Up-date from 30th June 2018, page-8

Thanks for the flattery CEO.

I foresee:

On permit announcement AND restatement of project metrics, a relief surge to somewhere 1.80 - 2.20 - I am guessing.

An unwelcome but necessary capital raise to comfort the banks before financing. Say, $150m @ 1.60 a share, so HFR has $220m in cash toward the $560m capital cost below.

The initial project is likely both Muga mine and processing facilities (capex Eu276m or $A 435m, 1 May 17) PLUS the K62 Crystallisation plant ($124m, 17 April 18) cos of the salt politics. This will produce 540ktpa + 135ktpa = 676ktpa, which would be directly saleable within trucking distance in Spain and South of France, simply on logistic cost displacing other suppliers.

HFR says the NPV of both is $US 1.46b + $US 222m = $US 1.68b (sorry about the third currency) or $A 2.23b which I regard as credible.

BUT we won't see that until commissioning - six months for building permits and 24 months construction say, Jan 2021.

It is highly likely HFR will be fielding offers from European fertiliser producers before this - the resource is too good and too big to ignore. The big boys will decide if a takeover suits better than build and own, not retail holders.

You may wonder where and when I get $3.00 a share out of that long string of assumptions? It's the vibe.

DYOR!!!

Ash