PROSPECT RESOURCES LIMITED — Capital/Financing Update 2021

Oct 3, 2021

Prospect delivers bulk technical grade petalite shipment

Prospect Resources Limited (ASX: PSC, FRA:5E8) (“ Prospect ”) is pleased to announce that the first 25 tonne container of technical grade petalite concentrate from the Arcadia Pilot Plant has been shipped to offtake partner Sibelco.

The Pilot Plant results are consistent with previous lab scale test work and confirm the amenability of the Arcadia Ore Reserves to the production of an ultra-low iron, technical grade petalite concentrate product containing >4.0% Li2O, <0.06% Fe2O3.and <1.0% combined alkali (Na2O and K2O).

The quality of the petalite concentrate in the shipment, as shown in the table below, exceeds the specifications set out in Prospect’s offtake agreement with Sibelco.

	Lithium Grade	Iron	Combined Alkali	Combined Alkali
	**Li2O **	Fe2O3	**Na2O **	**K2O **
Pilot Plant Shipment	4.66%	0.04%	0.15%	0.05%
Technical Grade Specification in Sibelco Offtake	>4.00%	<0.06%	max 0.50%	max 0.50%

Prospect received a pilot plant purchase order from offtake partner Sibelco in May 2021 for up to 2,000 tonnes of technical grade petalite concentrate. The pricing in the purchase order represents an implied premium to the prevailing chemical grade spodumene concentrate (“ SC6 ”) price of approximately 40%, at the time the order was struck.

While the price of technical grade petalite concentrate is typically linked to the price of technical grade lithium carbonate (for which it is a more direct substitute), this comparison to SC6 pricing highlights the significantly higher unit value of the technical grade petalite concentrate product relative to SC6.

Prospect is also pleased to report that the updated staged Optimised Feasibility Study (OFS) is materially complete, with final quality assurance checks and Lycopodium sign off underway. Product pricing assumptions contained in the OFS rely on independent, third-party sources, with an implied premium for technical grade petalite concentrate of approximately 30 % over SC6 pricing.

Prospect Managing Director, Sam Hosack, said “I’m extremely pleased to announce that the Arcadia Pilot Plant has shipped on-spec technical grade petalite that is now making its way to Sibelco. With the plant now generating bulk volumes, the Prospect team are focused on showcasing Arcadia’s petalite to both our potential partners and the largest customers in the global glass and ceramics markets.”

“The final qualification gate we expect to pass will demonstrate to our stakeholders that Arcadia will provide a high quality, long life raw material source for both petalite and spodumene supply chains.”

“I am also looking forward to announcing the results of the staged OFS in the next few weeks. With partner interest focused on faster ramp-up of the project, the team is also working hard with Lycopodium on the “direct to 2.4 Mtpa” case, which is due out later this calendar year.”

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 1 of 12

Details of the Pilot Plant Programme

Prospect Resources undertook extensive metallurgical testwork over the period 2017-2020 to optimise Dense Media Separation (DMS) recovery efficiency and product quality. A key outcome of the testwork supported a split DMS concept, in which coarse and fines fractions are treated separately using a twostage DMS consisting of ‘rougher’ and ‘cleaner’ steps, with the coarse fraction targeted at producing technical grade petalite product, and the fines fraction producing a chemical grade petalite product.

The Arcadia Pilot Plant design embraced the technical study outcomes and implemented a 2-stage crushing plant and a single DMS stage capable of producing technical grade petalite product. A coarse fraction of size envelope 5mm x 1.7mm was selected as the optimum crush size for recovery of technical grade petalite product. The pilot plant can also be repurposed to process the fines fraction (<1.7mm) and produce chemical grade petalite product.

==> picture [433 x 295] intentionally omitted <==

Figure 1 –Arcadia Pilot Plant

The pilot plant first ore feed came from the blasted section of the Main Pegmatite (MP) ore body, which constitutes >16% of the total Arcadia Ore Reserves and more than 31% of the first 5 years ore supply (based on the 2.4 Mtpa case).

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 2 of 12

==> picture [461 x 296] intentionally omitted <==

Figure 2 – Truck leaving site with container of technical grade petalite

The operation of the pilot plant has introduced important lessons that will be invaluable in the operation of the commercial scale operation.

This release was authorised by the Sam Hosack, Managing Director of Prospect Resources Ltd.

ENDS

For further information, please contact:

Nicholas Rathjen Head of Corporate Development nrathjen@prospectresources.com.au

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 3 of 12

About Prospect Resources Limited (ASX: PSC, FRA:5E8)

Prospect Resources Limited (ASX: PSC, FRA:5E8) is an ASX listed lithium company based in Perth with operations in Zimbabwe. Prospect’s flagship project is the Arcadia Lithium Project located on the outskirts of Harare in Zimbabwe. The Arcadia Lithium Project represents a globally significant hard rock lithium resource and is being rapidly developed by Prospect’s experienced team, focusing on near term production of high purity petalite and spodumene concentrates. Arcadia is one of the most advanced lithium projects globally, with a Definitive Feasibility Study, Offtake Partners secured and a clear pathway to production.

About Lithium

Lithium is a soft silvery-white metal which is highly reactive and does not occur in nature in its elemental form. In nature it occurs as compounds within hard rock deposits (such as Arcadia) and salt brines. Lithium and its chemical compounds have a wide range of industrial applications resulting in numerous chemical and technical uses. Lithium has the highest electrochemical potential of all metals, a key property in its role in lithium-ion batteries.

Caution Regarding Forward-Looking Information

This announcement may contain some references to forecasts, estimates, assumptions and other forward-looking statements. Although the Company believes that its expectations, estimates and forecast outcomes are based on reasonable assumptions, it can give no assurance that they will be achieved. They may be affected by a variety of variables and changes in underlying assumptions that are subject to risk factors associated with the nature of the business, which could cause actual results to differ materially from those expressed herein. All references to dollars ($) and cents in this announcement are in United States currency, unless otherwise stated.

Investors should make and rely upon their own enquiries before deciding to acquire or deal in the Company’s securities. Prospect confirms that for the purposes of Listing Rule 5.19.2, all material assumptions underpinning the information continue to apply and have not materially changed

Competent Persons Statements

The information in this announcement that relates to Exploration Results, is based on information compiled by Mr Roger Tyler, a Competent Person who is a Member of The Australasian Institute of Mining and Metallurgy and The South African Institute of Mining and Metallurgy. Mr Tyler is the Company’s Senior Geologist. Mr Tyler has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the JORC Code 2012 Edition. Mr Tyler consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information in this study that relates to Metallurgical Testing is based on information compiled by or under the supervision of Mr John Maketo, who is a Member of The Australasian Institute of Mining and Metallurgy (MAusIMM). Mr Maketo is an independent mineral processing consultant. Mr Maketo has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the JORC Code 2012 Edition.

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 4 of 12

– JORC Code, 2012 Edition Table 1 report template

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary	Commentary
Sampling	• Nature and quality of	•	5,292 tonnes of Main Pegmatite were mined from the
techniques	sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools	•	western end of the old Arcadia pit and trucked 1km to the pilot plant. From this material 2,000t was prepared for export.
	appropriate to the minerals	•	The material was crushed to -25 mm by a jaw crusher and
	under investigation, such as		further crushed to -5mm using a gyratory crusher.
	down hole gamma sondes, or	•	The crushed sample was sized to two size fractions; 5 mm
	handheld XRF instruments,		and -1.7mm.
	etc.). These examples should not be taken as limiting the broad meaning of sampling.	•	Each size fraction was sampled during crushing by taking regular sub-samples during the crushing and sizing
	• Include reference to		process.
	measures taken to ensure	•	The 5 and 1.7 mm size fractions were subjected to DMS
	sample representivity and the		with further sampling of feed and products taken.
	appropriate calibration of any	•	Further sampling was carried out during flotation stage.
	measurement tools or systems used. • Aspects of the determination of mineralisation that are Material to the Public Report. • In cases where ‘industry	• •	All samples were analysed by semi-quantitative XRD employing Reitveld mineral content estimation, at Prospect’s on-site laboratory. Validated semi- quantitative mineral analysis was conducted at UIS laboratories in Centurion, South Africa.
	standard’ work has been done
	this would be relatively simple
	(e.g., ‘reverse circulation
	drilling was used to obtain 1 m
	samples from which 3 kg was
	pulverised to produce a 30 g
	charge for fire assay’). In
	other cases, more explanation
	may be required, such as
	where there is coarse gold
	that has inherent sampling
	problems. Unusual
	commodities or mineralisation
	types (e.g., submarine
	nodules) may warrant
	disclosure of detailed
	information.
Drilling	• Drill type (e.g. core, reverse	•	Apart from blasthole percussion drilling there was no
techniques	circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.)		resource drilling conducted in relation to this metallurgical test work announcement
	and details (e.g. core
	diameter, triple or standard

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Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 5 of 12

Criteria		JORC Code explanation	JORC Code explanation	Commentary	Commentary
			tube, depth of diamond tails,
			face-sampling bit or other
			type, whether core is oriented
			and if so, by what method,
			_etc.). _
Drill sample		•		•	Apart from blasthole percussion drilling was no new resource
recovery					drilling conducted concerning this metallurgical testwork
					announcement.
				•	Chips from blast holes logged and subsequently sampled as
					composite samples for each blast hole..
Logging		•		•	All core previously logged in detail using standard Prospect
					Resources logging codes.
Sub-		•	If core, whether cut or sawn	•	Entire 1m long sections of blast hole drill chips were collected.
sampling techniques and sample preparation		•	and whether quarter, half or all core taken. If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or	• •	Belt samples in the pilot plant were manually collected at 1h intervals and composited at the end of each shift. The samples were riffled, crushed to P100 <25 mm and milled to -75um at the Prospect Laboratory.
			dry.
		•	For all sample types, the
			nature, quality and
			appropriateness of the sample
			preparation technique.
		•	Quality control procedures
			adopted for all sub-sampling
			stages to maximise
			representivity of samples.
		•	Measures taken to ensure
			that the sampling is
			representative of the in-situ
			material collected, including
			for instance results for field
			duplicate/second-half
			sampling.
		•	Whether sample sizes are
			appropriate to the grain size
			_of the material being sampled. _
Quality	of	•	The nature, quality and	•	All samples were analysed by XRD techniques to produce an
assay data and laboratory			appropriateness of the assaying and laboratory procedures used and whether the technique is considered	•	initial Rietveld estimate of mineral content. The XRD data was subsequently validated at UIS laboratories in Centurion.
tests			partial or total.
		•	For geophysical tools,
			spectrometers, handheld XRF
			instruments, etc., the
			parameters used in
			determining the analysis
			including instrument make

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Page 6 of 12

Criteria	JORC Code explanation	Commentary	Commentary
	and model, reading times,
	calibrations factors applied
	and their derivation, etc.
	• Nature of quality control
	procedures adopted (e.g.
	standards, blanks, duplicates,
	external laboratory checks)
	and whether acceptable levels
	of accuracy (i.e. lack of bias)
	and precision have been
	_established. _
Verification	• The verification of significant	•	Prospect Resources’ Project Geologist and Plant Manager were
of sampling and assaying	intersections by either independent or alternative company personnel. • The use of twinned holes. • Documentation of primary data, data entry procedures,	• •	on site during bulk sample collection. The Plant Manager accompanied the samples to the Prospect Laboratory and supervised the primary crushing, packaging and dispatch of all 10 bags. All hard copies of data are retained at the Prospect Resource
	data verification, data storage		Exploration offices. All electronic data resides in Excel™ format
	(physical and electronic)		on the office desktop, with back-ups retained on hard-drives in
	protocols.		a safe, and in an Access™ database in a data cloud offsite.
	• Discuss any adjustment to assay data.	•	All assay results reported as Li2O %. Fe2O3assays were Na2O and K2O reported in %.
Location of	• Accuracy and quality of	•	KW Blasting was contracted to drill and blast the ore bench
data points	surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource	•	that was stripped by Orca Plant Hire on the western side of the Arcadia Pit. To generate the required volume of ore, two benches were developed in waste, before establishing an ore bench
	estimation.		measuring 22m x 26m in area.
	• Specification of the grid	•	115mm diameter percussion blast holes were drilled using a
	system used.		Sandvik Pantera DP1500 blast hole drilling rig.
	• Quality and adequacy of topographic control.	• •	The blast holes were spaced 3m x 3.4m apart. All blast holes were surveyed using a Leica Total Station.
Data spacing	• Data spacing for reporting of	•	Samples were generated from the belts and composited after
and	Exploration Results.		each 12h-shift.
distribution	• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the	• •	Blast holes were drilled through the entire thickness of the Main Pegmatite, from the hanging wall contract to the footwall contact. All blast holes were sampled as composite samples to give a
	Mineral Resource and Ore		true indication of the actual grade of the blasted material.
	Reserve estimation	•	The Main Pegmatite ranged in thickness from 4m to 7m.
	procedure(s) and
	classifications applied.
	• Whether sample compositing
	has been applied
Orientation	• Whether the orientation of	•	Blast holes were all drilled vertically, and because the Main
of data in	sampling achieves unbiased		Pegmatite dips at a shallow angle of 5 degrees to the north the

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Page 7 of 12

Criteria		JORC Code explanation	Commentary
relation	to	sampling of possible	blast hole depths are very close to the true thickness of the
geological structure		structures and the extent to which this is known, considering the deposit type.	pegmatite.
		• If the relationship between the
		drilling orientation and the
		orientation of key mineralised
		structures is considered to
		have introduced a sampling
		bias, this should be assessed
		_and reported if material _
Sample		• The measures taken to	• Bulk samples were placed in sealed bulk bags to loss during
security		ensure sample security.	transport. Minimal preparation was done on site.
			• Check samples sent to UIS were transported in sealed bags by
			courier to UIS Centurion.
Audits	or	• The results of any audits or	• The Chief Geologist and Plant Manager continually reviewed
reviews		reviews of sampling techniques and data.	sample management practices and data generation and collection.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria		JORC Code explanation	Commentary	Commentary
Mineral		• Type, reference
tenement and land tenure		name/number, location and ownership including agreements or material issues with third parties such as joint	•	An approx. 10 square km (1,038 hectares) mining lease, no 38 was issued on August 16th2018 to Prospect Lithium Zimbabwe (formerly Examix Investments (Pvt)). This encompasses the
status		ventures, partnerships,		entire mineral resource.
		overriding royalties, native title	•	No environmental or land title issues or impediments. EIA
		interests, historical sites, wilderness or national park and environmental settings. • The security of the tenure held at the time of reporting	•	certificate of approval granted by the Environmental Management Agency, to cover all of the company’s exploration activities. Rural farmland – fallow, effectively defunct commercial farm.
		along with any known
		impediments to obtaining a
		licence to operate in the area.
Exploration		• Acknowledgment and	•	Two rounds of historical drilling were done. Three EXT holes
done by other parties		appraisal of exploration by other parties.		were drilled in 1969 with support from the Geological Survey of Zimbabwe, at the site of the historic pit. These logs are
				available, and the lithologies observed are consistent with that
				seen by Prospect Resources’ drilling.
			•	The sites of at least 10 previously drilled NQ sized boreholes
				have also been identified in the field. Much detailed records of

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 8 of 12

this programme have been lost. But the work done is mentioned in the Geological Survey in their 1989 Harare bulletin, no 94 where a non-JORC compliant estimate of 18 Mt is recorded.

• Recent investigations have revealed that this was actually two campaigns of drilling. The first in 1974, consisted of six diamond drill holes and a limited number of percussion holes by local company Rhodex.

• • The second round was undertaken in 1981 by Rand Mines’ local subsidiary Central African Minerals. A total of 813.77 m was drilled in eight diamond drill holes. Six of the old the bore hole collars have been identified, one with a hole number AC#4, and depth 47 m. (This was twinned by PR hole ACD001). It is apparent that though Rand Mines intersected the Lower Main Pegmatite in one of the holes, they were not aware that the ore body thickened significantly to the north.

• A weighted average grade of 1.47 % Li2O over 26 m was recorded from the eight holes. Though non-JORC compliant, the order of magnitude of the results are consistent with Prospect’s work.

• • The deposit comprises a number of pegmatites hosted in meta-basalts of the Arcturus Formation within the Harare Greenstone Belt.

• • The pegmatites belong to the Petalite subclass of the RareElement pegmatite deposit class and belong to the LCT pegmatite family.

• • The pegmatites are poorly to moderately zoned (but not symmetrically or asymmetrically zoned and have no quartz core). The main lithium bearing minerals are dominantly petalite and spodumene, with sub-ordinate eucryptite, Bikitaite, and minor lepidolite. In addition, disseminated tantalite is present. Gangue minerals are quartz, alkali feldspars and muscovite.

• Geology • Deposit type, geological setting and style of mineralisation.

• The pegmatites strike 045° and dip at 10° to the northwest.

• • Apart from blasthole percussion drilling there was no new resource drilling conducted in relation to this metallurgical testwork announcement.

				petalite and spodumene, with sub-ordinate eucryptite Bikitaite, and minor lepidolite. In addition, disseminated tantalite is present. Gangue minerals are quartz, alkali feldspar and muscovite. • The pegmatites strike 045° and dip at 10° to the northwest.
Drill	hole	•	A summary of all information	• Apart from blasthole percussion drilling there was no new
Information			material to the understanding of the exploration results including a tabulation of the	resource drilling conducted in relation to this metallurgical testwork announcement.
			following information for all	• All blast holes were drilled vertically into the Main Pegmatite.
			Material drill holes:
			o easting and northing of the
			drill hole collar
			o elevation or RL (Reduced
			Level – elevation above
			sea level in meters) of the
			drill hole collar
			o dip and azimuth of the hole

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Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 9 of 12

			o down hole length and
			interception depth
			o hole length.
		•	If the exclusion of this
			information is justified on the
			basis that the information is
			not Material and this exclusion
			does not detract from the
			understanding of the report,
			the Competent Person should
			clearly explain why this is the
			_case. _
Data		•	In reporting Exploration	•	Apart from percussion blasthole drilling there was no drilling
aggregation methods			Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually	•	conducted in relation to this metallurgical testwork announcement. Sampling for metallurgical testwork has no effect on the current Mineral Resource.
			Material and should be stated.
		•	Where aggregate intercepts
			incorporate short lengths of
			high grade results and longer
			lengths of low grade results,
			the procedure used for such
			aggregation should be stated
			and some typical examples of
			such aggregations should be
			shown in detail.
		•	The assumptions used for any
			reporting of metal equivalent
			values should be clearly
			_stated. _
Relationship		•	These relationships are	•	Apart from the percussion blasthole drilling there was no
between mineralizati on widths and		•	particularly important in the reporting of Exploration Results. If the geometry of the mineralisation with respect to	•	resource drilling conducted in relation to this metallurgical testwork announcement. Logging of the chips from the blast holes correlated well with the previously drilled and mapped Main Pegmatite
intercept lengths		•	the drill hole angle is known, its nature should be reported. If it is not known and only the
			down hole lengths are
			reported, there should be a
			clear statement to this effect
			(e.g. ‘down hole length, true
			_width not known’). _
Diagrams		•	Appropriate maps and	•	N/A
			sections (with scales) and
			tabulations of intercepts
			should be included for any
			significant discovery being
			reported These should
			include, but not be limited to a

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Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 10 of 12

		plan view of drill hole collar
		locations and appropriate
		_sectional views. _
Balanced	•	Where comprehensive	•	The Company states that all results have been reported and
reporting		reporting of all Exploration Results is not practicable,		comply with balanced reporting.
		representative reporting of
		both low and high grades
		and/or widths should be
		practiced to avoid misleading
		reporting of Exploration
		_Results. _
Other	•	Other exploration data, if	•	Channel sampling also carried out at the adjacent dormant pit,
substantive exploration data		meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical		previously mined in the 1970’s. Continuous 1 m samples were channel sampled and hand sampled along cut lines, every 2 m on the pit face. Approximately 3 kg samples were collected, and assayed at ALS after crushing and milling at Zimlabs.
		survey results; bulk samples –		Assays were incorporated into the Mineral Resource estimate
		size and method of treatment;		(MRE).
		metallurgical test results; bulk	•	Geological mapping was undertaken down-dip and along
		density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	•	strike of the pit and has been incorporated into the current MRE. Soil sampling orientation lines have produced lithium geochemical anomalies that coincide with sub-outcropping
				projections of the pegmatites.
			•	Detailed XRD and petrographic investigations have been
				completed on a range of samples from across and at depth
				from the Arcadia deposit. The results indicate the mineralogy
				of the lithium mineralisation is coarse grained petalite and fine
				grained spodumene, both of which are amenable to
				conventional recovery methods for the production of a
				potentially saleable lithium concentrate. Initial heavy liquid
				separation results in petalite reporting largely to the floats and
				spodumene to the sinks. The two may be separated after
				primary fine crushing by dense medium separation (DMS) and
				after successive fine grinding, by flotation. Petalite is
				comparatively coarse grained, primarily reporting to gravity
				concentrates. The finer spodumene responds very well to
				conventional fatty acid flotation.
			•	Testing Lower Main Pegmatite ore produced spodumene
				concentrate grade of >5% lithium oxide (Li2O) and petalite
				concentrate at >4% Li2O from dense medium separation tests
				with a lithium recovery of up to 20% as petalite in gravity
				concentrates. Spodumene, reporting to DMS sinks graded
				~5% Li2O at a lithium recovery of ~8%. Lithium recovery of
				~44% to spodumene flotation concentrate grading >6% Li2O
				was achieved. These results reflect near total recovery of
				spodumene and significant initial recoveryofpetalite

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Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

Page 11 of 12

minerals. Work to maximize petalite recovery employing spirals and flotation is continuing. Further bulk testing of Main Pegmatite ore supports the selection of DMS for coarse petalite recovery, and specialist flotation testing has indicated additional petalite may be recoverable while achieving specification grade.

• The following products have been produced; • Spodumene flotation concentrate @ 6.5% Li2O and 0.33% Fe2O3

  • Spodumene flotation concentrate @ 6.1% Li2O and 0.52% Fe2O3

  • Petalite gravity concentrate @ 4.2 % Li2O and 0.08 % Fe2O3

• Dry magnetic separation was carried out on Petalite and Spodumene concentrates and the results below achieved • Spodumene flotation concentrate 6.1% Li2O and 0.18% Fe2O3

• • Petalite flotation concentrate 4.5% Li2O and 0.02% Fe2O3 • Petalite DMS concentrate 4.26% LI2O and 0.045% Fe2O3

• • Battery grade lithium carbonate has been produced from the laboratory and pilot test facility established in Kwekwe, Zimbabwe. Excellent quality product significantly above battery grade specification been produced at lithium carbonate analyses >99.5%.

• Further work • The nature and scale of • Similar strict grade control regime will be enforced during planned further work (e.g. subsequent trial mining exercises. tests for lateral extensions or depth extensions or largescale step-out drilling).

• • Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

Prospect Resources Limited | ACN 124 354 329 | W: prospectresources.com.au

Level 2, 33 Richardson Street. West Perth WA 6005 | Email: info@prospectresources.com.au

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