Blencowe Resources Plc · LSE:BRES
Blencowe Resources — Investor Presentation (May 2021)
21 slides from Blencowe Resources's investor presentation, May 2021
Slide 1: Developing the Orom-Cross Graphite Project
May 2021 LSE: BRES Developing the Orom-Cross Graphite Project Leveraged into the fast-growing Electric Vehicle market 1
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Blencowe Plc (“Blencowe”). This document contains background information about Blencowe current at the date of this presentation. The presentation is in summary form and does not purport to be all inclusive or complete. Recipients should conduct thei
Slide 3: Why Invest into Blencowe
WHY INVEST INTO BLENCOWE DEVELOPING A WORLD CLASS GRAPHITE DEPOSIT 2-3 billion tonnes graphite near to Size and surface, with first ten years’ mine life Scale of already drilled to JORC standard Deposit Strong forecast market as EV Metallurgical test growth lifts Selling Product High results support
Slide 4: Electric Vehicles: One of the Fastest Growing Trends Worldwide
ELECTRIC VEHICLES ONE OF THE FASTEST GOWING TRENDS WORLDWIDE Drivers for phenomenal EV growth • Reduction in average EV cost • Global warming • Environmental awareness – moving from fossil MACRO MARKET • Technological development; MICRO MARKET • Vehicles fuels to renewables • Energy Storage / Batter
Slide 5: Graphite: Fully Leveraged to EV Growth
GRAPHITE FULLY LEVERAGED TO EV GROWTH Forecast Demand for Flake Graphite to 2030 • EVs require Lithium-ion batteries and Graphite is a major part (Million tonnes per annum) of Li-ion • Elon Musk famously said in 2016 that: “Our cells (batteries) should be called Nickel-Graphite instead of Lithium-io
Slide 6: Graphite Supply Deficit
GRAPHITE SUPPLY DEFICIT NEXT 2 DECADES Widening shortfall in supply and fast-growing demand will cause a massive imbalance ahead – Potential price spiking. Forecast Demand Flake Graphite Demand Curve Timing for likely first production at Orom- Cross coincides with emerging shortfall of flake graphit
Slide 7: Growth in Li-ion Battery Megafactories
GROWTH IN Li-ion BATTERY MEGAFACTORIES A single US Gigafactory (Tesla/Nevada) is forecasting an annual requirement of 1mtpa flake graphite for Li-ion batteries by 2030 There are now >200 Megafactories worldwide in the pipeline BMI announced 200th Li-ion Megafactory worldwide Yet 2020 Total worldwide
Slide 8: Market Prices
MARKET PRICES (OCTOBER 2020) Blencowe is targeting ~50% of Jumbo and X-Large flakes at 95-97% TGC 2020 CIF China 2020 CIF China Mesh Size • CIF China prices typically 10% lower USD 95% TGC USD 97% TGC than CIF Europe • Approximately 10% higher prices for Jumbo +32 1,750 2,100 every 1% greater purity
Slide 9: Orom-Cross End Product Sales Options
Expandable graphite OROM-CROSS END PRODUCT (Jumbo/XL) is a growing SALES OPTIONS market (~12% p.a.) Typical applications for different graphite flake sizes • Used in thermal management of consumer electronics and industrial applications, including heat and corrosion resistant Jumbo/Large Medium Smal
Slide 10: Corporate Overview
CORPORATE OVERVIEW • Blencowe acquired 100% of the Orom-Cross Project in April 2020 – all paid for in shares • Raised £2.0m in cash at same time for project development • Further £300k raised in Dec 2020 and £500k in January 2021 – working capital • Tight structure, experienced (African resources) m
Slide 11: Board & Management
BOARD & MANAGEMENT Cameron Pearce – Chairman Mike Ralston – CEO Alex Passmore – Director Sam Quinn – Director Mr Pearce is a Chartered Accountant Mr Ralston is a Chartered Accountant Mr Passmore is a geologist with Mr Quinn is an experienced corporate with extensive professional experience in with 2
Slide 12: Key Management & Advisors
KEY MANAGEMENT & ADVISORS Iain Wearing – COO Mr Wearing is a Mining Engineer with 30 years experience in the resource industry, including significant project experience in Africa. He has been involved in the technical management of African projects for several companies, including Resolute Mining an
Slide 13: Project Overview
PROJECT OVERVIEW 21 Year Mining Licence awarded in 2019 • Orom-Cross flake graphite project was acquired in April 2020 for £2m • Further £2m raised to fund an extensive work programme in 2020 • Orom-Cross was granted a 21-year mining licence in 2019 and has the scope to become a world class graphite
Slide 14: High Grade Drilling Results
HIGH GRADE DRILLING RESULTS • Orom-Cross 1,950m diamond drilling programme completed in 2H 2020. • Designed to deliver a maiden JORC (2012) Standard Mineral Resource and to deliver samples for Phase Two met test work. • Very successful with high grade results from both deposits drilled, as indicated
Slide 15: JORC Mineral Resource
JORC MINERAL RESOURCE Mineral Resources Area Material Cut-Off Tonnage Mt % Total Grade Carbon Northern Syncline Weathered Inferred 4% GC 3,517,350 3.5 6.09 Weathered Indicated 4% GC 1,941.840 1.9 5.82 Sub-Total 4% GC 5,459,190 5.5 5.99 In-Situ Inferred 4% GC 8,979,330 9.0 6.06 In-Situ Indicated 4% G
Slide 16: Orom-Cross 2021 Work Programme
OROM-CROSS 2021 WORK PROGRAMME Q2 2021 – Stage 2 Resource Q2 2021 - Phase 2 metallurgical Studies Phase (2021/22) Drilling test work targeting • 3Q 2021: Commencement of • Targeting 20Mt Resource with • 95-97% TGC (total graphite Internal Concept Study (PEA) – 10Mt as Indicated/Measured (for content
Slide 17: Appendix
APPENDIX 17
Slide 18: Benchmark Minerals
APPENDIX 1 BENCHMARK MINERALS “Graphite is the number one raw material input into a Li-ion battery” Simon Moores is a leading authority on lithium ion battery and energy storage supply chains with a specialist focus on lithium, graphite, and cobalt. He is MD of Benchmark Mineral Intelligence, an ind
Slide 19: Graphite Key Price Drivers
GRAPHITE KEY PRICE DRIVERS Phase 1 Orom met. test work reached $ Total Graphitic Content 94% TCG – Phase 2 test work (“Purity”) of Conc. targeting 95-97% Jumbo, XL and Large flake size make Flake Size up significant % of Orom product based on recent test work PRICE Supply Less supply worldwide of Ju
Slide 20: EVs: Shifting Global Strategy
EVs SHIFTING GLOBAL STRATEGY Almost every major vehicle manufacturer worldwide has an aggressive EV strategy for the next decade, which will result in considerably more EV sales and associated Li-ion battery sales. Natural flake graphite demand will rise in sync. 500k units in 2020, from 200k in 1 m
Slide 21: Registered Office
Registered Office Walton House 25 Bilton Road Rugby Warwickshire CV22 7AG T: +44(0)1624 681 250 Email: info@blencoweresourcesplc.com 21
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