Developing High Value Tungsten and Lithium Assets

Developing High Value Tungsten and Lithium Assets

FEBRUARY 2019

Disclaimer

The information contained in this document has been prepared based uponinformation supplied by Premier African Minerals Limited “the Company”. ThisDocument does not constitute an offer or invitation to any person to subscribe for orapply for any securities in the Company.

While the information contained in this Document has been prepared in good faith,neither the Company nor any of its shareholders, directors, officers, agents, employeesor advisers give any representations or warranties (express or implied) as to theaccuracy, reliability or completeness of the information in this Document, or of anyother written or oral information made or to be made available to any interested partyor its advisers (all such information being referred to as “Information” and liabilitytherefore is expressly disclaimed.

Accordingly, to the full extent permitted by law, neither the Company nor any of itsshareholders, directors, officers, agents, employees or advisers take any responsibilityfor, or will accept any liability whether direct or indirect, express or implied,contractual, tortious, statutory or otherwise, in respect of, the accuracy orcompleteness of the Information or for any of the opinions contained in this Documentor for any errors, omissions or misstatements or for any loss, howsoever arising, fromthe use of this Document. Neither the issue of this Document nor any part of itscontents is to be taken as any form of commitment on the part of the Company toproceed with any transaction and the right is reserved to terminate any discussions ornegotiations with any person. under no circumstances will the Company be responsiblefor any costs, losses or expenses incurred in connection with any appraisal orinvestigation of the Company. In furnishing this Document, the Company does notundertake or agree to any obligation to provide the recipient with access to anyadditional information or to update this Document or to correct any inaccuracies in, oromissions from, this Document which may become apparent.

This Document should not be considered as the giving of investment advice by theCompany or any of its shareholders, directors, officers, agents, employees or advisers.Each party to whom this Document is made available must make its own independentassessment of the Company after making such investigations and taking such advice asmay be deemed necessary. In particular, any estimates or projections or opinionscontained in this Document necessarily involve significant elements of subjectivejudgment, analysis and assumptions and each recipient should satisfy itself in relationto such matters.

This Document may include certain statements that may be deemed forward-lookingstatements. All statements in this discussion, other than statements of historical facts,that address future activities and events or developments that the Company expects,are forward-looking statements. Although the Company believes the expectationsexpressed in such forward-looking statements are based on reasonable assumptions,such statements are not guarantees of future performance and actual results ordevelopments may differ materially from those in the forward-looking statements. TheCompany, its shareholders, directors, officers, agents, employees or advisers, do notrepresent, warrant or guarantee, expressly or impliedly, that the information in thisDocument is complete or accurate. To the maximum extent permitted by law, theCompany disclaims any responsibility to inform any recipient of this Document of anymatter that subsequently comes to its notice which may affect any of the informationcontained in this Document. Factors that could cause actual results to differ materiallyfrom those in forward-looking statements include market prices, continued availabilityof capital and financing, and general economic, market or business conditions. Investorsare cautioned that any forward-looking statements are not guarantees of futureperformance and that actual results or developments may differ materially from thoseprojected in forward-looking statements.

FEBRUARY 2019 PREMIER AFRICAN MINERALS | AIM : PREM 2

Premier African Minerals – Overview

Profile Strategy Key Projects Value

AIM-listed mining and exploration company

Developing lithium, tungsten and industrial

minerals

Experienced management team

Board with track record of successful mineral

developments

Expanding the Large Resource base at Zulu Lithium and Deliver a

Feasibility Study

Bringing RHA into commercial production

Zulu Lithium & Tantalum Project

RHA Tungsten Project

Scoping Study demonstrates a robust project with attractive

economics Zulu Lithium &Tantalum

Emerging Tungsten Miner RHA Tungsten Project

A US$7.5 million shareholding in Circum

Minerals Limited, a private potash developer


Capital Structure

Average daily trading volumes

2018 Q42018 Q32018 Q22018 Q1

82,625,63290,987,69851,306,43488,560,034

Capital Structure as of 28 January 2019

Share Price 0.10 pence

Shares Outstanding 7,381,648,492

Market Capitalisation £7.3 million

52 Week Share Price Major Shareholders

AIM 0.10-0.65p George Roach – 8.40%

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Pric

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Daily Share Price and liquidity since Jan 2017

0

200

400

600

800

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1

MIL

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Board of Directors

Highly experienced Board with extensive experience in exploration, development and mining

George RoachCEO

Extensive experience in natural resource business development in Africa. He has held positions in and/or initiated a number of start-up businesses listed on AIM and/or TSX-V. Other interests include Anglo African Agriculture and Agriminco Corp.

Michael FosterNon-Executive Chairman and Director

Over 30 years’ experience in all aspects of the mining industry. Founding shareholder and Director of the AIM traded Zinc Ox Resources plc. Former Non-Executive Chairman of Copperbelt Minerals Limited, Director of CASA Mining Limited and director of Solantera Resources.

Wolfgang HampelNon-Executive Director

Mr Hampel has 27 years' experience in the African, American, European and Asian exploration and mining industry and holds a Diploma in Economic Geology (Dipl.-Geol.) from the Technical University of Munich. He is a registered European Geologist (EurGeol), n° 1261, with the European Federation of Geologists.

Godfrey ManhambaraNon-Executive Director

Zimbabwean national with extensive experience in business. Mr Manhambara was formerly Chief Executive of Affretair, an international cargo commercial airline that operated out of Harare. In 1999, Mr Manhambara was appointed as Chief Executive Officer of the Civil Aviation Authority in Zimbabwe a position he held until 2001. Mr Manhambara is currently Chief Executive of Beta Holdings, the largest infrastructure supply manufacturer in Zimbabwe.

PREMIER AFRICAN MINERALS | AIM : PREM 5FEBRUARY 2019

Management Team

George RoachChairman & CEO

Extensive experience in natural resource business development in Africa. He has held positions in and/or initiated a number of start-up businesses listed on AIM and/or TSX-V. Other interests include Anglo African Agriculture and Agriminco Corp.

Anthony Michalec Chief Operating Officer

A mining professional with in excess of 35 years’ of experience in mining engineering gained at both open pit as well as underground operations across Africa with companies like Shanta Gold, First Quantum Minerals and Anglo American. Mr Michalec has significant experience in mine planning and production management as well as supervising large mining operations.

Jabulani Chirasha Country Manager

A qualified metallurgical engineer with in excess of 30 years’ of experience in mining and process engineering. Prior to joining RHA Tungsten, Mr Chirasha was senior manager at Anglo American in Zimbabwe. Mr Chirasha has authored a number of international papers on mining and process technology and is a speaker at international mining conferences.

Wolfgang HampelSenior Geologist

Mr Hampel has 27 years' experience in the African, American, European and Asian exploration and mining industry and holds a Diploma in Economic Geology (Dipl.-Geol.) from the Technical University of Munich. He is a registered European Geologist (EurGeol), n° 1261, with the European Federation of Geologists.

Gerard EvansSenior Resource Geologist

Mr Evans has 27 years' experience in geology and resource geology, primarily in the Southern African mining industry. He holds an Honours Degree in Geology from the University of the Witwatersrand and is registered with SACNASP. He is a Competent Person in gold.


Southern African Assets

Tinde ProjectFluorite & Barite

Katete ProjectRare Earths

RHA ProjectTungsten

Globe ProjectGraphite

Zulu ProjectLithium & Tantalum


Exploration Projects In Southern Africa

Project Mineral Geology Status Update / Potential

Zulu Project

Lithium & Tantalum

Two pegmatite zones totaling 3.5km in length with lithium oxide (Li₂O) grades up to 4.24%, tantalum oxide (Ta₂O₅) to 1,037 ppm; newly discovered step-out zones add another +2.5km strike length.

Mineral Resource Estimate of 20.1 MT grading 1.06% Li20. Initial metallurgical testwork complete. Scoping Study completed in November 2017.

Globe Project

Graphite At least 4 parallel graphite horizons between 1.40m and 6.40m wide; mineralised zone at least 450m long; best graphite grades to date 6.40m at 10.14% graphitic carbon.

Potential for polymetallic Cu, Zn, and Ag mineralisation.

Tinde Project

Fluorite & Barite Numerous, up to 3m wide, hydrothermal fluorite veins in granites and gneisses. Small scale industrial mining took place until the 1970s.

Potential for bulk, open pit mining.

KateteProject

Rare Earths A large carbonatite, 37.5km² in size, with light rare earth, neodymium rich mineralisation inboth outcrop and cores.

Best total rare earth oxides (TREO) surface grab sample analysis of 14.6%, with up to TREO of 3% in drill cores.



Location Hwange Area, Zimbabwe

Product Wolframite – (Fe,Mn) WO4 Concentrate

Resource

Underground Measured, Indicated and Inferred Resource of 1.325 million tonnes at composite grade of 4.72kg/t WO3 of which the measured and indicated composite grade is 5.94kg/t WO3.Open Pit Indicated and Inferred Resource of 20.88 million tonnes at 2.34kg/t WO3

Development Strategy

Underground mining development as well as open pit operations. XRT technology to increase the feed grade to the recovery circuit of process plant.

Mining Method Underground and open pit mining operations.

Production RateMonthly target throughput of up to 15,000 tonnes ROM ore from the underground mine decline shaft to be developed. Anticipated >4,500 mtu tungsten trioxide per month.

Current Status Confirmatory drilling indicates new target production as above following construction of decline shaft. Further open pit operations to remain suspended pending additional drilling still to be undertaken.

Conveyor Belts from XRT Sorter



High Grade Resource with upside potential〉 Underground Indicated, and Inferred Resource of

1.325Mt at 4.72kg/t WO3

〉 Potential Open Pit Indicated & Inferred Resource of 20.88Mt at 2.34kg/t WO3

Simple gravity process flow sheet optimized with XRT sorting technology

Locally indigenized〉 51% Owned by NIEEF – New policy implementation

enacted

〉 Premier is currently in discussions with the government of Zimbabwe to increase its ownership in RHA to 90%


Delivering Ore from the Open Pit Operation

RHA Plant

Tungsten Market

〉 World’s hardest metal with the highest melting point

〉 Tungsten is used in essential applications such as steel tools, cutting blades, military applications, alloys, lighting and electronics

〉 Strong demand growth - global tungsten demand is growing at an annual rate of approximately 3.7%

〉 Price trend - Prices have decreased from around US$450 per mtu in 2011 to unsustainable levels at less than $150 per mtu in 2015. (1 mtu = 10kg)

〉 APT is currently trading US$300

〉 APT price is recovering this year and anticipated to return to higher prices over the next couple of years as a result of supply tightening and increasing in demand

Global Primary Tungsten Consumption by Sector


Source: ITIA – Tungsten End Use Analysis

Zulu Lithium Project

〉 The Zulu Lithium and Tantalum Project covers 3.5km² and is located 80km east of Bulawayo

〉 Maiden Mineral Resource Estimate of 20.1 million tonnes of 1.06% Li₂O and 51 ppm Ta₂O₅ using a cut-off grade of 0.5% Li₂O and 7 million tonnes at 1.50% Li₂O using a cut-off grade of 1.1% Li₂O

〉 Metallurgical testwork on spodumene pegmatite achieved a lithium recovery of 81.8%

〉 Exploration Target of 60-80 million tonnes in Main Zone and on-going drill intersections in the New Zone indicating the potential to add substantial new tonnes to the Resource base

〉 Scoping Study demonstrates a robust project with attractive economics for both the Concentrate Sales option US$127.3M NPV10 and 85.9% IRR and Lithium Carbonate Plant option US$718.9m NPV10 and 80.4% IRR

Pegmatite boulders with lithium mineralisation

Mineralised drill core from the Main Zone

FEBRUARY 2019 12

Notes:1. Premier is the operator of the Zulu Lithium and Tantalum Project

(“Zulu”).2. Premier currently holds 100% interest in Zulu. 3. Mineral Resources which are not Mineral Reserves have no

demonstrated economic viability.4. The effective date of the Mineral Resource is 01 June 2017.5. Mineral Resources for Zulu have been calculated using a cut-off of 0.5%

Li₂0 and classified according to SAMREC.6. The Mineral Resource Estimate is based on information compiled by the

Company and reviewed by Mr Wolfgang Hampel (as described further below).

Zulu Lithium Project – Mineral Resource Estimate

〉 Maiden Mineral Resource Estimate of 20.1 million tonnes of 1.06% Li₂O and 51 ppm Ta₂O₅ using a cut-off grade of 0.5% Li₂O

〉 Containing 526,000 tonnes of Lithium Carbonate Equivalent (“LCE”) and 1,025 tonnes of Tantalum Pentoxide

〉 Maiden Resource Estimate covers only 35% of Zulu’s known 3.5km surface strike length and drilling continues to upgrade and expand the Mineral Resource Estimate

〉 Deposit remains open at depth and along strike

〉 Exploration Target of 60-80 million tonnes

Drill cores containing lithium mineralisation


Category

Tonnes (millions)

Grade Li₂0 %

Contained Li₂0 in tonnes

Measured - - -

Indicated - - -

Inferred 20,112,736 1.06 213,195

Total 20,112,736 1.06 213,195

Zulu Lithium Project – Metallurgical Testwork

〉 Metallurgical testwork was conducted by German based Dorfner Anzaplan

〉 Flotation testwork on spodumene pegmatite achieved a lithium recovery of 81.8%

〉 Flotation testwork on mixed pegmatite sample achieved a spodumene concentrate containing 5.9% Li₂0 being acceptable for spodumene concentrates as feed stock for lithium carbonate production and a commercial grade petalite concentrate containing 3.9% Li₂0 at exceptionally low Fe₂0₃ content of < 0.01% at a recovery in the concentrates of an estimated 70%

〉 The tailings of spodumene and petalite flotation process contain very low iron oxide concentrations in the range of 0.01%, offering the potential for high quality, low iron feldspar and quartz as by-product for glass and ceramics applications

〉 Further metallurgical testwork is planned including testwork on the recoveries of lithium bearing minerals, the recovery of saleable tantalite concentrates and high purity, low iron oxide quartz and feldspar concentrates as well as optimise the flowsheet design


From left to right:lepidolite spodumene pegmatite @ 0.94% Li2O and 42 ppm Ta2O5

spodumene (pink) pegmatite @ 2.09% Li2O and 106 ppm Ta2O5

petalite pegmatite @ 2.39% Li2O and 46 ppm Ta2O5

holmquistite gneiss / amphibolite and pyrite @ 0.55 % Li2O

Proposed Flowsheet Design


Zulu Lithium Project – Scoping Study


Concentrate Sales Option

Mine life 15 years

Target Annual Production 84,000 tonnes of spodumene concentrate and 32,500 tonnes of petalite concentrate

Pre-Tax NPV10 US$127 million

Pre-Tax IRR 86%

Gross revenue US$1 billion*

Capital Costs (Including 30% Contingency)

US$64 million

C1 Operating Cost US$486 million

Peak Funding Requirement US$38 million

Payback 2 years

After-Tax NPV at 10% US$92 million

After-Tax IRR 65%

Lithium Carbonate Plant

Project life 15 years

Target Annual Production 14,500 tonnes of Li₂CO₃

Pre-Tax NPV10 US$719 million

Pre-Tax IRR 80%

Gross Revenues US$2.9 billion*

Initial Capital Cost (including 30% contingency) US$238 million

C1 Operating Costs US$1.1 billion

Peak Funding Requirement US$178 million

Payback 2 years

After-Tax NPV at 10% US$524 million

After-Tax nominal IRR 63%

* based on sales prices of US$800/t spodumene concentrate and US$400/t petalite concentrate over life of mine

* based on a sales price of US$15,000/t Lithium Carbonate

A ROBUST PROJECT WITH COMPELLING ECONOMICS

Drill Hole ZDD-45

〉Intersected 40.58m containing an average grade of 1.56% Li₂O in multiple intersections

〉 Including 0.95m at 4.24% Li₂O

〉ZDD-45 drilled 220m south-east of the Main Zone demonstrate the potential for an additional 60-80m tonnes in this Step-out Zone

〉An infill drilling programme is currently underway to expand and increase the current Resource base


Hard Rock Lithium Peer UniverseEV/Resources


Source: Company Data as at 29 January 2019Value in USD

Significantly undervalued on a EV/Resource basis compared to peers

$42.92

$54.73 $86.39 $125.15 $198.44 $371.55 $445.64 $546.03 $781.92 $0.00

$200.00

$400.00

$600.00

$800.00

Premier - Zulu ProspectResources -

Arcadia

NeoMetals - MtMarion

Sayona - Authier Kidman Resources- Mt Holland

Critical Elements -Rose

Pilbara Minerals -Pilangoora

Altura Mining -Pilangoora

Nemaska Lithium

Circum Minerals Limited – Overview

〉 5,010 million shares in Circum Minerals Limited (Circum) with a fair value of US$7.5 million

〉 Circum is a privately owned company, developing its 100% owned Danakil Potash Project, located in the Danakil Depression of Ethiopia. The Danakil project is one of the largest and lowest cost potash development projects in the world

〉 The DFS has a NPV of US$2.1 billion. Circum currently has 100.6 million shares in issue

〉 Mining license granted in March 2017 and Circum expects a near-term liquidity event

〉 Circum is seeking a listing in 2019 on a recognised stock exchange


Solution Mining Well Head

Kainitite Evaporation Pond

Circum Minerals Limited – Overview

Danakil Project at a Glance

Location Northern Ethiopia

Ownership 100%

Size 365 sq. km

Production Target 2 Mtpa MOP, 0.75 Mtpa SOP

Mining Solution mining

Process Solar evaporation

Initial Capital Costs US$2.3 billion

Peak Funding US$1.8 billion due to early revenue from initial production

Total Operating Costs (FOB Djibouti)

US$81/t MOP US$156/t SOP

After-tax NPV at 10% US$2.1 billion

After-tax nominal IRR 26%

Project Stage

- DFS July 2015, Optimized in February 2016- Mining license awarded in April 2017


Danakil Project Location

Source: Circum website

Investment Highlights

〉 Explored, Developed and built a mid-size tungsten mine in Zimbabwe

〉 RHA Tungsten Mine, potential to deliver for the long term

〉 Delineated a 20.1 million tonnes at 1.06% Li₂O Maiden Mineral Resource Estimate at Zulu –resource on only 1/3 of the strike length

〉 Metallurgical testwork achieves commercial grade concentrate and recovery of 81.8% on spodumene at 6.5% Li₂0

〉 Zulu - Scoping Study demonstrates a robust project with attractive economics

〉 Shareholding in Circum valued at US$7.5m and 3.9% interest in Casa Mining Limited

〉 Diversified natural resources company with a portfolio of significantly undervalued projects

〉 Experienced board and management team with a proven track record of successful development of mineral projects on the African continent


Appendix


Lithium Raw Materials

FERUARY 2019 PREMIER AFRICAN MINERALS | AIM : PREM 24

〉 Lithium raw materials are the vital ingredient for lithium battery technology

〉 Lithium is sourced predominantly from: 〉 Hard-rock mining of spodumene deposits

〉 Extracting lithium from brine deposits

〉 Zimbabwe is the world’s 5th largest producer of lithium mineral concentrate

〉 The Zulu deposit is among Zimbabwe’s largest lithium-tantalum projects with Inferred Resources of 20.1 Mt at 1.06% Li₂0 and 51 ppm Ta₂0₅ containing 526,000 tonnes of Lithium Carbonate Equivalent (“LCE”) and 1,025 tonnes of Tantalum Pentoxide

〉 Spodumene and petalite ore is processed into a concentrate and then converted into lithium carbonate or lithium hydroxide to be utilised in lithium battery components

Spodumene Concentrate Production

Battery Tesla Model S

Lithium Market

Lithium Supply / Demand Curves


〉 Pollution has driven Government policies towards “New Energy”

〉 Lithium carbonate pricing took-off coincidentally with acceleration in EV’s and Electric Bus sales

〉 Broad transportation electrification Projects 〉 99 million electrical vehicles sold pa by 2020*

〉 By 2050, 81% of global car sales will be electric*

Source: Canaccord Genuity

〉 Hardrock lithium minerals have a variety of applications with traditional uses including ceramics, glass and greases

〉 Development in the application of lithium in rechargeable batteries is the major growth factor in the future demand for lithium

〉 Technological advancements for EV’s and E-storage is accelerating lithium demand * Source Reuters, Morgan Stanley,

A sunny day in Shanghai

Global Motor Vehicle Lithium Demand


〉 Tesla Series 3 released in 2017, retail price of US$36,000, 450,000 orders already placed

〉 Mercedes Benz released 12 new models of EV’s in 2018

〉 BMW i3 Series released in 2018 in direct competition with Tesla Series 3

〉 Audi, Volkswagen major EV model expansion in 2017-2018

〉 Volvo will only make electrical vehicles and hybrid electrical vehicles from 2019

〉 UK, China, Japan and Korean Government policy strongly supports EVs with large rebates, zero sales tax and free licensing

Global Electrical Vehicle Car Sales Forecast

Drive E, Volvo will only be selling EV and HEV From 2019

Source: Canaccord Genuity

Potash Market

Macro Themes

• Population growth• 12bn people in 2050

• Rising Incomes • Diets are richer in

proteins • Increased soya

production for cattle feed.

• Strong growth in Developing Markets

• China, India, Brazil• China import growth

Q1 y-o-y up 48%


Harare Skyline

Mining in Zimbabwe

〉 Population 13 million

〉 Area 390,759 square km (150,873 square miles)

〉 GNI per capita US$820 per annum

〉 Major languages English (official), Shona, Sindebele

〉 Major religions: Christianity, indigenous beliefs

〉 Currency: multi-currency system; US$ & ZAR

〉 Government: Zimbabwe African National Union Peoples Front (ZANU-PF)

〉 In November 2017, Mr Mugabe resigned as President of Zimbabwe and the ruling party, Zanu PF appointed Emmerson (ED) Mnangagwa as President


Mining in Zimbabwe

〉 African mining country with > 100 years of modern mining history

〉 Last mining boom between 1995-2004 saw 98% of the country under reconnaissance, exploration or mining license

〉 Major companies that have operated in Zimbabwe, Rio Tinto, BHP, Anglo American, Falconbridge, Impala Platinum, Anglo Platinum

〉 Skilled mining work force and well educated population

〉 Good infrastructure, road and rail, power transmission (mining takes precedent for power usage)

〉 Government is addressing the cost of doing business in Zimbabwe


Contact Information

For additional information or enquiries, please contact:

George Roach - Chairman

[email protected]

www.premierafricanminerals.com


Documents

Developing High Value Tungsten and Lithium Assets