Positive Kalkaroo PFS Supports Large Scale Copper Project

• Positive PFS project economics supports a large-scale open pit copper-gold mine at Kalkaroo in north-eastern South Australia, near Broken Hill.
• Estimated pre-tax NPV7.5% of $564 million and IRR of 26% at USD$2.89/lb copper, USD$1,200/oz gold, AUD$:USD$0.75.
• Average annual production of 30,000 tonnes of copper and 72,000 ounces of gold anticipated over a 13 year production period (recovered metal).
• Highly sensitive to commodity prices with a 10% increase in metal prices resulting in a 48% increase in the pre-tax NPV7.5% to $835 million.
• Estimated C1 cost of USD$1.67/lb.
• Estimated pre-production Capex of $332 million.
• 100.1 million tonne Ore Reserve (Proven – 90.2 million tonnes, Probable – 9.9 million tonnes) that contains 474,000 tonnes of copper and 1.41 million ounces of gold.
• Project significantly de-risked with grant of Mineral Leases and ownership of the surrounding pastoral property.
• Favourable logistics and low sovereign risk in mining friendly South Australia.
• Ongoing studies being undertaken by Havilah aim to investigate some of the potential upside scenarios identified by the PFS.
• Excellent exploration upside to boost resources at Kalkaroo with deposit being open down-dip and along strike.

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