2019 starts Tuesday, page-9

KFW is a development bank owned by the government of Germany.

Development Banks are financial institutions established by governments or charity groups to provide funds to projects that would otherwise not be able to be funded by commercial lenders.

KFW covers over 90% of its borrowing needs mainly through bonds guaranteed by the German Government. Germany is the 4th largest economy by GDP (Nominal) behind United States (AA+), China (A+) and Japan (A+) with a AAA credit rating. Raising the capital requirements for the Stage 1 project will not be an issue.

SMS Siemag currently our 5th largest shareholder has been appointed for the Front-end Engineering and Design including the procurement of plant and equipment required for the Mt Peake mining operation and associated downstream TIVAN processing with guaranteed production quantity, production rate and production quality. The turnkey single source fixed price Engineering, Procurement and Construction agreement significantly reduces the risks and ambiguity of this project.

The approval for the processing plant is less critical, as the location does not require to be in a certain fixed location unlike the mine.

With the Mining Licence on hand, KFW and SMS partnerships and guarantees in place, political risks, commodity pricing and foreign exchange remain as our major risks to achieving the projected NPV.

The stakeholders involved in this project is well over and above our existing TNG leadership team. The capabilities and experience fundamentals are now extremely solid.

I'm extremely upbeat, but remain cautious as the risks of being taken over are extremely high given the current shareholder sentiment, project fundamentals and market cap.