Member Info for Major-Tom

Here’s a summary of the potemtial Verkhuba JV economics based on a realistic open pit scenario with 3 year ramp-up and higher-grade early years loading:

Key Assumptions

• Resource: 20.3 Mt @ 1.16% Cu, 1.54% Zn, 0.27% Pb (~1.65% CuEq)

• Recoverable metal: ~290kt CuEq

• Production: ~10ktpa CuEq

• Mine life: ~29 years

• Copper price: $12,677/t

• EBITDA margin (open pit): ~55%

• East Star interest: 30% (fully carried)

• Discount rate: 10%

• Production Profile: Years 1–3: Ramp-up (6kt → 10kt CuEq), ~20% higher grades

• Years 4–12: Steady state (~10ktpa), slightly elevated grades

• Years 13–29: ~9ktpa at average grade

• Overall Project Revenue: ~$127M/year steady state

• East Star Revenue (30%)~$38M/year

• East Star EBITDA: ~$20–22M/year steady state

• Base NPV10 valuation of East Stars 30%: ~$210M–$230M

So we are looking at a long-life open pit operation with an implied asset value to East Star: ~$220M

I now have a very simple investment decision here. If I belive Xinhai will develop Verkhuba I will be adding. I do and so I have added this morning.

IMO Game changing, Company making news

It cannot be overstated how significant this news is. Seems from the RNS that Xinhai are not they type to slow play projects. "They are currently manufacturing and installing another processing plant in Kazakhstan with a development timeline of less than 12 months." Obvioisly we have some more drilling etc to do before before we can progress to construction but I think it is fair to say Xinhai wont hang around here.

POO gotta rise. Qatar is shutting oil production. Heard same across other GCC countries. Saudi still producing but running low km storage. No one can export so all shutting down oil production.

Saudi have an East / West pipeline(s) than can pump around 5m to 7m Bopd. However, the port in Yanbucan only load around 1.5m Bopd. Only other gulf state that can continue to export is Oman.

WOW indeed. Thoose REE numbers are outstanding. Depending on volume of monazite this could make Kasiya a strategic deposit for REE as well as Rutile and Graphite.

Watch this space.

It is an amazing achievement that FAR have got to this stage of development whilst still holding 100% of thr Balasausqandiq project.

With:

S$312m. Cost to get to production

And

S$222m Debt finance from BOC Bank

This leaves

$    90m Left to raise via equity.

That equity is not coming from dilution of the company. It is impossible. It will come at a project level. And with 100% ownership there is plenty of room for manouver.

With the real NPV of the project circa $1bn and around 70% of the project funding secured we should be looking at giving away around 20% to 30% at a project level for the remaing $90m.

Leving us, FAR shareholders with 70% to 80% of a golden goose project t.

Nice place to be.

Great news. Bought back in here couple a weeks back. Expecting good things. This news is a great statt.

The first batch of drilling results must now be on the horizon. This is so under the radar and MCAP so low that good results could lead to stampede.

Hard to believe that there is no interest in a micro cap, with fully aligned management, drilling at least 2 potential game changing targets.

Yes, strange timing. Guess there are things happening at board level he does not agree with / want to be associated with. I honestly cannot think of any other reason.

Scrawl, do you think that EST may think that increasing copper price could bridge the gap in what they would like to receive for Verkhuba vs what has been offered so far? I understand the need for infill drilling, however, wonder if the rising copper price could encourage more suitors to look at Verkhuba more favorably.

Certainly hope there is no EST sale / takeover at this time. Enough cash through until early next year! Drilling success and subsequent cash from warrants will provide enough funds for continued drilling to prove up any deposit!

I am confident that the team EST have and the acreage they have to explore that they will discover something. Hopefully it is in this campaign, hopefully it's big and hopefully it send this into orbit. From such a lowly valuation any real success should do just that. This does have genuine SOLG or GGP mega multi bag potential. Of course, it all depends on the drill bit, but not many out there have this sort of multi bag potential.

Thanks, did some digging, courtesy of copilot, in short it looks like he used them as collateral for a loan with Stone Creek who sold them to cover the loan. Details below for general info:

Yes, according to legal filings in the U.S. District Court, Stephen Decker and Stone Creek Global Ltd. did take control of Mumena Mushinge’s Arc Minerals shares, which had been pledged as collateral.

Key Details from the Case:

Mushinge alleged that Stone Creek Global unlawfully sold or transferred the pledged shares without proper notice or legal justification 1.

The shares were originally pledged as part of a loan agreement valued at $1 million, while the shares themselves were estimated to be worth over $3 million 1. Mushinge claimed that Decker used Stone Creek Global as a “corporate instrumentality” to deprive him of the shares, constituting fraud, breach of contract, and unjust enrichment 1.

Legal Outcome:

The U.S. court dismissed the case based on a forum-selection clause requiring disputes to be heard in the British Virgin Islands.

Mushinge subsequently filed a new case in the BVI, but the outcome of that case remains undisclosed. So while the ownership transfer or sale of the shares did occur, the legality of that action is still under dispute in the BVI courts.

Did anyone ever find out what actually happened to MM's Arc shares? I believe that at one point he held over 70 million shares!

What's everyone's thoughts regarding drilling in Zambia this year. Yea or neh?

As far as I am aware from Alex's most recent interviews EST are still trying to identify the best drill target(s) at Snowy. I assume Snowy will follow the drilling at Rulika and Talovskoye. So much potential company changing news to come here over the 2nd half of this year.

Nice to be ticking up day by day as the drill is turning. Hopefully, the fact that this is ticking up rather than down is a sign that the initial feedback from the core is positive.

Imagine an RNS saying initial analysis show wide intersections of sulphide mineralisation.

I am very confident my cash is safe here. And, very hopeful of good results from this drilling campaign.

Exploration Drilling is very high risk but with that comes very high potential rewards. Difference here is the fact Verkhuba valuation more than covers current company valuation means we are getting all the upside potential without much if any downside risk. Very rare opportunity.

And, if any of this holes lead to another discovery then all bets are off because this could honestly go ballistic if they do.

Exactly zebbo. Enough cash through until early next year. Drilling success and subsequent cash from warrants will provide enough funds for countined drilling to prove up any deposit. If no success with the drill bit a modest raise early next year will enable drilling of next priority targets.

I am confident that the team will discover something. Hopefully in this campaign and hopefully it's big. With such a lowly current valuation, which is fully underwritten by Verkhuba, any real success should send this into orbit.

EST does have genuine SOLG or GGP potential. All depends on the drill bit but not many out there with this sort of potential.

HC. ARCM do not have £1,650,000 in bank at present. Burning through £765,000 every 6 months means they will be down to around £870,000. Which means enough to see them through till end of December and the £500,000 in November wont be enough to see them through till next Novemeber as you claim. MO means the reality is a placing is likely.