Our modelling largely supports the results of the 2015 PFS, indicating that Sigatoka delivers robust economics for the planned 10 year operation, with a base case NPV8 of $276 million, 2.5x the estimated upfront capital of $111 million. The Project has an IRR of 43%, and is also capable of absorbing 20% detrimental movements in key inputs, including prices and operating costs.

Fertoz is looking at commencing production from its Wapiti direct application phosphate project in CY2016, ramping up to a targeted 75,000tpa of product by CY2018, and potentially providing up to C$5-6 million free cash ow per annum by CY2018.

At 31 December 2015, the company had $13.4m cash on hand, leaving the company in a good position at the current time. The cash position has been boosted over the year with the capital injections from The Sentient Group.

Around A$40M in value added in the last six months – Since our initiation of coverage in November 2015, the management has identi ed a supergene cap at the Sulphur Springs deposit containing a resource of 800Kt at 4% copper.

CVT has laid a strong foundation to its go-tomarket strategy that it announced in November 2014, with a number of significant contract wins, including Cisco and Deutsche Telekom subsidiary T-Systems.