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TURNSTONE RESOURCES LTD Investor Presentation 2020

Sep 27, 2020

65958_rns_2020-09-27_fa3846f6-2807-4ab3-bdcc-8b2e29094b20.pdf

Investor Presentation

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ASX ANNOUNCEMENT 28[th] September 2020

DAVENPORT ANNOUNCES UPDATED INVESTOR PRESENTATION

Davenport Resources Ltd (ASX: DAV, “ Davenpor t”, “ The Company ”) is pleased to bring to general attention an updated corporate presentation which describes the Company’s plans for developing its 5.3 Bt potash resource in central Germany and the transformative impact of the recent magnesium sulphate discovery (ASX announcement 22[nd] September 2020).

The presentation is attached in the Appendix and can also be located on the Company website using the URL https://davenportresources.com.au/presentations/.

This announcement has been approved by the Board of Directors of Davenport Resources Limited.

In accordance with ASX listing rule 5.23, the Company is not aware of any new information or data that materially affects the information included in the previous market announcement ( ASX announcement 22[nd] September 2020) and that all material assumptions and technical parameters underpinning the estimate in the previous market announcement continue to apply and have not materially changed.

Davenport Managing Director Dr Chris Gilchrist said:

“It is extremely pleasing that we are making significant headway in the developmental planning for our massive potash resources in Germany. We have carefully examined the merits of our various perpetual mining licence areas and concluded that Ohmgebirge should be selected as the spearhead project. We also recognise, however, the merits of the huge Nohra-Elende resource and its capacity to provide a diverse basket of specialty fertiliser products. Work will continue on this in parallel with developing Ohmgebirge where drilling is expected to take place early next year. This will contribute to Davenport developing into a world-class producer and become a major supplier in Europe.”

Investor & Media Enquiries

Dr Chris Gilchrist

Managing Director Davenport Resources Ltd +353 41 988 3409 [email protected]

Nathan Ryan

Managing Director NWR Communications +61 420 582 887 [email protected]

Level 1, 675 Murray Street, CONTACT DETAILS West Perth WA 6005 W: davenportresources.com.au PO Box 1088 - E: [email protected] West Perth WA 6872 P: +61 (08) 9481 0389

ABN: 64 153 414 852 ASX Code: DAV ASX Code (Options): DAVO Frankfurt Code: A2DWXX

197.1 M Ordinary Shares 14.2 M Unlisted Options 46.2 M Listed Options 5.1M Performance Rights

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APPENDIX

Davenport Corporate Presentation September 2020

Level 1, 675 Murray Street, CONTACT DETAILS West Perth WA 6005 W: davenportresources.com.au PO Box 1088 - E: [email protected] West Perth WA 6872 P: +61 (08) 9481 0389

ABN: 64 153 414 852 ASX Code: DAV ASX Code (Options): DAVO Frankfurt Code: A2DWXX

197.1 M Ordinary Shares 14.2 M Unlisted Options 46.2 M Listed Options 5.1M Performance Rights

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Corporate Presentation September 2020 WESTERN EUROPE’S LARGEST POTASH INVENTORY

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DISCLAIMER

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Davenport Resources Limited (“Davenport”, “DAV”, “The Company”) has issued this Presentation for informational purposes only. It is not intended to, and does not, constitute specific advice to any particular party or person. The information in this presentation is based on publicly available information, internally developed data and other sources. Where any opinion is expressed in this presentation, it is based on the assumptions and limitations mentioned herein and is an expression of present opinion only. No warranties or representations can be made as to the origin, validity, accuracy, completeness, currency or reliability of the information.

The contents of this presentation are confidential and not for distribution to unauthorized parties.

COMPETENT PERSON STATEMENTS

Elizabeth de Klerk M.Sc., Pr.Sci.Nat., SAIMM., Micon’s Director, Senior Geologist and Competent Person visited the South Harz Potash project from 12[th] to 16[th] February 2018 and 6[th] to 8[th] March 2018. During the initial site visit, the historical drilling area and laboratory facilities at K-Utec Salt Technologies Ltd in Sondershausen were visited. The original drill hole logs, reports, maps and cross-sections held in the Bodenverwertungs and verwaltungs GmbH (BVVG) archives in Berlin were also inspected. In addition, Mrs. de Klerk interviewed the Ercosplan team at their offices in Erfurt to understand how the data were used to compile an Excel database and generate an initial Exploration Target for Mühlhausen-Nohra. The second site visit involved more time spent at K-Utec inspecting additional historical records for Mühlhausen-Nohra held in the archives at the offices of K-Utec Salt Technologies Ltd in Sondershausen.

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© Davenport Resources Ltd. www.davenportresources.com.au 2
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DAVENPORT RESOURCES - A COMPELLING INVESTMENT CASE

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  • Massive resources across four potash projects in Germany, largest in Western Europe, 5.3 billion tonnes containing 567 Mt K2O in areas adjacent to historic potash mines.

  • • Davenport holds perpetual mining licences & results from over 300 exploration holes.

  • • JORC Inferred resources established. Only two twin holes required to reach M&I status in each licence area.

  • • Low targeted capex and opex.

  • • Unique resource also contains sulphates – attractively priced mag sulphate and SOP can be produced.

  • • Next step to fund drilling program & complete DFS within 20 months of financing.

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© Davenport Resources Ltd. www.davenportresources.com.au 3
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  • SOUTH HARZ: A SIGNIFICANT HISTORIC POTASH MINING AREA IN THE HEART OF GERMANY

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  • South Harz region has a long history of potash mining

  • 180 Mt potash has been mined since the 1890’s. There is a high understanding of mining these deposits, hence low risk.

  • Potash was the GDR’s most important source of foreign exchange

  • Former GDR state mining company intended to mine our areas in the 1990’s

  • Deposits were drilled to a high standard before German reunification forced mine closures

  • Resources were classified at the time as reserves under Russian resource classification

South Harz Region in Thuringia, Germany

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© Davenport Resources Ltd. www.davenportresources.com.au 4
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ATTRACTIVE PORTFOLIO WITH TOTAL OF 5.3Bt OF RESOURCE

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  • Total of JORC Inferred Resources of over 5.3 billion tonnes containing 567 Mt K2O across 4 projects2O across 4 projectsO across 4 projects

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567 Mt K2O across 4 projects2O across 4 projectsO across 4 projects
1
2
• Four stand-alone projects identified: Nohra Elende (1), Ohmgebirge
(2), Mühlhausen-Keula (3), Ebeleben (4)
• Two exploration targets: Küllstedt (5), Gräfentonna (6).
• Total licence area of 659km [2]
5
• Potash-experienced European-based team
3 4
• All projects under perpetual mining licences, with no holding costs or
royalties. Licence areas are adjacent to former potash mines
• Scoping and conceptual studies completed by K-Utec AG 6
• Several of the licence areas have a significant content of
valuable Sulphate and Magnesium minerals
© Davenport Resources Ltd. www.davenportresources.com.au 5
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OHMGEBIRGE - A POTENTIAL STARTER-PROJECT

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Resource
size (Mt)
Resource
size (Mt)
Mineralisation Production
Kt/a
IRR Potential NPV
Potential
Opex
Target
Capex
Target
OHMGEBIRGE 325 Scoping Study
42 Mt K2O (grading 9.8% to 14.0%
K2O) at relatively shallow depth.
500 MOP
1000 MOP

✔✔

✔✔
LOW LOW
V.LOW
NOHRA ELENDE 1700 Scoping Study
165Mt K2O (grading 9.4% to 14.2%
K2O)
with
substantial
additional
minerals (Kieserite & NaCl) in 26m
575 MOP
640 MgSO4
+ SOP potential
MED AVG.
seams.
MŰHLHAUSEN-
KEULA
1130 Concept Study
125Mt K2O (grading 8.2% to
12.1%
K2O), plus additional sulphate minerals
(Kieserite, Kainite & Polyhalite)
500 MOP
1000 MOP
+ SOP potential

✔✔

✔✔
MED
LOW
AVG.
LOW
EBELEBEN 577 Concept Study
69 Mt K2O (grading 7.5% to 15.6% K2O).
500 MOP
1000 MOP

✔✔

✔✔
MED
LOW
AVG.
LOW
© Davenport Resources Ltd. www.davenportresources.com.au 6

OHMGEBIRGE LICENCE AREA

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  • Ohmgebirge scoping study supports potential for lowcost, low mining and processing risk, long-life project

  • Historic drilling records reduce exploration risk and facilitate faster timetable

  • Shallow depth of resource, access to bulk samples and proximity of infrastructure promises low capex requirements

  • Confirmatory drilling to commence upon availability of funding

Ohmgebirge Field E to W

Historic Drilling Activity and Grade

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© Davenport Resources Ltd. www.davenportresources.com.au 7
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  • NOHRA-ELENDE AND MÜHLHAUSEN-KEULA PROJECTS WITH POTENTIAL FOR PREMIUM SPECIALTY FERTILISER PRODUCTS

  • Mineralisation of the potash deposits in Germany is unique in the world

  • Potash is found in conjunction with Kieserite (MgSO 4 ), facilitating the production of a range of premium fertilizer products, including SOP

  • These premium products have been the basis of K+S’ specialty fertilizer product strategy from its German mining operations

  • K+S mining operations in Germany are ageing & will require replacement

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Resource Concentration (%) in the Mühlhausen
Keula/Nohra Elende Field
10.2% 10.2%
4.4%
Potash Sulphate Magnesium
(K2O ) (SO4) (MgO)
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  • Magnesium and Sulphate Components Are Key Drivers of K+S’ Premium Fertilizers Specialities

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Potash/MOP Fertilizers Specialties
Production (Mt) 3.88 2.42
Average
256 +17% 300
Revenue (€ /t)
) K+S AG Annual Report 2019
8
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www.davenportresources.com.au
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COMPETITIVE TARGET OPERATING CONDITIONS COMPARED TO GLOBAL PEERS

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Davenport’s aspirational position on the potash cost curve
250
200
150
100
106 116 151 173 179 230
50 94 Target
0
Ural- DAV- Belarus- Nutrien APC Mosaic ICL K+S
kali Ohmge- kali Jordan
birge
FOB costs delivered to Hamburg port based on Argus 2019 World Potash outlook.
US$/t
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  • Reasons for Low Opex

  • • High labour cost in Germany typically offset by higher productivity

  • Wage costs in the area competitive due to low level of economic activity

  • No expat packages required; deep expertise available locally

  • Short distance to deep-sea port (Hamburg) compared to Canadian and Russian operators

  • New mine design allows compliance with tight local environmental regulations at lower cost than K+S’ German legacy mining operations

.

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  • STRONG COMPETITIVE POSITION RELATIVE TO BELARUSIAN AND RUSSIAN OPERATORS

Target costs per tonne MOP for France and Germany, US$

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Perm
Soligorsk
South Harz
Volgograd
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Perm **V’grad ** S’gorsk DAV
Mine Gate 46 80 56
Rail toport 48 50 50
Sub-Total _9_4 130 106
Perm EU Tariff 16 16 16 ZERO
South Harz Soligorsk Volgograd Rail to
Depot
Delivered
Cost
16
126
16
162
16
138

LOW
**Perm ** **V’grad ** S’gorsk DAV
Delivered 116 152 128 LOW
Cost
Davenport is well positioned to market potash competitively into France and Germany as
logistic distances are much shorter and no EU tariff of 6.5% applies.
© Davenport Resources Ltd. www.davenportresources.com.au 10
  • PROXIMITY TO WESTERN EUROPEAN END MARKETS: SIGNIFICANT NET IMPORTS OF POTASH

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Global Potash Production and Sales

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22.4Mt
10.7Mt
12.2Mt
16.8Mt
2.7Mt
5Mt 7.5Mt
11.2Mt
3.8Mt
5.7Mt 7Mt
12Mt Global Demand (Sales)
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Current production is heavily concentrated in Canada, Belarus and Russia

Western Europe remains a significant net importer

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11
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||||
|---|---|---|
|Global Supply (Production)|
|Country|Mt|%|
|Canada|22.4|34.8|
|Belarus|12.2|19.0|
|Russia|10.7|17.0|
|China|7.5|11.6|
|Israel|3.8|6.0|
|Western Europe|2.7|4.1|
|Rest of World|5.1|7.9|

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||||
|---|---|---|
|Global Demand (Sales)|
|Region|Mt|%|
|East Asia (China)|16.8|25.5|
|South America|12.0|18.2|
|North America|11.2|17.0|
|SE Asia|7.0|10.6|
|S Asia (India)|5.7|8.6|
|Western Europe|5.0|7.6|
|Rest of World|8.3|12.6|

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  • ATTRACTIVE NEAR-TERM CATALYSTS FOR DAVENPORT’S STOCK

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|||
|---|---|
|Months following Funding|Next Steps|
|Timeline subject to funding|
|0 5 10 15 20|
|DRILLING|
|Preparation for drilling|
|Conduct drilling|
|Drill 2 holes to upgrade resource|
|Assay|
|in Ohmgebirge area|
|Resource upgrade|
|Release preliminary studies|
|Feasibility|
|SOW/RFQ for PFS|
|Award PFS mandate|
|Drilling & Resource Modelling|
|Upgrade resource then|
|Met tests, design, costing|conduct development study|
|of first project to bankable DFS level|
|Final model/report|
|Release PFS report|
|Continue to DFS|
|MAJOR MILESTONES/CATALYSTS|
|Funding Drilling Resource PFS DFS|
|12|
|© Davenport Resources Ltd.|www.davenportresources.com.au|

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CURRENT POTASH DEVELOPMENT PROJECTS

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Company Davenport Emmerson** Highfield***
Location Germany Morocco Spain
M&I Resource - 375 Mt 266 Mt
Inferred Resource 5.3 Bt 162 Mt 150 Mt
Grade % K2O 10.8* 9.2 13.0
Status Exploration Exploration Post-DFS
Output ktpa MOP 1000 810 500
Capex, US$m Competitive 406 404
Opex, US$/t Low 125 123
Cap Efficiency
US$/annual tonne
Low 501 808
EV US$m 6.0 29.8 95.3
EV/attributable
K2O resource
US$
0.01 0.60 1.76

* _Includes 1.85 Bt sylvinite grading 13.2% K2O. Emmerson plc Interim report to 30 June 2020. *** Highfield H1 report to ASX July 2020_

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13
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WHAT MAKES A TIER ONE ASSET ?

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Source: Mining News October 2019

measure How does Davenport up? Size and Quality – DAV cumulative growth potential Sustainable consumption growth – Solid LT market fundamentals Expansion opportunities, flexibility – Bite size modular growth options Barriers to entry – Resource scarcity and high capex requirement Country risk/jurisdiction – German ESG credentials & unique licences Location and market proximity – Proximity to infrastructure and markets Positive cash flow throughout commodity cycle – Robust scoping studies Bottom quartile within cost curve – Aspirational lowest quartile

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14
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A COMPELLING EUROPEAN POTASH OPPORTUNITY

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Davenport’s potash strategy presents a compelling investment opportunity as the growing world population demands an increasing amount of high-quality food products

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5.3Bt JORC Resources supports long-life Tier One potential in historic potash projects region Regional government supportive of job Low-risk jurisdiction in Germany 50+ creation projects Experienced management team. Key staff Close proximity to European and African markets based in Europe Potash MOP/SOP market fundamentals continue to strengthen

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© Davenport Resources Ltd. www.davenportresources.com.au 15
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16

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16
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Appendix

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17
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POTASH: A KEY SOURCE OF PRIMARY NEUTRIENT POTASSIUM (K)

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Potassium, Nitrogen and Phosphate essential for plant
growth
H O
2 O
2 + CO2
Secondary Micronutrients
Primary nutrients
nutrients
B Zn Fe
Mg Ca S
P K N
Cu Mo Cl
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Nutrient found in Davenport’s resources

Potassium (K)

  • Improves plant’s durability and resistance to drought, disease, weeds, parasites and cold weather

  • Potassium is severely lacking in many countries’ soil

  • Phosphate (P)

  • • Plays a key role in adequate root development and photosynthesis process

  • Helps plants resist drought

Nitrogen (N)

  • Promotes protein formation

  • Determines plant’s growth, vigour, colour and yield

  • Plants absorb nitrogen from the atmosphere

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© Davenport Resources Ltd. www.davenportresources.com.au 18
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FOOD SUPPLY FACES TWO SIGNIFICANT GLOBAL ISSUES

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POPULATION GROWTH

The world’s population is set to increase to 9 billion by 2050, massively increasing food demand

LAND AVAILABILITY

Arable land per person continues to dramatically decrease as food demand increases

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4,500
2,400
1,800
1960 2005 2050
Potash has the capabilities to service the rapidly Arable land per person will only by
growing need for quality crops 1,800m [2 ] by 2050.
Increasing living
Majority of population Potash will be the key to Developing markets are
standards driving
growth to come from get more crops from yet to fully utilise the
demand for nutrient-rich
developing nations less land potential of potash
crops
Source: Argus
© Davenport Resources Ltd. www.davenportresources.com.au 19
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FUNDAMENTALS WILL DRIVE VOLUME AND PRICE GROWTH

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Global MOP demand is expected to increase steadily to 88 Mt by 2033 Demand being driven by population increases and changing dietary demands

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Prices are forecast to rise over the next ten years.

Significant growth will be seen from both Europe and nearby developing nations

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Source: Argus

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© Davenport Resources Ltd. www.davenportresources.com.au 20
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DAVENPORT CAN BE A MULTI-PRODUCT COMPANY

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Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Possibilities for Value-Add Products using Mineral Suites at Nohra-Elende and Mühlhausen-Keula
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Sylvinite
Carnallite
Kieserite
Standard MOP
NaCl
MgCl2
Magnesium Sulphate
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
React with MOP
Chlorides
Sulphates
250
50 - 150
100
270 - 300
300
500
200 - 500
25
350
4-5
25
15
6
1.6
Mineral Products Value-add products Market Price
World Market
USD/tonne Mt/annum
Granular MOP
Industrial MOP
Potassium Sulphate (SOP)
www.davenportresources.com.au
© Davenport Resources Ltd.
*) K+S AG Annual Report 2019

PERMITTING EXPECTED TO BE FAST AND ACCOMMODATING Davenport plans to utilise eco-friendly technologies, located on former industrial sites which will facilitate the permitting process in which Davenport has a high level of confidence.

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Project Description & Regional Planning
Preliminary Impact Analysis Application
Economic
TLBA Final Operating
Exploration Mining Licence Operating Plan Studies Approval
Application Plan
(DFS)
ESIA Public Meetings
Permitting timeline ESIA Phase 12-18 months Final Approval Phase 12-24 months
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Project activities such as DFS and Front-End Engineering can be executed in parallel with the permitting process

Operator Project Product Permitting Pöhla Pipeline of Selected EMS Tungsten K+S Potash Conventional Mining Projects in Siegfried-Giesen Development in Germany Deutsche Lithium Zinnwald Lithium Knauf Lüthorst-Portenhagen Gypsum

Status 2021 start production 2019 application approved PFS released 2019 Application submitted

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© Davenport Resources Ltd. www.davenportresources.com.au 22
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ECO-FRIENDLY TECHNOLOGIES WILL ADDRESS ENVIRONMENTAL CHALLENGES THAT AFFECTED K+S BADLY IN RECENT YEARS

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German legacy operations resulted in significant salt water pollution of local rivers (waste water disposal) and ground water (injection of waste water) Water Water related clean-up required significant annual investment (2019: €91m) and increases to Opex (2019: €159m) (Source: dpa) Tailing piles from German legacy operations result in pollution of ground water Tailings Program of covering existing piles is ongoing, to prevent further pollution Annual investment of €3.3m and Opex of (Source: dpa) €15.4m (2019) required for tailings related waste management

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✓ Current German environmental legislation require future potash operations to be zero waste ✓ Zero-waste based on strategy backfilling of waste brine and insoluble tailings, using capacity from adjacent historic mining operations ✓ No permanent surface disposal of wastewater or tailings piles

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  • FAVOURABLE OPERATING CONDITIONS DUE TO PROXIMITY OF INFRASTRUCTURE AND AVAILABILITY OF BROWNFIELD SITES

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  • The region was heavily industrialised in GDR times

  • Utilisation of former industrial sites will reduce capex and facilitate permitting

  • Much of the original infrastructure remains (roads, railways, pipeline) All of Davenport’s licence areas are surrounded by former potash mines Water, gas and rail infrastructure available at close proximity to potential mining sites

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CORPORATE OVERVIEW

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CAPITAL STRUCTURE
Shares on issue
197m
Options
60.4m
Share price
$0.045
Market cap (fully diluted)
$8.2m
SUBSTANTIAL HOLDERS
Parkway Minerals
Delphi Unternehmenberatung AG
Lions Bay Capital Inc
Davenport Directors &
Management
A$
SUBSTANTIAL HOLDERS %
Parkway Minerals 17.4%
Delphi Unternehmenberatung AG 8.7%
Lions Bay Capital Inc 5.2%
Davenport Directors &
Management
11.1%
SUBSTANTIAL HOLDERS %
Parkway Minerals 17.4%
Delphi Unternehmenberatung AG 8.7%
Lions Bay Capital Inc 5.2%
Davenport Directors &
Management
11.1%

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Share Price Performance
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STRONG MANAGEMENT TEAM WITH DEEP POTASH TRACK RECORD

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Executive Non Executive
Previous
experience:
Gold Fields, De Beers,
Cleveland Potash ,
Kenmare Resources,
South Boulder
Mines, Circum
Minerals
Dr Chris Gilchrist
Ian Farmer
Managing Director Chairman
Previous
experience:
VP Operations –
Allana Potash , VP
Exploration – Lydian
International
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Jason Wilkinson COO & Project Director

Hansjörg Plaggemars Non-Exec Director

Dr Reinout Koopmans Rory Luff Non-Exec Director Non-Exec Director

Bob Van Der Laan Non-Exec Director

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STRONG RECENT CORPORATE MOMENTUM

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Progress to date

Near-term milestones

✓ Created JORC Inferred Resource for Ebeleben, Mühlhausen-Küllstedt, Ohmgebirge and Nohra-Elende ✓ Completed scoping studies for Nohra-Elende and Ohmgebirge; concept studies for Mühlhausen-Keula and Operational Ebeleben ✓ Commenced preparation for confirmatory drilling in Ohmgebirge ✓ JORC resource for Kainite at Nohra-Elende ✓ Attracted several sizeable shareholders (Lions Bay, Delphi) ✓ Appointed Cenkos as UK/European corporate broker Financing ✓ Successfully raised several rounds of financing with strong support from existing shareholders and board members ✓ Ongoing dialogue with interested strategic parties Corporate ✓ Made changes to the Board and appointed new Chairman ✓ Changed German entity name to SüdHarz Kali GmbH

  • Commence confirmatory drilling

  • Upgrade resources to JORC indicated

  • Release preliminary economic study

  • Commence Feasibility Study

  • Release DFS 20 months after funding

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TOTAL JORC INFERRED RESOURCES

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HORIZON TONNAGE (MT) K2O % K2O (MT)
EBELEBEN
Sylvinite 324 15.6 50
Carnallitite 253 7.5 19
MŰHLHAUSEN KEULA
Sylvinite 834 12.1 101
Carnallitite 296 8.2 24
MŰHLHAUSEN NOHRA-ELENDE
Sylvinite 101 14.2 14
Carnallitite 1,597 9.4 150
KŰLLSTEDT
Sylvinite 333 13.0 43
Carnallitite 1,205 10.1 122
OHMGEBIRGE
Sylvinite 261 14.0 36
Carnallitite 64 9.8 6
TOTAL SYLVINITE 1,853 13.2 244
TOTAL CARNALLITITE 3,415 9.5 323
TOTAL JORC INFERRED 5,268 10.8 567
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