Kore Potash Plc · LSE:KP2
Kore Potash — Investor Presentation (November 2024)
26 slides from Kore Potash's investor presentation, November 2024
Slide 1: Kore Potash Update
Kore Potash Update November 2024 PRIVATE & CONFIDENTIAL
Slide 2: Disclaimer
Disclaimer This presentation (the “ has been prepared and issued by the directors of Kore Potash plc (“ or the " and, together with its subsidiaries, the “ By attending (whether in person or by telephone) or reading the Presentation, you agree to be bound by the conditions set out below. The Present
Slide 3: Disclaimer (continued)
Disclaimer (continued) No representations, express or implied, are given in, or in respect of, the Presentation, including as to the fairness, accuracy or completeness of the contents of this Presentation or any other statement made or purported to be made in connection therewith, or that any of the
Slide 4: Kore Potash
Kore Potash • Kore has 97% ownership of the Kola and DX Potash projects in the Sintoukola Basin, located in the Republic of Congo • Kola is among the highest grade and shallowest Muriate of Potash (“MoP”) undeveloped potash projects globally • Kola has been designed with a nameplate production capac
Slide 5: Why Potash?
Why Potash? PRIVATE & CONFIDENTIAL
Slide 6: Food for thought
Food for thought Critical Minerals vs Criticality of Food Facts: • Plants are essential to human survival • Soil nutrients are essential for plant development. The 3 most important elements are Nitrogen, Phosphorus and Potassium (NPK). • Each harvest depletes the soil of nutrients and, especially in
Slide 7: More potash needed to feed the world
More potash needed to feed the world The world will need to grow 50% more food by 2050 to feed an … while global arable land per person is declining anticipated population of 9 billion people... sharply 0.4 0.35 Hectares per person 0.3 0.25 0.2 0.15 0.1 1960 1963 1966 1969 1972 1975 1978 1981 1984 1
Slide 8: Potash market dominated by MoP
Potash market dominated by MoP Potassium sold globally in two main forms along with three minor products Muriate of Potash (MoP) Sulphate of Potash (SOP) Represents 93.2% of the potash market. Potash Market Represents 4.6% of market volume. Used by MoP is potassium chloride (KCl). Used for a crops w
Slide 9: Kore Potash, Kola Project
Kore Potash, Kola Project PRIVATE & CONFIDENTIAL
Slide 10: Kore Potash – developing the next Potash jurisdiction
Kore Potash – developing the next Potash jurisdiction • Globally significant Muriate of Potash deposits in the Republic of Congo (RoC) • Potentially one of the lowest cost suppliers in the global potash industry • Ideally located to Brazilian and high growth African markets • EPC Contract signed on
Slide 11: Sintoukola Potash District
Sintoukola Potash District 1 1 Kola Deposit Sylvinite Ore Reserves 151Mt @ 32.5 KCI Sylvinite Mineral Resources 848Mt @ 34.8 KCI Carnallite Mineral Resources 2,049Mt @ 18.5 KCI 2 2 DX Deposit 3 Sylvinite Ore Reserves 9Mt @ 35.7KCI Sylvinite Mineral Resources 129Mt @ 24.8 KCI 3 Dougou Deposit Carnall
Slide 12: Kola – a viable world-class asset
Kola – a viable world-class asset • Projected Low Cost / High Grade: • Shallow • High grade with very low insolubles Kola sylvinite Ore Reserves, Mineral Resources and • Close to the coast Exploration Target (JORC 2012) • Own dedicated jetty – no reliance on State infrastructure Measured + Indicated
Slide 13: Kola EPC contract signed
Kola EPC contract signed PRIVATE & CONFIDENTIAL
Slide 14: EPC contract signed November 2024
EPC contract signed 19 November 2024 14
Slide 15: EPC contract details
EPC contract details • EPC is a fixed-price contract, with a price of US$1.929 billion signed with PowerChina • critically minimises cost overrun risks to the Company • approximately US$708.9 million is allocated to build transportation links • PowerChina has proven potash mine expertise, is a Fortu
Slide 16: Why Kola will succeed
Why Kola will succeed Among the shallowest MoP projects globally Among the highest grade undeveloped potash • Shaft bottom 270 m below surface deposits globally • Shallow deposit creates opex and capex advantage • Deposits of comparative grade to Kola are over 1,000 m deep • Grade a key driver of hi
Slide 17: Kore significant cost advantage
Kore significant cost advantage Entry into the EPC reaffirms the board's aim for Kore Potash to become one of the lowest cost producers globally for the Brazilian agricultural market and high growth African markets. MOP cfr Brazil cost curve, 2023 300 $/t Ocean freight 278 Inland freight 260 30 250
Slide 18: Brazil Blending
Brazil Blending Granular MOP is consumed in Brazil for producing bulk blends • The NPK industry is one of the main MOP consumers in Brazil, producing high-K-content blends. • Brazilian agricultural practices have been strongly influenced by the US, with bulk blending being the preferred method of ge
Slide 19: Kore – Overcoming the Financing Hurdle
Kore – Overcoming the Financing Hurdle • Problem: • Traditional project financing of a circa US$2 Billion project in a young mining jurisdiction is not feasible (Potash + Greenfield + RoC). • Solution: • Debt and royalty financing package to be negotiated with the Summit Consortium for Kore Potash t
Slide 20: Kore – Overcoming the Financing Hurdle
Kore – Overcoming the Financing Hurdle • US$1.93bn commitment from leading international engineering group • PowerChina International Group have unparalleled expertise and experience • Delivery of project timeline • Straightforward construction process combined with pedigree minimises risk of projec
Slide 21: Indicative Targeted Timeline
Indicative Targeted Timeline The indicative timeline of these major milestones to first production from Kola Project is as follows: • End of February 2025 receipt of the financing term sheet from Summit. • End of April 2025 completion of the Early Works under the Early Works Agreement. • Second half
Slide 22: Summary
Summary PRIVATE & CONFIDENTIAL
Slide 23: Summary
Summary • EPC signed with PowerChina - a leading player in the industry with proven track record • Fixed Price contract which minimises overrun risks to the Company • Contract fortified with reward/penalty mechanisms to incentivise on-time project delivery • Structure expected to facilitate accelera
Slide 24: Board of Directors
Board of Directors David Hathorn André Baya Chairman Chief Executive Officer (Non-Board) David Hathorn is the ex-CEO of the Mondi Group (30 April 2017). The Mondi Group, is a FTSE 100 global André has over 20 years of experience in the global mining and agriculture sectors and brings significant Afr
Slide 25: Major Shareholders, as at October 2024
Major Shareholders, as at 31 October 2024 Shareholder Number of shares % of issued capital Princess Aurora Pte Limited (OIA) 661,885,171 15.21 Harlequin Investments Limited 557,496,443 12.81 Sociedad Química y Minera (SQM 538,210,503 12.37 David Hathorn 373,101,398 8.57 Wadeville International 343,2
Slide 26: Thank You
Thank You www.korepotash.com | info@Korepotash.com PRIVATE & CONFIDENTIAL