NE Bankans 50%-ounce conversion to Indicated is a significant step towards production. It is vital for progression of the scoping study (planned for late 2023), and in turn, with an Environmental & Social Impact Assessment (also planned for late 2023), will allow buffer zone risks to be addressed as permitting discussions commence. Without discounting the significance of the updated MRE, the upgrade continues to align with our internal modelling of mineable inventory; as such, we largely maintain our previous mining assumptions. We update our long-term gold price, adjust our capital estimates, and take a slightly more conservative view on construction start date. While these changes slightly lower our valuation to 32cps (prior 35cps), we maintain our Speculative Buy Recommendation and reiterate the significant untapped potential in the region, which is largely uncaptured in our model.
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