simon youds latest video on kpr, page-13

ILP has all KPR assets as a result of KPR going broke.

That was the deal in the settlement of the $10m High Court claim with ILP that if the money wasn't paid then ILP had access to KPR's assets. KPR paid about $8+m of the $10m.

From my contacts at the time the Board tried to raise money, but they were already in administration and nobody was confident in getting the export licence. It would have been impossible to raise money. Supposedly one of the directors had a contact who was willing to put in a large sum which would have probably saved it, but it turned out that he only had a little sum.

If you read the Administrator's report there are questions as to how CFE got it shares and a number of other issues.

Also the independent report on the valuation of the assets which KPR purchased in Kupang were over-valued.

I am unsure whether this is correct. I think the independent valuation report was based on a fire sale rather than a true valuation.

From what I have been advised, after KPR went broke, the KPR JV Kupang company actually sold some manganese ore in Indonesia which meant they had the approval to transport the ore. This may have meant they had the export licence, but this is unconfirmed. I understand that the price was around $300 per tonne. Margin about $150-200 per tonne.

I also understand that they had a 1,000 tonnes per month contract, so over 12 months they would have made $1.8m to $2.4m.

The positive issue with KPR was that it had the production licence and the right to transport it. The export licence was supposedly about to be issued when ILP put them into administration, but again this is unconfirmed. If ILP hadn't put them into administration then KPR may have got the export licence, but this may be speculation.

There are very large quantities of very high grade manganese ore in Kupang - it was all about picking the right location and loading it onto ships and exporting it. De Groot mine in NT used to be regarded as one of the very profitable mines in Australia and they only had approx 44% grade manganese ore. Kupang has 55% grade. Anything less than 40% is not worth mining. And mining costs are lower in Kupang.

Unsure what ILP are doing with it.

It appears as ILP are litigation funders that it doesn't have the skills to develop it.

Some might say that the whole process between ILP and KPR was a difference between personalities.

But KPR shareholders lost everything.