Commentary

• Core samples were selected from holes ED_01 (for the Hanging Wall Seam [HWS] and Top Seam [TS]), ED_03 (for HWS), and DX_01 (for TS), and were either half PQ (85 millimeter [mm] diameter) or half HQ (64 mm diameter).

• In AAI's laboratory, the core samples were selected and prepared based on the criteria that (1) the sample length was about 5 centimeters (cm); (2) the sample had smooth surfaces; and (3) the sample contained homogeneous core pieces with no sharp interfaces between insolubles, halite, and other potash minerals. After selection, each half-core was cut roughly into even quarter-cores, which were used for dissolution rate testing. The selected samples were labelled and stored in sealed plastic bags. Before testing, the top and bottom surfaces of the samples were sealed with a moisture-resistant epoxy and the remaining exposed surfaces were sanded to a smooth finish. When dissolution testing was complete, the 36 tested samples, along with the pre-concentrated solvent samples, were sent to SRC for further mineral components assay.

• In all cases, the original whole core was cut along a 'center-line' marked such that both halves are as close to identical as possible, most relevant where layers are gently dipping. In this way the dissolution samples are representative, as were the original samples.

• Holes were drilled in two stages. Rotary Percussion (12 then 8 inch or similar diameter) through the 'cover sequence', stopping in the Anhydrite Member and cased and grouted to this depth. Holes were then advanced using diamond coring with the use of tri-salt (K, Na, Mg) mud to ensure acceptable recovery (over 95%). Coring was HQ (65 mm core diameter) or PQ (85 mm core diameter). All holes were drilled vertically.

• Core recovery was recorded for all cored sections of Kore Potash's holes by recording the drilling advance against the length of core recovered. Recovery is between 95 and 100% for the evaporite and all potash intervals. A fulltime mud engineer was recruited to maintain drilling mud chemistry and physical properties. Mud properties are recorded in drilling reports for each hole.

• Core was wrapped in cellophane sheet soon after removal from the core barrel, to avoid dissolution in the atmosphere, and was then transported at the end of each shift to a de-humidified core storage room where it was stored until sampled for the dissolution test work.

• Reflecting the good core recovery there are no concerns relating to bias due to selection recovery/loss.

• All the core sent to AAI for dissolution testing were individually described by a geologist at the drill site, recording the lithology, mineralogy and grainsize.

• In all cases each sample was sylvinite rich. The sylvinite rock-types are straightforward to distinguish based on colour, gamma-ray data and close observation in the hand.

• Quality photographs of each of the dissolution samples were taken, to provide a reference, important given that no core remains for these intervals.

• The half core samples sent to AAI for dissolution testing comprise the remaining half core from previously sampled and assayed core.

• Samples intervals were choses to provide a suite a samples representative of the sylvinite layers. Effort was made to submit samples with a range of KCl content as estimated visually and with guidance from previous grade data and gamma-ray data.

• In AAI's laboratory, the core samples for dissolution testing were selected and prepared based on the criteria that (1) the sample length was about 5 centimetres (cm); (2) the sample had smooth surfaces; and (3) the sample contained homogeneous core pieces with no sharp interfaces between insolubles and halite and other potash minerals.

• Each half-core was cut roughly into even quarter-cores, which were used for dissolution rate testing.

• The top and bottom surfaces of the samples were sealed with a moisture-resistant epoxy and the remaining exposed surfaces were sanded to a smooth finish.

• The quarter-core samples were weighed and recorded on a precision electronic scale, with accuracy to 1%, before and after dissolution rate testing.

• Sample surfaces were sketched on the data sheet, and the surface areas were then calculated by digitizing the borders using AutoCAD™.

• A 50-ml sample of the pre-concentrated KCl and NaCl solution was extracted before testing for chemical analysis.

• At the laboratory scale, the calculation of dissolution rate is based on weight loss, immersion time, and the vertical dissolution surface area of the core sample. 

• The intersections sampled for the dissolution samples were previously reported and verified at that time.

• The descriptions of the dissolution samples were stored in an MS Excel sheet listing the 'from' depth, 'to' depth and the geological observations for each.

• The dissolution samples were taken from three drill-holes within the DX deposit; ED_01, ED_03 and DX_01. The positions of these holes were determined by a professional surveyor using a DGPS, and expected to be accurate to within 100 mm in X, Y and Z.

• The drill-hole positions are as follows, given in UTM zone 32 S using WGS 84 datum. They are shown on figure 1 of the announcement.

• Figure 1 of the announcement shows the location of these drill-holes.

• The potash layers are massive and of relatively uniform grade distribution, being controlled by the original horizontally layered sedimentary deposition of the potash mineral carnallite.

• Intersections have a sufficiently low angle of dip, and drill-holes are vertically drilled; the intersected thickness is assumed to be the true thickness.

• The chain of custody of the dissolution samples was secure. At the rig, the core was under full-time supervision of Company geologists, working around the clock. At the end of each drilling shift, the core was transported by Kore Potash staff to a secure site where it was stored in a locked room.

• Sampling and packing of the samples were carried out under the observation of Company staff; packed samples were transported directly from the site by Company staff to DHL couriers in Pointe Noire 3 hours away. From here DHL airfreight all samples to the laboratory in the U.S.

• Kore's sampling standard operating procedures for logging and sampling have been audited on several occasions by external parties, for the completion of the MRE for the Kola, Dougou and DX Deposits.

Commentary

• The Dougou Extension Deposit is entirely within the Dougou Mining Permit (issued on the 9^th May 2017 under decree No. 2017-139) which is held 100% by the local company Dougou Mining SARL which is in turn held 100% by Sintoukola Potash SA RoC, which Kore Potash holds a 97% share.

• There are no impediments on the security of tenure.

• Potash exploration was carried out in the area in the1960's by Mines de Potasse d' Alsace S.A.  Holes K52 and K62 are within the Deposit area. High quality geological logs are available for these holes. Hole K52 intersected Sylvinite HWS and was the initial reason for Kore's interest in the area, beginning with the twin-hole drilling of K52 in 2012 by ED_01.

• Oil exploration well Yangala-1 (outside of the DX deposit) was drilled in 1961 by Societe des Petrole d'Afrique Equatoriale (SPAFE).

• Previous 2D Seismic data was acquired by oil exploration companies British Petroleum Congo and Chevron during the 1980's and by Morel et Prom in 2006.

• The potash seams are hosted by the 400-500 m thick Loeme Evaporite formation, comprised of sedimentary evaporite rocks with minor clastic layers. The evaporites were deposited during the Aptian epoch of the Lower Cretaceous, probably between 125 and 112 million years ago, within a sub-sea level basin following the break-up of Gondwana into the African and South American continents.

• In terms of classification nomenclature, the evaporite is of the basin-wide 'mega-halite' type, formed by the cyclic evaporation of sea-water sourced, seepage-fed brines in  an extensive subsiding basin, each cycle generally following the expected brine evolution and resultant mineral precipitation model: dolomite then gypsum then halite then the bitterns of Mg and K as chlorides (as opposed to sulphates). To precipitate the thick potash beds the system experienced prolonged periods within relatively narrow a range of high salinity.

• Reflecting the chloride-Mg-K dominated brine composition, halite (NaCl), carnallite (KMgCl₃·6H₂O) and bischofite (MgCl₂·6H₂O) account for over 90% of the evaporite rocks. Sylvinite is only found close to the top of the Salt. Carnallitite is a rock comprised predominantly of carnallite and halite. Sylvinite is a rock comprised predominantly of sylvite (KCl) and halite.  The term 'rock-salt' is used to refer to a rock comprising of halite without appreciable other minerals/materials.

• The Salt was deposited in a cyclic manner; 11 cycles have been recognised, of which most are preserved at Dougou Extension, the important 'Top Seam' (TS) and 'Hanging wall Seam' (HWS) potash seams are within the mid to upper part of cycle 9.

• All layers in the Salt member have good continuity and the thickness of the interval between them is consistent. Even narrow mm-scale layers or sub-layers can be correlated many km. In most holes all potash layers are present and have a low angle of dip (<15 degrees).

• Where sylvinite, the TS and HWS have an average thickness of 5.2 and 3.6 metres respectively.

• Capping the salt dominated part (Salt Member or 'Salt') is low permeability layer of anhydrite, gypsum and clay (the Anhydrite Member) between 10 and 16 m thick over the deposit. It is at a depth of between 290 and approximately 520 m at DX. Importantly, the contact between the Anhydrite Member and the underlying salt is an unconformity. Reflecting this, and that the layers of the Salt are gently undulating, in some areas there is a greater thickness of Salt above the seams than in others, or the seams may be 'truncated'

• The potash seams were originally deposited as carnallitite but have been replaced in some areas by sylvinite, by a process of non-destructive leaching of Mg, OH and some NaCl from carnallite, converting it to sylvite. This process has taken place preferentially over the Yangala High, initiating at the top of the Salt Member and typically not advancing further than 40 m below this contact, but rarely as much as 80 m (as in drill-hole ED_01).  The thickness of the Salt above the seams is the principal control on the whether the seam is sylvinite or carnallitite, and thus the extent of the sylvinite Mineral Resources. The process advanced on a downward moving 'front' and was very efficient; when converted no residual carnallite remains within the sylvinite.  Un-replaced carnallitite may occur below the sylvinite (never above it) but the contact is always abrupt and easily identified in core.

• The drill-hole positions are as follows, given in UTM zone 32 S using WGS 84 datum. Holes were drilled vertically, and no significant deviation was reported in drill-hole downhole surveys.

• No selective cutting of high- or low-grade material was carried out as is not justified given massive nature of the potash mineralization and absence of localised high/low grade areas.

• No aggregation of grades was carried out for the reporting of the dissolution samples.

• No metal equivalents were calculated.

• The drill-core and acoustic televiewer images provide a reliable measurement of dip (and the latter provides azimuth). Seams have sufficiently low degree of dip, and drill-holes are vertical so correction of thickness for apparent thickness is not warranted.

• Relevant diagrams are provided in the announcement including a map showing the drill-holes from which the dissolution samples were collected. 

• The integration of seismic data into the geological model was incorporated into the PFS as reported in "Dougou Extension (Dx) Project Ore-Feasibility Study on 13 May 2020.

No other substantive exploration data was considered.

• The dissolution test work results will be incorporated into the ongoing Phase 1 of the DFS for the DX deposit