Ann: Exceptional Vanadium Grades Confirmed at Koitelainen Vosa, page-130

Agree great concentrate grades but the company has still not disclosed (Paragraph 1, Section 2, JORC Table) that the entire project is located inside the Koitelainen Natura 2000 (EU) nature protection area. If you are not familiar with exploring in Europe or specifically in Scandinavia, Natura 2000 areas are extremely difficult to both explore in and open a mine, in fact none have been opened to date.

Anglo American discovered the world-class Sakatti Ni-Cu-PGE deposit in 2009 (located a mere 80km to the southwest of Koitelainen) and after 10yrs have still not been able to progress the development of Sakatti due to the Natura 2000 status and have faced significant hurdles, delays and restrictions to their exploration campaigns over this 10 year period.

More recently (2016), Tasman Metals (now Leading Edge Materials) had it's granted mining concession at their Norra Kärr Project revoked by the Swedish government after the Supreme Court deemed the company failed to make a thorough assessment of the potential impacts on several Natura 2000 nature protection areas, the closest of which is located 1.3km outside of the concession area. Similarly in December 2016 the Swedish Mining Inspectorate rejected Boliden's mining concession application for it's Laver Cu Project sighting that the nearby Natura 2000 nature protection area will be impacted; Boliden has appealed the decision and it is currently sitting on the government's desk along with most other mining concession applications in Sweden currently.

After more than 12yrs of exploring (8yrs residing) in Scandinavia and direct involvement in several Natural 2000 assessments, mining or exploration projects located within or within very close proximity to Natura 2000 nature protection areas are generally avoided at all costs regardless of how prospective or significant the project is. This is not to say it is impossible to carryout exploration activities or mining in or nearby these areas but the project will likely face lengthy delays and there is certainly no precedent in the opening of a mine inside a Natura 2000 nature protection area in Scandinavia.

As a JORC CP I firmly believe this information should have been disclosed by the company.