Prospect Resources Ltd. · ASX:PSC
Prospect Resources — Investor Presentation (March 2018)
27 slides from Prospect Resources's investor presentation, Mar 13, 2018
Slide 1: Investor Presentation March 2018
For personal use only Investor Presentation March 2018
Slide 2: Disclaimer & Competent Person's Statements
Disclaimer & Competent Person’s Statements The information contained in this presentation or subsequently provided to any recipient of this presentation whether orally or in writing by or on behalf of Prospect Resources For personal use only Ltd (“Prospect Resources or the Company”) or its respectiv
Slide 3: Prospect Resources Background
Prospect Resources Background Prospect Resources Limited (ASX:PSC) an African Battery Minerals Company For personal use only Company has been built around core team made up of: Africa Team - focus on development and exploration Strong and experienced local team with a track record of discovering,
Slide 4: Prospect Resources Background (cont)
Prospect Resources Background (cont) Prospect Resources is a battery minerals company based in Market Data For personal use only Perth with operations in Zimbabwe, and exploration Shares outstanding 28 Feb 18 1,814,448,304 activities in Zimbabwe and the DRC Market Capitalisation (A$) 28 Feb 18 ~87
Slide 5: Arcadia Lithium Project Location, Infrastructure and Resources
Arcadia Lithium Project Location, Infrastructure and Resources For personal use only Arcadia is located and has excellent access to infrastructure and resources: − approximately 35 km East of Harare − less than 20 km gravel road to sealed highway − Beira, 450 km away with potential rail route − gr
Slide 6: Arcadia Lithium Project Summary
Arcadia Lithium Project Summary For personal use only Pre Feasibility Excellent Study – detailed Globally Significant Location & review “Break ground” in Hard Rock Resource Surrounding undertaken Q2 2018 Infrastructure January - March 2018 Phase 1- Mine and Concentrate Plant Post a detailed review o
Slide 7: Current Project Status Post Detailed Review of PFS
Current Project Status Post Detailed Review of PFS For personal use only Significant further work has been undertaken by the Prospect team reviewing the Pre Feasibility Study for the development of the mine, plant and related infrastructure Resource Logistics • c.$10M spent on drilling • Detailed di
Slide 8: Team Responsible - Mine and Plant Development
Team Responsible - Mine and Plant Development For personal use only Prospect’s senior team responsible for the development of the project are hugely experienced having successfully delivered large complex mine and plant projects in the region The team has a unique blend of experience to take Arcadia
Slide 9: Arcadia Lithium Project - High Level Use of Funds
Arcadia Lithium Project - High Level Use of Funds Breakdown For personal use only Breakdown Per PFS Model Result (USD M) − Crushing and Screening $2.8 − DMS $3.7 − Flotation $9.8 − Filtration Drying Bagging $4.1 − Reagents and Stores $4.1 − Engineering and Services $4.6 − Utilities, Infrastructure,
Slide 10: Arcadia Lithium Project Highlights Updated
Arcadia Lithium Project Highlights Updated Description Result/ Output For personal use only Mineral Resource at 1% Li2O Cutoff 43.2 Mt @ 1.41 % Li2O Ore Reserve 26.9 Mt @ 1.31 % Li2O & 128 ppm Ta2O5 Plant Throughput 1,200,000 tpa Life of Mine (LoM) +20 years Li2O Recovery DMS, Spirals and Flotation
Slide 11: Arcadia Lithium Project High Level Investment Returns
Arcadia Lithium Project High Level Investment Returns Summary – Phase 1 - Mine and Concentrate Plant Only For personal use only Result (USD) Model Output Summary: − Pre-Tax Net Present Value at 10% $340M − Internal Rate of Return 77% − Gross Revenue LoM $2.6B − OPEX LoM $1.6B − Net Cash flow $1.0B −
Slide 12: Electric Vehicles Drive Demand
Electric Vehicles Drive Demand For personal use only Electric Vehicles (“EVs”) are about to reach tipping point in penetration, and as a result investment in battery technology and production is rising rapidly China target 2025 20% of vehicle production to be EV Britain 2040 deadline all vehic
Slide 13: Lithium Demand has Outpaced Supply
Lithium Demand has Outpaced Supply Resulting in significant increase in lithium prices USD13,630/t For personal use only Source: GTIS - www.gtis.com 6% Li2O Spodumene Concentrate Prices • 2014 Greenbushes USD390/t CIF China (est) • 2015 Greenbushes USD425/t CIF China (est) • 2016 Greenbushes USD47
Slide 14: Global Hard Rock Lithium Resources – Supply
Global Hard Rock Lithium Resources –Supply For personal use only Note: Hard Rock refers to all pegmatite hosted Li deposits only. Mineral Resource estimates for Projects other than Arcadia have been sourced from Company Public Domain sources. These estimates have been prepared under differing estima
Slide 15: Global Hard Rock Lithium Resources
Global Hard Rock Lithium Resources For personal use only Arcadia contains over 2 Mt of Lithium Carbonate Equivalent (LCE) Shows significant rerating of projects when construction commences Prospect appears undervalued when compared to its peers, as shown by market capitalisation – potential ca
Slide 16: Lithium Carbonate Opportunity
Lithium Carbonate Opportunity Battery Grade Lithium Carbonate from Arcadia Petalite Prospect has a significant opportunity to build a chemical plant for lithium For personal use only carbonate (or potentially hydroxide) conversion on site at Arcadia Company is currently working on a PFS for the li
Slide 17: Lithium Carbonate Pilot Plant Process
Lithium Carbonate Pilot Plant Process For personal use only Atomic Absorption Spectrometer for various elemental analyses Petalite post decrepitation at processed at >100 kg per day Acid mixing and baking process Evaporator condensers – for lithium salt concentration Chiller units for the evaporatio
Slide 18: Prospect Resources Exploration
Prospect Resources Exploration Prospect has: For personal use only A world class mineral exploration team with a proven track record Strong network and reputation in the region Assessing various regional mineral opportunities focused on, but not limited to, battery minerals Prospect currently
Slide 19: Profiles – Board Members
Profiles – Board Members Prospect Resources board of directors, management and technical consultants have extensive experience and For personal use only demonstrated capacities in the commercialisation of mineral ores in Zimbabwe and across Africa. Mr Warner holds a Bachelor of Economics from the Un
Slide 20: Profiles – Key Management
Profiles – Key Management For personal use only Mr Hilbrands has worked as CFO for a number of public companies listed on the ASX and AIM, primarily resources Chris Hilbrands focused. Mr Hilbrands has been responsible for the day to day financial and administrative operations together with (Group CF
Slide 21: Profiles – Key Management (cont)
Profiles – Key Management (cont) For personal use only Mr Kitney is a practising Metallurgist with over 46 years experience in mineral processing ranging from R&D, operations management. Also lately project design, construction and commissioning. Minerals exposure includes alumina, Mike Kitney phosp
Slide 22: Appendix I: Arcadia Mineral Ore Reserve & Resources Estimation
For personal use only APPENDIX I Arcadia Mineral Ore Reserve & Resources Estimation 22
Slide 23: Arcadia Ore Reserve
Arcadia Ore Reserve Arcadia Lithium Deposit Ore Reserve Estimate* For personal use only Li2O Ta2O5 Li2O Ta2O5 Fe2O3 Category Tonnes (%) (ppm) (t) (Mlbs) (%) Proved 8,000,000 1.36 128 109,000 2.2 0.93 Probable 18,900,000 1.28 127 242,000 5.3 1.25 TOTAL 26,900,000 1.31 128 351,000 7.6 1.15 • Ore Reser
Slide 24: Arcadia Mineral Resource Estimates
Arcadia Mineral Resource Estimates For personal use only High Grade Zone - 1% Li2O Cut-off* Category Tonnes Li2O % Ta2O5 ppm Li2O Tonnes Ta2O5 Mlbs Measured 10,200,000 1.45% 132 148,100 3.0 Indicated 27,200,000 1.39% 119 378,400 7.1 Inferred 5,800,000 1.45% 97 84,000 1.2 GRAND TOTAL 43,200,000 1.41%
Slide 25: Appendix II: Arcadia Lithium Mine – Processing and Logistics
For personal use only APPENDIX II Arcadia Lithium Mine – Processing and Logistics Prospect Resources 25
Slide 26: Arcadia Lithium Project - Processing & Logistics
Arcadia Lithium Project - Processing & Logistics For personal use only Extensive metallurgical testwork completed Total recoveries 67%, process optimisation continues Simple open pit, and short haul to communition and process plant Sufficient ground and surface water with grid power <3km awa
Slide 27: For further information, please contact
For personal use only For further information, please contact Hugh Warner Harry Greaves Prospect Resources Prospect Resources Executive Chairman Executive Director Mobile: +61 413621652 Mobile:+263 772144669 www.prospectresources.com.au Prospect Resources 27
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