South Harz Potash : Confirmatory Results from Ohmgebirge

ASX ANNOUNCEMENT

29 April 2022

CONFIRMATORY RESULTS FROM OHMGEBIRGE

• • Assay results from drill hole OHM-02 return 11m grading average 14.4% K2O

• • Results include a 4m intersection grading 19.7% K2O

• • Results confirms potash intersection beginning at similar depth and grade of historical drillhole

• • Second hole, OHM-01, progressing well, currently at 633m depth

South Harz Potash Limited (ASX:SHP) ("South Harz" or the "Company") is pleased to announce the assay results from the recently completed drillhole OHM-02 located within the Ohmgebirge Mining Licence ("Ohmgebirge") area of its South Harz Potash Project. Results from the drillhole are summarized below.

From (m)	To (m)	Apparent thickness (m)	True thickness (m)	K2O wt. avg %
Mineralised section	651.53	662.51	10.98	7.51 m	14.44
Kieseritic Hartsalz	651.53	654.43	2.90	2.05 m	12.62
Anhydritic Hartsalz	654.43	658.46	4.03	2.85 m	19.69
Carnallitic Sylvinite	658.46	662.51	4.05	2.60 m	10.51

Drillhole OHM-02 was completed to a depth of 721.32m to fully penetrate the known Staßfurt Potash Horizon (z2KSt) and was designed to twin and validate the results of the historic drillhole Kal Wr 6 Liese, which was drilled in 1906. The historic drillhole recorded potash within the Staßfurt Potash Horizon from a depth of 651.70m to 657.20m (5.5m thick) with an historic reported grade of 15.72% K2O. (ASX announcement 23rd December 2019[1]). The recently drilled confirmatory drillhole, OHM-02, located 148m west of the historic drillhole, intercepted the top of the potash horizon from 651.53m down to a depth of 662.51m, a total apparent thickness of 10.98m and an interpreted true (vertical) thickness of 7.51m. A comprehensive assay suite comprising wet ICP and XRD analyses has identified three distinct mineralised potash horizons comprising a Kieseritic Hartsalz, Anhydritic Hartsalz and Carnallitic Sylvinite Hartsalz, which is a common potash zonation found in the adjacent historical mines of the South Harz Potash district.

Work is progressing well on our second drillhole OHM-01, where the objective is to fully penetrate the known potash horizon in the area down to a depth of 813m. The drillhole is designed to twin the historical drillhole, Kal Ktf 5/83, which recorded a potash intercept from 785.2m to 788.2m (3.0 m thick) with an historic reported grade of 12.4% K2O (ASX announcement dated 23 December 2019[1]). The target for completion of this drillhole has been extended to the 2nd week of May (previously end-April) due to some early technical issues in the upper limestone horizons which have now been overcome. The expected timing for the Mineral Resource Estimate update is now early Q3 2022.

Drilling and assay of core from these two confirmatory drillholes is intended to allow South Harz to upgrade a substantial proportion of the current Ohmgebirge JORC (2012) Inferred Mineral Resource estimate to the Indicated category. Subject to concurrent and satisfactory advancement of all modifying factors, this is expected to allow the release of a comprehensive Scoping Study (a preliminary technical and economic assessment) for Ohmgebirge.

Dr Chris Gilchrist	Andrew Edge	Justine James
Managing Director	Fivemark Partners	Alma PR
South Harz Potash Ltd	[phone]	[phone]
[phone]; [phone]
630
[e-mail]	[e-mail]	[e-mail]

South Harz Managing Director, Dr Chris Gilchrist, commented: "I am delighted to announce the assay results returned from our recently completed drillhole OHM-02 which shows excellent correlation with the nearby historic drillhole which was drilled over a century ago. This further substantiates our confidence in the accuracy of the 41 drillholes in the Ohmgebirge project area, and indeed the 300 drillholes which we acquired as part of our suite of perpetual mining licences. Work is progressing very well at our second drill site OHM-01, despite some early challenges and is now on target to complete during mid-May. These confirmatory assay results represent a very significant milestone for the Company and I eagerly look forward to the imminent completion of what promises to be a transformative scoping study."

On behalf of South Harz Potash Limited,

Dr Chris Gilchrist, Managing Director

Investor & Media Enquiries

Figure 1: Ohmgebirge Mining Licence area showing the approximate location of historic drillholes and the twin confirmatory holes, OHM-01 and OHM-02.

1. Refer to South Harz ASX announcement dated 23 December 2019 for full Mineral Resource estimate details. In accordance with ASX Listing

Rule 5.23, the Company is not aware of any new information or data that materially affects the information included in this announcement.

APPENDIX 1 - OHM-02 Drilling & Sampling

The Ohmgebirge mining licence is located in the Südharz (South Harz) Potash District in the north-western extent of the Thuringian sedimentary basin. The Permian-aged Zechstein Group hosts the potash horizon, z2KSt, which occurs across the majority of the Ohmgebirge licence and has been historically intersected in 35 drill holes.

OHM-02 is a twin hole of historical drill hole Kal Wr 6 Liese located 148 m to the west of the original collar position. The two holes are considered to be comparable in both depth and grade, with a slightly thicker intersection of potash in OHM-02 as explained below.

Drilling of OHM-02 began on 12th January 2022 and was completed on 1st March 2022. The hole was destructively drilled from surface down to 537m at which depth the method was switched over to core drilling. Casing, ranging in size starting at 558 mm to 127 mm, was installed from surface down to a depth of 536m to seal off the z4ANb-z7 horizon and the overlying units. OHM-02 was drilled by H. Anger's Söhne using a UH4-2 rig type using bentonite mud for the upper sections and magnesium chloride rich mud in the coring sections. The basal anhydrite unit was intersected at a depth of 721.28m and drilled for 0.04m, this unit forms a barrier to any groundwater flow beneath. Drill hole OHM-02 has a final end depth of 721.32m and a total z2KSt thickness of 11.66m.

The upper section of the drillhole was completed using a percussion drill bit and produced rock chips. The chips were logged on site and have not been sampled. The core retrieved from 537m was logged on a millimetre scale. Core recovery was monitored by the Ercosplan project geologist on site at the time of drilling and is recorded in the drill hole log. Core recovery was 100% throughout the entire core section except for 2 zones of total core loss between 630.98m and 631.06 (8cm) and 632.73m and 633.05 (32cm). Core recoveries through the target potash z2KSt unit were 100%. Core recovery is not expected to have affected grade.

Downhole geophysics was performed by BLM Gesellschaft für Bohrlochmessung mbH and the geological drill hole logs were corrected according to the geophysical depths. Various downhole measurements were taken including salinity (ST16), temperature (ST16), calliper (CARI, CAL4017), gamma-ray (GRFEL, TA.ORI), gamma-gamma (GRFEL, TA.ORI), neutron and sonic.

Sampling was conducted according to the stratigraphic interpretation of the core using the downhole geophysical logging as a depth guide. Core sampling was conducted according to ISO standards: DIN EN ISO 14688-1; DIN EN ISO 14688-2; DIN EN ISO 14689-1 and DIN EN ISO 22475-1. Core samples were geologically logged in detail. Information recorded on the drill hole logs included lithological depths lithological description, stratigraphic interpretation, structural measurements and colour. Photographs were taken of all rock chips and core samples, including backlit core photography (Photos 1 and 2).

Drill core was cut longitudinally for sample selection and half core samples were analysed. Sample preparation and analysis was carried out in the accredited laboratory of K-Utec Salt Technologies (DIN EN ISO/EC 17025). Analysis followed the German standard methods for the examination of water, waste water and sludge (89th edition, Wiley-VCH/Beuth, Weinheim/Berlin, 2013). Samples were crushed to 1-2mm and then milled to 50 µm before being dried in the laboratory furnace at 400°C. Samples were homogenised to ensure a representative sample obtained. 15 duplicate and 10 blank samples were included in the sample analysis, out of a total of 51 samples. 15 samples have also been sent to the umpire laboratory VKTA in Dresden, Germany; results are not available at the time of writing. Thicknesses of the potash-bearing horizons were confirmed by the geophysical logging and the full length of the potash was sampled.

The potash seam at Ohmgebirge is horizontal to sub-horizontal on a regional scale and the vertical core drilling is considered appropriate to represent the seam without bias. Drillhole OHM-02 intercepted the top of the z2KSt potash seam from 651.53m down to a depth of 662.51m a total apparent thickness of 10.98m. The drilled vertical thickness of the z2KSt potash seam has been corrected from 10.98m apparent thickness to 7.51m true thickness considering localised folding of 45 degrees. Interpretation of the wet chemical and XRD analyses has identified three distinct mineralised potash horizons comprising a Kieseritic Hartsalz,

Anhydritic Hartsalz and Carnallitic Sylvinite Hartsalz, which is a common potash zonation found in the adjacent historical mines of the South Harz Potash district.

The historic drillhole Kal Wr 6 Liese, which was drilled in 1906 recorded potash within the z2KSt potash seam from a depth of 651.70m to 657.20m (5.5m thick) with an historic reported grade of 15.72% K2O.

Corelation between the new drillhole OHM-02 is considered to be good (Figure 2). The difference in thickness, and subsequently the weighted average K2O (%) grade is considered to be due to the presence of the Carnallitic Sylvinite horizon in OHM-02, which is not present in Kal Wr 6 Liese. This localised variation in mineral assemblage is common in potash deposits due to the viscous nature of potash that is known to pinch and swell.

Figure 2: Comparison between the confirmation hole OHM-02 and the historic hole Kal Wr 6 Liese located 148m to the east.

Table 1: Laboratory assay results from drillhole OHM-02

#	SAMPLE ID	depth from	to	K-UTEC No - CPA	K /%	Na /%	Ca /%	Mg /%	Cl /%	S /%	SO4 /%	inso-luble /%	total water /%	mass balance /%	total cations /mmol	total anions /mmol	ion balance /%	Br /ppm LOQ 7	Li /ppm LOQ 5	Rb /ppm LOQ 1
1	OHM-02_#1	650.76	651.26	22-0390	1	0.05	24.2	10.8	0.23	39.0	8.20	24.6	1.24	0.60	100.6	1610	1611	-0.05	173	5.59	1.38
2	OHM-02_#2	651.26	651.53	22-0390	2	1.91	27.8	6.89	0.35	45.2	5.67	17.0	0.43	0.77	100.3	1630	1629	0.05	206	< LOQ	2.17
3	OHM-02_#3	651.53	651.79	22-0390	3	7.83	28.5	2.11	0.74	50.3	2.99	8.96	0.32	1.35	100.1	1606	1605	0.05	340	< LOQ	5.46
4	OHM-02_#4	651.79	652.19	22-0390	4	12.4	26.3	1.11	0.52	51.5	1.68	5.02	0.17	2.37	99.4	1558	1557	0.05	486	< LOQ	8.36
5	OHM-02_#5	652.19	652.48	22-0390	5	10.9	22.4	1.63	2.42	45.4	4.07	12.2	0.42	3.92	99.3	1535	1535	-0.01	683	< LOQ	9.33
6	OHM-02_#6	652.48	652.77	22-0390	6	10.7	22.8	1.24	2.75	45.5	4.35	13.0	0.35	2.78	99.2	1555	1555	-0.01	566	< LOQ	8.74
7	OHM-02_#7	652.77	653.26	22-0390	7	7.56	25.2	1.21	2.89	46.3	4.55	13.6	0.25	2.73	99.8	1589	1590	-0.07	450	< LOQ	7.09
8	OHM-02_#8	653.26	653.60	22-0390	8	13.3	24.8	1.61	0.74	49.7	2.52	7.54	0.29	1.38	99.3	1559	1558	0.05	549	< LOQ	13.3
9	OHM-02_#9	653.60	654.01	22-0390	9	14.7	19.4	4.69	1.03	41.8	5.75	17.2	0.28	1.57	100.6	1538	1537	0.03	506	< LOQ	13.0
10	OHM-02_#10	654.01	654.15	22-0390	10	11.6	21.3	3.81	1.25	41.4	5.59	16.8	0.16	2.91	99.2	1517	1517	0.04	460	< LOQ	11.2
11	OHM-02_#11	654.15	654.43	22-0390	11	10.2	19.8	5.60	1.66	39.6	6.81	20.4	0.22	3.05	100.5	1541	1540	0.03	490	< LOQ	10.1
12	OHM-02_#12	654.43	654.68	22-0390	12	13.2	18.1	7.40	0.70	40.8	6.39	19.1	0.34	1.15	100.8	1550	1550	0.02	563	< LOQ	12.7
13	OHM-02_#13	654.68	655.00	22-0390	13	25.3	14.5	3.55	0.24	45.8	2.94	8.81	0.42	0.58	99.2	1475	1475	-0.01	879	< LOQ	24.1
14	OHM-02_#14	655.00	655.17	22-0390	14	23.0	13.2	5.68	0.33	41.4	4.85	14.5	0.39	0.68	99.1	1470	1471	-0.02	773	< LOQ	20.7
15	OHM-02_#15	655.17	655.55	22-0390	15	23.8	15.6	2.71	0.95	46.0	3.31	9.92	0.34	1.19	100.5	1502	1503	-0.03	813	< LOQ	22.9
16	OHM-02_#16	655.55	655.96	22-0390	16	16.2	16.3	6.26	0.98	40.3	6.03	18.1	0.14	1.20	99.4	1514	1513	0.06	659	< LOQ	22.1
17	OHM-02_#17	655.96	656.24	22-0390	17	18.6	14.7	6.95	0.39	40.5	5.63	16.9	0.48	1.06	99.5	1493	1493	0.00	726	< LOQ	23.6
18	OHM-02_#18	656.24	656.44	22-0390	18	19.2	16.2	6.12	0.29	43.4	4.86	14.6	0.29	0.92	101.0	1526	1527	-0.07	753	< LOQ	25.6
19	OHM-02_#19	656.44	656.95	22-0390	19	15.9	17.7	7.16	0.22	43.0	5.43	16.3	0.27	0.71	101.3	1552	1552	-0.03	733	< LOQ	15.3
20	OHM-02_#20	656.95	657.51	22-0390	20	12.7	21.7	5.48	0.15	46.0	4.13	12.4	0.35	0.96	99.7	1554	1554	-0.01	683	< LOQ	11.5
21	OHM-02_#21	657.51	657.93	22-0390	21	12.4	20.9	6.47	0.15	44.6	4.85	14.5	0.18	0.65	99.8	1561	1561	-0.02	699	< LOQ	10.8
22	OHM-02_#22	657.93	658.46	22-0390	22	10.2	19.4	8.44	0.20	40.2	6.54	19.6	0.13	0.82	99.0	1541	1542	-0.04	653	< LOQ	10.3
23	OHM-02_#23	658.46	658.69	22-0390	23	5.68	10.5	15.3	1.03	25.1	11.88	35.6	0.07	6.00	99.3	1448	1450	-0.13	813	< LOQ	17.1
24	OHM-02_#24	658.69	659.02	22-0390	24	7.79	15.8	8.91	1.74	37.6	6.69	20.1	0.19	7.75	99.8	1476	1477	-0.05	1090	< LOQ	24.5
25	OHM-02_#25	659.02	659.37	22-0390	25	7.68	16.9	7.55	1.79	39.2	5.59	16.7	0.20	9.11	99.1	1453	1454	-0.06	972	< LOQ	19.8
26	OHM-02_#26	659.37	659.55	22-0391	1	12.7	19.2	4.00	1.59	45.5	3.32	10.0	0.39	6.79	100.1	1491	1491	-0.02	1250	< LOQ	17.8
27	OHM-02_#27	659.55	659.84	22-0391	2	11.9	17.3	7.32	0.73	39.6	5.90	17.7	0.16	5.14	99.9	1485	1484	0.01	956	< LOQ	12.6
28	OHM-02_#28	659.84	660.23	22-0391	3	15.2	18.8	5.68	0.24	43.5	4.55	13.6	0.37	1.81	99.2	1511	1510	0.03	909	< LOQ	10.3
29	OHM-02_#29	660.23	660.66	22-0391	4	14.5	19.4	4.88	0.49	44.2	4.04	12.1	0.33	3.00	99.0	1500	1500	0.03	949	< LOQ	11.4
30	OHM-02_#30	660.66	661.00	22-0391	5	14.0	21.3	4.47	0.31	46.2	3.68	11.0	0.46	2.05	99.8	1533	1533	0.04	849	< LOQ	9.43
31	OHM-02_#31	661.00	661.30	22-0391	6	8.63	22.9	6.05	0.27	43.9	4.85	14.5	0.62	2.27	99.1	1540	1540	0.04	643	< LOQ	6.76
32	OHM-02_#32	661.30	662.18	22-0391	7	0.94	29.2	5.47	0.35	47.0	4.37	13.1	0.29	2.69	99.0	1598	1598	0.01	373	< LOQ	2.34
33	OHM-02_#33	662.18	662.51	22-0391	8	8.18	25.4	4.57	0.21	46.9	3.78	11.3	0.41	2.20	99.2	1559	1558	0.05	596	< LOQ	7.04
34	OHM-02_#34	662.51	662.87	22-0391	9	1.60	31.8	3.93	0.18	50.8	3.25	9.74	0.39	0.63	99.0	1636	1635	0.06	346	< LOQ	1.95
35	OHM-02_#35	662.87	663.46	22-0391	10	0.31	28.2	6.81	0.19	44.2	5.45	16.3	0.28	2.73	99.0	1588	1587	0.05	236	< LOQ	< LOQ
36	OHM-02_#36	663.46	663.76	22-0391	11	0.27	27.0	8.24	0.26	42.5	6.65	19.9	0.50	1.07	99.7	1613	1612	0.05	256	< LOQ	< LOQ
37	OHM-02_#37	663.76	664.12	22-0391	12	0.26	27.1	8.42	0.18	42.4	6.79	20.4	0.39	0.52	99.6	1620	1620	0.00	266	< LOQ	< LOQ
38	OHM-02_#38	664.12	664.56	22-0391	13	0.19	31.3	4.92	0.24	48.9	4.02	12.1	0.72	0.77	99.1	1632	1631	0.06	280	< LOQ	< LOQ
39	OHM-02_#39	664.56	665.07	22-0391	14	0.16	31.5	4.95	0.17	49.0	4.05	12.1	0.59	0.60	99.2	1637	1636	0.06	236	< LOQ	< LOQ
40	OHM-02_#40	665.07	665.52	22-0391	15	0.19	31.6	5.32	0.11	49.4	4.20	12.6	0.34	0.60	100.2	1655	1655	0.01	230	< LOQ	< LOQ
41	OHM-02_#41	665.52	665.96	22-0391	16	0.14	27.5	8.30	0.14	43.1	6.61	19.8	0.36	0.50	99.9	1627	1628	-0.02	203	< LOQ	< LOQ
42	OHM-02_#42	665.96	666.42	22-0391	17	0.14	28.7	7.40	0.14	44.9	5.89	17.6	0.41	0.56	99.9	1634	1635	-0.07	223	< LOQ	< LOQ
43	OHM-02_#43	666.42	666.93	22-0391	18	0.12	32.9	3.74	0.15	51.2	3.03	9.08	0.71	0.58	98.6	1635	1634	0.06	246	< LOQ	< LOQ
44	OHM-02_#44	666.93	667.39	22-0391	19	0.11	32.0	5.27	0.05	49.5	4.31	12.9	0.04	0.27	100.2	1664	1664	-0.01	220	< LOQ	< LOQ
45	OHM-02_#45	667.39	667.86	22-0391	20	0.12	28.5	7.44	0.11	44.5	5.95	17.8	0.31	0.51	99.4	1625	1626	-0.07	223	< LOQ	< LOQ
46	OHM-02_#46	667.86	668.36	22-0391	21	0.11	35.3	2.42	0.09	54.7	1.97	5.90	0.35	0.34	99.2	1666	1665	0.07	206	< LOQ	< LOQ
47	OHM-02_#47	668.36	668.90	22-0391	22	0.10	35.4	2.36	0.08	54.7	1.94	5.80	0.27	0.45	99.1	1665	1664	0.04	240	< LOQ	< LOQ
48	OHM-02_#48	668.90	669.35	22-0391	23	0.07	25.8	9.10	0.08	39.9	7.32	21.9	0.17	1.91	98.9	1583	1582	0.05	160	< LOQ	< LOQ
49	OHM-02_#49	669.35	669.75	22-0391	24	0.07	30.4	6.01	0.09	47.3	4.77	14.3	0.22	0.40	98.8	1631	1632	-0.06	180	< LOQ	< LOQ
50	OHM-02_#50	669.75	670.25	22-0391	25	0.07	28.9	6.97	0.13	44.7	5.69	17.0	0.51	0.48	98.7	1615	1616	-0.01	170	< LOQ	< LOQ
51	OHM-02_#51	670.25	670.84	22-0392	1	0.07	35.5	2.07	0.07	54.9	1.71	5.12	0.43	0.41	98.6	1656	1656	-0.01	173	< LOQ	< LOQ
52	OHM-02_#52	685.63	685.80	22-0392	2	0.02	36.1	1.93	0.09	55.8	1.59	4.75	0.02	0.87	99.5	1672	1672	0.00	213	< LOQ	< LOQ
53	OHM-02_#53	689.57	689.64	22-0392	3	0.02	36.7	1.77	0.06	56.7	1.48	4.45	0.03	0.50	100.2	1691	1691	0.00	170	< LOQ	< LOQ
54	OHM-02_#54	693.34	693.43	22-0392	4	0.01	37.6	0.89	0.08	58.3	0.69	2.08	0.08	0.77	99.8	1688	1688	-0.01	180	< LOQ	< LOQ
55	OHM-02_#55	695.66	695.78	22-0392	5	0.01	37.8	0.94	0.09	58.7	0.73	2.18	0.11	0.38	100.2	1700	1700	-0.01	213	< LOQ	< LOQ
56	OHM-02_#56	700.41	700.48	22-0392	6	0.02	38.1	0.34	0.10	59.2	0.25	0.75	0.06	1.15	99.7	1685	1685	-0.01	170	< LOQ	< LOQ
57	OHM-02_#57	701.33	701.44	22-0392	7	0.01	36.6	1.22	0.11	56.7	0.97	2.92	0.16	1.22	98.9	1661	1660	0.06	196	< LOQ	< LOQ
58	OHM-02_#58	702.51	702.65	22-0392	8	0.01	37.5	1.06	0.04	58.0	0.84	2.51	0.11	0.33	99.6	1688	1688	-0.02	167	< LOQ	< LOQ
59	OHM-02_#59	708.39	708.56	22-0392	9	0.01	37.9	0.48	0.09	58.9	0.35	1.05	0.23	0.70	99.4	1682	1682	-0.01	137	< LOQ	< LOQ
60	OHM-02_#60	710.64	710.76	22-0392	10	0.01	38.3	0.40	0.06	59.2	0.29	0.88	0.15	0.47	99.5	1690	1689	0.07	163	< LOQ	< LOQ
61	OHM-02_#61	715.70	715.83	22-0392	11	0.01	38.5	0.05	0.09	59.5	0.04	0.11	0.02	1.71	100.0	1683	1682	0.07	133	< LOQ	< LOQ