VRC/BKT

Apologies if this has been posted before....but if it has and for those that missed it....please take the time to read the very comprehensive report in released in mid January by Black Rock (BKT).

BKT 's tenements are close to VRC's tenements in Tanzania.

The author of the Report is Simon Francis. His career spans more than 20 years and he has worked in the research sector in numerous institutions including Macquarie, Samsung and HSBC. I assume the Report was paid for by BKT.

https://blackrockmining.com.au/wp-content/uploads/SpecialReportByOriorCapital18Jan19.pdf

The Report is nearly 70 pages in length and is very detailed in it's content; covering areas such as BKT's Mahenge project, BKT's DFS, Pathway to market, Financial Data, Global Graphite demand and pricing, the Tanzanian Economy etc.

There is a lot of information in the report that is extremely relevant to VRC's TZ project and there are a lot of parallels with both companies...as well as some differences.

For example BKT currently has a projected longer mine life than VRC (although this might change when VRC's re-commences exploration later this year). Project economics are extremely positive for both companies.

BKT currently does not have it's Mining Licenses (unlike VRC)....although they are expected to be granted this Quarter. BKT also still has to lock in it's Funding for Stage One...similar to VRC!

Both companies have signed Offtake Agreements. Both companies will used the same Tazara Railway network and Port Facilities in the Port of Dar es Salaam.

Both companies are ASX listed. Both companies activities will produce substantial cash flows.

It is interesting to note that since the Report was written, BKT's SP has risen from 4.5c to yesterday's close of 7.4c.
So even without a ML...BKT's SP has risen substantially over the last 3 weeks ....so imagine what the increase in VRC 's SP will be when our Funding is locked in!

And finally just a blue sky thought...given both BKT and VRC's projects are deemed to be extremely viable and profitable....what is stopping both companies merging down the track and becoming a Global Leader of high purity Graphite?

The mind boggles over the possibilities of this..