idiotic market), then the share price should do well.