I've gone through some of the announcements over the past year...

I've gone through some of the announcements over the past year and have drafted some points to think about. I'd appreciate some feedback. You may need a cup of coffee or a few bevvies and a packet of chips to get through it!!

ØOn the14^th August 2023, Magnum released a Scoping Study pursuant to JORC code2012 standard.

ØOfnote are two comments in the announcement.

a) Technicaland economic attractiveness of the proposed development ‘is demonstrated’.

b) hasbeen undertaken to determine the likely economic potential of the Project and asa basis for moving on to a Prefeasibility Study.

ØOn the21^st August 2023 the Company released an announcement stating that ‘SamuelEngineering delivers refresh engineering design and capital costings at BuenaVista.’

ØOn the15^th September 2023 the Company released news of a placement at 0.033per share with a 1 for 2 free attaching option to sophisticated andinstitutional investors. Share price: 0.038c

ØOn the1^st November 2023 the Company released an announcement stating thatMagnum and Midmetal will jointly fund a ‘Feasibility Study’. The term ‘Feasibility Study’ is used on a number of occasions within the announcement. Of note is the comment, “The Feasibility Study (FS) will assess the technical and economic benefits…..” Share price: 0.028c

ØShareprice between 1^st November 2023 and 17^th January 2024 wasbetween 0.02c and 0.036c.

ØOn the17^th January 2024 the Company released an ‘Engineering Study intothe technical and economic viability’ of the project. Share price: 0.026c.

ØTheCompany stated in the announcement on 1^st February 2024 that, thatdetailed engineering study in relation tothe Project met the standards in Saudi Arabia and other jurisdictionsfor a feasibility study.’ I have not been able to locate any reference to anASX listed company releasing a Feasibility Study based on the standard of anyother jurisdiction. Share price has dropped to 0.017 since releasing thatannouncement: Greater than 50% drop in value.

ØTheCompany has previously released a Scoping Study as per JORC code 2012 and has engagedCadmon Advisory with milestones including the release of Bankable FeasibilityStudies – presumably to JORC code 2012 standards. Why then would any ‘Feasibility Study’ be produced to the standard of any other jurisdiction other than to Australian JORC code 2012 standard?

ØPursuantto JORC code 2012 – paragraph 40 defines the term ‘Feasibility Study’

Ø“AFeasibility Study is a comprehensive technical and economic study of the selecteddevelopment option for a mineral project that includes appropriately detailedassessments of applicable Modifying Factors together with any other relevantoperational factors and detailed financial analysis that are necessary todemonstrate at the time of reporting that extraction is reasonable justified(economically mineable). The results of the study may reasonably serve as the basisfor a final decision by a proponent or financial institution to proceed with,or finance, the development of the project. The confidence level of the studywill be higher than that of a Pre-Feasibility Study.

Ø‘Termssuch as “Bankable Feasibility Study” and “Definitive Feasibility Study” arenoted as being equivalent to a Feasibility Study as defined in this clause.’

Ø At nostage between the announcement on 1^st November 2023 and the 17^thJanuary 2024 did the Company disclose that they would not be releasing a ‘FeasibilityStudy’.

ØASXlisted companies must comply with the ASX Listing Rules as well as theCorporations Act 2001 legislation.

ØASXListing Rule 3.1 talks about ‘Continuous Disclosure’

Ø“Oncean entity is or becomes aware of any information that a reasonable person wouldexpect to have a material affect on the price or value of the entity’s securities,the entity must immediately tell ASX that information.”

ØExamplesprovided by the ASX include: “the entry into, variation or termination of a materialagreement. I assert that there has been a variation of a material agreement.The agreement was that Magnum and Midmetal would jointly fund a ‘FeasibilityStudy’. That agreement was varied at some stage to become an Engineering Study.

ØHas thesubsequent announcement that the Company did not release a Feasibility Study hadany material affect on the share price? Yes, it has. It has dropped over 50% from the high of 3.6 a week before the announcement.

ØWoulda reasonable person expect the Company to divulge the information toshareholders and the ASX? I would say yes.

ØFurtherto this, I feel that shareholders have been misled by the Company when they statedthat they would be releasing a ‘Feasibility Study’ when in fact they did nosuch thing.

ØSection1041E of the Corporations Act 2001 deals with false or misleading statements.

ØTheshare price of the Company rose from a low of 2.0 cents on 14^thDecember 2023 and reached a high of 3.6 cents on the 8^th January,one week before the announcement. This would have allowed certain investors todivest their shares at a profit. The question is: Did certain investors sell between 0.033c and 0.036c? Was anyone provided with information that the Company was not delivering on its Feasibility Study?

ØTheDirector’s of the Company have certain duties to abide by and they may havebreached them.

ØSections 181 to 183 of the Corporations Act setout the duties of a director and other company officers. They must act in goodfaith in the best interests of the company and for a proper purpose. They areprohibited from using their position to gain an advantage for themselves orsomeone else, or to cause detriment to the company.

ØThey cannot use information obtained in theirrole within the company to gain an advantage for themselves or someone else.

There is so much that stinksin this incident. Making a complaint to ASIC is a waste of time because they simply file it for intelligence purposes as it is not serious enough for them to investigate.