Cautionary statement
The Scoping Study referred to in this announcement has been undertaken to demonstrate the additional value created by the inclusion of revenue from bismuth and additional project life of Rover 1. It is a preliminary technical and economic study of the potential viability of the Rover 1 project. It is based on low level technical and economic assessments that are not sufficient to support the estimation of ore reserves. Further exploration and evaluation work and appropriate studies are required before Castile Resources will be in a position to estimate any ore reserves or to provide any assurance of an economic development case.
The Scoping Study is based on the material assumptions outlined below. These include assumptions about the availability of funding. While Castile Resources considers all of the material assumptions to be based on reasonable grounds, there is no certainty that they will prove to be correct or that the range of outcomes indicated by the Scoping Study will be achieved.
To achieve the range of outcomes indicated in the Scoping Study, funding of in the order of $171.6 million will likely be required. Investors should note that there is no certainty that Castile Resources will be able to raise that amount of funding when needed. It is also possible that such funding may only be available on terms that may be dilutive to or otherwise affect the value of Castile Resources’ existing shares.
It is also possible that Castile Resources could pursue other ‘value realisation’ strategies such as a sale, partial sale or joint venture of the project. If it does, this could materially reduce Castile Resources proportionate ownership of the project.
Given the uncertainties involved, investors should not make any investment decisions based solely on the results of the Scoping Study.
The Scoping Study referred to in this report is based on low-level technical and economic assessments and is insufficient to support estimation of Ore Reserves or to provide assurance of an economic development case at this stage, or to provide certainty that the conclusions of the Scoping Study will be realised.
Inferred Resources. The mine plan contains approximately 30% Inferred Mineral Resources. An Inferred Mineral Resource has a lower level of confidence than an Indicated Mineral Resource and there is no certainty than any further exploration work will result in the conversion.
The mine plan assumes that limited Inferred Mineral Resources are mined within the first 5 years of the Project, which extends beyond the simple repayment period demonstrated by the Study. Thereafter, a small proportion of Inferred Mineral Resources are intended to be mined in subsequent years.
The Company is satisfied that the respective proportions of Inferred Mineral Resources are not the determining factors in viability of the Rover 1 Project. There is a low level of geological confidence associated with Inferred Mineral Resources and there is no certainty that further exploration work will result in the determination of Indicated Mineral Resources or that the production target itself will be realised. The stated production target is based on the company’s current expectations of future results or events and should not be solely relied upon by investors when making investment decisions. Further evaluation work and appropriate studies are required to establish sufficient confidence that this target will be met.
Castile confirms that all the material assumptions underpinning the production target and the forecast financial information derived from it in that announcement continue to apply and have not materially changed.
Competent Person statements
The information on this site that relates to Exploration Results, Mineral Resources and Exploration Data is based on, and fairly and accurately represents, information and supporting documentation compiled by Mr Jake Russell B.Sc. (Hons) MAIG and Mr Mark Savage, who each have sufficient experience relevant to the styles of mineralisation, the types of deposit under consideration and the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves” (JORC 2012). Mr Russell is a Member of the Australian Institute of Geoscientists and a Director of Castile Resources Limited. Mr Savage is a Member of The Australasian Institute of Mining and Metallurgy and a full-time employee of Castile. Mr Russell and Mr Savage each consent to the inclusion of the matters based on this information in the form and context in which it appears.
The information that relates to Ore Mined is based on, and fairly and accurately represents, information and supporting documentation prepared by Mr Michael Poepjes, a full-time employee of Castile Resources and a Member of The Australasian Institute of Mining and Metallurgy. The information that relates to Metallurgical Testwork Results, process flowsheet and Processing Operating Costs is based on information prepared by Mr Stan Kagiannis, a full-time employee of Zeal Engineering, a contractor to Castile, and a Member of The Australasian Institute of Mining and Metallurgy. Each has sufficient experience relevant to the style of mineralisation, type of deposit and activity being undertaken to qualify as a Competent Person under JORC 2012, and consents to the inclusion of the matters based on their information in the form and context in which they appear.
The Company confirms that it is not aware of any new information or data that materially affects the information included in the original announcements and, in the case of estimates of Mineral Resources, that all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed.
Forward-looking statements
This site contains forward-looking statements. Words such as “intends”, “expects”, “scheduled”, “estimates”, “anticipates”, “believes” and similar expressions, or statements that certain actions, events or results may, could, would, might or will be taken, occur or be achieved, identify forward-looking statements. They reflect management’s current beliefs based on information currently available and on assumptions management believes to be reasonable, but the Company cannot be certain that actual results will be consistent with them.
Forward-looking statements involve significant known and unknown risks, assumptions and uncertainties that may cause actual results, events, prospects and opportunities to differ materially from those expressed or implied, including the risk factors discussed in the Company’s public filings. Prospective investors should not place undue reliance on them. They are made as of the date of the announcement they come from, and the Company assumes no obligation to update or revise them unless required by law.
General disclaimer
This site has been prepared by Castile Resources Limited. It should not be considered as an offer, invitation or inducement to subscribe for or purchase any securities in the Company. Castile has not audited or investigated the accuracy or completeness of the information, statements and opinions on this site and, to the maximum extent permitted by law, makes no representation and takes no responsibility for their authenticity, validity, accuracy, suitability or completeness.
This site does not purport to be all-inclusive or to contain all information a reader may require to make an informed assessment of the Company’s prospects. Readers should conduct their own investigation and analysis before making any investment decision. The information is general in nature and is not a prospectus, disclosure document or other offering document under Australian law or the laws of any other jurisdiction.
