HIGHFIELD RESOURCES LIMITED — Investor Presentation 2012

Sep 13, 2012

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IMPORTANT NOTE:

The acquisition by Highfield Resources of the Navarra and Aragon Potash Projects in Spain are subject to a shareholder approval at a vote planned for 5 October 2012.

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Unique Advantages

1. Former Operating Mine

• A 100% interest in the Navarra Potash Project located in Spain’s Ebro Basin, that includes a former operating mine that averaged 400,000 tonnes of potash pa over 25 years.

• Majority of asset remains under explored and unmined.

2. Additional Ebro Basin Project

• Aragon Potash Project also located in Spain’s Ebro Basin (close to Navarra Potash Project).

• Historic drilling suggests excellent potential for discovery of additional otash resources. p

3. Unparalleled External Infrastructure

• Both Ebro Basin potash assets have access to grid electricity, gas networks, water, transport, industrial ports and labour in a European Union country.

4. Proven In Country Management Team

• In country management team have been responsible for delivering two operating mines in Spain in the past five years.

• Team to hold over 20% of Company’s issued capital on a fully diluted basis.

5. Greenfields Exploration Upside

• Exceptional greenfield exploration asset located in the Canning Basin in Australia’s Kimberley region where salt thickness is over 600 metres at relatively shallow depths.

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1. Potash

What is Potash?

The term potash is used to describe various minerals and chemicals valued primarily for their potassium content. The main source of potash is potassium chloride. Potash is a widely used nutrient fertiliser along with nitrogen and phosphorous. Fertiliser use accounts for approximately 95% of total potash consumption.

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1. Potash

What is Potash?

Its primary role in plants is to support and improve:

• Plant growth;

Sunflower

• Water retention;

• Nutrient value;

• Enzyme activation;

• Yield;

• Taste; and

• Disease resistance.

Potash also helps the milk production process in animals.

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N NP NPK
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1. Potash

How is it formed?

Evaporite Basin Diagram

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http://higheredbcs.wiley.com/legacy/college/levin/0471697435/chap_tut/chaps/chapter10-06.html

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1. Potash

How is it mined?

Solution

Room and Pillar

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http://www.kgs.ku.edu/Hydro/Hutch/SaltMining/index.html 9

What is Potash?, IMEx Consulting 2010

Historical Pricing

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Long Term Fundamentals

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Source: FAO

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Source: FAO

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China, Brazil and India Upside

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Note: “Potential” equates to the scientifically recommended usage.

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3. Spanish Potash Projects

Location

Location in Spain

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Location in Ebro Potash Producing Basin

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Highfield
Iberpotash
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3. Spanish Potash Projects

Location

Two Projects in different sub basins

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Mine
Location
Navarra Aragon
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3. Spanish Potash Projects

Key Market Differentiation

Best Risk / Return Profile

1. Former Operating Mine

• A 100% interest in the Navarra Potash Project that operated as a mine for 25 years averaging close to 400,000 tonnes of potash production per annum through to 1997.

• Majority of this asset remains under explored and unmined.

2. Existing External Infrastructure

• Both projects have access to grid electricity, gas networks, water, transport, industrial ports and labour meaning that economies of scale exist at much lower levels of production.

3. Options exist with respect to mine size

• Mine can be sized with consideration of prevailing economic conditions with expansion able to be cash flowed through sales.

• More options with respect to off take partners at smaller size.

4. European Union Location

• Located in Spain.

• Spanish economy seen as conducive for operations due to labour costs and economic appeal. 15

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Former Operating Mine

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N
F
0 2Km
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5. Aragon Potash Project

Exploration Upside

Drill Holes in Tenement Package

Drill hole results indicate two extensive, shallow beds of potash mineralisation (sylvinite). Significant mineralisation intersected in Pintano area – PP2: 2.48m @ 15.6% K20 from 517.3m Exceptional exploration play proximal to Navarra asset.

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Great Project Location

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Substantial Evaporite

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7. Capital Structure

Post Spanish Acquisition

Equity	Number
Ordinary	93.5m
Options	10.0m
Performance #1	51.5m
Performance #2	51.5m
Fully Diluted	206.5m

Performance Shares milestones

1. JORC Indicated Resource*; and

2. Mine approvals* for the production of 500,000 tonnes of potash per annum.

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Highfield Resources' Capital
Structure
250,000
200,000
150,000
Spanish Acquisition
Capital
100,000 Pre Spanish
Acquisition
50,000
-
Ordinary Options Perf Full
Shares Shares Diluted
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• Refer to Notice of Meeting for AGM of 5 October 2012 for further details.

8. Value Creation

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Clear Pathway to Production
Commence
Production
Financial
Close on
reopening
Complete
Navarra mine.
Feasibility
(All approvals
Studies
Release in place,
infrastructure
Maiden JORC
Resource on agreements
Complete completed
both Spanish
Spanish and off take
assets
Transaction partners in
place.)
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1. Former Operating Mine

2. Additional Ebro Basin Project

3. Unparalleled External Infrastructure

4. Proven In Country Management Team

5. Greenfields Exploration Upside

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