research report out-mt bevan re-rating soon, page-60

Hi (Quennevais),

Just a comparison with SDL resources (Itabirite) vs LCY/HAW magnetite:

At this stage, the exploration target at Mt Bevan is around 2.3b tonnes of magnetite @ 30-40% Fe (Western BIF)

Southern part of Western BIF
- Exploration target increased to 1.5-2b tonnes of magnetite @ 30-40% Fe
- Potential DSO at area bordering Jupiter's Mt Mason

Northern part of Western BIF
- Mt Alexander: Potential for additional magnetite with exploration target of 250Mt - 350Mt @ 30-40% Fe
- Potential for DSO hematite

I guess a potential discovery of DSO will enable LCY/HAW to generate an early cash flow to fund phase 2 of magnetite project.

LCY/HAW have a maiden JORC Inferred Resource of 617Mt @ 32% Fe with DTR tests indicating a product concentrate with high Fe purity:

- Avg weight recovery of 44.64%
- Iron ore concentrate avg @ 69.8%
- Very low silica content averaging @ 3.3%
Potential to deliver Blast Furnace (BF) grade pellets (silica < 5.5%) or
Premium Direct Reduction (DR) grade quality pellets (silica < 3%) at a finer grind size.

By comparison with magnetite project, SDL have a JORC mineral resources of 2.3bt @ 38% Fe (Itabirite)

SDL's Itabirite have 47% Weight recovery, and they can produce a product concentrate either DR grade @ 68% Fe with 1.8% Silica or BF grade @ 66.6% Fe with 3.5% Silica

Cheers,