High Grade Cobalt Project, Drill Result upto 0.45%, page-34

I always said I wouldn't mind if the EGS JV fell over, as we already have substantial JORC oz's proved up at the Menzies JV tenements and I liked the idea of IRC having 100 percent ownership of the entire project. The main reason why the JV was entered into was the lure of a strategic alliance around processing. With the rise and rise of Cobalt, total ownership of these increasingly valuable tenements would be preferable.

I am more of a fan of the EVN JV as I see it as complementary to the stand-alone footprint that we have at Kalgoorlie.

We have a growing cash balance & hand-in-hand with this there has been much talk of acquisitions and industry consolidation in recent company announcements. I believe we are in a good position to move on EGS assets if they do fall over, which does seem reasonably likely at this point.