Prospect Resources Ltd.: First Lithium Samples to Customers

Perth - Prospect Resources Ltd. (ASX:PSC) (the "Company") is pleased to announce that it has successfully shipped representative samples of its ArcadiaLithium product suite comprising spodumene and petalite concentrates to prospective customers in China, Germany and the USA.

Arcadia Lithium Project has delivered the following products to prospective Chinese, North American and German customers:

- ArcadiaLithium 6.5 - Spodumene concentrate - 6.5% Li2O and 0.33% Fe2O3

- ArcadiaLithium 6.1 - Spodumene concentrate - 6.1% Li2O and 0.52% Fe2O3

- ArcadiaLithium 4.2 - Petalite concentrate - 4.2% Li2O and 0.08% Fe2O3

- In house laboratory on track to produce battery grade lithium carbonate

The three products comprising the ArcadiaLithium suite are:

1. ArcadiaLithium 6.5: Spodumene concentrate at 6.5% Li2O and 0.33% Fe2O3, produced as product of the floatation circuit at Arcadia

2. ArcadiaLithium 6.1: Spodumene concentrate at 6.1% Li2O and 0.52% Fe2O3, produced as product of the Dense Media Separation (DMS) circuit at Arcadia

3. ArcadiaLithium 4.2: Petalite concentrate at 4.2% Li2O and 0.08% Fe2O3, produced as product of the DMS circuit at Arcadia

The mineral concentrates were produced following the metallurgical Flowsheet designed as part of the positive Pre-Feasibility Study (PFS) completed at the end of June and are considered suitable for use in lithium hydroxide and carbonate plants that supply feedstock to lithium battery manufactures as well as glass and ceramic markets. The PFS completed by the Company has defined a simple mining operation at Arcadia producing 75 000tpa spodumene concentrate (>6% Li2O) and 155 000tpa petalite concentrate (>4.1% Li2O) over the 20 year Life of Mine. Please refer to the PFS Press Release dated 3 July 2017.

In tandem with its PFS being completed over the Lithium Chemical Plant, the Company continues to develop its in house capacity to generate battery grade lithium carbonate products from Arcadia mineral concentrates. To date the Company has made significant progress utilising petalite concentrates to produce lithium carbonate, with aim to produce battery grade (>99.5% Li2CO3) lithium carbonate.

Chairman of Prospect, Mr Hugh Warner, had the following to say:

"I am personally delivering samples to prospective customers in China this week. The provision of these Arcadia product samples to select prospective customers globally is a key factor in the successful development of this project. Our team in Zimbabwe have also made significant progress in being able to produce lithium carbonate from petalite concentrates - and I look forward to their progress to achieve battery grade specifications over the coming weeks."

To view figures, please visit:
http://abnnewswire.net/lnk/55VMH75E

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.



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