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Verde fertilizantes - Verde Potash Plc

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$3.3 Billion NPV, 27% IRR and $598M initial CAPEX<br />

Base Case Scenario<br />

Total KCl Production: 3 Mtpy<br />

Capex per Phase (USD million)<br />

Capex for Total Production (USD<br />

million) (excludes sustaining<br />

capital)<br />

Phase 1 (2015)<br />

0.6 Mtpy<br />

Phase 2 (2017)<br />

+ 1.0 Mtpy<br />

Phase 3 (2019)<br />

+ 1.4 Mtpy<br />

598 732 1,008<br />

2,338<br />

Operating Costs (USD/t KCl)<br />

IRR (%)<br />

After Tax NPV (USD million), at<br />

10% discount rate<br />

285<br />

27<br />

3,367<br />

• Completed by SRK Consulting Feb 2012<br />

• Production of 100% granular fertilizer grade KCl (60% K 2 O)<br />

• CAPEX includes 25% contingency<br />

• Study assumes an average long term Vancouver FOB KCl granular price of US$559 per tonne and<br />

US$475 from 2015-20 (CRU Market Research 2012)<br />

TSX: NPK<br />

12

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