Premium Potash and Bauxite Project Driven by a Proven Management - PowerPoint PPT Presentation

TSX ¡: ¡PRK ¡ Premium Potash and Bauxite Project Driven by a Proven Management Team

FORWARD LOOKING STATEMENTS Certain statements in this presentation may constitute "forward-looking" statements which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Potash Ridge Corporation (the "Corporation"), or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used in this presentation, such statements use such words as "may", "would", "could", "will", "intend", "expect", "believe", "plan", "anticipate", "estimate" and other similar terminology. These statements reflect the Corporation's current expectations regarding future events and operating performance and speak only as of the date of this presentation. Forward-looking statements involve significant risks and uncertainties, which include, but are not limited to the factors discussed under “A Cautionary Note Regarding Forward Looking Statements” and "Risk Factors" in the final prospectus of the Corporation dated November 27, 2012, and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. Although the forward-looking statements contained in this presentation are based upon what management of the Corporation believes are reasonable assumptions, the Corporation cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this presentation and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Corporation assumes no obligation to update or revise them to reflect new events or circumstances. 2

A potash company focused on its Blawn Mountain property in Utah SOP: 680,000 tonnes per annum Bauxite material: 3.3 million tonnes per annum 3

EXPERIENCED AND PROVEN MANAGEMENT Guy Bentinck President & CEO Chartered Accountant; 20 years mining/resource experience Sherritt: CFO and SVP Capital Projects Jeff Hillis Chief Financial Officer Ross Phillips Chief Operating Officer Chartered Accountant; 10 years experience in large resource and 10 years mining sector finance, including CFO energy sector projects of several public mining companies Sherritt, Capital Power ¡ Iberian Minerals, Excellon, Falconbridge ¡ Paul Hampton VP, Project Laura Nelson VP, Government and Management Regulatory Affairs Geologist and Metallurgical Engineer; Extensive experience in government relations, permitting and power planning, including the ~30 years experience in design, construction, successful permitting of the Red Leaf oil shale start-up and management of mineral processing project facilities Red Leaf Resources, Utah Government ¡ SNC, Washington Group, Outotec OVER 80 YEARS COMBINED EXPERIENCE 4

COMPETITIVE ADVANTAGES Large mineral deposit containing premium-quality potash and bauxite material Strategically located in a mining friendly jurisdiction with established infrastructure nearby State-owned land allows for an efficient permitting process Historical work expedites project development Lower risk surface mining deposit; expected lowest cost producer 30 year mine life, with upside potential PEA completed: $1.3 billion NPV at 10%; 21.3% after tax IRR 5

POTASH: ESSENTIAL TO THE WORLD’S FOOD SUPPLY No known substitute Increasing world population Growing per capita income Decreasing arable land Increasing use of biofuels ~5% EXPECTED ANNUAL GROWTH IN DEMAND TO 2016 6

SULPHATE OF POTASH (SOP) IS A PREMIUM PRODUCT Sulphate of Potash (SOP) Muriate of Potash (MOP) Potassium Sulphate (K 2 SO 4 ) Potassium Chloride (KCl) 6 million tonnes sold in 2011 1 55.8 million tonnes sold in 2011 2 Potassium and sulphur are essential nutrients 2 Crop quality/yield diminish as chloride builds up 2 Improves yield, quality, taste and enhances shelf life 2 AVERAGE 47% PRICE PREMIUM OVER MOP 3 7 1 Source: Fertecon 2 Source: CRU 3 Based on historical data

USES OF SOP Fruits Tobacco Vegetables Tea Nuts Dry soils Horticultural Plants Salty soil 8

SOP PREMIUM PRICE TRENDS U.S. $/tonne 900 ¡ 800 ¡ 700 ¡ 600 ¡ 500 ¡ 400 ¡ 300 ¡ 200 ¡ SOP 1 MOP 2 100 ¡ 0 ¡ 2006 ¡ 2007 ¡ 2008 ¡ 2009 ¡ 2010 ¡ 2011 ¡ 2012 ¡ HISTORICAL PRICE PREMIUM FOR SOP HAS RANGED BETWEEN 30% AND 61% 9 1 SOP, standard grade cif NW Europe (Source: Fertilizer Week) 2 MOP, all grades, fob Vancouver/Portland (Source: CRU)

SOP MARKET CHARACTERISTICS Global SOP Consumption and Commodity Price 1 ¡ 12,000 $1,000 $900 10,000 $800 Rest of Africa the World $700 Europe 4.6% 8,000 14.9% 23.3% $600 (US$/tonne) Tonnes (000s) 6,000 $500 N. America 8.6% $400 China 4,000 44.3% $300 $200 2,000 $100 Central and 0 $0 South America 2000 2004 2008 2012 2016 2020 4.3% Global SOP Consumption Historical Standard FOB NW Europe (US$/tonne SOP) Estimated Standard FOB NW Europe (US$/tonne SOP) 10 1 Source: Fertecon, CRU

SOP MARKET DYNAMICS SOP share of potash market: Limited production and premium Current: ~10% price has restricted demand Potential: >28% 1 Trend toward high Potential to use SOP in typical cereal crop fertilizer blends instead of ammonium sulphate nutrient fertilizers SOP consumption: China (pop. 1.3 billion): 1.9 million tpy India India: (pop. 1.2 billion) 50,000 tpy (<1% of country’s potash consumption) SOP consumption = 32,000 tpy (0.4% of total potash Brazil consumption) Premium crops grown on 20% of planted land SIGNIFICANT GROWTH POTENTIAL 1 Based on crops that are best suited for SOP 11

THE BLAWN MOUNTAIN PROJECT 12

PROJECT OVERVIEW Large alunite deposit, which is expected to be processed into SOP, by-product sulphuric acid and bauxite material Target 680,000 SOP tonnes and 3.3 million bauxite material tonnes per year; start up by mid-2016 Historical work expedites project development Mineral deposit to be surface mined Proven process ANTICIPATED PRODUCTION BY 2016 13

SOP AND ALUMINA HOSTED IN ALUNITE (K 2 SO 4 ⋅ Al 2 (SO 4 ) 3 ⋅ 2Al 2 O 3 ⋅ 6H 2 O) Volcanic rock mined for over 500 years Contains alumina (Al 2 O 3 ), potassium (K 2 O), and sulphur (SO 3 ) Historic source of SOP and alumina in U.S. and Australia Long-term (30+ years) SOP and alumina production in Azerbaijan Significant undeveloped alunite deposits exist in China 1 1 USGS report on sources of Alunite - http://pubs.usgs.gov/pp/1076a/report.pdf Undeveloped alunite in China: Chekiang Province (1.2 billion tonnes), Fukien (750 14 million tonnes) and Anwhei (13 million tonnes)

EXTENSIVE DEVELOPMENT ON BLAWN MOUNTAIN COMPLETED IN 1970’s Drilling Resource estimate Feasibility study Approx. $25 million spent Mine plan (~ $100 million in today’s dollars) Engineering Permitting Pilot plant: 3-year operation processing 11 tonnes/day • Project ultimately shelved due to poor economic conditions in early 1980s • Potash Ridge owns all historical data PREVIOUS WORK ACCELERATES PROJECT DEVELOPMENT 15

SIMPLE PROVEN FLOWSHEET Potash Ridge expects the processing plant to produce: Alunite • 680,000 tonnes of SOP per annum • 3.3 million tonnes per annum of 51% alumina content bauxite material Beneficiation • 1.6 million tonnes of concentrated sulphuric acid per annum Calcination SO 2 Acid Plant Sulphuric Acid Flowsheet mirrors historical production Potash Sulphate Crystalizer processes Water Leach Potash Sulphate Solution Compaction Drying 51% alumina content bauxite material • Pilot scale plant test work scheduled to start mid- April; • Objective of pilot scale plant is process optimization; excepted to be completed by end of 2013 RECENT TEST WORK CONFIRMS FLOWSHEET 16

HIGH GRADE BAUXITE MATERIAL BY-PRODUCT Bauxite ¡material ¡suitable ¡for ¡a ¡Bayer ¡Process ¡ • Non-­‑tradiGonal ¡high-­‑grade ¡alumina ¡(51%) ¡resource ¡ • Low ¡iron ¡/ ¡Gtanium ¡concentraGons ¡compared ¡to ¡a ¡tradiGonal ¡bauxite ¡ Avoids ¡the ¡producGon ¡of ¡bauxite ¡residue ¡“red ¡mud” ¡waste ¡ ¡ • No ¡idenGfied ¡heavy ¡metals ¡ • • Favorable ¡access ¡to ¡markets ¡via ¡exisGng ¡rail ¡and ¡port ¡infrastructure ¡ Typical ¡bauxite: ¡ Potash ¡Ridge ¡bauxite ¡material: ¡ • THA ¡= ¡41.66 ¡% ¡ ¡(Tri ¡-­‑hydrate ¡Alumina) ¡ • THA ¡= ¡50.9 ¡% ¡ ¡(Tri ¡-­‑hydrate ¡Alumina) ¡ • Total ¡SiO 2 ¡= ¡7.32% ¡(Total ¡Silica) ¡ • Quartz ¡= ¡20.6 ¡% ¡(Form ¡of ¡Silica) ¡ • Quartz ¡= ¡1.86 ¡% ¡(Form ¡of ¡Silica) ¡ • Fe2O3 ¡= ¡2.58 ¡% ¡(Ferrous ¡Oxide ¡<Iron>) ¡ • Fe2O3 ¡= ¡5.98 ¡% ¡(Ferrous ¡Oxide ¡<Iron>) ¡ • TiO2 ¡= ¡1.42 ¡% ¡(Titanium ¡Oxide) ¡ • TiO2 ¡= ¡2.43 ¡% ¡(Titanium ¡Oxide) ¡ • P2O5 ¡= ¡0.59 ¡% ¡(Phosphorous ¡Pent-­‑oxide) ¡ • P2O5 ¡= ¡0.06 ¡% ¡(Phosphorous ¡Pent-­‑oxide) ¡ • TOC ¡= ¡0.19% ¡(Total ¡Organic ¡Carbon) ¡ 17 ¡