Minbos Resources : 2021 Agronomic Trial Season Underway

29 January 2021

2021 AGRONOMIC TRIAL SEASON UNDERWAY

Minbos Resources Limited (ASX:MNB) (Minbos or the Company) is pleased to announce it has recommenced field trials in Angola and greenhouse experiments in the USA.

These field trials and experiments will expand our understanding of the economic and environmental benefits of the Cabinda Blend. The Company is profoundly grateful to our research partners for continuing to roll out experiments through this operationally difficult period.

Minbos CEO Lindsay Reed commented:

"This season's field trials in Angola are progressing well despite climate and health impediments, a timely reminder that our strong value case is underpinned by a stronger social case."

HIGHLIGHTS

• In partnership with Angola's national agricultural research and technological development institution, the Instituto de Investigação Agronómica (IAA), the Company has planted 2021 field trials across four different agro-ecological zones within Angola (Figure 1) with a further three locations to be planted in the coming months.
• The International Fertilizer Development Center (IFDC) is carrying out an extensive Greenhouse trial of Cabinda Blends over 2021 to test the residual performance over successive crops of Soyabean, Winter Wheat and Sorghum.
• Minbos has been undertaking greenhouse trials with the IFDC since 2017 and field trials with the IIA since 2019.
• Although considered high-grade at +30% P2O5, the Company's phosphate rock deposit is not soluble for direct application and must be treated/blended to make the P available as a nutrient.
• The Company's main product, the Cabinda Blend, was developed and tested at the IFDC's Greenhouse Research Centre in Muscle Shoals, Alabama.
• The overall goal of these research trials (field/greenhouse) is to optimize the agronomic effectiveness of the Company's Cabinda Blend fertilizer specification, which has been developed for performance in acidic soils prevalent in tropical climates, including Angola.
• Cabinda Blend combines fast release Water Soluble Phosphate (~15%) (externally sourced) with slow-release phosphate rock (~85%) from the Company's phosphate rock deposit. The greenhouse trials to date have confirmed performance of the Cabinda Blend at between 77‐ 89% and 74‐99% relative agronomic effectiveness (RAE) vs. higher cost monoammonium phosphate (MAP), thus giving the Cabinda Blend a significant economic advantage.

ASX Code: MNB Office: Suite 1, 245 Churchill Avenue, Subiaco WA 6008

T: [phone] E: [e-mail]: www.minbos.comABN: 93 141 175 493

• As part of completing granulation trials at the IFDC's world-class trial plant in Alabama, 400kg of Cabinda Blend was manufactured which was used for field trials in Angola last season and again this season.
• The trials to date have produced important research outcomes for the Company, including:
• • Verification that the bio-availability of (P)hosphate from the Cabinda Phosphate Rock is enhanced by blending with Water Soluble Phosphate (WSP).
  • Identification of MAP as the preferred WSP to blend with Cabinda Phosphate Rock (CPR), delivering the required starter effect to help early plant growth with better root development and providing the best enhancement effect promoting dissolution of the CPR.
  • CPR compaction with MAP 0.75 PR and 0.25 MAP gave RAE of 74-99% on the trial soils.
  • MAP is an acidic fertilizer (pH 4.8) that helps CPR dissolution.
  • Results suggest that the Cabinda Blend products could be acting as natural slow- release P fertilizer and the benefits of Cabinda Blend applications could persist for 2-3 crops, important for customer economics.

The Company will continue to undertake research on its Cabinda Blend both as part of its Definitive Feasibility Study (DFS) and to ensure it is developing technically and economically suitable fertilizers for the crops, climate and soil conditions of Angola and middle Africa.

FIELD AND GREENHOUSE TRIAL(S) RATIONALE

Angola is analogous to Brazil (semi-temperate climate, higher rainfall, arable land) yet remains one of the world's untapped food bowls. The Angolan Government has identified a local fertilizer sector's development as a national economic priority to un-tap its agriculture potential.

Minbos is currently completing a DFS on its high-grade phosphate deposit in the northern province of Cabinda. The DFS will de-risk the Company's investment in phosphate mining and fertilizer production in Angola, delivering a quality and competitively priced fertilizer product, Cabinda Blend, to national and regional markets.

In Angola, soil nutrient deficiency is a major constraint to agricultural productivity. However, fertilizer use is low, imported fertilisers are expensive, and there is no locally manufactured fertilizer product. Improved farming practices and access to fertilizers, seeds, and markets have been shown to increase small farmer productivity three-fold1.

• McKinsey & Company, Winning in Africa's agricultural market [15th February 2019] https://www.mckinsey.com/industries/agriculture/our-insights/winning-in-africas-agricultural-market#

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ASX Code: MNB Office: Suite 1, 245 Churchill Avenue, Subiaco WA 6008

T: [phone] E: [e-mail]: www.minbos.comABN: 93 141 175 493

A locally produced fertilizer has the potential to increase 4 million small farmers' productivity and revenues, improving food and nutrition security for the country. It will offset food importation and create job opportunities in the emerging agriculture and agribusiness industries.

Figure 1 - Minbos field trials, testing the Company's Cabinda Blend fertilizer in local Angolan soils and conditions.

At the IFDC, Dr. Norman Chien commenced researching enhanced phosphate rock to increase nutrient efficiency and minimise environmental impacts more than twenty-five years ago. Dr. Chien designed the first greenhouse trials of Cabinda Phosphate Rock material blended with MAP in 2017.

Since 2017, greenhouse and field trials have been undertaken, resulting in the Cabinda Blend formulation, and ensuring the Company develops technically and economically suitable fertilizers for Angolan crops, climate, and soil conditions.

The Company recently signed a Memorandum of Understanding (MoU)2 with the IFDC to develop the Small Holder Farmer market, using proven concepts that have worked elsewhere in Africa, to expand national fertilizer consumption from the current (imported) 60,000Mt/yr to 400,000Mt/yr of

• ASX Announcement - MOU TO DEVELOP FERTILIZER MARKET IN ANGOLA [11th Dec 2020]

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ASX Code: MNB Office: Suite 1, 245 Churchill Avenue, Subiaco WA 6008

T: [phone] E: [e-mail]: www.minbos.comABN: 93 141 175 493

locally produced fertilizer.

CABINDA BLEND AGRONOMIC TRIAL TIMELINE

Winter Wheat Greenhouse Trial - December 2017

Figure 2 - Application of Compacted CPR Dust (75%) and MAP (25%) to Winter Wheat,

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ASX Code: MNB Office: Suite 1, 245 Churchill Avenue, Subiaco WA 6008

T: [phone] E: [e-mail]: www.minbos.comABN: 93 141 175 493