Reward Minerals Reports $2.17M Cash, New Gypsum Licence, and Patent Progress

Exploration Expansion at Warroora

Reward Minerals Limited (ASX: RWD) has applied for a new exploration licence (E08/3802) targeting historic gypsum deposits near Warroora, approximately 120km north of its Carnarvon Potash Project in Western Australia. This 136km² area covers previously explored tenements where substantial gypsum mineralisation was identified beneath shallow topsoil. The Warroora Gypsum Project (WGP) could provide Reward with a low-cost, long-term gypsum supply essential for producing syngenite and sulphate of potash (SOP) fertilizers using its proprietary processing technologies.

The project’s proximity to established seawater solar salt operations at Lake Macleod and other regional salt developments positions it strategically for integration into Reward’s broader potash recovery ambitions.

Progress on Carnarvon Potash Project and Heritage Approvals

Reward’s wholly owned subsidiary Holocene Pty Ltd holds exploration licence E09/2763 near Carnarvon, granted in May 2024. The company is advancing statutory approvals and has submitted a heritage notice to the Yinggarda Aboriginal Corporation for its proposed exploration program. The Carnarvon Potash Project (CPP) aims to identify concentrated brines suitable for SOP recovery using Reward’s innovative processing methods.

Earlier engineering scoping studies demonstrated the potential for low-cost, environmentally friendly SOP production from bitterns, waste brines from solar salt operations. Reward is preparing an updated scoping study incorporating recent breakthroughs in its processing technology.

Beyondie Potash Plant Acquisition and Relocation Plans

Reward acquired the Beyondie Potash Plant (BPP), previously operated by Kalium Lakes Limited until 2023, and is evaluating its components for relocation and integration with Reward’s processing technology. The plant, currently under care and maintenance, offers a cost-effective platform for pilot studies and feasibility work, potentially accelerating Reward’s commercialisation timeline.

While the original Beyondie operation did not reach viable production, Reward’s management believes the plant’s engineering aligns well with its process design, offering a reduced risk profile for future SOP production ventures.

Advances in Potash Processing Technologies and Patent Progress

Reward continues to develop and refine its proprietary potash processing technologies, including the internationally recognised Syngenite Process. The International Preliminary Examining Authority has issued a positive preliminary patentability report, affirming the novelty and industrial applicability of Reward’s technology.

Further in-house testwork has yielded new processing methods that improve SOP recovery efficiencies by eliminating the need for gypsum addition and complex salt separation steps. These innovations promise to simplify operations and reduce costs, enhancing project economics.

Reward is also exploring the commercial potential of syngenite as a fertilizer product, given its higher SOP content and solubility compared to existing alternatives like polyhalite.

Strategic Divestment of Non-Core Gold Projects

In parallel with its potash focus, Reward is evaluating divestment options for several gold exploration licences near Kalgoorlie-Boulder, Western Australia. These projects, acquired opportunistically, are considered non-core and the company has received early-stage interest from potential buyers.

Financial Position and Forward Outlook

Reward reported exploration expenditure of approximately A$67,000 for the quarter and ended March 2025 with cash reserves of about A$2.17 million. The company’s loan facilities totaling A$5.73 million are fully drawn, supporting ongoing activities.

Looking ahead, Reward plans to continue advancing its processing technologies toward commercialisation, engage with solar salt and fertilizer industry partners for joint ventures, progress statutory approvals for exploration programs, and establish logistics for relocating the Beyondie plant.

The company remains optimistic about the long-term demand and pricing for SOP, positioning itself as a potential low-cost, high-quality producer leveraging innovative technology and strategic asset management.