Prospect Resources Ltd. · ASX:PSC
Prospect Resources — Investor Presentation (November 2018)
21 slides from Prospect Resources's investor presentation, Nov 19, 2018
Slide 1: Prospect Resources Arcadia Lithium Project
Prospect Resources Arcadia Lithium Project www.prospectresources.com.au Definitive Feasibility Study release -2.4Mtpa Base Case ASX: PSC 19 NOVEMBER 2018
Slide 2: Disclaimer & Competent Person's Statements
Disclaimer & Competent Person’s Statements Disclaimer 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 employees
Slide 3: Prospect Resources Overview
Prospect Resources Overview Emerging Lithium and battery minerals company An African focused ASX listed lithium and battery minerals company identifying, exploring and developing assets in Zimbabwe Strategically Focused 87%1 ownership of the leading Arcadia Lithium Project, located near Zimbabwe’s c
Slide 4: Corporate Summary
Prospect Resources Overview Corporate Summary Market Data 16/11/2018 Share Price Graph Shares Outstanding 1,986m 0.08 250.0 Key Recent Announcements Market Capitalisation (A$) 52m 0.07 200.0 0.06 31 10 2018 Quarterly Cashflow Report Current Share Price 2.6c 0.05 150.0 Shares Options Outstanding 305m
Slide 5: Board of Directors
Board of Directors Hugh Warner Sam Hosack Duncan (Harry) Greaves B.Eco B.Eng (Hon), MBA, GAICD B.Sc (Agriculture) Executive Chairman Managing Director Executive Director Mr Warner is an investment banker with over 25 years’ Mr Hosack is a third generation Zimbabwean with over 15 years Mr Greaves is
Slide 6: Arcadia DFS Summary
Arcadia DFS Summary Delivers strong project economics driven by scale, low cost of operations and proximity to infrastructure Average annual production of approximately 212,000tpa of 6% spodumene concentrates, 216,000tpa of petalite concentrate and 188,000lbs of tantalum LOM revenues of US$2.93
Slide 7: Arcadia Lithium Project
Arcadia Lithium Project A conventional open pit mining operation Arcadia Lithium Deposit Ore Reserve Estimate Tonnes Li2O Ta2O5 Li2O Ta2O5 Fe2O3 Category (Mt) (%) (ppm) (t) (Mlbs) (%) Proved 8.0 1.36 128 109 000 2.2 0.93 Probable 18.9 1.28 127 242 000 5.3 1.25 TOTAL 26.9 1.31 128 351 000 7.6 1.15 LO
Slide 8: Well positioned globally in terms of size and grade
Arcadia Lithium Project Well positioned globally in terms of size and grade 3.5 3.0 2.5 Greenbushes, Tianqi Pakeagama Lake, FL 2.0 Lithium Grade (% Li2O) Goulamina, BGS Whabouchi, NMX Pilgangoora, PLS Separation Rapids, AVL Arcadia, PSC 1.5 Authier, SYA Pilgangoora, AJM Mt Cattlin, GXY 1.0 Bald Hill
Slide 9: Process Facilities
Process Facilities Strong Lithium and Tantalum Recovery 3 Products & Recovery Processes: 1. Petalite Recovery (Gravity) - High grade petalite concentrate (4%) 2. Tantalum Recovery (Low/High intensity magnetic) - High grade tantalum concentrate (25%) 3. Spodumene Recovery (Flotation) - High grade che
Slide 10: Project Implementation
Project Implementation Path forward to Financing, Development and Production ARCADIA PROJECT DELIVER SCHEDULE 2018 2019 2020 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D DFS FUNDING UPDATE REGULATORY APPROVALS MINING CONTRACT CONTRACTOR
Slide 11: Financial Evaluation
Financial Evaluation Financial validation to transition into development Operating Parameters Units Value Life of mine modelled (All open pit) Years 12 Plant throughput Mtpa 2.4 The financial outcomes of the DFS position Average lithia head grade % 1.35% Arcadia to become the first Lithium Average l
Slide 12: Lithium Market
Lithium Market Arcadia’s products are suitable for multiple end use sectors The Arcadia project is in a relatively unique Lithium consumption by sector position that it has the possibility of being able to place its lithium concentrates both in the chemical and the glass/ceramics markets Many ha
Slide 13: Lithium Market: Pricing Outlook
Lithium Market Pricing Outlook Prospect has reviewed the forecast lithium carbonate price from industry analysts and has adopted prices in line or in the lower range of the forecasts The pricing formula has been applied to determine the Spodumene and Petalite prices which includes the pricing st
Slide 14: Offtake Partner
Offtake Partner Sinomine Resource Group Founded in 1999, Sinomine Resource Exploration Co., Ltd., (part of Sinomine Resources Group Co., Ltd.) 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, Chi
Slide 15: Summary: Investment Highlights
Summary Investment Highlights African focused Well positioned Strong project Path forward to Offtake agreement ASX listed Lithium Resource economics Financing, in place and emerging Lithium in regards to both demonstrated in Development and positioned to and Battery scale and grade DFS Production ca
Slide 16: Contact
INVESTORS MEDIA Sam Hosack info@prospectresources.com.au Managing Director shosack@prospectresources.com.au SOCIAL 16
Slide 17: Appendices
Appendices 17
Slide 18: Arcadia Mineral Resource Estimates
Arcadia Mineral Resource Estimates Approximately 2,000,000 tonnes of Lithium Carbonate Equivalent (LCE) High Grade Zone - 1% Li2O Cut-off* Ta2O5 Ta2O5 Category Tonnes Li2O % Li2O Tonnes ppm 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
Slide 19: Arcadia Ore Reserve Estimates
Arcadia Ore Reserve Estimates Contains ~868,000 tonnes of Lithium Carbonate Equivalent (LCE) Arcadia Lithium Deposit Ore Reserve Estimate (>1% Li2O)* Li2O Ta2O5 Li2O Fe2O3 Category Tonnes Ta2O5 (Mlbs) (%) (ppm) (t) (%) Proved 8,000,000 1.36 128 109,000 2.2 0.93 Probable 18,900,000 1.28 127 242,000 5
Slide 20: Zimbabwe
Zimbabwe A rich history in mineral exploration and mining Share of Mineral Value in 2017 Zimbabwe has a vast mineral wealth consisting of Other over 60 minerals including platinum, chrome, Chrome Coal 10% 3% Gold 5% 40% gold, lithium, coal, tin, copper, limestone, coal- Nickel 5% bed methane, natura
Slide 21: Zimbabwe
Zimbabwe New Government that’s open for business Since the change in Government, foreign investment in the country has flourished driven by a focus on Zimbabwe’s Infrastructure, Mining and Resources: 5 November 2018 The Zimbabwe Investment Authority had by June this year received 165 business applic
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