poss. billion dollar in ground ree jorc res ?, page-36

Freehold,

As much as I usually agree with your analysis, I think you have missed the mark here.

Firstly: Comparing this resource to other RE companies, this resource is tiny... PEAK just released its JORC at 3.8MT of contained REO, this has 130kT... and at such a low grade, means OPEX costs will be massive.

Secondly: due to such large dilution (of rock to contained tonnes) the processing plant required will also be huge!!! meaning even though you get 300$/tonne you would require twice or 3x the capital to get the same flowrate as lynas or another company with a higher grade.

Thirdly: whilst the heavy rare earth to light rare earth ratio is good, both grades are low, so the ratio looks amazing but the % grade looks disappointing.

Finally: Such low grade (in the ppms) for all their target minerals, will make acid leaching stage (initial stage) extremely cost ineffective, raising the total OPEX too.