Power Minerals Limited PNN ASX

January 27, 2023

Today’s Q&A with Mena Habib Executive Director at Power Minerals Limited

Mena Habib has extensive experience in management, sales and marketing. His business acumen is evidenced by having run multiple enterprises, with millions of dollars in turnover. Mena is an authorised representative under an AFSL and operates from an office in Melbourne. He is focused on investing and working with emerging private and public companies (particularly mining).

Power Minerals Limited – ASX/PNN

Power Minerals Limited is a diversified ASX-listed mineral resources exploration company with a portfolio of projects in key demand driven commodities, in high-quality mineral belts in Argentina and South Australia.

Power Minerals Question Time….

1. Mena you joined Power Minerals in 2021, what drew you to the Company?

Myself and current board joined the Company in Jul 2021, and set about assessing the project portfolio and opportunities to create shareholder value.
What we found was that Power had a really strong portfolio of assets that just needed a focused, systematic approach to unlock their value
I was appointed executive director to drive our strategy and execution at the project level and more recently I’ve become the Company’s managing director

I’m pleased to say that under the current board and management we have made enormous progress and have begun to deliver on our goal to drive shareholder value from our projects. We believe this is only the beginning, and 2023 is shaping as a transformational year for Power Minerals.

2. The name Power Minerals speaks volumes especially in today's EV Battery investment world, so what is the main Power Minerals focus in that space?

That’s correct. The name Power Minerals speaks to the battery and technical minerals we are exploring across our project portfolio.
In particular, our Salta Lithium Project in the lithium triangle of north-west Argentina, is a key focus. We are seeking to fast-track development of the project, and Resource expansion drilling and a Preliminary Economic Assessment (PEA) are currently underway.

Our Musgrave Nickel-Copper-Cobalt-PGE Project in the Musgrave region of South Australia is another exciting asset with what we see as having huge potential for the discovery of a major new tier-1 discovery. Our current focus at this project is on securing an access agreement with the traditional owners, the APY People, to allow for the commencement of on-ground exploration.

3. Let's jump right Into the Lithium project as the buzz around Lithium remains high in the Investor community, you spent an extended amount of time at the Salta Project in Argentina last year, how is that project coming along?

Building our profile in Argentina has been a clear focus of mine, I travelled to Argentina twice in 2022 and spent around 2 months at the project and expect to spend around the same amount of time there this year as well. Building strong in-country relationships and growing our onsite technical team have been priorities and we are very pleased with the progress made, and results being delivered.

Our goal to fast track to development and then production is a clear driver for our team, we have seen Australian peers in Argentina move towards production and it is exciting to be following a similar pathway. As we upgrade our mineral resource, this will set the foundation needed to firm-up our development plans. We aim to unlock further value for our shareholders this year.

Mineral Resource definition drilling is underway and ongoing at the Salta Lithium Project in Argentina
Drilling at the first target, the Incahuasi salar, consists of two holes for a total 1,000m, and is aiming to deliver a maiden JORC Mineral Resource at this target – initial indications from this drilling have been highly positive.
Following drilling at the lncahuasi Salar the drill rig will move to the Pocitos and Rincon salares

The campaign is designed to deliver a major upgrade to the Salta Project’s existing JORC Mineral Resource, to support future development plans
The Salta Project consists of seven mining leases over a total area of 47.07km° that are on five salares
Power has also established strategic non-binding MOU’s with key partners to expedite its development plans for the Project;

Sunresin is a global leader in Direct Lithium Extraction (DLE) technology with more than 10 years’ experience and nine commercial projects in countries including in South America, North America, Europe and China
Xiamen Xiangyu provides end-to-end supply chain solutions for battery metals. Power’s MoU with them is for the purpose of pursuing the opportunity to enter in to funding, logistics and offtake agreements for the Salta Project
Both MoUs are advancing well

PEA commenced to determine lithium project economics based on 2000tpa LCE with DLE at each of the Rincon, lncahuasi and Pocitos salares (total 6000tpa LCE). Results from first PEA are due in the first half of 2023. The PEA program is being run by global consultants, Golder who has worked previously with Sunresin and Ganfeng.

4. The Musgrave Project may have potential to be a company-maker. When do you think exploration will commence to target its nickel-copper sulphide and base metal potential?

it is a large project area with 10 tenements over 14,003km²
the key target is the Pink Slipper, a Farm-in JV with Rio Tinto Exploration. Power needs to enter into an access agreement with the traditional owners of the land, the APY People before we can commence exploration at the Pink Slipper, and this is a key focus in 2023.

But elsewhere in the Project area there are a number of granted exploration licences where we can conduct on-ground exploration which we plan to do over the coming months. This is really exciting for the Company.

5. The Eyre Peninsula Kaolin-Halloysite Project is another core part of Power’s project portfolio. Can give us some background on Kaolin and its uses for a better understanding?

Kaolin is used in the production of ceramics because of its unique properties as a white bright, inert mineral with very fine particle size. Today, kaolin can be found in every modern car and home around the world. Besides ceramics, kaolin is found in objects in everyday use including cosmetics, paint, rubber, medicines, paper, pesticides, orthodontics, orthopaedics and plastics.

Power Minerals completed its maiden drilling program at the Eyre Peninsula Project in May 2022 and subsequently released positive kaolin, halloysite and rare earth element (REE) results.

The results from the initial drilling at the Project warrant further, follow-up drilling which we will look to undertake in the year ahead, and they support our specialty clay strategy, which is to define high value mineral products to supply advanced technology industries.

6. Given that Power Minerals are diversified in their mineral resources, are there any particular minerals that you are current on the lookout for in terms of potential acquisition?

We are always on the lookout for value-accretive assets in our targeted commodities. In particular, the opportunity to expand out lithium footprint in Argentina with quality assets.
At the same time, we believe our current suite of projects have a strong value proposition and we are focused on progressing them.

7. What are Power minerals doing to keep up with the ESG in investment?

We are on the lookout for different technologies to invest / partner with that may allow us to have a zero/low emission production profile in Argentina. We are accessing a number of renewable energy pathways for all projects.
We also look to give back to the local communities where we operate, and I have plans in place to spend more time with the local communities to look at ways of working closely with them. It is crucial that local communities are part of our plans at all stages.

How can people connect with Power Minerals to follow for more updates?

I encourage people to subscribe to our mailing list on our website to receive all the latest company updates. I am personally available to speak to all shareholders and can be leached via email mena.habib@powerminerals.com.au to arrange a phone call/meet up.

We are in a fortunate position to be working with a number of high-quality projects. The team continues to make excellent progress, and we look forward to a strong 2023 and beyond.

Thank you for this opportunity.