PFS re-visited: Focus on Modularization and Scaling

Greetings HC readers (holders and non-holders alike),

My apologies for starting a new thread on this.

The purpose of this thread is to bring everyone's attention to, and hopefully increase everyone's appreciation of, the ARL board's firm grasp of the "things that matter most" when it comes to developing a new, large-scale, mining project like the KNP.

I've recently read through a "study" that was released by another aspiring miner to develop a similarly large-scale project. That project is for a different material, but I think because of the scale of that project, it is fair to compare that study to what has been done here at ARL.

Now, this other company simply stated in their study that, in order to fully develop the mine, a capital cost of multiple billions of $A would be needed. It simply had one option to develop the mine, and that option required the full capital expenditure upfront. The market reacted to this by smashing the SP of the company down by more than 1/3, possibly more in the coming weeks.

Comparing that to what has been done here at ARL, you can't help but have a real sense of appreciation for the wisdom in the ARL board. The PFS started by highlighting that we plan to use a modular approach, one that could be scaled up if market conditions warrant it. I reckon, if ARL does succeed in developing the KNP, this one simple move would prove to have been the game-changer. It allowed us to provide cost/profit estimates for projects of varying sizes. This really makes the "pill" easier to swallow, and gives at the very least, some sort of optionality to the whole thing.

To top it all off, the ARL board have always emphasized that they intend to use readily available, non-custom components for their development of the project. This is again a move that will significantly lower costs.

All this really shows how the ARL board understands the top concerns on investors' minds when it comes to developing large-scale projects. I am so very thankful to have them there, and I hope they read this post and know that at least this investor does appreciate their good work. Onwards and upwards, ARL!