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Davenport Resources Limited Technical Report On DAVENPORT RESOURCES LIMITED TECHNICAL REPORT ON THE MINERAL RESOURCES OF THE EBELEBEN MINING LICENCE AREA SOUTH HARZ POTASH PROJECT THURINGIA, GERMANY Report Date: 2nd May 2018 Effective Date: 28th March 2018 Prepared By Micon International Co Limited Suite 10 Keswick Hall, Norwich, NR4 6TJ, United Kingdom Davenport Resources Ltd Page Table of Contents 1.0 EXECUTIVE SUMMARY .......................................................................................... 1 1.1 INTRODUCTION ...................................................................................................... 1 1.2 PROPERTY DESCRIPTION AND LOCATION ...................................................... 1 1.3 LICENCES AND PERMITS ...................................................................................... 2 1.4 INFRASTRUCTURE ................................................................................................. 3 1.5 GEOLOGY AND MINERALISATION .................................................................... 4 1.6 EXPLORATION ........................................................................................................ 4 1.7 MINERAL RESOURCE ESTIMATION ................................................................... 5 2.0 INTRODUCTION......................................................................................................... 6 2.1 PURPOSE AND SCOPE OF REPORT ..................................................................... 6 2.2 CAPABILITY AND INDEPENDENCE.................................................................... 6 2.3 DISCLAIMER ............................................................................................................ 7 3.0 GENERAL INFORMATION ...................................................................................... 9 3.1 KALI-INSTRUKTION AND THE GKZ SYSTEM .................................................. 9 3.2 MICON APPROACH TO RESOURCE/RESERVE CLASSIFICATION .................................................................................................. 11 3.2.1 Mineral Resources ............................................................................................ 11 4.0 PROPERTY DESCRIPTION AND LOCATION ................................................... 13 4.1 PROPERTY DESCRIPTION ................................................................................... 13 4.2 PROPERTY LOCATION ......................................................................................... 13 4.3 LICENCES ............................................................................................................... 13 4.3.1 Mining Rights ................................................................................................... 13 4.3.2 Surface Rights ................................................................................................... 15 4.4 ROYALTIES ............................................................................................................ 15 4.5 ENVIRONMENTAL LIABILITIES, LEGISLATIVE AND PERMITTING REQUIREMENTS .......................................................................... 15 4.6 MATERIAL AGREEMENTS .................................................................................. 16 4.7 OTHER SIGNIFICANT FACTORS AND RISKS .................................................. 16 5.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ...................................................... 17 5.1 PROPERTY ACCESS .............................................................................................. 17 5.2 CLIMATE ................................................................................................................. 17 5.3 LOCAL RESOURCES AND INFRASTRUCTURE ............................................... 17 5.4 PHYSIOGRAPHY .................................................................................................... 18 5.5 FLORA AND FAUNA ............................................................................................. 18 6.0 REGIONAL GEOLOGY ........................................................................................... 19 6.1 DEPOSIT TYPES ..................................................................................................... 19 6.2 REGIONAL GEOLOGY AND STRUCTURAL SETTING ................................... 19 6.3 LOCAL GEOLOGY ................................................................................................. 20 6.4 MINERALISATION ................................................................................................ 22 6.5 ECONOMIC MINERALS ........................................................................................ 23 6.5.1 Sylvinite ............................................................................................................ 24 Ebeleben Project, May 2018 i Davenport Resources Ltd Page 6.5.2 Carnallitite......................................................................................................... 24 6.5.3 Rock-Salt........................................................................................................... 25 7.0 HISTORICAL EXPLORATION .............................................................................. 26 7.1 HISTORIC OWNERSHIP ........................................................................................ 26 7.2 SOURCE DATA ....................................................................................................... 26 7.3 EXPLORATION ...................................................................................................... 27 7.4 DRILLING ................................................................................................................ 30 7.5 LOGGING ................................................................................................................ 30 7.6 SAMPLE PREPARATION AND ANALYSIS ........................................................ 31 7.6.1 Sampling ........................................................................................................... 31 7.6.2 Analysis Procedures .......................................................................................... 31 7.7 HISTORICAL MINERAL RESOURCE ESTIMATES........................................... 32 8.0 DATA VERIFICATION ............................................................................................ 35 9.0 MINERAL PROCESSING METALLURGY AND TESTING .............................. 36 10.0 MINERAL RESOURCE ESTIMATES .................................................................... 37 10.1 INTRODUCTION .................................................................................................... 37 10.2 GEOLOGICAL INTERPRETATION AND MODELLING ................................... 37 10.3 MINERAL RESOURCES ........................................................................................ 39 11.0 MINING METHODS ................................................................................................. 43 12.0 CONCLUSIONS AND RECOMMENDATIONS .................................................... 44 13.0 DATE AND SIGNATURE PAGE ............................................................................. 45 14.0 REFERENCES ............................................................................................................ 46 15.0 CERTIFICATE ........................................................................................................... 47 16.0 GLOSSARY AND ABBREVIATIONS .................................................................... 48 16.1 GLOSSARY ............................................................................................................. 48 16.2 ABBREVIATIONS .................................................................................................. 51 17.0 APPENDIX 1 ............................................................................................................... 53 Ebeleben Project, May 2018 ii Davenport Resources Ltd Page List of Tables Table 4.1: Ebeleben Mining Licence ........................................................................................ 15 Table 6.1: Zechstein Series Geology (after Ercosplan, Jan 2018) ............................................ 21 Table 6.2: Evaporite Rock Types within the Ebeleben Licence Area ...................................... 23 Table 7.1: Exploration Drill Holes Data within the Ebeleben Mining Licence Area ............... 28 Table 7.2: Historical Resource Estimate for Ebeleben Mining Licence Area (1987) .............. 34 Table 7.3: Exploration Target for Ebeleben Mining Licence Area (2018) ............................... 34 th Table 10.1: Ebeleben Mineral Resources as at 28 March 2018 .............................................. 42 Ebeleben Project, May 2018 iii Davenport Resources Ltd Page List of Figures Figure 1.1: Location Map of the Ebeleben Mining Licence ....................................................... 2 Figure 3.1: Comparison of GKZ and JORC Code Resource/Reserve Classification ............... 10 Figure 3.2: Exploration Results, Mineral Resources and Ore Reserves as Defined by the JORC Code ................................................................................................ 11 Figure 4.1: Location Map of the Ebeleben Mining Field ......................................................... 14 Figure 6.1: Geological Map of the Ebeleben Mining Licence Area ......................................... 22 Figure 7.1: Drill Hole Positions and Rock
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