Such are the laws of open-pit mining. You are certainly right...

Such are the laws of open-pit mining. You are certainly right regarding the resources and mineralization below Hicks. Maybe at Smarts it is different. I previously assumed there was no value of Smarts underground. But comparing to the grades at Aurora underground made me change my mind. My theory is that there is still lots of drilling required to define the underground reserve, especially as the n/s veins could have a huge impact, then lots of capex. Smarts underground won't be high-margin too. So there might be an economic value of maybe A$50m, which the market completely disregarded with good reason. If Troy cannot afford the let's say A$50m capex to start, the deposit has no value to Troy. The same with the deferred tax assets. Troy has A$28.5m deferred tax assets not on the balance sheet. Again the market is saying that is worth 0 to Troy. And the market was right because the value is 0 as long as Troy is not earning money to make use of the deferred tax assets. Getting capital from Tallman would considerably change both valuations. It really is the key to unlock lots of value.

So far the size of the deposit can be estimated only based on the width of the shear zone and distance of a couple of drill holes. Drill-testing the existing hits but intersecting the shear zone at a different depths, infill drilling and expanding the deposit to the west are the next steps.

The market may change Troy's valuation after the next set of drill results mid December. Also having repaid A$2.6m to trade creditors in addition to the good September quarter (A$9.5m cashflow before debt repayments) is a positive. I think the pressure to repay trade debt may lessen somewhat as a result of the exploration success.