Davenport Potash Project Portfolio (ASX:DAV)

(PWN ~20% shareholding in ASX:DAV)

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• Parkway Minerals owns ~20% of Davenport Resources (ASX:DAV).

• The DAV project portfolio includes ~200km2 of perpetual mining licences across three projects and ~458km2 of exploration licences across two projects, in the South Harz region of Central Germany.

• The mining licences were subject to detailed drilling in 1960s and 80s, when the field was owned by the state-owned Potash Mining Corporation of East Germany.

• The review of historical drill data has enabled the delineation and reporting of a substantial JORC (2012) compliant Inferred Resource in the order of 5 billion tonnes at an average grade of 10.6% K2O.  

Shareholding

Parkway Minerals is the largest shareholder in Davenport Resources and holds a strategic shareholding of:

• 34,300,000 shares (~20.8% of issued capital as of October 2019), and

• 7.1 million options (DAVO)
   

Potash Resource

• DAV controls over 4.9 Billion tonnes (grading 10.6% K2O) of JORC Inferred Resource from its Ebeleben and Mühlhausen-Nohra mining and Küllstedt exploration licences, including 1.6 billion tonnes of sylvinite grading 13.1% K2O.

• DAV’s portfolio of resources represents Western Europe’s largest potash inventory and contains a number of significant projects.

Acquisition Rationale

The potash resources delineated by DAV, represent a globally significant source of potash, and is of strategic importance for Parkway Minerals. A large proportion of the inferred resources at Ebeleben and Muhlhausen/Kullstedt contain substantial minerals, including carnallite which is likely to be amenable to solution mining, a process which itself is well suited to the application of the aMES™ technology.

Corporate Synergies

• Approximately 75% of the potash resource (1,205 million tonnes) at the Küllstedt project consists of carnallitite grading at 10.1% K2O, which may be amenable to primary solution mining.

• The aMES™ technology has likely applications in both the primary processing of potash solutions as well as sylvinite waste streams.

• Parkway Minerals has previously performed testwork to demonstrate the suitability of the aMES™ technology to process primary and waste brine streams from other potash projects.

• Parkway Minerals is exploring collaborative opportunities with DAV to determine potential pathways for adding value to the DAV project portfolio.

Additional Information

• For more information about the DAV project portfolio including technical information or to explore potential commercial opportunities, please Contact Us.