Turnstone Resources Ltd · ASX:TSR
Turnstone Resources — South Harz Potash — Investor Presentation (February 2022)
26 slides from Turnstone Resources's investor presentation, February 2022
Slide 1: Building a world-class potash business
SOUTH HARZ POTASH LTD. Building a world-class potash business February 2022
Slide 2: Disclaimer
Disclaimer Forward looking and Competent Person’s statements This presentation has been prepared by South Harz Potash Limited (“South Harz Potash”, “SHP”, “The Company”). The information contained herein is a professional opinion only and is provided in good faith. Certain information has been deriv
Slide 3: South Harz Potash: Building a world-class potash business in Germany
South Harz Potash Building a world-class potash business in Germany SIMPLE MINERAL EXTRACTION PROCESS A PROJECT OF 567Mt SIGNIFICANT CONTAINED K2O AT SHALLOW QUALITY CONVENTIONAL DISSOLVING AND CRYSTALLISATION DEPTH ACROSS MINING & CRUSHING CLARIFYING & DRYING 659km SUPPLYING A LARGE, GROWING MOP MA
Slide 4: Board of directors
Board of directors Lead by a board with deep mineral knowledge and experience Ian Farmer Dr Chris Gilchrist Dr Reinout Koopmans Rory Luff Hansjorg Plaggermars Len Jubber Non-Executive Managing Director Non-Executive Non-Executive Non-Executive Non-Executive Chairman Director Director Director Direct
Slide 5: Management team
Management team Driven by an international team of industry professionals Dr Chris Gilchrist Jason Wilkinson Andrew Robertson Dr Babette Winter Managing Director Chief Operating Chief Financial Regional Manager Officer Officer Thŭringia, Germany Mining executive and potash expert with Mining and
Slide 6: Corporate snapshot
Corporate snapshot ASX | SHP MARKET SHARES ON CASH SHARE PRICE MA JOR CAPITALISATION1,2 ISSUE2 POSITION3 A$/SHARE1 SHAREHOLDERS3 A$65M 480M A$10M A$0.14 8% A$/share 7% 0.20 5% 0.18 4% 0.16 2% 0.14 0.12 74% 0.10 0.08 0.06 Delphi Unternehmensberatung Aktiengesellschaft Board and Management 0.04 Mercha
Slide 7: Key asset dynamics
KEY ASSET DYNAMICS A compelling opportunity
Slide 8: An extensive portfolio
An extensive portfolio High-quality, highly-endowed mining and exploration licences EASILY WESTERN EUROPE'S MOST South Harz Potash Mining Licences SIGNIFICANT POTASH Ohmgebirge RESOURCE 5.3 567 Bt FOR Mt K2 O 3 PERPETUAL MINING LICENCES 2 EXPLORATION LICENCES Muhlausen – Nohra Assets historically
Slide 9: A premier asset profile
A premier asset profile Highly conventional asset base OUR ASSETS AND RESOURCE ARE STRONG IN THICK MINERALISATION ALL FACETS SHALLOW DEPTH Shallow starting depth creates a substantial HIGHLY CONSISTENT GEOLOGY natural capital and operating cost advantage Combined with superior geology and minera
Slide 10: A world-class scale
A world-class scale Delivering substantial real option value GROWING INTO A TOP TIER Operator Ownership 100% 100% ASSET Country Germany Canada Project South Harz Jansen Status Scoping DFS TARGETING EUROPEAN MARKETS Resource (Mt) 5,268 6,510 Measured : Indicated : Inferred (ratio) 0 : 0 : 100 80 : 0
Slide 11: A highly attractive location
A highly attractive location Within the central German state of Thüringia THE HISTORIC HEART OF DEEP REGIONAL POTASH MINING & PROCESSING KNOWLEDGE POTASH Home to an engaged, skilled workforce Exploration and development supplies locally available COUNTRY Headquarters of K + S, ERCOSPLAN and K-
Slide 12: Positioned to capitalise on freight advantages
A highly attractive location Positioned to capitalise on freight advantages FUTURE POTASH US$30/t US$33/t SALES TO ASIA US$60/t US$61/t WILL INCREASINGLY US$72/t RELY ON LOCAL US$36/t US$93/t SOURCES Lower delivered cost – both overland and sea Lower carbon impact = superior ESG credentials Orig
Slide 13: A large, growing market
A large, growing market Targeting MOP demand in Europe and Latin America OUR MINERAL DEPOSIT Global MOP & SOP demand 2021 German MOP production forecast (Mtpa) IS SET TO PRODUCE 2020 actual 2025 forecast MOP 4,000 3,500 3,000 -1Mtpa 92 % MOP 2,500 2,000 1,500 Muriate of Potash (MOP) is the most ec
Slide 14: Current supply tightness and agricultural demand driving multi-year highs
A large, growing market Current supply tightness and agricultural demand are driving multi-year highs MOP SOP MURIATE OF POTASH SULPHATE OF POTASH VS MOP SOP GLOBAL POTASH DEMAND 60% K2O EQUIVALENT 52% K20 EQUIVALENT IS DOMINATED BY MOP Potassium chloride Potassium sulphate Large, well structu
Slide 15: A responsible producer
A responsible producer Set to deliver an environmentally friendly fertiliser product1 TARGETING SECTOR LOW EMISSIONS Low relative production and AND COMMITTED TO distribution emissions MINIMISING PRODUCTION IMPACT Underground extraction results in less surface disturbance for low Potassium impact
Slide 16: Robust development strategy
ROBUST DEVELOPMENT STRATEGY Advancing rapidly
Slide 17: The starting base
The starting base Unlocking the significant value in our assets CONCEPT STUDIES COMPLETED ACROSS OHMGEBIRGE: A NATURAL SELECTION ALL MINING LICENCES 4 Relatively high Sylvinite content for production of high- POTENTIAL PROJECT quality MOP AREAS IDENTIFIED Expected low capital intensity Access
Slide 18: The project definition
The project definition Resource upgrade drilling and Scoping Study SYSTEMATICALLY ACTIVITY (CALENDAR YEAR) Q421 Q122 Q222 Q322 Q422 ADVANCING South Harz Potash Resource elevation Confirmatory drill permitting THE SOUTH HARZ PROJECT Confirmatory drilling X X X All required approvals and permits sec
Slide 19: Confirmatory drilling
Confirmatory drilling Twin Ohmgebirge drillhole program underway TARGETING UPGRADED RESOURCE CLASSIFICATION AT OHMGEBIRGE Core to be assayed for chemical composition once withdrawn Results to inform targeted Mineral Resource estimate update in April and Scoping Study completion in May FEBRUARY 2
Slide 20: The low-risk path to production
The low-risk path to production Attractive project development and financing attributes Clearly defined evaluation, funding and development EVALUATION phases Detailed initial scoping work complete Outstanding asset domicile – first world, historic mining Ohmgebirge identified as a standout s
Slide 21: The long-term potential
The long-term potential High scalability and flexibility of development approach ABILITY TO GROW IN A MODULAR, CAPITAL Future Project growth: EFFICIENT FASHION M-N North M-N South E Total MOP output A key differentiating feature of our asset profile Provides capital efficiency Lower-risk
Slide 22: Premier potash exposure
PREMIER POTASH EXPOSURE Set to deliver
Slide 23: A compelling investment proposition
South Harz Potash A compelling investment proposition 5.3 LARGE-SCALE MINERAL RESOURCE 5.3 Bt for 567 Mt contained K2O CONVENTIONAL GEOLOGY Mineralisation at shallow depth Thick ore body with consistent mineralisation billion Comparability to BHP’s Jansen tonnes Huge scalability and real o
Slide 24: Appendix: Mineral resource estimates
APPENDIX: MINERAL RESOURCE ESTIMATES
Slide 25: Mineral Resources estimates
Mineral Resources estimates Inferred|100% interest HORIZON Resource (Mt) K2O (%) K2O (Mt) Ohmgebirge1 Sylvinite 261 14.0 36 Carnallitite 64 9.8 6 Nohra-Elende2 Sylvinite 101 14.2 14 Carnallitite 1,597 9.4 150 Mühlhausen-Küllstedt3 Sylvinite 834 12.1 101 Carnallitite 296 8.2 24 Ebeleben4 Sylvinite 32
Slide 26: South Harz Potash Ltd.
SOUTH HARZ POTASH LTD.
South Harz Potash — Investor Presentation (February 2022) on 6ix