30 April 2025

Kore Potash Plc

("Kore Potash" or "the Company")

Review of Operations for the Quarter ended 31 March 2025

Kore Potash (AIM: KP2, ASX: KP2, JSE: KP2, A2X: KP2), the potash development company with 97% ownership of the Kola Potash Project ("Kola" or the "Kola Project") and Dougou Extension ("DX") Potash Project in the Sintoukola Basin, located in the Republic of Congo ("RoC"), provides its quarterly update for the period ended 31 March 2025 (the "Quarter").

Quarterly Highlights

Projects

·   On 27 February 2025, the Company provided an update in relation to the optimised Kola Definitive Feasibility Study ("Optimised DFS") for the Kola Project further to the announcement regarding the signing of the Engineering, Procurement and Construction contract ("EPC") for the Kola Project with PowerChina International Group Limited ("PowerChina") on 20 November 2024.

·    On 27 February 2025, the Company also announced a restatement of the Mineral Resource estimate for the Kola deposit.

Corporate

·    On 31 March 2025, the Company released its Financial Results and Annual Report for the Year Ended 31 December 2024.

·    Successful completion of c.US$10.1 million fundraise with a further US$0.5m conditionally raised subject to shareholder approval at the upcoming Annual General Meeting ("AGM") to be held in June 2025.

·    As of 31 March 2025, the Company held c.US$10.2 million in cash.

Operational Activities

Kola Project Optimised DFS

On 27 February 2025, the Company provided an update in relation to the optimised Kola Definitive Feasibility Study for the Kola Project further to the announcement regarding the signing of the EPC for the Kola Project with PowerChina on 20 November 2024.

Prior to signing the EPC, two studies have been completed by the Company: the Kola Definitive Feasibility Study ("DFS") in January 2019 and the Kola Project Optimisation Study ("Optimisation Study") in June 2022, details of both of which have been released to AIM, JSE and ASX on 29 January 2019 and 28 June 2022 respectively. Following signing of the EPC contract, the Company undertook an exercise to optimise the DFS to account for the EPC contract, including updating the Kola production schedule and the forecast financial information. The Company has now completed its review of the Optimised DFS.

The results of the Optimised DFS incorporate the most current information available to the Company, have been updated from the DFS and Optimisation Study to ensure compliance with the latest applicable listing rule requirements and other regulatory policies of the Australian Stock Exchange Limited, and therefore should be considered as superseding the results of both the DFS and the earlier Optimisation Study.

Unlike the DFS and the Optimisation Study, the Optimised DFS is based on a production period which utilises all Proved and Probable Ore Reserves and only 6% of Inferred Minerals Resources, giving a Life of Mine ("LoM") of 23 years. Kore Potash considers there is strong potential for the mine plan on which this Optimised DFS is based to be extended beyond 23 years by upgrading a portion of the 340 Mt of Inferred Mineral Resources to Measured or Indicated Resources through further exploration during the 23 years of operations.

Highlights of the Optimised DFS

·    Capital cost of US$2.07 billion (nominal basis) on a signed fixed price EPC basis, including owner's costs.

·    Assumed construction start date of 1 January 2026, with construction period of 43 months.

·    Kola designed with a nameplate capacity of 2.2 million tonnes per annum ("Mtpa") of Muriate of Potash ("MoP").

·    Average MoP production per year of 2.2 Mtpa of MoP for total MoP production of 50Mt over a 23-year life of mine.

·   Average cost of MoP delivered to Brazil is US$128/t. Based on an independent MoP market study commissioned by the Company, management considers Kore Potash is projected to become one of the lowest cost producers in the global agricultural market to Brazil.

·    Average annual EBITDA is approximately US$733 million. Kore Potash is projected to continue to enjoy a very high average EBITDA margin of 74%.

·    Key financial metrics, at MoP CFR Brazil pricing averaging US$449/tonne and on a 90% attributable basis (reflecting Kore's future holding of 90% and the RoC government 10%):

•     Kola NPV10% (real) post-tax US$1.7 billion

•     IRR 18% (real) on ungeared post-tax basis

·    Kola is designed as a conventional mechanised underground potash mine with shallow shaft access. Ore from underground is transported to the processing plant via an approximately 25.5 km long overland conveyor. After processing, the finished product is conveyed 8.5 km to the marine export facility. MoP is transferred from the storage area onto barges via a dedicated barge loading jetty before being transhipped into ocean-going vessels for export

Confirmation of Mineral Resource for Kola Deposit

On 27 February 2025, the Company also announced a restatement of the Mineral Resource estimate for the Kola deposit.

This announcement is a restatement of the Mineral Resource estimate for the Kola deposit. The Mineral Resource estimate was originally released by the Company's wholly-owned subsidiary, Kore Potash Limited, which was formerly listed on the ASX under the ticker "K2P".

The original announcement was entitled "Updated Mineral Resource for the High Grade Kola Deposit" dated 6 July 2017. This announcement contains additional information summarising the material information relating to the Kola Mineral Resource in accordance with ASX Listing Rule 5.8.1. No other material changes have been made to the original announcement.

Congo Government Relations

In August 2023, the RoC State Minister of Mines and Geology (the "Minister"), H.E. Mr Pierre Oba, pledged written support for Kore Potash's projects despite some unmet deadlines, reaffirming the validity of the Company's mining titles and agreements; reiterating RoC Government support. One month later, the Minister visited the Kola Project, where the Company held a ceremony to mark development progress and the start of work by SEPCO Electric Power Construction Corporation ("SEPCO"). PowerChina is SEPCO's parent company.

Thereafter, RoC government engagement was continual and positive. On 24 February 2024, David Hathorn and Warren Thompson visited RoC and updated the Minister on EPC progress.  Two months later, the newly appointed CEO, André Baya, met with the Minister in Brazzaville to keep him informed about further progress.

At all times and without exception, the Minister expressed support and enjoined Kore Potash to continue diligently. He was regularly informed of negotiation meetings with PowerChina in Beijing and Dubai.  Finally, on 19 November 2024, the EPC construction contract was signed between Kore Potash and PowerChina in Brazzaville in the presence of a large and supportive delegation from the RoC Ministry of Mines & Geology.

DX Potash Project

At present, the Company remains focused on completing the financing of Kola and moving forward to construction of Kola as soon as possible. The Company is also exploring what strategic options are available for the DX project.

Corporate

On 27 March 2025, the Company successfully completed a c.US$10.1 million fundraise via the issue of 455,734,110 new ordinary shares of US$0.001 each in the Company with existing and new shareholders at a price of 1.7 pence per share.

On 31 March 2025, the Company released its Financial Results and Annual Report for the Year Ended 31 December 2024.

As at 31 March 2025, the Company held c.US$10.2 million in cash.

There were no mining production or construction activities during the Quarter.

Quarterly cashflow report

In accordance with the ASX Listing Rules, the Company will also lodge its cashflow report for the Quarter today.

The Company invested US$685,000 in exploration in the Quarter, which comprised US$682,000 related to the Kola Study and US$3,000 for the DX DFS Study. The Company ended the Quarter with c.US$10.2 million in cash.

This announcement has been approved for release by the Board of Kore Potash.

Market Abuse Regulation

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.

ENDS

For further information, please visit www.korepotash.com or contact:

Tenement Details and Ownership

The Company is incorporated and registered in England and Wales and wholly owns Kore Potash Limited of Australia. Kore Potash Limited has a 97% shareholding in Sintoukola Potash SA ("SPSA") in the RoC. SPSA has 100% ownership of Kola Potash Mining SA ("KPM"). KPM has 100% ownership of the Kola Mining Lease on which the Kola Deposit is situated. The Kola Deposit is located within the Kola Mining Lease. SPSA is also the 100% owner of the Dougou Mining Lease. The Dougou Mining lease hosts the Dougou Deposit and the DX Deposit.

Under the existing Mining Convention, the RoC Government is entitled to 10% ownership in the Kola and DX Projects. The transfer of this 10% awaits instructions from the Government and the Mineral Resources and Ore Reserves are shown below in gross and 90% attributable bases. 

Table 1: Schedule of mining tenements (Republic of Congo)