VMY undervalued, page-316

Everyone has some bias, and it’s very naive to think other wise

you are bias favourably towards Vimy and their Mulga Rock project

I am bias against Vimys Mulga Rock project

anyone that tells you they have no bias are kidding themselves

now back to discussing Vimys Mulga Rock project: -

the Mulga Rock project feasibility “refresh” has some glaring flaws as follows: -

AUD/USD exchange rate of 65 cent used - which is very optimistic with 10 year futures at 72 cents and current exchange rate at 72 cents

Capital costs reduced 20% by using fit for purpose mining equipment - using second hand equipment will require further capital expenditure in the near future

the contractor providing the second hand equipment then operates the equipment on a “cost plus basis” - this leaves the door wide open for further cost blow outs

there has been no provision for mine closure and rehabilitation costs - which are likely to be considered

I estimate that Vimy needs long term contracts at the US$100 lb to make this project work which they won’t get imo

bankers will rip the feasibility refresh apart and then walk away

given the above do you really believe Vimy has a bankable project feasibility?

that leaves the utilities to fund the project, andutilities are not stupid, they would know full well Vimy can’t get the funding without them - and will expect a huge trade off via a low off take uranium price in return

do you really think the utilities will do Vimy any favours?

there is a 3rd alternative - capital raising via share issuance - however the dilution will be MASSIVE - do you as a shareholder want to fund this project?

Vimys Mulga Rock project is not the only fully permitted project and the others appear to have much more robust feasibility studies completed