Star Diamond Corp.'s AGM

0:09 Good morning, everybody. Welcome to the 2024 Annual General and special meeting of shareholders of Star Diamond Corporation. My name is Ewan Mason. I'm the chair, president and CEO of the corporation and in accordance with the bylaws of the corporation, I will assume the position of chair for this meeting.

0:33 We have quite a contingent of people joining us virtually as well as you people in in in person, so appreciate you all coming out. I'd like to. Introduce a few people in the audience today, but I would like to say that most of our directors didn't make the journey today for cost savings reasons, and they are online. That would be Larry Phillips and Marilyn Spink. Lisa Riley's here in town on other business, so she's joining us in person today. But in terms of staff here, we have the lovable George Reed sitting right up front here. You probably all know him. Mark Schimel, VP Exploration, right there. And we have also with us today Rick Johnson, Chief Financial Officer. Rick, where are you? Okay. Nelson Caroon, Diamond Specialist extraordinaire, as well as Deb Bennett, I believe, who keeps track of everything for us. Thank you, Deb. And of course, without Val, we'd be nowhere. Wherever Val is, thanks Val for putting this all together.

1:24 So in addition, we have John Pringle of Mercutire LLP, who will be acting today as a legal counsel to us at the corporation, making sure everything's in hand. I propose to deal with the formal aspects of the meeting now following which management will speak on the activities and the outlook for Star Diamond Corporation. And it is worthy of note that this is the first time in years that we're having an annual meeting where we own 100% of this asset and are not in litigation or negotiations with Rio Tinto. So it truly is a hallmark meeting. I would like to remind everyone that only persons at this meeting who are entitled to be present to move over to second resolutions, to speak or ask questions or to vote on resolutions are registered shareholders whose shares are held in their own name and not in brokerage account or persons who have been duly appointed as proxy holders and have registered with the scrutineers. If anyone present holds proxies that have not been filed, please present them now to Bart at the back.

2:22 I note that there are a number of people present who are not registered shareholders or duly appointed proxy holders. Unless someone objects to the presence of these guests, they will be allowed to attend, but must refrain from speaking or voting on the formal resolutions. You can say what you like during the presentation by the team. Are there any objections to the presence of these guests? No objections. In order to ensure that the meeting covers the required business in an efficient manner, it has been prearranged with a designated registered shareholders and proxy holders to move in second the motions of business. This is not intended to discourage or any comments or questions from other registered shareholders or proxy holders. Unless a ballot is requested by a shareholder, proxy holder or the chair, I ask that when a vote is requested, shareholders do so by a show of hands. That makes things a little faster.

3:13 The annual general and special meeting of Star Diamond Corporation will now come to order. With the consent of this meeting, I will ask John Pringle of Mercutcher to act as secretary of this meeting. The first item of business will be the appointment of a scrutineer to report on the shareholders present in person and the number of shares represented in person or by proxy at this meeting, and to compute the votes on any poll taken. With the consent of the meeting, I will now ask Bart Wingerak of Odyssey Trust to act as the scrutineer. I have received a declaration as to the mailing prepared by Odyssey Trust, indicating that the common shareholders of record at the close of business on April 1st, 2024, were mailed the notice calling this meeting on April 16th, 2024. I instruct the secretary to keep a copy of the notice of the meeting with the proof of service with the minutes of this meeting.

4:04 Will the secretary of the meeting explain the quorum requirements, please? Under the violence of the corporation, we'll have quorum if persons present holding not less than 5% of the shares entitled to vote at the meeting. Mr. Chairman, the scrutiny report indicates that there are 9 shareholders present in person, or represented by proxy, representing 241,406,236

4:32 shares, which is 40 plus percent. As a result, I declare that representative of the shareholder present, and we have the duty to constitute a business. Thank you. I now declare that the meeting has been regularly called and is properly constituted for the transaction of today's business. I now present to the meeting the audit financial statements of the corporation for the year ended December 31st, 2023 together with the report of the auditors there on. I will not ask shareholders to approve the financial statements. However, I would be pleased to deal with any relevant questions concerning the statements following the meeting. We will now proceed to the election of directors. The board has determined that 4 directors are to be elected in accordance with the corporation's bylaws.

5:21 The deadline for submitting director nominations was April 16th, 2024. At the close of nominations, the following individuals were nominated as directors of the corporation for the ensuing year, or until their successes are elected or appointed. Ewen Mason, that's me, Lisa Riley, Larry Phillips and Marilyn Spink. As no additional nominations were received in accordance with the advanced notice provisions of the corporation's bylaws, no additional nominees for election of the board will be considered. I am advised by the scrutineer that the total number of votes represented in the meeting by proxy voting in favor of the motions to elect each of you and Mason, Lisa Riley, Larry Phillips and Marilyn Spink exceeds the aggregate of the total number of votes represented at the meeting by proxy voting against such motions and the total number of votes represented at the meeting in person.

6:10 As a result, the decision of the meeting will be in favor of the motions to elect each of the individuals. And unless a shareholder or proxy holder demands a ballot, I propose to conduct a vote by a show of hands. Proceeding by a show of hands, may I now have a motion to elect Mr. Ewan Mason to hold office until the next annual general meeting or until his successor is elected or appointed subject to the provision of the corporation's articles.

6:53 Thank You Mark. Thank You Debbie. Would all those in favor so signify by raising their right hand. Opposed, if any. Let the record show all in favor. May now the motion to elect Miss Lisa Riley to hold office until the next annual general meeting or until her successors elected or appointed subject to the provisions of the corporation's articles. I'm not sure if that's a question. We have to be now right individually. Mr. Chair, I second the motion.

7:39 Thanks Mark and Deb. Would all those in favor so signify by raising the right hand. Opposed if any. Great, let the record show that Lisa's on the board. May I now have a motion to elect Mr. Larry Phillips to hold office until the next annual general meeting or until his successor is elected or appointed subject to the provisions of the corporation's articles. Thank you, folks. I would all in favor, so signify by raising your right hand.

8:28 Opposed, if any? Great. Welcome back, Larry. May I now have a motion to elect Ms. Marilyn Spink to hold office until the next Annual General Meeting or until her successor is elected or appointed subject to the provisions of the corporation's articles. Mr. Chairman, my name is Mark Schimler, union of the Fox and Cumberland Corporation. I move that Maren Steven be elected as director of the Corporation Union,

8:59 and that we now have an individual who can respect each such person. Thanks. Mr. Chair, I second the motion. Thanks, Deb. Would all those in favor so signify by raising their right hand. Opposed, if any? Great, welcome back, Maryland. I declare that Ewan Mason, Lisa Riley, Larry Phillips and Marilyn Spink be elected as directors of the corporation to take office immediately following the meeting and to serve until the next annual general meeting.

9:30 Thank you all. The next item of business is the resolution to approve the continuation and reconfirmation of the corporation's stock option plan. And may I ask for a motion in that regard?

10:22 Mr. Chair, I move that the resolution pertains to the approval of the continuation and reconfirmation of the corporation's stock option plan dated April 16, 2024, is to be approved. Thank you. The motion is now open for discussion. Anyone has any comments.

10:45 No comments I declare the motion carried The final voting totals for the confirmation and reconfirmation of the stock option plan will be available in the press release to be issued by the corporation. The next item of business is the resolution to approve the continuation and reconfirmation of the corporation's restricted share unit and performance share unit plan, also referred to as the unit plan. I ask for a motion in that regard. Mr. Chair, I move that the resolution pertaining to the approval of the continuation and reconfirmation of the corporation's restricted share unit, performance share unit, as stated in the 2024 information, be approved. Thank you. Mr. Chair, I second the motion. Thank you. The motion is now open for any discussion. No discussion, I declare the motion carried.

11:33 We're just whipping through this. The final voting totals for the continuation and reconfirmation of the unit plan will be available in the press release to be issued by the corporation. The next item of business is a resolution to approve the continuation and reconfirmation of the corporation's deferred share unit plan. I'd like to ask for a motion in that regard. Mr. Chair, I move that the resolution pertaining to the approval of the continuation and reconfirmation of the corporation's deferred share unit plan as stated in the internet for information circulate the approval. There is a motion. Thank you. The motion is now open for discussion if any. I declare the motion carried. The final voting totals for the continuation and reconfirmation of the deferred share unit plan will be available in the press release to be issued by the corporation following the meeting. The formal items of business as set out in the notice of meeting have now been dealt with.

12:30 And as there is no further formal business of the meeting, may I have a motion to terminate the meeting? Mr. Chair, I move the meeting be terminated. Thank you. Thank you. I declare the motion carried and the meeting terminated. We got through that, that's great. Once again, welcome to all those online that are here today. We do have a little different venue today. We're showing off our diamonds. So please make sure you have a look at those before you leave. Those are only a few of the 150,000 plus diamonds we've extracted so far. We also have some pastries. That's all you're getting from us this year, so please enjoy yourself. There's quite a few back there, I noticed. We're now going to do a formal presentation.

13:16 We actually haven't done one of these usually at our annual meeting because we haven't really had much to say, but we have a lot to say now and we're going to start saying it. I'd like to open the presentation by a little anecdote that I saw watching one of my favorite series, Ted Lasso, the other day there. And he was talking to his team, which is a losing football team in the UK, despite the fact it's very talented, lots of great assets. He said, it's like a fairy tale. You know, in every fairy tale there's a dark forest And the dark forest is never at the beginning. It's never at the end. It's usually right in the middle. And once you get through the dark forest, you get to the ending. It might not be the outcome you wanted, but you do get to the ending. So that's where we're going here. And this is our fairy tale. So we have a presentation up here. I'm just gonna skip the legal mumbo-jumbo.

14:08 But what do we have here? Well some of you will have seen the press release this morning which basically codifies Orion North as another monster. And you know there's nothing like this on the planet that anyone knows of. This is truly, truly a singular asset that has no compare. In fact, it's probably a Letsing Plus. So what have we learned from the work that Rio Tinto did? We've learned that they were going to mine this for 84 years. They weren't even going to bother finishing the feasibility. They're just going to put the scoops in the ground and get going because they saw what we saw, which was incredible core size frequency, big, big diamonds. And, you know, unfortunately they had a corporate change of strategy, a change of CEO,

14:54 who used to be a diamond guy, and the other guy was an accountant and not interested much in diamonds. However, when they left, they left us with a treasure trove of data, some incredible findings, validating all the work that our great technical teams have done over the last 2 decades. And we are virtually certain now that this could be mined in 3 to 5 years. We just have to finish the pre-feasibility study. And our team has been working very carefully on a stat analysis of the diamond packages to determine whether or not a bulk sample is required to finish the feasibility study. That answer is almost upon us and it's looking quite favorable at this point in time. You know, we have a PEA out there, we've had it since 2018, values the project at $2 billion, rubbish.

15:40 It's orders of magnitude higher than that. This is something very special and we're going to advance this. And so let me just go to the next slide here, but what's gonna help us do this? The diamond industry outlook is changing big time. These sanctions on Russian diamonds, I believe are gonna have quite a monumental difference in the price paradigm for diamonds that are used for jewelry. Russia produces 30% of the world's diamonds that are used for jewelry. The G7 and EU countries consume 75% of the diamonds that are produced for jewelry. Anybody with a basic understanding of math can tell you it's going to be very impactful and we're counting on that moving forward.

16:25 You know, historically there's been a bit of a cloud hanging over the market with the synthetic diamonds. No longer. Synthetic diamonds have a use, mostly industrial. And for people wanting to buy cheap rings at a Walmart, that's about it. The price difference now between synthetic diamonds and man-made diamonds is orders of magnitude difference. For instance, if you had a 3 carat diamond that you wanted to buy from a jeweler, you might get that for $7,000, $8,000 if it was synthetic. If you wanted to buy the natural diamond, $70,000. Those are the diamonds we have. Those are the diamonds we'll be marketing and offering. Not the little ones, not tiny industrial ones, big, massive diamonds.

17:12 So like I said, We've had this PEA out there for a while, but the feasibility study we're gonna do right now will make this, I think, look like chump change. And the question is asked, what's that gonna cost? I think for the pre-fees, 3 to $5 million, for the feasibility, 5 to $10 million. And I've been asked a lot, how are you going to get that money? Well, we're hoping to do an over-the-top financing or royalty structure or streaming structure that is not dilutive. And once we do that and get that in place, I believe that validates the entire project, and we should see, I would say, quite a change in our share price. And that's what we're aiming for. We're starting that program probably in 2 weeks. We just wanted to finish up with the stat analysis here so we could say to somebody, look, we're good to go. So with that, I'm going to hand it over to George.

18:13 Thank you, Ewan, And good to see you here and be back on this podium talking to you about the project, which I've done for a long time. Very extensive evaluation and permitting has been completed. I don't need to labor the point. I think most of you here have been around a long time and are fully aware of that. Rio Tinto put a lot of effort into the project and they did some very successful sampling. We'll talk about that in a moment. They spent a lot of money. They left us with some valuable equipment, the process, the bulk sample plant is a state-of-the-art piece of equipment and the trench cutter drill can certainly be used should somebody want to evaluate Ryan North in the future.

19:01 So remembering from the past, De Beers was extensively involved. De Beers is becoming probably a new player in the game as being spun out from Anglo-American and certainly they were involved in the past and we acquired their shareholding. Newmont is still an equity holder with 11.8% and Rio Tinto is now the most significant equity holder with 19.9%. So very much still keeping an eye on the play as it proceeds. We've spoken about these subjects before, the coarse size frequency distribution and the comparison to both Karowi in blue and Letsing in green, and lo and behold, star in red lies right in between them. Those are 2 very unique kimberlites that produce diamonds that are on over 100 carats, more or less on a monthly basis.

19:59 And So they produce very, very good diamonds, and we anticipate seeing those large stones as a driver of our economics in the future. Certainly Litsing has the most fantastic diamond price. The dollar per carat value for Litsing sits up above $2,000 a carat, and Karowi is now at something like $700, having been about $150 when they started production. So certainly, as they've produced these big stones, the prices have gone up. We have also got, as I said, this very good advantage of the participation by Rio Tinto. The plant is left behind. They drilled 10 trench cutter holes. They recovered some 12,700 tons, 1,500 carats, and confirmed a coarse-sized frequency distribution, the diamond grade, and lo and behold, a good proportion of Type IIa diamonds was confirmed by the trench cutter. As you can see at the bottom of that slide, some very valuable stones were recovered during that program, up to a 16 or almost 17 carat stone that was worth $110,000.

21:20 So very, very attractive goods were recovered by that program. But one of the most interesting parts of that program that's really benefiting us now is that they did very, very careful recovery of the smaller diamonds because, lo and behold, it's not just the big ones, but at the small end of the diamond size frequency distribution, the ones, threes and fives, as they're called in the diamond trading company screen sizes from set up long ago, are diamonds that are usually about $5 to $10 a carat. However, lo and behold, In the case of Star, they run between $30 and $50 a carat, which is a whole lot more, and in some cases even higher than that. So Rio showed that the tail of the curve is very well constrained now, And that will be a very, very important part of hopefully increasing the grade and improving the diamond size frequency as we go into a revised mineral resource calculation in the not too distant future.

22:32 So we have a very large contiguous diamond play. We now have it all in yellow. All of the claims are held by Star Diamond Corporation. It is a contiguous claim block. It makes the management of the claims very much easier. As you know, as you spend money on a claim, you can apply it to the claim, but if it's in a contiguous claim block, which we now have, you can spread those costs over the entire block. So the claims are in very good standing for a long time. So there are many more Kimberlites. We'll talk a bit later about Orion North.

23:07 And certainly we are an accessible project with close by paved highways and close by electricity. Obviously the electricity source is very, very good from SAS power, cheap power that enabled us to reduce our carbon footprint of the future mine. Extensive work has been completed to date. You've all seen before we did very extensive core drilling, patent core drilling to determine the internal structure of the kimberlites. Large diameter drilling gets grade values in the vertical and the horizontal across the Kimberlite. Underground bulk samples of huge size, 11,000 carats for Star, 2,300 carats for Orion South to do dollar per carat prices for these Kimberlites. And we've shown dollar per carat prices that are essentially at $200 a carat.

24:06 So already our price is high and driven by these larger goods that we are seeing in the evaluation sample. That work has then been confirmed by Rio Tinto's trench cutter program. As you've seen in the past, all of that work has been collated to build up these models of these kimberlites. We now have a very good understanding for our revised resource estimate. We don't have to go back to first principles. We can tie the trench cutter program into our statistical package to great benefit. If we go on to look just at the preliminary economic assessment, which we've spoken about before, 66 million carats over 38-year mine life, 34 years of that being essentially production.

25:01 Base case is $2 billion of NPV, 19% IRR, 3.4 years of payback. Once a project of this magnitude gets going, it generates money very quickly. And 470 million tonnes taken out of the ground, processed at a rate of 45,000 tons per day, pre-production capital cost of $1.4 billion, and a life of mine capex of $1.87. Those numbers will probably go up with the PFS, but we believe that the diamond price and the diamond grade will take care of that. If we look at a future mine layout, we had anticipated in the PEA that we would mine Orion South first. There is a benefit in doing that because there is 30 meters less overburden.

25:50 We also have high-grade kimberlite in direct contact with the overlying till, which generates much quicker cash flow than we have on star, where you have deeper overburden, and we have some lower-grade kimberlite on the top with very, very interesting high grade stuff underneath. So certainly we get our payback on Orion South And then we get into star and there is a seamless transition of mining or overburden clearing mining and then overburden clearing so that the mining will be continuous and there'll be no interruption in the carrot flow. High value stones, certainly we've seen these before and a few of these are laid out in the display cabinet over there. The yellow 1 you need to get into the natural light to see its true yellow colour.

26:45 But again, Type IIa's that are gin and tonic white are there, both in Orion South and in Star. That's what we like to see, high-value stones. Those 2 internally flawless octahedra, very, very good for creating brilliant cut round stones. You get 2 brilliants out of an octahedral diamond.

27:08 So valuable stones are most important in this project. And then that value lies on the fact that there is an abundance of Type IIa diamonds. As we've seen before, Le Tseng has 29% of a certain size fraction that is Type IIa, ours is 26% for Star overall, and some 13% overall for Orion South, both of which are very elevated because in natural diamond systems and most kimberlites, that number is less than 2%. So Type IIa diamonds, which—and I should emphasize that virtually all of the record diamonds over 100 carats are Type IIa.

27:57 So when you watch the coronation not that long ago of King Charles.

28:02 You saw the scepter and the crown and those Cullinan 1 and Cullinan 2, both of which are Type IIa stones from the 3,106 carat Cullinan diamond found in South Africa in 1906. So that's what we are hoping for in our future. And then we get to Orion North, which we had a press release out this morning. As we've said, that there are some, you know, target for future exploration. We have defined that there are over 500 million tonnes of diamond bearing kimbernite. That's not a resource value yet, but I believe that it will become that in the future. It has a coarse size frequency distribution and there is an anomalously high proportion of type 2A.

28:53 And lo and behold, in today's news release, we separate the 2 units that make up that 52 percent and we see the one has about 41% and the other one has 63% in today's news release. And so that is unheard of. That is very unusual. And as Ewan suggested in his opening remarks, that is like let's say on steroids, but also with an enormous volume of oil. So there's something really attractive at Orion North, hopefully for an incoming party to evaluate and really get a mind going that will last for decades and decades. The way forward, we've done a lot of work which is very beneficial to us. We can build on that work. We don't have to reinvent the wheel. The geological model is defined.

29:49 The revised mineral resource is underway. We are aiming to complete that by the end of June, and we want to then build our pre-feasibility study on that. We have already

30:05 found our contractors who will do the work for the PSS. They have been signed up. We are in the process of signing contracts with them. So that work is well underway. And because of what we've done before, we can build on that work. We don't have to reinvent the wheel and it can proceed quickly. We also need to comment on the potential for what we call carbon mineralization by kimberlite. So kimberlite has its dominant mineral, which is olivine, which is formed under high temperatures and pressures in the mantle. It's an iron or magnesium iron silicate, mostly fosterite in the case of kimberlitic olivine.

30:52 And when it comes to surface, it is at unstable atmospheric temperatures and pressures, and it breaks down quite easily to a mineral called lizardite, which is part of the serpentine group, just to throw out a whole lot of terms that you've got to remember. But that lizardite reacts with atmospheric CO2, and it sequesters or mineralizes CO2 into the olivine structure and keeps it there and takes it out of the atmosphere. So we are working very closely with academics at the University of Alberta, and obviously in Alberta and in Trent University in Ontario,

31:31 to try to benefit from these opportunities with olivine so that we are going to be generating about 20,000 tons of processed olivine per day on the project from our, in our fines that would normally go onto a waste pile. And we want to try to develop a method of accelerating the mineralization of CO2 by those olivine minerals. So that work is under investigation. I think we're back to you, Yu. Thanks George. Truly a stunning project in my mind. And I recall back in March of 2022, when we had the final or next to final Rio Tinto joint venture meeting, they gave us a 246 page presentation of the work they had done in the 2 years we'd been litigating with them. And they did some fantastic work. And one of the things that's always stuck in my mind was their description of taking a 200,000 ton sample.

32:42 They said, if we take a 200,000 ton sample, there will be, based on their stat analysis, at least 100 diamonds greater than 10.8 carats. And out of those diamonds will be at least 1 in excess of 100 carats. We're talking millions and millions and millions of dollars of diamonds in 5 days of mining because we're going to be mining at 47,000 tons per day, according to the PEA. That's just how rich this project truly is. And so we've got a massive undertaking underway. This is a massive project to develop, and it really can't be done without a partnership with the indigenous and local communities, and nor should it be. Our PA suggests this project will kick off $25 billion in cashflow over the first 30 years, more than enough to go around, and it should be shared with everybody, all stakeholders.

33:34 And so we've been in discussions with the indigenous community for the last year and a half. And there've been some stops and starts based on some politics and stuff, but the mission is clear. We are gonna partner with indigenous communities, not just locally, but across the province and perhaps across the country to build this mine. You combine that with the possible carbon neutrality of the project and you start to see something that is truly a record-breaking type of effort, I think. Something that is not out there at this point in time and will benefit everybody. And so we've branded our diamonds here, Kuwait, and this year we've done a couple of things to draw attention to the actual bling nature of our product, because that's what it really is. This is like art.

34:21 It's like mining art. That's what we're going to do. And good art is worth a lot of money. Buffalo Hills Joint Venture. We've been in this project forever and have done nothing on it for over a decade. And one of our directors suggested we should take a look at it again because we were still paying $15,000 a year for the permits. And we had just been given a 30, 33% portion of it split in half between us and Cantera from Oventa. They quit claimed it. So lo and behold, we order up the diamond parcels, have a look at them. And Nelson here and George were shocked. Look at those diamonds. Look at those fancy. No, I got the wrong slide up. Fancy yellow diamonds right there.

35:08 Stunning, anomalous type 2a, greater than 6% at surface in Alberta. We're working on getting the rest of that back now. It's not something that's gonna get in the way of the major project, but it sure as hell could be something worth looking at and taking down the road a little bit. So we're working on that and we hope to have an announcement on that shortly. So that's it for today folks. There's lots of news coming out. I think we've got the right team in place and we just need to get this feasibility financing in place and like I say I'd like to do it by means of a non-dilutive methodology if possible which is a royalty or a streaming agreement. So I'd like to thank you all for coming out, and we're happy to take some questions if you have any. I would say, though, that online, unfortunately, we can't take your questions, but if you send them in, we will get back to you and answer them.

36:01 Any questions? Yeah. I would like to summarize quickly all the events that have to occur before you can say we will develop the line and do a very brief time line for that. Sure, good question. George? So In order to get a mining lease to proceed with production, you have to produce a complete feasibility study, and that is done at a high resolution. There is a lot of information that has to go in there. In order to do a feasibility study, you have to do a pre-feasibility study, which is done at a lower resolution and it would make recommendations for additional work that has to be done in the FS. So we believe we can get through the PFS definitely during next year and into the FS later next year.

37:06 And then how long that takes is dependent on the recommendations made by the PFS, which I would like to think will not be many because of the work we have already done. And so we could get, I have to be cautious with what I say about how quickly we can go, but certainly within 3 years, we could at the quickest, we could probably get a spade into the ground, or a shovel into the ground, or a bucket wheel excavator into the ground. Q. Is that starting to be over-burdened off? A. Yes. That's a best-case scenario. And obviously, if some other party comes in with lots of money to assist us, that certainly could happen. They might want to do other bits and pieces, but certainly there would be a change in the short term.

38:03 The star of the media, the South- Orion South, yes. Do you know what's happening with the leaders, multiple persons come off the stage? Absolutely, yes. Short term. Orion South, yes. Absolutely, yes. So that's all been in the PEA, We did detailed work on that. Obviously, that's taken up a notch in the next go around. That was 6 years ago. Prices have changed. We need to do that. We have, as part of our vendors or the people, the contractors that we're using, we will be talking to TACRAF, who make the bucket wheel excavators, to ensure that our costs are accurate for that work. We do, yes, We do. I won't tell you the number now, I don't have it in my head, but we know the number.

38:51 Yes. The tonnage. Mark, can we say the tonnage? For the, that has to come off over the top? And then, for all the capacity, we have to have 100 tons of the tonnage. Yes. That's what we're asking for the final structure. Yes. Audience Member 1 Yes. Audience Member 1 Obviously, we want to, we are in the process of working at steepening the slopes for every degree of slope that we can raise. We lose a lot of overburden that we have to remove. So rather put the money into steepening the slopes with some engineering than just have a very laid back project but you have to strip forever. Are there any pending government or environmental permit requirements to follow up?

39:39 There was the... Just repeat the question online. Okay. So the question is, are there additional permits required to go into production? The answer is yes, but we must remember that after the feasibility study in 2011, both the federal government in 2014 approved that EIS, so that's a big step forward. The provincial government approved it. It had a five-year mine life which expired in November last year. And so we need to update the provincial EIS. There has been a change for depositing water into the Saskatchewan River from the federal government. We would need to update that. But as I've said, for building these PFS and FS, we don't have to go back to the beginning and start again. We have a lot of information on which we can build and we well advanced in that permitting process. Yes. Thank you, George.

40:53 It's also worth noting that the province has been very helpful in moving this along. You know, we transferred all these properties again back from Rio to us and we did it in record time. And there was no environmental work of any note required to do that. So I think it bodes well for the future. And, you know, Minister Breiter has been gone on record as saying he fully supports this project. So I have no doubt we will move it forward very quickly. Any more questions? Okay, thanks very much, everybody. Take a look at the diamonds and grab the pastry and to those online, Thank you for joining us as well.