Neometals Ltd · ASX:NMT
Neometals — London Stock Exchange SparkLive (March 2023)
61 slides from Neometals's conference presentation, Mar 23, 2023
Slide 1: Green Battery Materials – London Stock Exchange SparkLive Presentation
For personal use only Green Battery Materials London Stock Exchange SparkLive Presentation – 22 March 2023 Authorised for release by Christopher Reed, ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 Managing Director of Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 2: Disclaimer
Disclaimer For personal use only Summary information: Investment risk: This document has been prepared by Neometals Ltd (“Neometals” or “the Company”) to provide An investment in securities in Neometals is subject to investment and other known and unknown risks, summary information about the Company
Slide 3: Executive Summary
Executive Summary For personal use only Neometals is an emerging, sustainable battery materials producer. 3 business units Underpinned by ESG commitment. Focus on continuous Strong, growing team supporting energy proprietary, green, Recycling and development and with track-record of transition in th
Slide 4: Green Battery Materials Portfolio
Green Battery Materials Portfolio • Focus on Europe and North America For personal use only • Emerging as World’s 2nd and 3rd biggest battery producing regions ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 4 neometals.com.au
Slide 5: Core Battery Materials Business Snapshot
Core Battery Materials Business Snapshot For personal use only Lithium-ion Vanadium Lithium Battery Recovery Chemicals Business Unit Recycling 50:50 Incorporated JV Reed Advanced Materials (“RAM”) 70:30 50:50 Incorporated JV Incorporated JV Business Unit Partners 30% Co-operation Agreement for Proje
Slide 6: Unparalleled exposure to energy transition commodities
Unparalleled exposure to energy transition commodities For personal use only ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 6 neometals.com.au
Slide 7: Experienced & Growing Team
Experienced & Growing Team For personal use only Steven Cole Chris Reed Dr Natalia Streltsova Dr Jennifer Purdie Les Guthrie Doug Ritchie Chair Managing Director / CEO Jason Carone Paul Wallwork Merrill Gray Michael Tamlin GM – Marketing and Darren Townsend Company Secretary / Head of Recycling Head
Slide 8: Corporate Dashboard
Corporate Dashboard For personal use only NEOMETALS HAS SIGNIFICANTLY OUTPERFORMED THE ASX200 A$82M RETURNED VIA DIVIDENDS AND BUY BACKS IN THE LAST ~5 YEARS 5-Year TSR(3) ASX: NMT OTC:RDRUY 12 MONTH SHARE PRICE PERFORMANCE Shares on Issue(1) m 552.7 2.00 20000000 Share Price A$ 0.62 1.80 18000000 M
Slide 9: Sustainability
Sustainability Neometals is committed to optimising finite resources with circular practices to For personal use only benefit society and the environment for a sustainable future • Focus on production of sustainable battery materials - reducing reliance on new mined materials. • Commercialising inte
Slide 10: Lithium-ion Battery (LiB) Recycling
For personal use only Lithium-ion Battery (LiB) Recycling Intellectual Property Holding Company 50% Neometals / 50% SMS group Primobius GmbH – Commercialisation Incorporated 50:50 JV with SMS group ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 10 neometals.com.au
Slide 11: Aim is to be leading provider of recycling solutions to OEMs
Aim is to be leading provider of recycling solutions to OEMs For personal use only OUR SCALABLE PLANT SOLUTIONS ADDRESS GROWING VOLUMES OF PRODUCTION SCRAP AND END-OF-LIFE BATTERIES ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 11 neometals.com.au
Slide 12: Our scalable patent-pending recycling technology
Our scleable patent-pending recycling technology 1. PRIMOBIUS’ FULLY CERTIFIED DISPOSAL SERVICE IN HILCHENBACH, GERMANY SERVICES ALL OEM SUPPLY CHAINS For personal use only 2. PRIMOBIUS’ AWARD-WINNING TECHNOLOGY WILL DELIVER BATTERY MATERIALS WITH LOWEST CARBON FOOTPRINT ASX: NMT | AIM: NMT | OTC: R
Slide 13: European Regulation Driving Automakers to “Close the Loop”
European Regulation Driving Automakers to “Close the Loop” For personal use only AIM TO BE THE FIRST TO BE FULLY COMPLIANT WITH ALL EU BATTERY REGULATIONS FOR LIB RECYCLING, ON TRACK FOR 2026 Total Current Recovery 2023 Copper 87.4% Nickel 84.4 % Cobalt 82.3 % Lithium 83.5 % Source: European commiss
Slide 14: Recycling = resilient raw material supply chains
Recycling = resilient raw material supply chains For personal use only ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 14 neometals.com.au
Slide 15: Recycling = lowest carbon footprint raw materials
Recycling = lowest carbon footprint raw materials For personal use only OUR PROCESSING TECHNOLOGY REDUCES THE CO2 FOOTPRINT BY >80% VS MINED RAW MATERIALS Source: Duesenfeld ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 15 neometals.com.au
Slide 16: Primobius equipment solutions backed by SMS group
PRIMOBIUS EQUIPMENT SOLUTIONS BACKED BY SMS GROUP S EQUIPMENT SOLUTIONS BACKED BY SMS GROUP Primobius equipment solutions backed by SMS group SMS IS A 140 YEAR-OLD LEADING GERMAN PLANT BUILDER, 14,500 EMPLOYEES IN 95 SITES AROUND THE WORLD, PRODUCTION FACILITIES IN EUROPE, NORTH AMERICAN, INDIA AND
Slide 17: Our flexible business models deliver lowest total cost of recycling
Our flexible business models deliver lowest total cost of recycling For personal use only Operational Model Revenue Model Primobius provides Disposal fee charged 1 LIB disposal service per tonne and sale of Lower total cost of recycling recovered materials Principal A DIFFERENTIATED Build integrated
Slide 18: Commercial Pipeline
Commercial Pipeline* For personal use only Operational Targeted Growth Plan Scale Up Opportunity Total Addressable Market (US$bn) % End of Life / Warranty Volumes 50 ~95% ~80% ~92% 40 Capacity: 10tpd Spoke Capacity: 50tpd Integrated Plant type: Shredding Plant type: Shredding/Refining 30 Products: B
Slide 19: Hilchenbach Spoke – establishing market share in EU
Hilchenbach Spoke – establishing market share in EU RAMPING UP TO LICENCED CAPACITY <10tpd IN SEPQ 2023, SECURED BASELOAD FEED FORCY 2023 FROM For personal use only GERMAN OEM SUPPLY CHAIN ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 19
Slide 20: Partnership with Mercedes-Benz
Partnership with Mercedes-Benz COOPERATION AGREEMENT WITH MERCEDES-BENZ MERCEDES-BENZ TARGET CELL PRODUCTION** For personal use only 200 GWh • One of the leading premium global automotive players having produced 2.3 million vehicles in 2021 • Targeting 100% of car sales to be EVs by 2030 requiring 2
Slide 21: Partnership with Stelco
Partnership with Stelco TECHNOLOGY LICENSE AND JV OPTION (≤50%) WITH STELCO IN STELCO IS POSITIONED TO BE A LEADER IN THE ELECTRIC For personal use only NORTH AMERICA* VEHICLE CIRCULAR ECONOMY in North America Option to acquire 25-50% of the equity* • Recycling venture to offer a holistic end-of-lif
Slide 22: Primobius Greenfields Integrated Refinery - Germany
Primobius Greenfields Integrated Refinery - Germany EVALUATION OF A FUTURE INTEGRATED OPERATION IN GERMANY For personal use only • Staged Engineering and Cost Study (“ECS”) will deliver Operating & Capital Costs for a 50 tpd (~20,000 tpa) integrated operation covering: • Inbound LIB storage • Discha
Slide 23: Robust Economics Across Key Battery Chemistries
Robust Economics Across Key Battery Chemistries For personal use only Disclosed capital costs include land, plant, buildings, plant and equipment, installation, infrastructure, pre-production, EPC costs and contingency New design includes Europe’s first integrated module discharge and disassembly op
Slide 24: Indicative Timeline – LiB Recycling
Indicative Timeline – LiB Recycling For personal use only MarQ 2023 JunQ 2023 SepQ 2023 DecQ 2023 1H 2024 Spoke Plant Supply Hub Plant Supply Commence Commence Commence Agreement for MB* Agreement for MB* installation of Commissioning Commissioning Hub Spoke for MB* Spoke for MB* for MB* ECS for 50t
Slide 25: Unique Positioning for Rapid Growth
Unique Positioning for Rapid Growth For personal use only ✓ Underpinned by the recovery of key ✓ Early mover advantage to deliver battery materials with their attractive industrial LiB hydromet recycling outlook ✓ Rapidly growing TAM as EOL ✓ Potential to capture premiums for Robust Early Mover batt
Slide 26: Vanadium Recovery
For personal use only Vanadium Recovery Vanadium Recovery Process Technology 100% Neometals Vanadium Recovery Project 1 - Finland 50:50 Incorporated JV with Critical Metals Ltd, Recycling Industries Scandinavia AB (“RISAB”) ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 26 neometals.com.au
Slide 27: Vanadium Market Background
Vanadium Market Background For personal use only MAIN FINISHED VANADIUM PRODUCTS VANADIUM CONSUMPTION Vanadium (V) is a silvery-grey transition metal that has two main finished Vanadium redox flow batteries (VRFBs) vanadium products: • Vanadium pentoxide is used in VRFBs with need for high-purity (>
Slide 28: Growth Market Supported by Energy Transition
Growth Market Supported by Energy Transition For personal use only MARKET DYNAMICS VANADIUM DEMAND BY END USE, 2023-2040 CURRENT PRODUCTION BY COUNTRY • Vanadium consumption is primarily anchored to steel production with demand from energy storage (vanadium redox flow batteries) becoming dominant us
Slide 29: Extracting Vanadium from Industrial By-products
Extracting Vanadium from Industrial By-products INTRODUCTION TO THE FINNISH VANADIUM RECOVERY PROJECT (“VRP1”) For personal use only PLANT LOCATION AND KEY INFORMATION COMPANY DESCRIPTION AND BACKGROUND Location: Tahkoluoto Port, City of Pori, Finland ▪ RISAB (“Company”) is established by two green
Slide 30: Carbon Negative Production Process to Extract Vanadium from Steel Slag
Carbon Negative* Production Process to Extract Vanadium from Steel Slag For personal use only CLOSED CYCLE VANADIUM PRODUCTION PROCESS Raw material (slag) Process End product & by-products Slag Inputs End product By-product: By-product: First contract with SSAB (Carbon dioxide, sodium High-purity St
Slide 31: RISAB – Promoting Circular Economics
RISAB – Promoting Circular Economics RISAB will be amongst the largest CO2 consumers in Finland promoting circular economics For personal use only CARBON FOOTPRINT* CLOSED CYCLE PRODUCTION PROCESS PROMOTING THE CIRCULAR ECONOMY kg CO2-e per kg CO 2 V 2 O 5 produced 4.5 -8.9 Total CO2 process emissio
Slide 32: Feasibility Study
Feasibility Study For personal use only For further information, refer to ASX release dated 8th March 2023 – Vanadium Recovery Project Delivers Strong Feasibility Results ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 32 neometals.com.au
Slide 33: Funding Structure and Strategy
Funding Structure and Strategy For personal use only ESTIMATED PROJECT COST (MEUR) • Total estimated construction cost of the plant 360-400 MEUR includes initial working capital and cash buffer reserves • Capital cost estimate from Sweco feasibility study (AACE Class 3 Study) for 300k tpa facility •
Slide 34: FY23 Workflow
FY23 Workflow For personal use only NEXT STEPS VRP CORPORATE STRUCTURE • Work with equipment vendors and engineering firms to continue advancing project engineering • Procure vanadium product and calcium carbonate by-product offtake agreements • Procure new equity investors into RISAB and credit app
Slide 35: Key People – Experienced Team Onboard
Key People – Experienced Team Onboard For personal use only Johanna Lamminen Darren Townsend Damian Hicks Irena Ivanova CEO COO Business Development GM – Project Development ▪ Highly experienced business leader and board ▪ Mining Engineer with 25+ years development, mining and ▪ Strong background in
Slide 36: Indicative Timeline – Vanadium Recovery
Indicative Timeline – Vanadium Recovery For personal use only KEY MILESTONES MarQ 2023 JunQ 2023 SepQ 2023 DecQ 2023 Q1 2026 Finalise New Term Sheets for RISAB pre-payment First slag being First production Supply Agreement Debt Financing for 700kt of slag transported to from the plant** with SSAB
Slide 37: Investment Case – Highlights
Investment Case – Highlights SUPPLY CONSTRAINED CRITICAL BATTERY MINERALS WITHOUT MINING RISK For personal use only ✓ Critical Raw Materials Act pending ✓ MoU signed with H2GS AB for a second larger Vanadium Recovery Project – ✓ No EU primary production / resilience gap Boden, Sweden. Significant Gr
Slide 38: Lithium Chemicals
For personal use only Lithium Chemicals ELi ® Processing Technology Reed Advanced Materials (“RAM”) 70% Neometals / 30% Mineral Resources Ltd Lithium Chemicals Project - Portugal Co-funding evaluation of 50:50 JV with Bondalti Chemicals SA using ELi® Process ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9
Slide 39: Seriously where is the lithium going to come from?
Seriously where is the lithium going to come from? For personal use only ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 39
Slide 40: Must be brine + 60% of global lithium in brine deposits
Must be brine + 60% of global lithium in brine deposits For personal use only ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 40
Slide 41: Our process converts aqueous LiCl into LiOH using electricity
Our process converts aqueous LiCl (salar concentrate) into LiOH using electricity (and own reagents) For personal use only “LIQUID SPODUMENE” 1t of Aqueous LiCl (6% Li) contains the lithium equivalent of 2t of SC6 Spodumene Concentrate (6% Li2O) ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.
Slide 42: What is ELi?
® What is ELi ? For personal use only • “ELi” is short for Electrolytic Lithium. • The +100yr old Chlor-alkali process uses electricity to split sodium salt (NaCl) into caustic soda (NaOH) and chlorine gas (plus hydrogen!) • Modern technology, proven chlor-alkali equipment packages available “off th
Slide 43: Operating & Capital Cost Advantages
Operating & Capital Cost Advantages – updating April ‘23 For personal use only Source: Neometals Management, Exyte Class 3 Engineering Cost Study (2016) ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 44
Slide 44: Eliminate bulk reagents – create and use own lithium carb
Eliminate bulk reagents – create and use own lithium carb For personal use only • Use of solvent extraction, ion exchange and internal recycling results in minimal reagent consumption and circuit top-up • Decoupled from bulk reagent availability, market disturbances and transport costs • Proposed si
Slide 45: Surest way to reduce LiB CO2 footprint is more brine lithium
Surest way to reduce to LiB CO2 footprint is more brine lithium For personal use only ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 46
Slide 46: Commercialise in EU with Bondalti
Commercialise in EU with Bondalti For personal use only Leverage Bondalti’s strong experience in chlor-alkali extensive infrastructure enables fast-track evaluation and piloting at their Estarreja chemical site. Bondalti: • Largest Portuguese chemical producer - based in the Estarreja chemical clust
Slide 47: Business Plan: Merchant LiCl Conversion in the EU
Business Plan: Merchant LiCl Conversion in the EU For personal use only Buy/Toll Process lithium ELi® purification and Offtake to European EV 1 chloride from Argentina/Chile 2 conversion to LiOH in 3 supply chain Portugal ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au 48
Slide 48: Neometals Lithium Chemicals Team
Neometals Lithium Chemicals Team Michael Tamlin – Chief Operating Officer (Project Sponsor) For personal use only Mike has over 35 years experience in metals industries covering lithium, tantalum, vanadium, base metals, industrial minerals and chemicals in Australia, China, South America and Canada.
Slide 49: Indicative Timeline - Lithium Chemicals
Indicative Timeline - Lithium Chemicals For personal use only MarQ 2023 JunQ 2023 SepQ 2023 DecQ 2023 1H 2024 Complete Bench- Commence Pilot Complete Pilot Commence Complete scale Trials Trials Trials construction of construction of Demo Plant Demo Plant Ship Pilot Trial Complete AACE Updated AACE C
Slide 50: Investment Case – Lithium Chemicals
Investment Case – Lithium Chemicals For personal use only ✓ Neometals (through RAM) can deploy ✓ Technology well guarded. Importantly globally (ex-EU) as principal, in the process has been proven at semi- partnership with, or licence to lithium Flexible business pilot scale and supported by develope
Slide 51: Barrambie Titanium and Vanadium
For personal use only Barrambie Titanium and Vanadium Barrambie Titanium and Vanadium Project 100% Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 52 neometals.com.au
Slide 52: Barrambie: Sunrise for the Sleeping Giant
Barrambie: Sunrise for the Sleeping Giant For personal use only • One of the highest-grade hard rock titanium assets globally • 100% owned in Tier 1 jurisdiction • Granted mining lease and mining approval to extract approximately 1.2Mtpa of mineralisation • Environmental approval secured in 2012 to
Slide 53: Need & Opportunity
Need & Opportunity For personal use only China is half of the global titanium pigment production and is shifting to the more sustainable chloride process World supply of quality chloride feedstocks is in decline, with prices steadily increasing for the last 5 years • Chloride pigment production requ
Slide 54: The Solution: Pathways to Commercialise
The Solution: Pathways to Commercialise For personal use only For full details refer to Neometals ASX release dated 17th November 2022 titled “Robust Outcomes From Barrambie Titanium Project PFS” ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 55 neometals.com.au
Slide 55: Robust PFS Results
Robust PFS Results For personal use only • The PFS confirms ‘value-in-use’ for Barrambie’s product basket and supports dialogue with potential offtake partner Jiuxing For full details refer to Neometals ASX release dated 17th November 2022 titled “Robust Outcomes From Barrambie Titanium Project PFS”
Slide 56: Jiuxing Titanium MOU - MGC/Ilmenite Offtake
Jiuxing Titanium MOU - MGC/Ilmenite Offtake For personal use only • Jiuxing Titanium Minerals (Liaonging) Co. Ltd is the largest chloride-grade titanium slag producer in China. • Current non-binding MOU for 800,000t of MGC or 500,000 tpa Ilmenite (if LTR development) • Offtake Agreement guiding prin
Slide 57: Indicative Timeline - Barrambie
Indicative Timeline - Barrambie For personal use only MarQ 2023 JunQ 2023 SepQ 2023 DecQ 2023 1H 2024 Commence Conditional Term Complete Vendor selection Complete DFS Variability Test Sheet for Offtake of Variability Studies for Barrambie CMB work MGC plant BOOT Commence civil Commence DFS contract*
Slide 58: Investment Case
Investment Case For personal use only ✓ China is transitioning from sulphate ✓ Track record of working with partners to more environmentally friendly and to de-risk and deliver project execution sustainable chloride titanium outcomes with strong returns to production, so securing access to sharehold
Slide 59: Company Highlights
Company Highlights Neometals is an attractive investment at the forefront of the low carbon production of battery materials via recycling For personal use only Growing portfolio of ESG-aligned, sustainable battery materials businesses with near- term decision points Proprietary green processing tech
Slide 60: Thank you.
For personal use only Thank you. neometals.com.au ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9
Slide 61: Barrambie Mineral Resource and Ore Reserve Estimate
Barrambie Mineral Resource and Ore Reserve Estimate For personal use only (1) Based on Cut-off grades of ≥10% TiO2 or ≥0.2% V2O5 (2) The high-grade titanium and vanadium figures are a sub-set of the total Mineral Resource. These figures are not additive and are reporting the same block model volume
Neometals — London Stock Exchange SparkLive (March 2023) on 6ix