First Read: Daily Commodities Note "Oil falls amid prospects for US/Iran..."

Research evidence excerpt

First Read: Daily Commodities Note "Oil falls amid prospects for US/Iran..."

Valuation Method and Risk Statement

We point out to investors the potential risks inherent in the mining sector that affect

investments in the sector, including, but not limited to, the volatile nature of commodity

prices and currencies, which may differ materially from expectations. Furthermore, the sector

is exposed to political, financial and operational risks, each of which has the potential to

significantly impact company/industry performance. Our valuations for the mining sector are

derived using a DCF methodology or combined DCF and EV/EBITDA.

GGP: Our Greatland Gold (GGP) price target is derived using a 1xNPV derived methodology

with a 6% discount rate. Our investment view on GGPis subject to a range of upside and

downside risks inherent in the resource sector which includes, but is not limited to:

1) movement of commodity price and currency, which may differ materially from the

assumptions used in this report.

2) Furthermore, the sector is subject to political, financial and operational risks, each of which

has the potential to significantly impact industry performance.

3) GGP faces risk as a developing mining company with a significant increase in production to

come from the development asset Havieron.

4) Further, the current gold pricing environment presents elevated risks to the upside and

downside, with recent volatility reflective of gold as a speculative asset.

5) GGP also has the early stage O'Callaghan's deposit within its portfolio

Kazatomprom: Investment risk inherent in the resource sector includes, but is not limited to,

movement of commodity price and currency which may differ materially from the

assumptions used in this report.