Prospect Resources Ltd. · ASX:PSC

Prospect Resources — Investor Presentation (December 2017)

22 slides from Prospect Resources's investor presentation, Dec 11, 2017

  1. Slide 1: 70% increase in Ore Reserve; Conditional Offtake and Placement Agreement

    For personal use only 70% increase in Ore Reserve Conditional Offtake and Placement Agreement to Fully Fund Construction of the Arcadia Lithium Mine A New Government in Zimbabwe December 2017

  2. 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

  3. Slide 3: Arcadia Lithium Project Summary

    Arcadia Lithium Project Summary For personal use only Sinomine to Fully ~808 000t No repayment of Finance & lithium oxide 7 year Offtake for loan until plant is construct Mine & (>2,000,000t lithium 100% of Phase 1 operating at name Plant (under carbonate Production plate capacity and Prospect’s equ

  4. Slide 4: Prospect Resources Background

    Prospect Resources Background  Prospect Resources Limited (ASX:PSC) is a Lithium company Market Data For personal use only based in Perth with operations in Zimbabwe. Shares outstanding 6 Dec 17 1,594,128,296  The Arcadia Lithium Project is one of the largest hard rock lithium resources in the wor

  5. Slide 5: Summary of Conditional Placement & Off-take Agreement

    Summary of Conditional Placement & Off-take Agreement For personal use only  Placement – Sinomine to invest A$10,000,000 via a share placement in Prospect at A$0.05 per share.  Subject to regulatory approvals (including Chinese NDRC, and FIRB); and  the parties executing the Build and Transfer Co

  6. Slide 6: About Sinomine

    About Sinomine For personal use only  Founded in 1999, Sinomine Resource Exploration Co., Ltd., (Sinomine) was spun out from China Nonferrous Metal Mining (Group) Co., Ltd and is now a modern integrated geo-tech services company with head offices in Beijing, China.  The company is listed on the Sh

  7. Slide 7: Conversion of Spodumene and Petalite to Battery Grade Lithium Carbonate

    Conversion of Spodumene and Petalite to Battery Grade Lithium Carbonate For personal use only β-spodumene – post Petalite & decrepitation of spodumene & Spodumene Ore petalite Battery Grade lithium carbonate Milled β-spodumene Prospect Resources 7

  8. Slide 8: Plant Design - following a simple flow sheet

    Plant Design - following a simple flow sheet For personal use only Proposed Crushing Circuit Proposed Plant Layout Proposed Milling & Float Proposed DMS Circuit Circuit Prospect Resources 8

  9. Slide 9: Arcadia Lithium Project Location, Infrastructure and Resources

    Arcadia Lithium Project Location, Infrastructure and Resources For personal use only  Arcadia is conveniently located and has excellent access to infrastructure and resources: − approximately 35 km East of Harare − less than 20 km gravel road to sealed highway − less than 20 km from railway to Beir

  10. Slide 10: Arcadia Lithium Project Highlights

    Arcadia Lithium Project Highlights 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 71 % L

  11. Slide 11: Global Hard Rock Lithium Resources

    Global Hard Rock Lithium Resources 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 estimation met

  12. Slide 12: 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

  13. Slide 13: 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%

  14. Slide 14: Case For Lithium

    Case For Lithium 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 vehicle sales to be

  15. Slide 15: Lithium Demand has Outpaced Supply

    Lithium Demand has Outpaced Supply Resulting in significant increase in lithium prices 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)  Current Contracts • Nov 16 Galaxy

  16. Slide 16: Appendix I: Profiles of Board Members, Key Management and Consultants

    For personal use only APPENDIX I Profiles of Board Members, Key Management and Consultants Prospect Resources 16

  17. Slide 17: 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

  18. Slide 18: 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

  19. Slide 19: Profiles – Technical Consultants

    Profiles –Technical Consultants For personal use only Mr Miller is a mining engineer with 33 years’ experience in the mineral resource industry. In the last ten years he has David Miller held in a number of senior business development roles including the assessment, development and product marketing

  20. Slide 20: Appendix IV: Arcadia Lithium Mine – Processing and Logistics

    For personal use only APPENDIX IV Arcadia Lithium Mine – Processing and Logistics Prospect Resources 20

  21. Slide 21: Arcadia Lithium Project - Processing & Logistics

    Arcadia Lithium Project - Processing & Logistics For personal use only  Extensive metallurgical testwork completed  Total recoveries 71%, process optimisation continues  Simple open pit, and short haul to communition and process plant  Sufficient ground and surface water with grid power <3km awa

  22. Slide 22: 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 22

Prospect Resources — Investor Presentation (December 2017) on 6ix