THE NEW KRR

Ok. I have started this new thread called - THE NEW KRR .........
mainly because I have noticed something very important which most [including myself] had not picked up on.
Now before anyone panics etc ....................its a VERY GOOD OBSERVATION! Nothing bad about it , ok
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Right, now this applies to both us [LT] Long Term stakeholders and recent/new Holders alike. It a different way or perception of KRR moving forward from here.

Us LTs have been here with KRR from before when its ticker was KRC and its mineral play was Vanadium, Magnesium etc. And for the last nearly 2-3 yrs that was the play with KRC/KRR.
This model had a CAPEX of $900 Mil which the market rejected and was a much larger plant etc.[2019]

This model has been stuck in our minds and knowledge for 2 + years and much of that model is still stuck in our views of KRR.
For example ......we had to have a JV Partner as we could not self fund a $900 mil Capex Bill. This JV Partner would probably take 50%+ of the stock also! The plan was to get a JV Partner to fund 50/50 a $16 Mil DFS study with options to take a stake after that.

That was the Original KRC/KRR Business plan. But now its changed and that business model is no more.

Now since [aprox] Sept 2019 we have moved on to HPA being our NEW business model with a much greatly reduced CAPEX
[aprox $300 Mil ballpark] that would be acceptable to the Market.
Trouble is ............some if not all of us are still thinking of the "older" version and we still needing a JV Partner [lose 50% of shares] and also 50/50 cost share for the DFS etc.
WE DO NOT ANYMORE.............IF WE GET THE OPTIONS EXERCISED!

HOW DOES THIS CHANGE EVERYTHING?

Ok, well just for starters not requiring a JV Partner [DFS and beyond] would mean no further issue of them taking a 50+% position in the company and the resulting dilution. we also would not have to find one.[JV]
It also means that a probable T/O by this so called JV Partner would not be on the cards. Bloody GOOD!

GETTING the Options exercised means KRR can go it alone for much if not all its future needs.
With 412,867,511 Options exercised at 0.12c = $49.5 Mil in cash raised to KRR

WE would be able to self fund the following -
* DFS - aprox $16 mil
*GOLD DRILLING PROGRAM - for both Mt Remarkable [WA] and Treasury Creek [NT] . [maybe $5-10 mil?]
* PILOT PLANT Testing - could possibly be leased in part or full if not built [how much to build?]

This would potentially bring us to the point -
*Of having a DFS completed,
*Pilot plant testing completed and satisfactory
*Drilling Program on Gold Tenements in particular the prized Treasury Creek sites. [These hold very good promise!]
*which if gold and/or copper is found in quantity could also re-rate our SP and Market cap.

And we would be very well positioned to source Debt Funding with all these targets met and completed.
Remember that with this NEW BUSINESS MODEL [HPA} we have a probable payback of under 1.5yrs

This new business model of the HPA is a god sent gift to us and we have a strong opportunity to keep our stakes in KRR.

Think of the possible DIVIDEND PAYMENTS down the road when in production! They would be fantastic even with money spent on other Gold projects etc.

This NEW model I have put forward does rely on the Options being exercised. But now we have a very good chance of that happening in my opinion anyway. The SP is looking good and holding [up 2%]on a down market day.
Some of us previously talked about a 0.50c SP after the DFS after all.

So us LT holders need to stop thinking of the older Vanadium Model SSM and trash the views held then. Move on. HPA has changed it.

The ball game has really changed for the better.
And thank you TB for doing all this hard work especially on the HPA.

Yak52
DYOR as always.
[Statements above are my views/observations only.]


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