Fair point Hman - no 2 deposits are exactly the same. What we...

Fair point Hman - no 2 deposits are exactly the same.

What we know is we have a haematitie/magnetite ore that will need some processing to get it to the premium 62% Fe grade product (if so desired), which does sell for more than DSO. The advantage in DSO of course is that its cheaper to produce cos you just dig it up and put it straight on a boat, so the margins are better.

An Oreil Securities report I looked at earlier in the year compared 8 African explorer/developers, including AKI, SPH and SDL. The average grade was 34% Fe (AKI was highest at 46%) and the weighted average EV/tonne was 78c (published JORC resources only, i.e. excluded targeted resources). So in the context of that, Fostock's 40c p/t looks pretty reasonable, if not conservative.