Warning: this 9c share may only be worth $4 if the price of iron ore slumps to $100, page-81

With 160 holes to be drilled I expect we will see a lot of drilling result updates from next month to Feb next year.

- Drilling has commenced this week
- Pilot plant preparation work has started
- The all important BFS has also commenced
- 5 new managers including BFS manager, operational manager,...have been added to the executive board.
- Negotiations with Mitsui and 7 other previous off-take LOI signatories are ongoing.
- IO has stabalized at around USD $120/ton.
- NPV8% = above $4bil at Fe62%= USD $100/ton and NPV8% = more than $6bil at Fe62%= USD $120/ton, after allowing for CFR all-in-cost to increase from $48/ton to $65/ton. That is even after we allow for all-in-cost to increase 35% from the previous PFS all-in-cost.
- Fe65% pellets is currently selling at extra USD $63/ton.
- Engagment with federal government, NSW government, local Broken Hill government: ticked.
- Engagement with port authorities at port Pirie and port Whyalla: ticked.
- All infrastructures including rail, roads, water, power, ports and experienced local workforce are nearby and readily available. Huge major factors and saves Hawsons project potential hundreds of millions dollars which must otherwise be spent.
- Supergrade product Fe70% has been tested by customers.
- Hawsons is to create 1400 construction jobs and permanent operational jo.5bs to the local economy.
- $38mil cash in the bank to take the company to BFS completion. Latest update of $34.5 cash balance after some first payments to early works (drillings, pilot plant, BFS initial stage works,...).


Once the 1st off-take is signed, many more off-takes will follow and a 20% MC/NPV ratio is very achievable to give HIO a MC of $800mil based on NPV of AUD $4bil or MC of $1.2bil based on NPV of $6bil.

All projected NPV figures above do not take into account pellets price premium which is currently at extra USD $63/ton for Fe65% pellets over the price of Fe65% fines concentrate. If HIO can produce pellets of grade above 68%, they could get extra USD $100/ton?

The maths and the infrastructures available to Hawsons project are absolutely compelling to me.

Do your own research.

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