Prospect Resources Ltd: Produces Ultra-High Purity Lithium Carbonate

Perth, Australia (ABN Newswire) - Prospect Resources Ltd. (ASX:PSC) (the "Company") is pleased to announce it has produced ultra-high purity 99.8% lithium carbonate from Arcadia petalite ore. A purity of 99.5% lithium carbonate is required for battery grade lithium carbonate. As the purity level rises, more potential product applications become available and possible pricing rises.

A 0.8 kg sample of lithium carbonate was produced at the Company's laboratory in Zimbabwe and delivered to CSIRO Australia's Bentley laboratory in Perth WA. This sample was then purified to 99.8% lithium carbonate in cooperation with Prospect personnel.

The test work process was based on conventional methods of extraction of lithium from petalite concentrate followed by enhanced solution purification techniques to produce a high grade intermediate lithium carbonate ahead of ultimate purification. As previously announced, Prospect is establishing a lithium carbonate pilot plant in Zimbabwe using the same production techniques used to generate these results.

The Company has also previously announced that it is preparing a PFS for a lithium carbonate and hydroxide plant fed by the entire Li2O mineral concentrate production of the Arcadia Mine. The scope of this PFS has been amended to take into consideration the Conditional Placement and Framework Agreement with Sinomine. It is now expected that this PFS will be completed in Q1 2018.

Executive Chair Hugh Warner said "The quality of this product far exceeds the requirements for battery grade lithium carbonate and supports Prospect's intention to become the first producer of premium lithium products in Southern Africa. An interesting point to note is that we believe Prospect may be the first ASX listed lithium company to produce its own battery grade lithium carbonate from its hard rock resources. In fact, we could not find any laboratory in Perth, other than CSIRO, who was set up to test for lithium carbonate purity."

About Prospect Resources Ltd:

Prospect Resources Ltd. (ASX:PSC) is based in Australasia with operations in Zimbabwe and is a publicly listed company. We are committed to creating value for Prospect's shareholders and the communities in which our company operates. Our vision is to build a Southern African based mining company of international scale.

Source: Prospect Resources Ltd.



Contact:

Hugh Warner Executive Chairman
Prospect Resources Ltd.
T: +61-413-621-652

Harry Greaves Executive Director
Prospect Resources Ltd.
T: +263-772-144-669
www.prospectresources.com.au