Ann: Vanadium Metallurgical Test Work Update, page-9

An interesting post has appeared on KRC, I am currently a holder in both AVL and KRC. In light of this I am considering my options to increasing my holdings in KRC and to decrease my AVLs. KRC do have more irons in the fire on top of the Vanadium which seems to be far greater to start with and after reading the below it is making more sense by the minute. Would actually be interesting to see how management of AVL view KRC. I would also be interested hearing the views in other AVL holders also.. all in my opinion GLTA

"It is great to see AVL pushing the Vanadium barrow, but now is a very important time to make a fundamental comparison and differentiation of KRC and AVL.
I have posted on numerous occasions the difference in market cap size between the two companies.
Having read the AVL announcement this morning this is what seperates KRC from AVL .

The AVL deposit is ‘oxidised’ (like most other titanomagnetite deposits in Australia) and that is why they really struggle to get a concentrate that measures more than 1.5% Vanadium

The KRC deposit is ‘unoxidised’ and that why the magnets work better and they get concentrates grading 2.1% to 2.5% Vanadium

That is a massive difference to economics

Also realise that AVL are only talking about the ‘high grade’ portion of their deposit. We have to presume the rest of the run of mine life of the deposit won’t achieve even that low grade concentrate.

The contained metal in the concentrates is all that counts in the economics of these acid leach processes.

AVL also don’t have $1 billion worth of Fluorspar sitting at the surface, 99.5% purity Titanium products, or an ounce to the tonne gold discovery .

So perhaps someone can tell me why AVL have a higher market capitalisation to KRC?

If I had shares in AVL I would be considering making the switch to KRC simply because KRC in my opinion is so much better placed than AVL in so many areas.

Each to their own, but I am thankful for this report on AVL because it only strengthens my belief in KRC and the blue sky potential that exists on so many fronts."