Prospect Resources Ltd. · ASX:PSC
Prospect Resources — Shareholder Meeting (June 2021)
36 slides from Prospect Resources's shareholder meeting presentation, Jun 25, 2021
Slide 1: General Meeting Presentation ASX Announcement
ASX ANNOUNCEMENT 25 June 2021 ASX.PSC FRA.5E8 XX November 2018 General Meeting Presentation For personal use only Prospect Resources Ltd (ASX: PSC, FRA:5E8) (“Prospect” or “the Company”) is pleased to provide the attached Presentation being given by Managing Director, Sam Hosack at the Company’s Gen
Slide 2: Prospect Resources June General Meeting
PROSPECT RESOURCES JUNE GENERAL MEETING June 2021 ASX:PSC | FRA:5E8 VLAN Prospect Resources
Slide 3: Important notices
Important notices Caution Regarding Forward Looking Information 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 Ltd ("Prospect Resources or the Company’) or its respective
Slide 4: Agenda
Agenda SS € 1) Resolutions, proxies and voting a Market and project update O fe (0) a eR {e} 5} wn For personal use o LN Prospect Resources
Slide 5: Overview of proxy votes
Overview of proxy votes I Resolution 1 Re-election of Mr Devidas Shetty as Director 114,964,415 173,000 14,730 2,980,613 Resolution 2 Re-election of Mr Mark Wheatley as Director 115,064,415 73,000 17,730 2,977,613 Resolution 3 Ratification of Prior Issue of Placement Shares issued under Listing Rule
Slide 6: Resolution 1: Re-election of Devidas Shetty
For personal use only PROXY VOTES VOTING INTENTION NUMBER % “That Devidas Shetty, a Director appointed as an additional Director and holding office until the next For 114,964,415 97.33 general meeting of the Company after his appointment in accordance with the Company’s Discretionary 2,980,613 2.52
Slide 7: Resolution 2: Re-election of Mark Wheatley
For personal use only PROXY VOTES VOTING INTENTION NUMBER % “That Mark Wheatley, a Director appointed as an additional Director and holding office until the next For 115,064,415 97.42 general meeting of the Company after his appointment in accordance with the Company’s Discretionary 2,977,613 2.52 C
Slide 8: Resolution 3: Ratification of placement shares
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 65,683,784 95.43 “That, for the purposes of ASX Listing Rule 7.4 and for all other purposes, the Shareholders ratify the Discretionary 2,977,613 4.33 allotment and prior issue of 8,081,285 ordinary fully paid shares, issued on 23 April
Slide 9: Resolution 4: Ratification of placement shares
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 65,683,784 95.43 “That, for the purposes of ASX Listing Rule 7.4 and for all other purposes, the Shareholders ratify the Discretionary 2,977,613 4.33 allotment and prior issue of 33,209,037 ordinary fully paid shares, issued on 23 April
Slide 10: Resolution 5: Ratification of lead manager options
For personal use only PROXY VOTES VOTING INTENTION NUMBER % “That, for the purposes of ASX Listing Rule 7.4 and for all other purposes, the Shareholders ratify the For 114,287,352 96.78 allotment and prior issue of 13,500,000 unlisted options issued on 23 April 2021 and otherwise on the terms and co
Slide 11: Resolution 6: Placement shares to Mark Wheatley
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 112,895,882 95.59 “That, for the purposes of ASX Listing Rule 10.11 and Discretionary 3,009,299 2.55 for all other purposes, the Shareholders of the Company approve the issue and allotment of 645,162 Against 2,197,847 1.86 fully paid or
Slide 12: Resolution 7: Options to Sam Hosack
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 110,081,188 94.98 Discretionary 3,009,299 2.60 “That, for the purposes of ASX Listing Rule 10.11 and for all other purposes, the Shareholders of Against 2,814,541 2.43 the Company approve the issue and allotment of 6,000,000 unlisted op
Slide 13: Resolution 8: Options to Mark Wheatley
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 112,084,132 95.06 Discretionary 3,009,299 2.55 “That, for the purposes of ASX Listing Rule 10.11 and for all other purposes, the Shareholders of Against 2,811,597 2.38 the Company approve the issue and allotment of 2,000,000 unlisted op
Slide 14: Resolution 9: Options to Devidas Shetty
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 112,081,188 95.06 Discretionary 3,009,299 2.55 “That, for the purposes of ASX Listing Rule 10.11 and for all other purposes, the Shareholders of the Against 2,814,541 2.39 Company approve the issue and allotment of 1,000,000 unlisted op
Slide 15: Resolution 10: Options to Gerry Fahey
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 111,056,188 95.02 Discretionary 3,009,299 2.57 “That, for the purposes of ASX Listing Rule 10.11 and for all other purposes, the Shareholders of Against 2,811,541 2.41 the Company approve the issue and allotment of 1,000,000 unlisted op
Slide 16: Resolution 11: Options to Henian Chen
For personal use only PROXY VOTES VOTING INTENTION NUMBER % For 112,081,188 95.06 Discretionary 3,009,299 2.55 “That, for the purposes of ASX Listing Rule 10.11 and for all other purposes, the Shareholders of Against 2,814,541 2.39 the Company approve the issue and allotment of 1,000,000 unlisted op
Slide 17: Resolution 12: Acquisition of shares in Prospect Lithium Zimbabwe
For personal use only PROXY VOTES VOTING INTENTION NUMBER % “That, subject to the passing of Resolution 13, for the purposes of ASX Listing Rule 10.1 and for all For 105,193,181 97.20 other purposes, approval is given by the Shareholders of the Company to complete the Discretionary 2,982,613 2.76 ac
Slide 18: Resolution 13: Consideration shares to Farvic
For personal use only PROXY VOTES VOTING INTENTION NUMBER % “That, subject to the passing of Resolution 12, for the purposes of ASX Listing Rule 10.11 and for all For 105,019,285 97.05 other purposes, approval is given for the Company to issue up to 9,497,680 Consideration Discretionary 3,012,299 2.
Slide 19: Market and Project Update
PROSPECT RESOURCES MARKET AND PROJECT UPDATE June 2021 ASX:PSC | FRA:5E8 VLAN Prospect Resources
Slide 20: Lithium market momentum
>Lithium marketmomentum EV adoption accelerating * EV take-up still in its infancy globally Widening deficits expected from 2022 Global lithium demand * China and Europe leading the way 200.0 Surplusideficit 2,000") Chemicalindustia Consumer battery 0.0 | 1,800 ESS (fixed) battery EV battery = Europ
Slide 21: Prospect at a glance
Prospect at a glance 0 Bject developmen ra ce ot plant production in 20 CY202 high-value petalite market integration \ BM Optimised Feasibility Study in 30 CY2021 and project financing initiatives in 49 4 LN Prospect Resources Capital structure Top shareholders 68% 20
Slide 22: Zimbabwe on the rise
Zimbabwe on the rise Foreign investment set to return Significant positive momentum over the last 12 months - Sharply lower inflation and relative currency stability - Government/monetary transparency and policy stability Mining is a key sector to the Government's 2030 vision; high significance of A
Slide 23: The world-class Arcadia Li Project
The world-class Arcadia Li Project Africa's most advanced Li development v v v v Prospect 70% ownership, increasing to 87%! Definitive Feasibility Study completed in December 2019 Fully permitted to commence production Close proximity and access to skilled labour force and all requisite infrastructu
Slide 24: For personal use only
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Slide 25: Low cost, high purity products
Low cost, high urity products Dual access to battery and high-value ceramics end markets * Arcadia premium products | Spodumene projects operating cash cost (US$/t) - 6%Li,O spodumene conc. (Fe,O3 < 0.80%)- chemical grade 800 686 - 4%Li,O petalite conc. (Fe,O3 < 0.5%) - chemical grade 700 - 4%Li,O p
Slide 26: The petalite opportunity
The petalite opportunity Premium market pricing and dynamics Technical grade petalite sells for a premium versus Historical lithium concentrate pricing (US$/t)' chemical grade spodumene $1,400 90% *" Technical market pays for Value In Use (VIU) of petalite 5, 44, = 80% . . ~ - 70% * Petalite concent
Slide 27: For personal use only
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Slide 30: Optimised Feasibility Study
Optimised Feasibility S = Set for completion in 30 CY2021 Study Manager - Further level of Delineates staged Incorporates In discussions with strategic External, technical rigour pathway and Front End partners for project finance Lycopodium and specificity optimised capital / Engineering and + Bulk
Slide 31: Arcadia: a highly strategic Li asset
Arcadia: a highly strategic Li asset S = Ww Fully permitted, world-class Arcadia Lithium Project in southern Africa B Low cost, high purity lithium products with established offtake into Europe and Asia 4 & BB Cleat\pathway to production with low-capital modular development strategy x 4 Pilot plant
Slide 32: Nick Rathjen
Nick Rathjen For personal use only LN Prospect Resources
Slide 33: Appendix A: Feasibility Study outcomes
Ker Appendix A [eonamompionmm easibility Study outcomes ~ Processing (inclusive crushing) 136 General administration and selling costs 32 7 7 Cash operating costs (before tantalite credit and royalties and government Processing Plant Size 2.4Mtpa marketing costs) 335 Ore Reserve 37.4Mt Less tantalum
Slide 34: Appendix B: Peer comparative sources
Appendix B Peer comparative sources FFX ASX release dated 20 October 2020, Includes mining, processing, transport, treatment and refining costs. Excludes royal Firefinch (ASX: FFX) Goulamina, Mali 281 (FOB) ° Goulamina Lithium Project Confirmed as World site closure & rehabilitation costs. Class Dep
Slide 35: Appendix C: Spodumene concentrate opex after petalite credit
Appendix C Spodumene concentrate opex (after petalite credit) [Spedumene concentrate opexiafter petalte credits) USS) Average LoM COGS Spodumene US$268.00 Petalite chemical US$428.00 Petalite technical US$458.00 Petalite chemical Revenue per tonne US$483.00 Cost per tonne (US$428.00) contribution US
Slide 36: Lithium conversion to LCE table
For personal use only Product Lithium Contained Conversion to LCE Lithium metal 100 5.319 Lithium oxide (lithia) 46.4 2.468 Chemical Lithium Carbonate 18.8 1.000 Lithium hydroxide 16.5 0.878 Lithium chloride 16.3 0.867 Spodumene (6% Li2O concentrate) 2.8 0.149 Mineral Petalite (4% Li2O concentrate)