NTU v. LYC v. the rest, page-9

Longnan ionic clay concentrate has a very similar suite value to NTU, list value $36kg for many years but spot $18kg, probably trading around list ATM, BUT it is 92% TREO vs NTU just 49% TREO, low for a carbonate and short of the 52% spec for their earlier Chinese offtake.

The real Q is just what did it cost NTU to process? How many times did they run it to make 49%? Apart from the mechanical issues they had with their Chinese plant (was always going to happen trying to process coarse Australian ore in a plant designed for fine Chinese material) quite obviously they have not been able to make anything like the recoveries promised from their ultra low 0.6% resource.

Hence they are now attempting to bolt on an ore sorter after the fact to try and rescue the economics of this very marginal project. Note costs have been taken in one Q and receipts the next but HY will reveal the story, doubt it will be pleasant reading for SH’s.