PROSPECT RESOURCES LIMITED — Capital/Financing Update 2024

Jun 19, 2024

ASX.PSC FRA.5E8

ASX ANNOUNCEMENT 20 June 2024

Step Aside and Omaruru Lithium Projects Exploration Update

HIGHLIGHTS:

Step Aside Lithium Project (90% PSC), Zimbabwe

• All assays (20 holes) now received from Phase 4 diamond drilling; significant intercepts include:
  • 13.0m @ 1.68% Li2O from 75.5m (CDD078) – WinBin
  • 15.3m @ 1.25% Li2O from 179.9m, incl. 11.0m @ 1.60% Li2O from 182.0m (CDD090) – Pegmatite E
  • 5.0m @ 1.68% Li2O from 149.0m (CDD042 – re-entry) – Pegmatite C
  • 6.0m @ 1.12% Li2O from 23.6m (CDD086) – Pegmatite E
  • 6.2m @ 1.07% Li2O from 55.0m (CDD076) – Pegmatite D
  • 4.2m @ 0.93% Li2O from 212.0m (CDD010B – re-entry) – Pegmatite C
• Hole CDD078 demonstrated that the high-grade mineralised zone at WinBin extends for at least another 100m southwest of the initial discovery cluster and remains open in that direction and at depth.
• Northern Pegmatite E deposit was successfully targeted, with the deepest hole, CDD090, intersecting high lithia grades over a true width of ~7.6m, at a vertical depth of 130m – showing the deposit is open and thickening at depth.
• Pegmatite C (which co-joins WinBin) also returned encouraging intersections at depth from two earlier holes that were re-entered during Phase 4, with hole CDD042 showing that the deposit is still open at 130m vertically from surface.
• Metallurgical test work in progress on spodumene-dominant Step Aside deposits.
• Step Aside is situated on just 1 square kilometre of tenement, only 8 km from the Arcadia lithium mine and has been significantly derisked, representing an exciting, advanced exploration play with regional scale potential.
• Step Aside is at a stage set up to be monetised to potentially help fund Prospect's priority exploration and development of the Mumbezhi Copper Project in Zambia

Omaruru Lithium Project (100% PSC), Namibia

▪ Phase 2 exploratory RAB and RC drilling programme completed.

• RC assay results have continued to outline extensions of the Karlsbrunn Main deposit root zone feeder system from surface, which remains open at depth.
• RC drilling of the extensively mapped and flat-dipping Brockmans deposit also defined further anomalous lithium mineralisation along strike to the north.
• Prospect's technical programmes have significantly increased the understanding of the project. With 100% ownership now and a focus on the Mumbezhi Copper Project, Prospect has reduced spend on Omaruru and will consider a number of commercialisation strategies to unlock the project's value over the longer term with improving lithium markets.

Prospect Resources Limited (ASX: PSC) (Prospect or the Company) is pleased to provide an update on recent exploration activities across its lithium projects portfolio in Sub-Saharan Africa.

The Company has received further strong assay results from the Phase 4 diamond drilling programme completed at the Step Aside Lithium Project (Step Aside) (PSC 90%) in Zimbabwe. Results from the recently completed follow-up Phase 2 RAB and RC drilling programme at the Omaruru Lithium Project (Omaruru) (PSC 100%) in central Namibia have also been received.

Prospect Managing Director and CEO, Sam Hosack, commented:

"We are very pleased with the progress made at Step Aside and Omaruru via our exploration activities to date. Our teams have worked diligently to produce these results over four phases of drilling at Step Aside and two phases at Omaruru, conducted progressively over the past two years. At every stage, these assets have indicated substantial additional mineralisation growth potential ready to be further uncovered.

"The "WinBin" mineralised zone at Step Aside was an excellent discovery last year and enabled us to swiftly identify what we now know to be a significant co-joined mineralised pegmatite system that remains open in multiple directions and at depth. With similar geographical characteristics to the Arcadia deposit, located just 8km to the south, this system offers strong potential for amenability to processing via a conventional lithium flowsheet such as the Arcadia plant.

"Phase 2 drilling at Omaruru has also concluded with results indicating further extensions to the Karlsbrunn Main deposit root feeder system from surface and further anomalous mineralisation along strike to the north of Brockmans.

"With our key focus now directed towards the rapid advancement of the recently acquired Mumbezhi Copper Project in Zambia, we plan to reduce our exploration activities at Step Aside and Omaruru from the levels completed over the past 12 months. Alongside this we will be undertaking a comprehensive review focussed on the range of potential commercialisation routes for these two attractive lithium assets. Step Aside may offer a near term sale opportunity to a number of strategic investors to help fund Mumbezhi and we are testing the market now at levels that would make a sale an attractive option. We would also have no hesitation to consider further development or a sale of this attractive asset later on when lithium markets have improved."

Step Aside Lithium Project (90% PSC), Zimbabwe

Final Phase 4 drilling programme results

The final results from the Phase 4 diamond drilling programme at Step Aside have now been received, with very encouraging drilling intersections noted for WinBin (where an additional 100m of strike to the southwest was achieved) and depth extensions to Pegmatites E and C, which were specifically targeted for this purpose during the Phase 4 campaign.

A total of 2,198 metres in 20 holes (including four re-entries of older holes) were completed during Phase 4. Collar positions are shown by yellow dots in Figure 1 below, with collar details shown in Appendix 1 and significant lithium drilling intersections outlined in Appendix 2.

Figure 1: Map of Phase 4 drilling at Step Aside (with Pegmatite E drill section profile shown)

WinBin

This deposit is considered the feeder zone for Pegmatites A to F at Step Aside, and was targeted with two holes (CDD078-079) in the Stage 4 programme.

The result from CDD078 was exceptional returning a very high-grade intersection of 13.0m @ 1.68% Li2O from 75.5m (true width ~8.5m), which is situated 100m southwest of the initial discovery cluster (Prospect ASX Announcement 18 October 2023). The coarse spodumene mineralisation observed in the intercept continues at depth, as indicated by the underlying interval in strike-oblique hole CDD072 from the Phase 3 programme.

An additional hole, CDD079, targeted WinBin a further 30m to the south and intersected the deposit at 91.85m down hole, returning 8.55m @ 0.18% Li2O. This result indicates not only a further southerly extension of WinBin, but the variability of the lithium grades in this zoned LCT system at Step Aside.

Future exploration programmes would target WinBin further to the southwest as the deposit remains open to the southwest and at depth.

Pegmatite E

Despite high-grade intersections having been returned from Pegmatite E during 2023 (see Prospect ASX Announcement 20 December 2023), Prospect's focus on the WinBin discovery in October and activity thereon, resulted in no further work at the northernmost deposit until the recent Stage 4 programme.

Pegmatite E was targeted with seven (7) holes during the Stage 4 campaign.

The results were very encouraging and confirmed the earlier high-grade lithium results from this deposit, including:

• 15.3m @ 1.25% Li2O from 179.9m, incl. 11.0m @ 1.60% Li2O from 182.0m (CDD090)
• 6.0m @ 1.12% Li2O from 23.6m (CDD086)

Figure 2 (below) shows drill core from the high-grade section of drill hole CDD090 and Figure 3 shows a drilling cross section through Pegmatite E looking towards the north-northwest.

Figure 2: Coarse grained spodumene mineralisation from deep hole CDD090 (Pegmatite E)

Figure 3: Oblique Drilling Cross Section through Pegmatite E looking to north-northwest

Whilst Pegmatite E only strikes over a short distance in the north-eastern corner of Prospect's Step Aside claim, the thickening of the deposit here at depth (to 130m vertical from surface) is a very positive result and the lithium mineralisation remains open.

Pegmatite C

This deposit has been shown to be co-joined to the WinBin discovery and strikes at least 400m to the north-west within mafic rock sequences (see Figure 1). During Phase 4, a number of new holes and three hole re-entries were completed for Pegmatite C. The aim of the latter holes was to target the deposit at depth, with this result being largely achieved (see Figure 4).

Significant drilling intersections returned from Pegmatite C during Phase 4 included:

• 5.0m @ 1.68% Li2O from 149.0m (CDD042 re-entry)
• 4.2m @ 0.93% Li2O from 212.0m (CDD010B re-entry)

In addition, hole CDD076, which intersected Pegmatite C at depth, passed through Pegmatite D (to the west) and returned an excellent near-surface intercept of 6.2m @ 1.07% Li2O from 55.0m down hole.

The Pegmatite C intersections encountered in the re-entered holes, CDD042 and CDD010B, indicate that the lithium mineralisation at Step Aside extends to some distance at depth, with the CDD010B intersection located 200m vertically from natural surface, the deepest intercept drilled to date by Prospect at Step Aside.

Figure 4: 3D oblique projection of combined WinBin/Pegmatite C extension looking southwest

Metallurgical test work studies are also continuing for Step Aside, with a 30kg composite sample of mineralised lithium pegmatites recently collected to complete further work.

Next Steps

Exploration activities at Step Aside are now set to be pared back to minimum holding commitments, whilst evaluating additional lithium prospectivity within the licence for future drill targeting.

Omaruru Lithium Project (100% PSC), Namibia

Phase 2 RAB and RC Drilling programme results

Prospect completed its follow-up Phase 2 RAB and RC drilling programme at Omaruru (focussed on Karlsbrunn, Brockmans and Bergers) in mid-April, with a total of 77 holes completed for 4,249 metres. All assay results from this drilling have now been received and are reported in this release (see Appendix 3 for drill collar locations and Appendix 4 for significant drilling intersections, recorded during Phase 2).

41 RC holes were drilled for 2,738 metres (completed at Karlsbrunn, Brockmans and Bergers), with 36 RAB holes completed for 1,511 metres and targeting the Karlsbrunn SE, Karlsbrunn NE, Spirit and Bergers prospects.

Karlsbrunn Main and Karlsbrunn NE

Figure 5 shows the location of all RC drill holes completed at Karlsbrunn Main to date and the surrounding site infrastructure, including surveyed underground adit locations (yellow), outline of the mapped surface pegmatite for the lithium deposit and the interpreted position of the deeper mineralised root zone (orange ellipse).

It also outlines the anomalous lithia intersections returned from the vertical adits (in green text) that were reported by Prospect (refer ASX Announcement dated 26 April 2023), which outline the extent of high-grade mineralisation (~1% lithia) over significant distances at Karlsbrunn Main.

Figure 5: Location map showing significant drill hole intercepts and Karlsbrunn Root Zone

20 holes for 1,090m of drilling (OMR080-OMR090; OMB019-027) were completed at the Karlsbrunn Main deposit and adjacent areas to the northeast as part of the Phase 2 drilling programme.

Significant intersections returned from this work include:

• 11m @ 1.07% Li2O from 7m (OMR088), and;
• 20m @ 0.63% Li2O from 7m, including 8m @ 0.80% Li2O from 9m (OMR087)

The RC drilling completed was aimed at extending the deposit's main root zone feeder system to the further depth and drillholes OMR087-088 confirmed that zone is still open at depth, albeit over a relatively small footprint (see Figure 5).

Remaining RC holes at Karlsbrunn effectively closed off further extensions of the Main deposit to the south and northeast. Additionally, a line of RAB holes completed regionally 700m to the northeast of the Main deposit (OMB019-024) produced no Li anomalies of note. This seems to confirm that the higher-grade Karlsbrunn mineralisation is restricted to the Main deposit.

The mineralisation at Karlsbrunn Main appears zoned either side of an unmineralised quartz core, and is dominated by lepidolite and petalite, and hosted in a folded rock sequence of marbles and calc-silicates.

Karlsbrunn SE

On 15 November 2023, Prospect announced on the ASX, that a newly discovered pegmatite prospect at Karlsbrunn SE (centred about 1km southeast of Karlsbrunn Main), had generated a series of coherent lithium anomalies from geochemical soil sampling (see Figure 6 below).

This region was targeted with 18 RAB holes (OMB001-018) for 740 metres during the Phase 2 drilling programme, testing the subsurface to between 40-50m vertically. The initial mapping programme here had identified visible lithium mineralisation (as petalite) at surface.

The drilling was successful and intersected significant widths of pegmatite dipping shallowly to the southeast. Assays returned from these pegmatite whilst very consistent in grade (0.10- 0.15% Li2O), proved the prospect only contained sub-economic Li mineralisation.

A more detailed evaluation of the drill chips indicated that the petalite had been altered to the lithium clay mineral, hectorite, near-surface in this region. Deeper RC drilling of Karlsbrunn SE was not conducted during Phase 2, however, the deposit is still considered open at depth, based on deeper occurrences of petalite-bearing pegmatites interpreted as being potentially unaltered.

Bergers

The Bergers series of deposit are located about 4.5 km to the east of the Karlsbrunn Main deposit and consists of a central area of subdued outcropping lithium mineralisation (see Figure 6).

On 26 April 2023, Prospect announced the results of a geochemical soil sampling programme over Omaruru, which included grids over interpreted, concealed pegmatites at Bergers.

The soil sample results were very encouraging and showed strong, cohesive anomalies in LCT pathfinder elements over both the geochemical grids at Bergers.

During the follow-up Phase 1 programme, 431m of first-pass exploratory scout drilling was completed in seven (7) holes covering the Bergers NE and Bergers Central areas. The Bergers SW area was found to be too challenging to drill with conventional RC rigs (Prospect ASX Announcement 30 August 2023).

The Phase 2 drilling at Bergers consisted of 12 RC holes for 637m and 4 RAB holes for 200m.

The work produced a single significant intersection of 2m @ 0.83% Li2O from 42m in drill hole OMR066 and has now downgraded the potential of Bergers, which now indicates that the surface pegmatite expressions do not thicken and coalesce at depth, as had been interpreted.

Figure 6: Detailed map showing location of mapped pegmatite occurrences at Omaruru

Figure 7: Regional Map showing encouraging assay results at Brockmans

Brockmans

The Brockmans deposit was previously identified by Prospect as striking over a considerable distance at Omaruru, with encouraging thicknesses and strongly anomalous intersections

drilled during Phase 1 – RC hole OMR018 returned 6m @ 1.3% Li2O from 13m (see Prospect ASX Announcement dated 28 March 2023).

Further drilling during that Phase 1 programme failed to extend the zone laterally, with only one hole (OMR027) returning an anomalous intercept of 2m @ 0.7% Li2O from 21m.

There remained a 500m section north of OMR018 at Brockmans that had not been drilled comprehensively and this area was targeted recently during the Phase 2 drilling programme.

A total of 14 RC holes for 1,129m were completed and returned two encouraging intersections just over 800m north of OMR018. These included:

• 3m @ 0.74% Li2O from 56m (OMR054), and;

• 3m @ 0.51% Li2O from 46m (OMR053)

These drill holes are adjacent to each other and seem to occur in an area where Brockmans thickens and changes general strike from north to northeast.

A similar geological interpretation is noted near OMR018 to the south, where the Brockmans deposit again thickens (structurally) and changes strike from south to southwest.

The deposit is now interpreted geologically as being structurally controlled with two specific regions mineralised with higher-grade lithium (as petalite) at either end of the kilometre long surface outcrop.

These areas near 7569680mN and 7570500mN (820m apart), are considered to still be open at depth and would require future drilling to ascertain their volumetric extent (see Figure 7 above).

Spirit

Minor drilling was conducted in a subdued valley area between two historical pegmatite occurrences known as the Spirit prospect (see Figure 6), to ascertain whether lithium mineralisation (as lepidolite and petalite) continued between these lobes.

A total of six mixed RAB and RC holes for 453m were completed, but no significant intersections were returned. The geological interpretation is that the valley represents a structural break between the two outcropping lobes and that mineralisation is not present, or has been weathered away over time, at this structure. No further work is warranted at the Spirit prospect, owing to its small size.

Next Steps

The completion of the Phase 2 drilling programme at Omaruru, and recent acquisition of 100% interest, has laid the platform for Prospect to re-assess its priorities at Omaruru, free of the original earn-in obligations of the preceding JV Agreement with Osino Resources.

Consequently, Prospect will now internally review all the data it has generated for Omaruru to date across the large licence holding it owns.

Exploration activities are set to be pared back to minimum holding commitments, whilst evaluating additional lithium prospectivity within the licence for future drill targeting.

This release was authorised by Sam Hosack, CEO and Managing Director.

For further information, please contact:

Sam Hosack Managing Director shosack@prospectresources.com.au Ian Goldberg Chief Financial Officer igoldberg@prospectresources.com.au

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

Prospect Resources Limited (ASX: PSC, FRA:5E8) is an ASX listed company focused on the exploration and development of mining projects, specifically battery and electrification metals, in Zimbabwe, Zambia and Namibia and the broader sub-Saharan African region.

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 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.

Competent Persons Statement

The information in this announcement that relates to Exploration Targets and 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 Chief 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 (CP) as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". 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.

Prospect confirms it is not aware of any new information or data which materially affects the information included in the original market announcements. Prospect confirms the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcements.

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.

Hole_ID	Drill Type	Deposit(s)	DH_East	DH_North	DH_RL	Datum	DH_Dip	DH_Azimuth DH_Depth
CDD075	DD	Pegmatite C	331730	8040601	1429	UTM_WGS84_36S (ARC 1950)	-60	85	100.00
CDD076	DD	Pegmatite D/C	331669	8040619	1410	UTM_WGS84_36S (ARC 1950)	-65	85	150.00
CDD077	DD	Pegmatite D/C	331594	8040679	1363	UTM_WGS84_36S (ARC 1950)	-60	85	160.00
CDD078	DD	WinBin	331883	8040252	1305	UTM_WGS84_36S (ARC 1950)	-60	100	100.00
CDD079	DD	WinBin	331879	8040217	1298	UTM_WGS84_36S (ARC 1950)	-60	100	112.00
CDD080	DD	Pegmatite B	331950	8040506	1383	UTM_WGS84_36S (ARC 1950)	-65	90	50.00
CDD081	DD	Pegmatite D	331632	8040645	1389	UTM_WGS84_36S (ARC 1950)	-67	70	160.00
CDD082	DD	Pegmatite D	331559	8040709	1345	UTM_WGS84_36S (ARC 1950)	-65	70	160.00
CDD083	DD	Pegmatite D	331529	8040703	1345	UTM_WGS84_36S (ARC 1950)	-65	70	60.00
CDD084	DD	Pegmatite C	331677	8040695	1375	UTM_WGS84_36S (ARC 1950)	-60	60	56.84
CDD085	DD	Pegmatite E	331712	8040838	1323	UTM_WGS84_36S (ARC 1950)	-60	87	74.84
CDD086	DD	Pegmatite E	331693	8040836	1323	UTM_WGS84_36S (ARC 1950)	-60	87	70.00
CDD087	DD	Pegmatite E	331660	8040830	1320	UTM_WGS84_36S (ARC 1950)	-60	85	130.00
CDD088	DD	Pegmatite E	331600	8040876	1302	UTM_WGS84_36S (ARC 1950)	-60	85	152.84
CDD089	DD	Pegmatite E	331587	8040918	1294	UTM_WGS84_36S (ARC 1950)	-60	85	149.84
CDD090	DD	Pegmatite E	331581	8040807	1318	UTM_WGS84_36S (ARC 1950)	-60	90	250.00
CDD021*	DD	Pegmatite C	331600	8040623	1394	UTM_WGS84_36S (ARC 1950)	-60	85	179.84*
CDD025*	DD	Pegmatite E	331696	8040790	1339	UTM_WGS84_36S (ARC 1950)	-60	85	140.78*
CDD042D1*	DD	Pegmatite C	331713	8040505	1438	UTM_WGS84_36S (ARC 1950)	-60	80	267.84*
CDD010B*	DD	Pegmatite C	331669	8040506	1439	UTM_WGS84_36S (ARC 1950)	-68	85	240.00*

APPENDIX 1: Phase 4 Drill hole collar locations for Step Aside Lithium Project

* Re-entry

APPENDIX 2: Significant drill hole intersections for Phase 4 drilling at Step Aside

Hole ID	Deposit		From (m)	To (m)	Width (m)	Li2O_pct
CDD010B	Pegmatite C		212.00	216.22	4.22	0.93
CDD042	Pegmatite C		149.00	154.00	5.00	1.68
CDD076	Pegmatite D		55.00	61.16	6.16	1.07
CDD078	WinBin		75.54	88.54	13.00	1.68
CDD085	Pegmatite E		2.00	4.00	2.00	0.60
CDD086	Pegmatite E		23.59	29.58	5.99	1.12
CDD087	Pegmatite E		21.17	23.58	2.41	1.08
			67.75	69.51	1.76	1.13
			69.81	72.15	2.29	1.31
CDD088	Pegmatite E		90.11	92.16	2.05	0.72
CDD090	Pegmatite E		179.90	195.19	15.29	1.25
		incl.	182.00	193.00	11.00	1.60

APPENDIX 3: Drill hole collar locations for Omaruru Lithium Project

Hole_ID	Drill Type	Deposit	DH_East	DH_North	DH_RL	Datum	DH_Dip	DH Azimuth	DH_Depth
OMR050	RC	Bergers	615059	7569159	1527	UTM WGS84 33S	-60	147	50
OMR051	RC	Brockmans	614555	7570657	1577	UTM WGS84 33S	-60	116	90
OMR052	RC	Brockmans	614678	7570693	1468	UTM_WGS84_33S	-60	143	100
OMR053	RC	Brockmans	614472	7570487	1474	UTM_WGS84_33S	-60	108	72
OMR054	RC	Brockmans	614438	7570499	1486	UTM_WGS84_33S	-60	108	75
OMR055	RC	Brockmans	614444	7570361	1473	UTM_WG $84_33$	-60	90	90
OMR056	RC	Brockmans	614408	7570363	1480	UTM_WGS84_33S	-60	90	102
OMR057	RC	Brockmans	614409	7570365	1474	UTM_WGS84_33S	-60	65	114
OMR058	RC	Brockmans	614478	7570131	1489	UTM_WGS84_33S	-60	79	69
OMR059	RC	Brockmans	614430	7570121	1474	UTM_WGS84_33S	-60	79	86
OMR060	RC	Brockmans	614500	7569993	1469	UTM_WGS84_33S	-60	78	55
OMR061	RC	Brockmans	614454	7569982	1491	UTM_WGS84_33S	-60	78	62
OMR062	RC	Brockmans	614458	7570354	1463	UTM_WGS84_33S	-90	0	49
OMR063	RC	Brockmans	614397	7570359	1468	UTM_WG S84_33S	-90	$\bf{0}$	80
OMR064	RC	Brockmans	614429	7570120	1437	UTM_WGS84_33S	-80	259	85
OMR065	RC	Bergers	615035	7569186	1516	UTM_WG S84_33S	$-60$	147	50
OMR066	RC	Bergers	615021	7569198	1515	UTM WGS84 33S	-60	147	62
OMR067	RC	Bergers	615012	7569230	1516	UTM_WG S84_33S	$-60$	147	70
OMR068	RC	Bergers	614995	7569258	1514	UTM_WGS84_33S	-60	147	50
OMR069	RC	Bergers	614975	7569285	1525	UTM_WGS84_33S	-60	147	50
OMR070	RC	Bergers	615178	7569289	1502	UTM_WGS84_33S	-60	147	45
OMR071	RC	Bergers	615298	7569571	1528	UTM_WG S84_33S	$-60$	147	50
OMR072	RC	Bergers	615314	7569535	1520	UTM_WGS84_33S	-60	147	50
OMR073	RC	Bergers	615331	7569513	1516	UTM_WG S84_33S	-60	147	50
OMR074	RC	Bergers	615376	7569441	1520	UTM_WGS84_33S	-60	147	50
OMR075	RC	Bergers	615124	7569368	1510	UTM_WG S84_33S	-60	147	60
OMR076	RC	Spirit	612346	7569272	1445	UTM_WGS84_33S	-60	105	54
OMR077	RC	Spirit	612354	7569303	1461	UTM_WGS84_33S	-60	105	54
OMR078	RC	Spirit	612374	7569236	1438	UTM_WGS84_33S	-60	315	54
OMR079	RC	Spirit	612405	7569125	1464	UTM_WG S84_33S	-60	315	50
OMR080	RC	Karlsbrunn NE	610755	7568477	1448	UTM_WGS84_33S	-60	315	50
OMR081	RC	Karlsbrunn NE	610772	7568460	1450	UTM_WGS84_33S	-60	315	50
OMR082	RC	Karlsbrunn NE	610797	7568441	1449	UTM_WGS84_33S	-60	315	50
OMR083	RC	Karlsbrunn NE	610801	7568512	1435	UTM_WG $84_33$	-60	315	50
OMR084	RC	Karlsbrunn NE	610791	7568367	1447	UTM_WGS84_33S	-60	315	50
OMR085	RC	Karlsbrunn NE	610738	7568304	1439	UTM_WGS84_33S	$-90$	0	60
OMR086	RC	Karlsbrunn NE	610672	7568264	1463	UTM_WGS84_33S	-90	0	50
OMR087	RC	Karlsbrunn	610621	7568437	1468	UTM WGS84 33S	$-70$	135	150
OMR088	RC	Karlsbrunn	610682	7568380	1470	UTM_WGS84_33S	-80	100	150
OMR089	RC	Karlsbrunn	610717	7568330	1464	UTM_WGS84_33S	-60	315	50
OMR090	RC	Karlsbrunn	610713	7568335	1462	UTM_WGS84_33S	-60	290	50
OMB001	RAB	Karlsbrunn SE	611785	7567494	1493	UTM WGS84 33S	$-90$	0	50
OMB002	RAB	Karlsbrunn SE	611832	7567557	1488	UTM_WGS84_33S	-60	234	50
OMB003	RAB	Karlsbrunn SE	611966	7567687	1445	UTM_WGS84_33S	$-90$	0	50
OMB004	RAB	Karlsbrunn SE	611833	7567707	1489	UTM WGS84 33S	-60	265	48
OMB005	RAB	Karlsbrunn SE	611765	7567630	1478	UTM_WGS84_33S	-90	0	18
OMB006	RAB	Karlsbrunn SE	611764	7567634	1479	UTM_WGS84_33S	-90	0	15
OMB007	RAB	Karlsbrunn SE	611685	7567641	1435	UTM_WG S84_33S	-90	0	50
OMB008	RAB	Karlsbrunn SE	611753	7567687	1462	UTM_WGS84_33S	-90	0	23
OMB009	RAB	Karlsbrunn SE	611694	7567723	1472	UTM_WGS84_33S	$-90$	0	26
OMB010	RAB	Karlsbrunn SE	611626	7567885	1465	UTM_WGS84_33S	$-60$	241	50

Hole_ID	Drill Type	Deposit	DH_East	DH_North	DH_RL	Datum	DH_Dip	DH_Azimuth	DH_Depth
OMB011	RAB	Karlsbrunn SE	611576	7567772	1464	UTM_WGS84_33S	-60	270	50
OMB012	RAB	Karlsbrunn SE	611575	7567771	1462	UTM_WGS84_33S	-90	0	50
OMB013	RAB	Karlsbrunn SE	611491	7567773	1465	UTM_WGS84_33S	-90	0	50
OMB014	RAB	Karlsbrunn SE	611417	7567695	1446	UTM_WGS84_33S	-90	0	50
OMB015	RAB	Karlsbrunn SE	611322	7567840	1449	UTM_WGS84_33S	-90	0	50
OMB016	RAB	Karlsbrunn SE	611389	7567939	1448	UTM_WGS84_33S	-90	0	50
OMB017	RAB	Karlsbrunn SE	611218	7567992	1452	UTM_WGS84_33S	-90	0	40
OMB018	RAB	Karlsbrunn SE	611684	7567647	1432	UTM_WGS84_33S	-60	310	20
OMB019	RAB	Karlsbrunn NE	611257	7568828	1470	UTM_WGS84_33S	-60	316	46
OMB020	RAB	Karlsbrunn NE	611202	7568896	1434	UTM_WGS84_33S	-60	316	31
OMB021	RAB	Karlsbrunn NE	611214	7568886	1435	UTM_WGS84_33S	-60	316	28
OMB022	RAB	Karlsbrunn NE	611235	7568860	1443	UTM_WGS84_33S	-60	316	39
OMB023	RAB	Karlsbrunn NE	611174	7568931	1434	UTM_WGS84_33S	-60	316	30
OMB024	RAB	Karlsbrunn NE	611154	7568945	1437	UTM_WGS84_33S	-60	316	36
OMB025	RAB	Karlsbrunn NE	610736	7568582	1427	UTM_WGS84_33S	-60	316	50
OMB026	RAB	Karlsbrunn NE	610882	7568646	1435	UTM_WGS84_33S	-60	316	32
OMB027	RAB	Karlsbrunn NE	610907	7568617	1424	UTM_WGS84_33S	-60	316	38
OMB028	RAB	Spirit	612256	7569270	1435	UTM_WGS84_33S	-60	315	48
OMB029	RAB	Spirit	612282	7569247	1444	UTM_WGS84_33S	-60	315	45
OMB030	RAB	Spirit	612298	7569229	1438	UTM_WGS84_33S	-60	315	48
OMB031	RAB	Spirit	612323	7569202	1442	UTM_WGS84_33S	-60	315	50
OMB032	RAB	Spirit	612330	7569173	1435	UTM_WGS84_33S	-60	315	50
OMB033	RAB	Bergers	615163	7569309	1517	UTM_WGS84_33S	-60	147	50
OMB034	RAB	Bergers	615127	7569356	1509	UTM_WGS84_33S	-60	147	50
OMB035	RAB	Bergers	615112	7569392	1516	UTM_WGS84_33S	-60	147	50
OMB036	RAB	Bergers	615096	7569415	1524	UTM_WGS84_33S	-60	147	50

APPENDIX 4: Significant drill hole intersections for Omaruru Lithium Project

Hole ID	Deposit		From (m)	To (m)	Width (m)	Li2O pct
OMR053	Brockmans		46	49	3	0.51
OMR054	Brockmans		56	56	3	0.74
OMR066	Bergers		42	44	2	0.83
OMR087	Karlsbrunn Main			27	20	0.63
		incl.	9	17	8	0.80
		and	63	66	3	0.87
OMR088	Karlsbrunn Main			18	11	1.07

JORC Code, 2012 Edition – Table 1 (Step Aside Lithium Project)

Section 1 Sampling Techniques and Data

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

Criteria	JORC Code explanation	Commentary
Samplingtechniques	•Nature and quality of sampling (egcut channels, random chips, orspecific specialised industrystandard measurement toolsappropriate to the minerals underinvestigation, such as down holegamma sondes, or handheld XRFinstruments, etc). These examplesshould not be taken as limiting thebroad meaning of sampling.•Include reference to measures takento ensure sample representivity andthe appropriate calibration of anymeasurement tools or systems used.•Aspects of the determination ofmineralisation that are Material tothe Public Report.•In cases where 'industry standard'work has been done this would berelatively simple (eg 'reversecirculation drilling was used to obtain1 m samples from which 3 kg waspulverised to produce a 30 g chargefor fire assay'). In other cases moreexplanationmay be required, suchas where there is coarse gold thathas inherent sampling problems.Unusual commodities ormineralisation types (eg submarinenodules) may warrant disclosure ofdetailed information.	•A total of 140samples (159includingQC inserts) were collected duringPhase 4of the project, all of whichwere diamond drill core samples.•A total of 16 new and 4 re-entrydiamond holes for 2,198.47m metreswere completed in Phase 4, whichproduced 140samples, collected over135.52sampled metres.•Diamondsamplesweregenerallysampled at 1m intervals over thelength of the pegmatite intersected,from the contacts with the countryhost rock. Sampling was completedwithin logged lithological contacts.•The140primaryassaydiamondsamples were trucked to PerformanceLaboratory (Ruwa, Zimbabwe) wherethey were crushed, pulverised andsplit to produce a 100g analyticalaliquot, which was then forwarded andanalysed by 48 element four-acid ICPMSatALSLaboratoriesinJohannesburg (suite code ME-MS61).Additionally,33 pre-existing ¼ coresamples from29boreholeswerecompositedinto5metallurgicalsamples(onefromeachoftheprimarymineralisedpegmatitebodies)were shipped toGeoLabs(Centurion,SouthAfrica)forcomminution test work.•CertifiedReferenceMaterialsandblanks(producedbyAMISofJohannesburg), and field duplicateswere inserted into sample batches(with 4.5% of total submissions beingCRMs,3%blanksand4.5%laboratory pulp duplicates). Coarseblank material was submitted pre

preparation, whilst CRM and duplicate

Drillingtechniques	•Drill type (eg core, reversecirculation, open-hole hammer,rotary air blast, auger, Bangka,sonic, etc) and details (eg corediameter, triple or standard tube,depth of diamond tails, facesampling bit or other type, whethercore is oriented and if so, by whatmethod, etc).	insertions were done post-preparationatthefieldcamp,underthesupervision of the Project Geologist.•The CRMs used were AMIS0342(0.16% Li), AMIS0339 (2.27% Li),AMIS0684(4454ppmLi),andAMIS0683 (2023 ppm Li).•Diamond drilling was completed usingatruckmountedKLR700Multipurpose rig. The core diameterdrilling size used in all holes(16 new,and 4 re-entries) was HQ and NQ. HQwas drilled to an average depth of 27mbefore holes were cased.The sum ofHQ metres and NQ metres drilled inthePhase4programmetotalled2,198.47m.
Drill samplerecovery	•Method of recording and assessingcore and chip sample recoveries andresults assessed.•Measures taken to maximise samplerecovery and ensure representativenature of the samples.•Whether a relationship existsbetween sample recovery and gradeand whether sample bias may haveoccurred due to preferentialloss/gain of fine/coarse material.	•During the diamond drilling processthe recovered core was placed in acore tray. Metre marks were markedon the core. On the end of each 3mrun,thetotalamountofmetresrecovered, and the expected metreswere written on the core block. Anygain or losswas recorded on the coreblock. To ensure maximum recoveryfrom the rig, RQD was completed onthe core to determine the quality ofrock core taken from a drill hole.•To ensure maximum recoveries, whenthe drilled core showed any signs ofbeing crushed or broken by the drillbits,theywouldimmediatelybereplaced. Rate of penetration wasslowed at the start of the hole toreduce loss of weathered materialthorough thecirculating water flow.
Logging	•Whether core and chip sampleshave been geologically andgeotechnically logged to a level ofdetail to support appropriate MineralResource estimation, mining studiesand metallurgical studies.•Whether logging is qualitative orquantitative in nature. Core (orcostean, channel, etc) photography.•The total length and percentage ofthe relevant intersections logged.	•Drill core samples were geologicallylogged detailing texture, structures,alteration,mineralisation,lithology,andweathering,usingstandardCompany logging templates refinedduringthepreviousArcadiaworkprogrammes.•The total diamond core metres loggedis 2,198.47m, including all relevantpegmatite intersections.

Sub-samplingtechniquesand samplepreparation	•If core, whether cut or sawn andwhether quarter, half or all coretaken.•If non-core, whether riffled, tubesampled, rotary split, etc andwhether sampled wet or dry.•For all sample types, the nature,quality, and appropriateness of thesample preparation technique.•Quality control procedures adoptedfor all sub-sampling stages tomaximise representivity of samples.•Measures taken to ensure that thesampling is representative of the insitu material collected, including forinstance results for fieldduplicate/second-half sampling.•Whether sample sizes areappropriate to the grain size of thematerial being sampled.	•Core was split using an Almontediamond cutter and a ¼ core sectionwassampledandbaggedforpreparation and analysis.•Preparation involved samples beingdried, weighed, crushed and milled>80% passing 75µm.•Of the total number (140) of diamondcore samples submitted for analysis inPhase 4, an additional nineteen(19)QCinsertswereincludedindispatches,constitutingan11.9%insertion frequency. These QC insertswere comprised of CRMs, blanks, andpulp duplicates inserted "blind" at thefield camp under the supervision ofthe Project Geologist. In addition, ALSLaboratoryanalysedinternalQCstandardsandundertookrepeatanalyses.
Quality ofassay dataandlaboratorytests	•The nature, quality andappropriateness of the assaying andlaboratory procedures used andwhether the technique is consideredpartial or total.•For geophysical tools,spectrometers, handheld XRFinstruments, etc, the parametersused in determining the analysisincluding instrument make andmodel, reading times, calibrationsfactors applied and their derivation,etc.•Nature of quality control proceduresadopted (eg standards, blanks,duplicates, external laboratorychecks) and whether acceptablelevels of accuracy (ie lack of bias)and precision have beenestablished.	•Pre-preparation of the 140 primaryassay diamond core samples wascompletedatPerformanceLaboratories in Ruwa (Zimbabwe).Duringpreparationsamplesunderwent crushing and pulverising.Analysis was carried out by ALSChemex in Johannesburg by meansof 48 element four-acid ICP-MS (suitecode ME-MS61).Pre-preparation ofthe5metallurgicalsamples(composited from 33 pre-existing ¼core1mlongsamplesfrom29boreholes)wascompletedatGeoLabs (Centurion, South Africa),with comminution test workscheduledto commence thereafter.•Of the total of 159samples (140excludingQCinserts)submittedduring Phase 4of the project, allanalyses have now been reported.The assay results of the diamond coresampleswereacceptable,asevidencedbyevaluationsofthenineteen(19) QC inserts analysed.Seven(7) CRM control samples wereinserted in this phase of drilling, and of

these, the tree (3) high-grade CRM

AMIS339inserts(2.27%Li)
performed well, with allreporting well
within 2 standard deviations (<5%
variance) of the certified grade. The
one(1) AMIS 683 standard (low-grade
2023 ppm Li) analysedreported within
the 2x S.D. range(5.3% variance).
Additionally,three(3)midgrade
standards, AMIS 0684 (4454 ppm Li),
wereinserted,with1reporting
fractionally below the lower 2x S.D.
threshold (6.7% variance), and two(2)
reporting well within range.

• A total of five (5) coarse silica chip blanks (AMIS0908) were inserted in this phase of drilling, will all reporting within acceptable limits.
• A sequence of seven (7) blind primary preparation pulp duplicate pairs were also submitted for analysis in this phase of drilling. All have now reported, with six (6) yielding <5% variance, and one (1) reporting 5-10% variance from the pair mean.
• As indicated on 31 January 2024, the remnant pulps of diamond core samples for Phase 3 drilling that assayed >1% Li2O were sent to Geolabs for XRD analysis, with the results back-calculated for comparison to the ALS-derived ICP values. These analyses have now been reported and for the 128 samples analysed, 124 were within 10% of the ALS chemical assay value and 4 within 10-20% of the ICP-MS result, yielding a strong overall 0.98 R2 correlation. Samples from the Phase 4 drilling programme that assayed >1% Li2O will be sent to GeoLabs for XRD analyses.

Verification of sampling and assaying

• The verification of significant intersections by either independent or alternative company personnel.
• The use of twinned holes.
• Documentation of primary data, data entry procedures, data verification, data storage (physical and

• Site regularly inspected by Senior Geological staff, including Exploration Manager, and CP & Chief Geologist (Roger Tyler).

• Logging and assay data was recorded manually on hardcopy log sheets, and then captured digitally on a

	electronic) protocols.•Discuss any adjustment to assaydata.	spreadsheet,withconsistencybetweenthemrigorouslycheckedinternally.•Assay data were recorded digitallyandelectronicallydistributedincertifiedPDFcopiesalongwithtranscribableformatinanaccompanying spreadsheet.•No Mineral Resource estimate hasbeen carried out.
Location ofdata points	•Accuracy and quality of surveysused to locate drill holes (collar anddown-hole surveys), trenches, mineworkings and other locations used inMineral Resource estimation.•Specification of the grid systemused.•Quality and adequacy of topographiccontrol.	•All drill holes were surveyed whencompleted with an EMS down-holesurvey instrument(Reflex EZTrac).The toolwas lowered down to take themeasurementsoftheholetracerelative to magnetic north. Starting atthe bottom of the hole the toolwasraised to surface, and at 3m stationintervals a reading was taken of bothhole inclination and azimuth. Thesemeasurements were then convertedfrom magnetic to UTM Zone 36 South(ARC1950) values. No significant holedeviations were evident in plan orsection.•Allplannedcollarpositionswerestaked using a handheld Garmin GPS,with all final collar measurementsbeing collected using a calibratedDifferential GPS in UTM Zone 36South(ARC1950)values(seeAppendix1).Afterdrillsiterehabilitation, collar positions weremarkedwithconcretebeaconsinscribed with all relevant boreholeinformation.
Data spacinganddistribution	•Data spacing for reporting ofExploration Results.•Whether the data spacing anddistribution is sufficient to establishthe degree of geological and gradecontinuity appropriate for the MineralResource and Ore Reserveestimation procedure(s) andclassifications applied.•Whether sample compositing hasbeen applied.	•Drill sites targeting Pegmatites C,D,and Ewere spaced approximately 30-60m apart along strike from northnorthwesttosouth-southeast,andinclinedeasttargetingsubsurfacecontinuationsoftheoutcroppingpegmatites. These drill holes targetedpegmatiteinterceptsatdepthsofbetween 30m to 200m vertically. Drillsites targeting WinBin were positionedina north-southorientation, drilling atan azimuth of 100° and an inclination

		of 60°, targetingintercepts of theWinBin pegmatite body at a 55mdepthverticallybelowsurfacetopography.
Orientation ofdata inrelation togeologicalstructure	•Whether the orientation of samplingachieves unbiased sampling ofpossible structures and the extent towhich this is known, considering thedeposit type.•If the relationship between thedrilling orientation and the orientationof key mineralised structures isconsidered to have introduced asampling bias, this should beassessed and reported if material.	•Drill sites targeting Pegmatites C, D,and E were sited north-northwestsouth-southeastfollowingthepegmatite's mapped strike direction,inclinedeastwardsapproximatelyorthogonaltotheinterpreteddipdirection of the targeted pegmatitebodies. The dip angle of these holeswas planned to intersect the targetedpegmatites as near to perpendicularaspossible.DrillsitestargetingWinBinweresitednorth-south,inclined60°east in order to determinethe dipand true thickness of the bodywhen intersected orthogonally.
Samplesecurity	•The measures taken to ensuresample security.	•Minimal preparation was completed atsite, with pegmatite intercepts andsamples being stored and processedat the Company's new purpose-builtCore Yard in Harare. Diamond coresamples were placed in sealed bagsto prevent contamination.
Audits orreviews	•The results of any audits or reviewsof sampling techniques and data.	•Not applicable

Section 2 Reporting of Exploration Results (Step Aside Lithium Project)

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

Criteria	JORC Code explanation	Commentary
Mineraltenement andland tenurestatus	•Type, reference name/number,location and ownership includingagreements or material issueswith third parties such as jointventures, partnerships,overriding royalties, native titleinterests, historical sites,wilderness or national park andenvironmental settings.•The security of the tenure heldat the time of reporting alongwith any known impediments toobtaining a licence to operate inthe area.	•BM claim block Step Aside 19948 (100hectares)–90% ProspectResources.•The environmental impact assessmenthas been granted and Q1quarterly reviewconducted.•Rural farmland –fallow.
Explorationdone by otherparties	•Acknowledgment and appraisalof exploration by other parties.	•Nodetailedrecordsofanyhistoricalexploration exist, but the area was mappedinsomedetailbytheZimbabweanGeological Survey in 1990. (Bulletin No.94)ThesmallColgapegmatitewasmapped, but no sampling was recorded.•An historical geochemical soil samplingprogramme was conducted on survey linesin the surrounding farm areas and partiallycovered the Step Aside Project. Those soilsamples were collected at 20m intervalswith 100m spacing.•Thesoillineswereapproximatelyperpendiculartothestrikeofthepegmatites, geologically mapped earlier inthe region. The area surrounding ColgaHill -adjacent to Step Aside -wasdetermined as being broadly anomalous inlithium (>200ppm lithium).
Geology	•Deposit type, geological setting,and style of mineralisation.	•ModeratetosteeplydippingLi-Cs-Tapegmatites, with spodumene, petalite, andminor lepidolite present.•The occurrence of the pegmatites at StepAside appears to be closely related to theregional Mashonganyika FaultZone.•There are seven outcropping and mappedpegmatite bodies occurring as a swarm atStep Aside, named Colga Pegmatites A toF, with an Extension to C having been

Drill holeInformation	•A summary of all informationmaterial to the understanding ofthe exploration results includinga tabulation of the followinginformation for all Material drillholes:oeasting and northing of thedrill hole collar	70° and a surface thickness of 10m.Pegmatite B has a dip of 72° and a surfacethickness of 5m. Pegmatite C has a dip of73°andsurfacethicknessof3m.Pegmatite D has a dip of 75° and a surfacethickness of 8m. Pegmatite E has asurface thickness of 7m with a dip of 80°.Pegmatite F has surface thickness of 6mwith a dip of 72°.•TheWinBinpegmatitebodyhasnooutcrop on surface to the south, and isinterpreted as a feeder body to the ColgaSwarm (and Pegmatite C in particular, thecojoination of which has been defined),andhasanarcuatestriketrendingbetween north-west and south-southwest,and a westerly dip of approximately 80°.•See Appendices 1 and 2.
	oelevation or RL (ReducedLevel –elevation above sealevel in meters) of the drillhole collarodip and azimuth of the holeodown hole length andinterception depthohole length.•If the exclusion of thisinformation is justified on thebasis that the information is notMaterial and this exclusion doesnot detract from theunderstanding of the report, theCompetent Person shouldclearly explain why this is thecase.

Dataaggregationmethods	•In reporting Exploration Results,weighting averaging techniques,maximum and/or minimumgrade truncations (eg cutting ofhigh grades) and cut-off gradesare usually Material and shouldbe stated.•Where aggregate interceptsincorporate short lengths of highgrade results and longer lengthsof low grade results, theprocedure used for suchaggregation should be statedand some typical examples ofsuch aggregations should beshown in detail.•The assumptions used for anyreporting of metal equivalentvalues should be clearly stated.	•Borehole intersections were reported usingdownholelengthweightedaveragingmethods. No maximum or minimum gradetruncations were used. The mineralisation isconstrained to within the pegmatites.
Relationshipbetweenmineralisation widths andinterceptlengths	•These relationships areparticularly important in thereporting of Exploration Results.•If the geometry of themineralisation with respect tothe drill hole angle is known, itsnature should be reported.•If it is not known and only thedown hole lengths are reported,there should be a clearstatement to this effect (eg'down hole length, true width notknown').	•The drill holes were drilled with varyingazimuths and dips intended to intersect thepegmatites perpendicularly to the mappedgeological strike direction.•90% of holes intersected the targetedpegmatitebodies as planned, although thepegmatitesdobifurcateandvaryinthickness.•Borehole lines were drilled parallel to thenorth-northwest-south-southeast strike ofthe Colga Pegmatite Swarm; and in thecase of WinBin, north-southparallelto theinferred subcroppingstrike of the body.
Diagrams	•Appropriate maps and sections(with scales) and tabulations ofintercepts should be included forany significant discovery beingreported These should include,but not be limited to a plan viewof drill hole collar locations andappropriate sectional views.	•Relevant maps and sections are attachedin the body of the report.
Balancedreporting	•Where comprehensive reportingof all Exploration Results is notpracticable, representativereporting of both low and highgrades and/or widths should bepracticed to avoid misleadingreporting of Exploration Results.	The Company believes that all results•have been reported and comply withbalanced reporting.

Other•substantiveexplorationdata	Other exploration data, ifmeaningful and material, shouldbe reported including (but notlimited to): geologicalobservations; geophysicalsurvey results; geochemicalsurvey results; bulk samples –size and method of treatment;metallurgical test results;bulkdensity, groundwater,geotechnical and rockcharacteristics; potentialdeleterious or contaminatingsubstances.	•No known previous exploration work forlithiumconductedonthetenementhistorically,priortothepresentprogrammesbeingundertakenbyProspect Resources.
Further work••	The nature and scale of plannedfurther work (eg tests for lateralextensions or depth extensionsor large-scale step-out drilling).Diagrams clearly highlighting theareas of possible extensions,including the main geologicalinterpretations and future drillingareas, provided this informationis not commercially sensitive.	•Giventheencouraginglithiumdrillingintersectionsandassociatedassayresults, there is a future need to follow upon the existing holes with more interceptsalong strike to determine depth extent,width, and grade continuity of the definedpegmatites, particularly the WinBin bodyand its cojoinations with the Colga Swarm.

JORC Code, 2012 Edition – Table 1 (Omaruru Lithium Project)

Section 1 Sampling Techniques and Data

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

			four acid dissolution.
Drilling•techniques	Drill type (eg core, reversecirculation, open-hole hammer,rotary air blast, auger, Bangka,sonic, etc) and details (eg corediameter, triple or standard tube,depth of diamond tails, facesampling bit or other type, whethercore is oriented and if so, bywhatmethod, etc).	•••	Double tube, 133mm reverse circulation.A Thor truck mounted rig was used, witha1200cfmKirloskarcompressor,operated by Hammerstein Drilling.6m rods were used, and the hole airblasted to allow sample recovery via acyclone every 1m.In addition, a single tube, Rotary air blast.A PAT-Drill 401-wheel mounted rig wasusedwithaXP825-HP750DoosancompressoroperatedbyEbenRautenbach. The drill bit has a diameterof 115 mm, and 2m rods were used.
Drill sample•recovery••	Method of recording and assessingcore and chip sample recoveries andresults assessed.Measures taken to maximise samplerecovery and ensure representativenature of the samples.Whether a relationship existsbetween sample recovery and gradeand whether sample bias may haveoccurred due to preferentialloss/gain of fine/coarse material.	••	RC chip samples were bagged directlyfromthecyclone,andimmediatelyweighed; virtually all samples weighedmore than 30kg, averaging 35kg. Thesample was then riffle split to produce 3subsamples (a primary, field duplicateand reference sample) of approximately3kg each.Material seems largely homogenous, andnorelationshiphasbeendetectedbetween grain size and assayed grade.
Logging•••	Whether core and chip sampleshave been geologically andgeotechnically logged to a level ofdetail to support appropriate MineralResource estimation, mining studiesand metallurgical studies.Whether logging is qualitative orquantitative in nature. Core (orcostean, channel, etc) photography.The total length and percentage ofthe relevant intersections logged.	•••	A sample of the RC chips was washedand retained in a chip tray. Chip sampleshave been geologically logged at 1mintervals,withdatarecordedinspreadsheet format using standardizedcodes. Sample weight, moisture content,lithologies, texture, structure, induration,alteration, oxidation and mineralisationwere recorded.Specific gravities (SGs) have not yet beenmeasured.The work is undertaken according toProspectResources'standardprocedures and practices, which are inline with international best practice, andoverseen by the CP. The CP considersthat the level of detail and quality of thework is appropriate tosupport the currenttarget estimate.

Sub-samplingtechniquesand samplepreparation	•If core, whether cut or sawn andwhether quarter, half or all coretaken.•If non-core, whether riffled, tubesampled, rotary split, etc andwhether sampled wet or dry.•For all sample types, the nature,quality, and appropriateness of thesample preparation technique.•Quality control procedures adoptedfor all sub-sampling stages tomaximise representivity of samples.•Measures taken to ensure that thesampling is representative of the insitu material collected, including forinstance results for fieldduplicate/second-half sampling.•Whether sample sizes areappropriate to the grain size of thematerial being sampled.	•RC samples were split through the rifflesplitterandbaggedthereafter.Anaverage of 35kg of sample was producedpermeter(acalculatedrecoveryofaround of 85% was achieved).•The dry samples were split using a rifflesplitter, with three, 3kg samples beingcollected per 1m interval. Excess materialwas poured back in the polywoven bag.•For RC chip samples, field duplicateswere produced every 20th sample.•The 3kg samples were crushed and milledat the Analab Laboratory in Windhoek.Pulp duplicates, blanks and standardmaterial(producedbyAMIS)wereinsertedinidenticalpacketstothesamples, one per 20 normal samples foreach of the blanks, standards and labduplicates. This was done under thesupervision of a qualified geologist or
Quality ofassay dataandlaboratorytests	•The nature, quality andappropriateness of the assaying andlaboratory procedures used andwhether the technique is consideredpartial or total.•For geophysical tools,spectrometers, handheld XRFinstruments, etc, the parametersused in determining the analysisincluding instrument make andmodel, reading times, calibrationsfactors applied and their derivation,etc.•Nature of quality control proceduresadopted (eg standards, blanks,duplicates, external laboratorychecks) and whether acceptablelevels of accuracy (ie lack of bias)and precision have beenestablished.	experienced geotechnician.•All samples were analysed for lithium andrubidium using ICP analysis method. AllassayswereperformedatAnalab,Windhoek.•For QAQC, a 5% tolerance for CRM andduplicate results was permitted. Of the 27blank samples inserted, 15 were deemednecessary for re-assay. Of the 36 CRMsassayedonlyoneOMR064/004felloutside the acceptable range.•Out of 21 pulps produced from fieldduplicates, an overall correlation of 96%was achieved, with only two falling outsideacceptablelimits,OMR068/014andOMR078/012. For the 17 lab duplicates, acorrelation of 99% was achieved, withonly two samples being outside the limit(OMR068/014 and OMR078/012). Theconclusion is that Analab has producedacceptable analytical results.
Verification ofsampling andassaying	•The verification of significantintersections by either independentor alternative company personnel.•The use of twinned holes.•Documentation of primary data, dataentry procedures, data verification,data storage (physical andelectronic) protocols.•Discuss any adjustment to assaydata.	•The Project Geologist was on site duringmost of the drilling and sample prepreparation. The significant intersectionsand geological interpretation were alsoshown to staff from Osino Resources andthe Namibian Geological Survey.•All hard copies of data are retained atboth the Osino Resource Explorationoffices,inOmaruru,Namibia,andProspect's regional Harare Office. Allelectronic data resides in Excel™format

		on the office desktop, with back-upsretained on hard-drives in a safe, and inan Access™database in a data cloudoffsite, managed by Prospect Resources.•No drillholes from the current campaignhave been twinned.•Loggingandassaydatacapturedelectronically on Excel™spreadsheet,andsubsequentlyimportedinanAccess™database.•All assay results reported as Li ppm andover limits (>5,000ppm Li) as %, adjustedto the same units and expressed asLi2O%. Similarly, Ta assays are reportedin ppm, but expressed as Ta2O5ppm.
Location ofdata points	•Accuracy and quality of surveysused to locate drill holes (collar anddown-hole surveys), trenches, mineworkings and other locations used inMineral Resource estimation.•Specification of the grid systemused.•Quality and adequacy of topographiccontrol.	•AllRCdrillholesweresurveyedcompleted, with down-hole survey toolusing an Azimuth Point System (APS)Single Shot survey method down-holeinstrument at a minimum of every 30mand measured relative to magnetic north.These measurements have then beenconverted from magnetic to UTM Zone 33Southvalues.Nosignificantholedeviation is evident in plan or section.•All collar positions have been initiallysurveyed using a handheld GPS andmarked with concrete. Then DGPS unitwasemployedbyStrydomandAssociates surveyors.
Data spacinganddistribution	•Data spacing for reporting ofExploration Results.•Whether the data spacing anddistribution is sufficient to establishthe degree of geological and gradecontinuity appropriate for the MineralResource and Ore Reserveestimation procedure(s) andclassifications applied.•Whether sample compositing hasbeen applied.	•Phase 2A drill holes were drilled at anaverage of 30 m to 150 m intervals alongstrike and down dip of the major mappedpegmatites. In addition, individual andpairs of RAB holes were used to targetsoil geochem anomalies on extensions ofthe Bergers NE,Bergers SW and Spiritdeposits.•The azimuth and inclination of each holevaried depending on the attitude of thesurface exposure of the various pegmatitebodies.
Orientation ofdata inrelation togeologicalstructure	•Whether the orientation of samplingachieves unbiased sampling ofpossible structures and the extent towhich this is known, considering thedeposit type.•If the relationship between thedrilling orientation and the orientationof key mineralised structures isconsidered to have introduced asampling bias, this should be	•Drilling was planned to intersect thesepegmatites as near to perpendicular aspossible.

	assessed and reported if material.
Samplesecurity	•The measures taken to ensuresample security.	•RC samples were placed in sealed bagsto prevent movement and mixing. Minimalpreparation was done on site. Sampleswere transported in company vehiclesaccompanied by a senior technician tolaboratory in Windhoek.
Audits orreviews	•The results of any audits or reviewsof sampling techniques and data.	•The CP (Roger Tyler), is continuallyauditing sampling and logging practices.

Section 2 Reporting of Exploration Results (Omaruru Lithium Project)

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

Criteria	JORC Code explanation	Commentary
Mineraltenement andland tenurestatus	•Type, reference name/number,location and ownership includingagreements or material issueswith third parties such as jointventures, partnerships,overriding royalties, native titleinterests, historical sites,wilderness or national park andenvironmental settings.•The security of the tenure heldat the time of reporting alongwith any known impediments toobtaining a licence to operate inthe area.	•EPL5533, known as Wilhelmstal (131 sq km)is 100% held by Prospect Resources underthenameoflocalcompanysubsidiary,RichwingExploration(Pty)Limited.AShareholderAgreementwassignedwithOsinoResourcesCorp.(OSI.TSXV)inSeptember 2022 for Prospect to progressivelyacquire up to 51% and potentially up to 85%ofRichwing(ASXAnnouncement29September2022).Followingtherecentannouncement of the purchase of OsinoResources by Yintai Gold, the residual 60% oftheProjectwaspurchasedbyProspectResources for $75,000 on 21st March 2024.•There are no known environmental or land titleissues or impediments. The environmentalcertificate has been renewed.The exploration licence was renewed on 12th•February 2024 for a further two years.•Rural farmland –game grazing, low densitypopulation.Access rights to the two farms atAlbrechtshohe which cover the main targetareas, have been established by contractualagreements, signed in October 2022.
Explorationdone by otherparties	•Acknowledgment and appraisalof exploration by other parties.	•AGA and Bafex covered the area with gridbased soil geochemistry in the early 2000s.2,093 multielement results available. Lithiumsoil values average 32 ppm and peak at 204ppm Li. No known lithium targeted drilling hadbeen completed historically at Omaruru.•In 2018, Dr Michael Cronwright of CSA Globalundertook a compilation of all known data andan assessment of the pegmatite outcrops onbehalf of Osino Resources NL.•A similar exercise was undertaken by MikeVenter of PH Consulting in 2019, whichconsidered more of the regional historical soilgeochemistry and tectonic models.•More detailed mapping was subsequentlyundertaken by the then CP, Nico Scholtz.•In 2020, Osino drilled 16 RC holes (1,942m)six at the Karlsbrunn deposit, with five at theSpirit and five at the northern extremity ofBrockmans.
Geology	•Deposit type, geological setting,and style of mineralisation.	•The project area hosts multiple outcroppingpegmatites,intrudingDamaraagedmetasediments. The pegmatites belong to the

		lepidolite-petalitesubclassoftheLCT(Lithium-Caesium-Tantalum)class.Theystrike approximately southwest-northeast, butvary in length, dip, and width along strike aswell as in depth extent and degree of erosion.•Those drilled during Prospect's Phase 1programme were the Karlsbrunn Main andBrockmans pegmatites.•The pegmatites are poorly to moderatelyzoned (but not symmetrically). The mainlithium bearing minerals are dominated bylepidoliteandpetalite,withsub-ordinatecookeite. In addition, disseminated tantaliteand cassiterite is present. Gangue mineralsare quartz, alkali feldspars and muscovite.
Drill holeInformation	•A summary of all informationmaterial to the understanding ofthe exploration results includinga tabulation of the followinginformation for all Material drillholes:oeasting and northing of thedrill hole collaroelevation or RL (ReducedLevel –elevation above sealevel in meters) of the drillhole collarodip and azimuth of the holeodown hole length andinterception depthohole length.•If the exclusion of thisinformation is justified on thebasis that the information is notMaterial and this exclusion doesnot detract from theunderstanding of the report, theCompetent Person shouldclearly explain why this is thecase.	•See Appendices 1 and 2.
Dataaggregationmethods	•In reporting Exploration Results,weighting averaging techniques,maximum and/or minimumgrade truncations (eg cutting ofhigh grades) and cut-off gradesare usually Material and shouldbe stated.•Where aggregate interceptsincorporate short lengths of highgrade results and longer lengthsof low grade results, theprocedure used for such	•Borehole intersections were reported usingdownholelengthweightedaveragingmethods. No maximum or minimum gradetruncations were used. The mineralisation isconstrained to within the pegmatites.

Relationshipbetweenmineralisation widths andinterceptlengths	aggregation should be statedand some typical examples ofsuch aggregations should beshown in detail.•The assumptions used for anyreporting of metal equivalentvalues should be clearly stated.•These relationships areparticularly important in thereporting of Exploration Results.•If the geometry of themineralisation with respect tothe drill hole angle is known, itsnature should be reported.•If it is not known and only thedown hole lengths are reported,there should be a clearstatement to this effect (eg'down hole length, true width notknown').	•The drill holes were drilled with varyingazimuths and dips intended to intersect thepegmatites perpendicularly.•Virtually all holes intersected the pegmatitesasplanned,thoughthepegmatitesdobifurcate and vary in thickness.•There is undoubtedly some flexing of thesepegmatite bodies, which has caused dipvariation, but the general regional geologicalstrike is southwest-northeast.
Diagrams	•Appropriate maps and sections(with scales) and tabulations ofintercepts should be included forany significant discovery beingreported These should include,but not be limited to a plan viewof drill hole collar locations andappropriate sectional views.	•Maps are attached in the body of the report.
Balancedreporting	•Where comprehensive reportingof all Exploration Results is notpracticable, representativereporting of both low and highgrades and/or widths should bepracticed to avoid misleadingreporting of Exploration Results.	The Company states that all results have been•reported and comply with balanced reporting.
Othersubstantiveexplorationdata	•Other exploration data, ifmeaningful and material, shouldbe reported including (but notlimited to): geologicalobservations; geophysicalsurvey results; geochemicalsurvey results; bulk samples –size and method of treatment;metallurgical test results; bulkdensity, groundwater,geotechnical and rockcharacteristics; potentialdeleterious or contaminatingsubstances.	•Historical surface grab sampling was alsoconducted at all the exposed pegmatites. 93 xapproximately 3kg samples were collectedand assayed at Act Labs Vancouver aftercrushing and milling at Act Labs Windhoek.From 93 samples collected, an average lithiagrade of 1.88%, with a maximum of 5.06%werereturned(details–ProspectASXAnnouncement 29 September 2022).•Reconnaissance mapping was undertakenduring the 2018 evaluation by Dr MichaelCronwright of CSA Global. More detailedmapping was completed by Nico Scholtz in2021, on behalf of Osino Resources.•In 2020, 16 RC holes for 1,942m were drilledby Osino Resources; six at Karlsbrunn, five atSpirit and five at the northern extremity of

Brockmans. Zones of thick pegmatite were intercepted, notably on the western side of Karlsbrunn. The best intercepts were 8m at 1.2% lithia from KBR006 and 23m at 0.99% lithia from KBR007 (ASX Announcement 29 September 2022). In 2022, 22 RC holes totaling 2,056 m were drilled; 14 on Karlsbrunn and 8 on Brockmans. Mineralized pegmatite zones of different widths were intersected mainly on Karlsbrunn. The best intercepts were 6m at 1.25 % lithia from OMR018 and 11m at 0.95 % lithia from OMR004.

• In 2023, 27 holes for 1,839 m were drilled on Bergers, Brockmann, Hillside, Karlsbrunn main and Karlsbrunn Northeast Extension deposits. Impressive lithium grades were retubed, such as 38m at 0.82% lithia m from OMR046, 18m at 0.88 % lithia and 13m at 0.79% lithia both from OMR045.
• Phase 2 RAB drilling was conducted in early 2024 to follow up on the elevated soil anomalies of phase 2 soil sampling campaign. 36 RAB holes totaling 1,511 were drilled on Karlsbrunn SE, Karlsbrunn NE, Spirit and Bergers. Results were negative, in part due to the inability of the RAB rig to penetrate beyond 50m depth.
• Phase 2 RC drilling was conducted in Q2 2024 to test the downdip extensions of the known mineralisation at Brockman's, Karlsbrunn Main. Karlsbrunn NE, Berger's and Spirt. 41 RC holes totaling 2,738m were drilled. The results at Berger's and Sprit were disappointing, in that the pegmatites did not thicken and coalesce at depth. On Brockman's considerable tonnages of pegmatite were defined down-dip, but the mineralisation proved to be spotty. The most positive results were from Karlsbrunn Main, were two further petalite bearing intercepts were made on the deep root zone. OMR087; 0.8% lithia over 5m and OMR088; 1.1% lithia over 11m.

All the RC sample assays were received from the lab. Further work will be planned upon the completion of the ongoing data assessment and integration. The moderately mineralised Karlsbrunn Main deposit is open ended at beyond 100m depth, and provides a potential future target. The shallow dipping Brockman's represents a large tonnage potential close to surface west of the surface outcrop. Intercepted mineralisation has through proved

• Further work The nature and scale of planned further work (eg tests for lateral extensions or depth extensions or large-scale 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.

to be discontinuous.