Todays The West Australian 13.10.22, page-6

Hi Brooks,

That should be the question everyone asks before buying in. Either the market players are all stupid and cant see the obvious value (the TB view) or its the opposite. I'd say look deeper. POS is a much more complex proposition.

• Three mines to operate (Black Swan, Lake Johnson and WIndarra) to get full potential.
• Two plants in need of considerable work and a feasible processing solution required for Windarra.
• Small high grade resources which are quite costly to mine - Silver/Golden Swan and Emily Ann (if it bulks out with more exploration)
• Large low grade resource (Black Swan) which is metallurgically complex and for which at best 50% of the resources will be in the most optimistic whittle shell - remember very few deposits are every mined in their entirety. It ill also be relatively low margin.
• Throw in PBT which sounds great, but is still in feasibility so even it it works at the expected cost and recovery (and i hope it does) it wont be happening for a while.

And that is an gross over simplification of the situation, but in a nutshell, lots of levers to pull and lots of opportunities to get it wrong. Part of the reason why the CEO is taking a cautious approach.

If you have ever wondered why the large resource companies favor large open pit operations it is for the simplicity. POS is anything but simple.

My take is that for all its short comings it is undervalued and with a high nickel price it will appreciate in value. But the $2 share price will occur AFTER the 10:1 consolidation when nickel is high and there is some actual production.