Koongie Park (Base Metals - ZINC / COPPER), page-22

Bellaire

We have a NPV of A$36M for Koongie Park based on Cu @ A$9,400/t (currently A$8,620/t) and Zn @ A$2,400/t (currently A$4,240/t) with the cashflow has an internal rate of return of 31%.

Total Metal currently at KP:

	Column 1	Column 2	Column 3	Column 4
0			AUD	AUD
1	Cu To	50,000	8,620	$431,000,000
2	Zn To	115,000	4,240	$487,600,000
3	Ag Oz	2,000,000	22	$43,589,744
4	Au Oz	26,000	1,654	$43,000,000
5				$1,005,189,744

So whilst I agree that AAR should 100% focus on Gold, we cannot ignore the fact that we are sitting on an asset that will be attractive at the right time / to the right company, especially given the under-explored nature of the Halls Creek region and the rapid fall of global Zn stocks.

EE.