Sage Potash Corp. · TSXV:SAGE
Sage Potash — Investor Presentation (May 2024)
26 slides from Sage Potash's investor presentation, May 2024
Slide 1: Sage Plain Potash Project
S A GE PL A I N PO TA S H PR O J E C T TSXV: SAGE - OTC: SGPTF
Slide 2: Forward Looking Statement
Forward Looking Statement The information included in this presentation is forward-looking and is subject to uncertainties and risks. The results or events predicted in this presentation may differ materially from actual results or events. Such information is sometimes accompanied by words such as “
Slide 3: Key Project Highlights
Key Project Highlights 1 2 3 4 Highly attractive Large scale and Potential to satisfy Mechanical long-term potash industry high-grade potash significant portion of US evaporation = lower fundamentals tied to long- resource potash demands environmental impact term global megatrends 5 6 7 8 Short-term
Slide 4: Corporate Overview
Corporate Overview ü Sage’s land portfolio consists of nearly 90,000 acres of State and Private Mineral leases and BLM Prospecting Permit Applications ü Local Transportation cost advantage of USD$100 - $150/ton ü Preliminary engineering towards PEA, Feasibility and pilot production ü Optimal geology
Slide 5: A Highly Attractive Location
A Highly Attractive Location Within the Paradox Basin of Southeast Utah Why the Paradox Basin? • Paradox Basin known to host extensive undeveloped world class potash resources • 2 Billion tons *USGS • Cycle 18 Potash Beds have attractive thicknesses and high grade for solution mining • Access to min
Slide 6: Extensive Land Holdings
Extensive Land Holdings • Over 90,000 acres of mineral leases and PPA’s C O R P O R A T E P R E S E N T A T I O N | Q 4 2 0 2 3
Slide 7: Resource Estimate Table
Resource Estimate Table Weighted Weighted Area With In-Place Sylvinite Gross K2O Gross KCl Cycle 18 Thickness Average Average Exclusions Tonnage Tonnage Tonnage Member (m) K2O Grade KCl Grade (km2) (MMT)(a, b, c, d) (MMT)(a, b, c, d) (MMT) (%) (%) Inferred Mineral Resources Upper Cycle 18 10.55 7.26
Slide 8: The Sage Way
The Sage Way “Close to cash” and rational Pioneering a new Short ti- meline to market growth and supply, as scalable production production 1-2 years compared to conventional large- approach in the U.S. vs. 8 10 years scale greenfield projects Expand out of Planned Organic Advanced risk cash flow Cer
Slide 9: Incremental Production Advantages
Incremental Production Advantages Low risk geology for near Staged commissioning and maintenance term production targets Immediate Risk Mitigation Close to Cash Flow into Incremental personnel hiring and training strong potash pricing C O R P O R A T E P R E S E N T A T I O N | Q 4 2 0 2 3
Slide 10: Available Modern Infrastructure
Available Modern Infrastructure A network of highways and roads Located close to low- Access to Educated workforce in and out of the project area, and cost power and available oil with access to local strong highway system to key electricity and gas infrastructure customer areas Progressive, Safe, S
Slide 11: High Grade, Thick Potash Beds & Ideal Formation Temperatures
High Grade, Thick Potash Beds & Ideal Formation Temperatures Potash Cycle 18 Johnson 1 Well Core • Potash beds are continuous based • Grades of 23–27% K2O (36– on seismic work and 14 historic 43% KCl) well correlations • Cycle 18 combined potash zones • Formations are flat lying with of 12.74 m (41.
Slide 12: Solution Mining
Solution Mining At 26°C and above, KCl becomes more soluble than NaCl NaCl-saturated brine dissolves KCl Increasing temperature increases KCl solubility Increasing temperature improves the economics Lower water usage via water recycling Allows for rapid development Lower CAPEX/OPEX Less surface and
Slide 13: Seismic Interpretation
Seismic Interpretation Future Well Placements • The 2D seismic indicates flat, undisturbed Cycle 18 • Pilot well will be placed on a 2D seismic line to reduce the risk • Disposal well will be located between the Sage 1 and Sage 2 pilot wells • A water well to be located nearby Cycle 18 C O R P O R A
Slide 14: Mechanical Evaporation
Mechanical Evaporation ü Reduced water consumption ü Reduced land footprint ü Less visual impact on the surroundings ü Modular “packaged” units for the systematic staging of production expansion ü Increased tolerance to climate/weather impacts ü Year-round production EVALED® RV: mechanical vapor rec
Slide 15: Production/Vertical Configuration
Production/Vertical Configuration Pilot Production 15k TPY Commercial Production 50k -150k TPY Well Field Development 200-500 TPY Single Well Solution Mining Dual Well Solution Mining Multi Cavern Single or Dual Well • Sump development • Directionally drilled from the • Well connection central drill
Slide 16: Conceptual Mining Unit Production Design
Conceptual Mining Unit Production Design • 320-acre mining unit • Ability to support production of 150,000 TPY for 20 years • Existing land position can host up to 70 potential mining units C O R P O R A T E P R E S E N T A T I O N | Q 4 2 0 2 3
Slide 17: Project Schedule
Project Schedule Project Operations 2023 2024 2025 2026 Well(s) Permitting and Engineering Completed Pilot Plant Procurement Drilling, Pre-Production wells Plant operations, permitting and engineering Laboratory Analysis Resource Update Re-enter and core helium well Western natural gas / Twinning ho
Slide 18: Project Economics
Project Economics Robust Commercial Attributes able to withstand historically low market troughs High-grade potash(43% KCl) content with virtually no insolubles or Carnallite Favorable Geology • High formation temperature ideal for potash solution with lowest energy requirements • Thick flat lying b
Slide 19: Potash Demand
Potash Demand Potash demand has had an annual Canadian and U.S. Potash Demand Forecast1 growth rate of 2.5–3% since 20001 14 Canada United States 12 The Canadian and U.S. potash demand is forecast to grow to an estimate of 12.55 million Mt in 2030.1 10 8 Million Metric Tons World demand is driven by
Slide 20: Potash Market
Potash Market Net import reliance of potash in the United States from 2017 to 2022 (in percent) 120% 100% 92% 92% 91% 90% 93% 94% 80% S H A R E The United States is the largest global 60% consumer of Potash, yet it imports 94% of I M P O R T 40% its potash 1 20% 0% 2017 2018 2019 2020 2021 2022 The
Slide 21: Management Team
M AN AG E M E N T TE AM C O R P O R A T E P R E S E N T A T I O N | Q 4 2 0 2 3
Slide 22: Management Team & Directors
Management Team & Directors Peter Hogendoorn Pat Avery CEO, Sage Potash Corp. CEO Sage Potash (US) Corp. • 30 years of financing junior mining and tech • Current Director of Fertoz, an Australian companies, both public and private phosphate company • Owner of Wrenswood Capital Corp for 20 Owner of L
Slide 23: Management Team & Directors (continued)
Management Team & Directors (continued) Selma Sierra | Director Sage Potash (USA) Matthew Lechtzier | Director Gordon Ellis | Director, P. Eng. (retired) David Reid | Director • Recently appointed to Division of Oil, Gas and • Global Co-Chairman of Mining at DLA Piper • Senior VP of Ivanhoe Mines an
Slide 24: Partnership Model
Partnership Model Sage Potash Corp. Partner with Existing SOP/MOP Producers and Distributors • Short-term production/early risk mitigation/ • Dedicated Precursor Supply/Custom Blends high-confidence geology • Joint Marketing Agreements • Proven expertise in solution mining and fertilizer markets • W
Slide 25: Company Share Structure
Company Share Structure Management & Founders 21,437,500 Seed Shareholders 26,907,900 Issued and Outstanding 53,039,905 Directors and Officers Options 8,200,000 Consultant Options 1,300,000 Broker Warrants 795,670 Fully Diluted Pre-Financing 65,388,517 *CEO, Management, & Directors hold approximatel
Slide 26: Thank you
Thank you Contact us: info@sagepotash.com +1.604.236.4182 C O R P O R A T E P R E S E N T A T I O N | Q 4 2 0 2 3