Prospect Resources (ISIN: AU000000PSC9; ASX: PSC; FSE: 5E8)–Lithium–Development–Zimbabwe-Breaking News-Testwork: Recovery of valuable Petalite: +94%

Highlights:

? Locked Cycle petalite flotation testwork successfully performed on Main Pegmatite ore;

? Petalite flotation is expected to significantly increase Arcadia’s life of mine ultra-low iron petalite recovery by over 94% compared to November 2019 DFS;

? Confirms high grade, ultra-low iron petalite concentrate (>4.1% Li2O, 0.02%-0.05% Fe2O3).

Prospect’s Managing Director, Sam Hosack, said the “test work program suggests improved economic potential of using flotation to produce a petalite concentrate.

With Prospect’s ability to nearly double its petalite recovery, our operating cost per tonne of petalite and spodumene is expected to drop. Further work is required to quantify this saving. If we apply the expected tantalum credit and the premium priced petalite credit against the cost of spodumene production, then we can confidently aim to be the lowest cost spodumene producer in the world.”

“The results from the testwork demonstrate the strength of the Arcadia Lithium Mine in being able to produce three products:

1. 6% Li2O low iron spodumene; 2. >4.3% Li2O ultra-low iron petalite; and 3. Tantalum concentrate.

We believe that Arcadia is unique in having the only JORC compliant lithium pegmatite in the world able to produce these three products. The team will now focus on understanding the increase in economics; subsequent increase in revenue, upgrade to the ore reserve, and a potential increase in our mine life.”