Prospect Resources Ltd: Ultra-low Iron Petalite Passes Initial Qualification Process for Leading Glass-Ceramics Manufacturers

Sydney, Australia - African lithium company, Prospect Resources Ltd. (ASX:PSC) (FRA:5E8) is pleased to announce that its ultra-low iron petalite product has progressed through the initial qualification process with two of the world's largest glass-ceramic manufacturers, both based in Europe.

Highlights:

- Arcadia's ultra-low iron petalite passes glass-ceramic market stringent product specification requirements

- Prospect to be the largest ultra-low iron lithium concentrate producer in the market

- Validates Prospect's ability to receive premium pricing

Prospect provided both manufacturers with samples for laboratory testing and analysis. The outcomes from their analysis is that the ultra-low iron petalite meets the glass-ceramic market's stringent technical specifications.

The next steps in the product qualification process are:

1. A pilot trial manufacturing product in a large kiln; and

2. A Full test in the production kiln.

Testing will continue into 2020 as larger volumes of product become available after the pit is opened up and the pilot plant is constructed. The Company intends to operate a pilot plant for the life of the mine. This plant will continuously test future ores before they reach the production plant to ensure process efficiencies are implemented prior to ore being delivered to the plant.

All customers have requested additional samples to continue their testing programmes, to further enhance their mix-designs for feed products.

Prospect anticipates being one of only two mines in the world capable of producing ultra-low iron petalite and we expect to be the largest player in this natural oligopoly - none of which are based in Australia. Demand for the Company's ultra-low iron petalite is expected to be spread equally between Europe and Asia, with considerable supply deficit for the foreseeable future.

Within the glass-ceramics market, ultra-low iron petalite is a key lithium ingredient in dark glass (comprising up to 90% of the inputs). This dark glass produces glass-ceramics cooktops. The two key factors determining the input product mix are maximum iron content and maximum alkali content. Iron and Alkali levels impact the integrity of the cooktop and there is a maximum amount of iron and alkalis per volume of glass-ceramics that is acceptable.

In addition, the Company is also pleased to report that its ultra-low iron petalite product has met specification testing for ceramic production in Japan and China.

A key attraction from customers to Prospect is that the Company can provide a long-term reliable supply of product both in terms of monthly volumes and consistent product quality, underpinned by Arcadia being a lowest quartile operating cost producer.

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 Prospect Resources Ltd. Executive Chairman T: +61-413-621-652 Harry Greaves Prospect Resources Ltd. Executive Director T: +263-772-144-669 WWW: www.prospectresources.com.au