Ann: Mining Licence Renewal, page-52

Hi Shumbi,

few changes since 2016, one of them being initial 40ktpa plant has now been upgraded to 60ktpa = higher initial Capex but project economics have improved significantly s a trade-off.

Plan was always 60/40 to 70/30 debt/equity ratio...there is a very high probability we will secure US$60mil via Bank Finance @ market leading terms, and then after debt finance is secured with a German Gov Guarantee in place finding instos for the remaining ~US$40mil should not be a problem and at much higher SP.

The wildcard at the moment is EcoGraf...KNL will build a 3kpa processing plant in Germany @ estimated cost of ONLY $4mil...the plant will be able to produce 3000tpa...if as good as I am hearing then this is highly likely going to be expanded to multiple plants around the globe...major benefits will be *Eco Friendly *Proven to work on multiple different Graphite feeds stock * This will eliminate supply assurance concerns a lot of the big players have.