Introduction

Sennen’s interest in the Monument Potash Project is jointly owned with its partners, Paradox Basin Resources, and is located in San Juan County in South East Utah and South West Colorado, USA.  It consists of approximately a 100,000 net mineral acres leasehold package, located in a region familiar with natural resource exploration and development, and situated in close proximity to multiple ground water resources.  San Juan County possesses well-established infrastructure that may service the operational, supply and transportation requirements of the natural resource industry.

Overview of the Monument Potash Project:

  • Potentially large quantity and high grades1
    • Exploration target estimated between 20.7 - 47.1 Mt sylvinite per square mile
    • Monument leashold approximately 160 square miles
    • Possible concentrations of 25-30% K2O
  • Utah, USA is an attractive jurisdiction
    • A politically safe, mining-friendly state
    • San Juan is a mining-supportive county
  • Existing profitable regional setting
    • Cane Creek potash solution mine in close proximity
    • Close to US agricultural production – the US imports 85% of its potash2
  • Supportive factors for development and operations
    • Infrastructure for site access via road and rail is in place
    • Electricity, oil and gas, and water are all available
    • Area is sparsely populated with little flora and fauna
    • Conducive environment to solution mining

Huge Local Market: Located adjacent to one of the world’s largest agricultural markets – the US Midwest

Low Capital Requirement: Excellent jurisdiction and access to substantial existing infrastructure

Scalable Production: Potentially very large scale project with rapid development potential

Low Opex: Potentially amenable to low-cost solution mining and solar evaporation

Domestic Fertilizer: Import substitutions as a domestic source of potash

Note 1: The above potential quantities and grades are conceptual in nature, and there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource

Note 2: Source = 2011 USDA