Ann: Karinga Creek Potash Progress Report , page-3

re: Ann: RUM: Karinga Creek Potash Progress R... I've looked at the Playa Lakes area, taking only Cluster 1 as an example. The surface area of these lakes alone is approx. 30 sq km as a rough eyeball guess. Allowing 4m depth of resource (similar to Lake Mackay) that gives 120M m3 of brine resource with 85m3 of brine required per tonne of K2SO4.

That is a total K2SO4 resource of 1,411,000 tonnes.

At 100ktpa that is 14 years of resource not allowing for replenishment which is what is to be tested this month and next month by drilling the paleochannels between the lakes.

At 100ktpa, a cost of say even as high as $300/t and sales value of $900/t that is a margin of $600/t = $60M pa. At 50% RWD that is $30M pa, $21M AT.

And that is not allowing for by-products such as sodium sulphate and epsom salts which could enhance the numbers further.

If all the lakes in this project are included it could well be that a +100ktpa operation over many years could be possible.