Permit Risk, page-33

Hi Sonic, no i havnt contacted the company. I had hoped to get some feedback from other members on HC to see if there was anything I had missed.

Moweth, you seem to have misunderstood my posts. Anything that is a PE I am not questioning. PE 5394 is granted and that is where the bulk of the Razafy resource is located. However it does appear some of it extends into PR 39751. PR 39751 is the permit I am questioning. A PR is an exploration permit that is granted for an intial period of 5 years followed by 2 x 3 year extensions. The most recent 3 year term expired in september 2018. I dont know if that was the first of the 3 year extensions or the second. But regardless it has yet to be renewed or converted to a PE (exploitation permit). The staus of it is grey. Just refer to the solicitors report in the prospectus as well as the solicitors report in AKO for an updated status on permitting in Madagascar. You can even to a look at the Tirupati prospectus from last year.

I am still unsure about the amodiation contracts and the impact they have to future operations. I have not seen an update from the company since the propsectus. But I could have missed it.

The issue regarding 39751 is probably not one that will impact things in the short term. I suspect the company will undertake more drilling across 5394 in order to improve the resource. They need some of it measured in order to get to the DFS. How much of an increase they can get within the Razafy domain will be interesting to see. In the long term 39751 will be important as its 63km2 and contains a substantial amount of the Exploration Target.

I am not here to down ramp but rather find out whether there is any information I have missed and to get others opinions. BEM came up on my watchlist just after they announced Urbix and Luxcarbon. I came onto HC to see what pple were saying. The amount of posts saying, "this will be 30c within x months", and comparing it to NEXT saying this should be 2-5x its current MC, made it seem like this was a no brainer. Thats not to say it wont get there, but right now, unless Madagascar takes significant steps with its mining code, this could stall for a while yet. And tbh, if these werent risks, i would think the SP would be higher today than it currently is.