Sovereign Metals Limited · ASX:SVM
Sovereign Metals — Investor Presentation (March 2025)
22 slides from Sovereign Metals's investor presentation, March 2025
Slide 1: New Corporate Presentation ASX Announcement
ASX Announcement 3 | Mar | 2025 NEW CORPORATE PRESENTATION Sovereign Metals Limited (ASX:SVM; AIM:SVML; OTCQX: SVMLF) (Sovereign or the Company) is pleased to announce that a new Corporate Presentation titled “Graphite By-Product Strategy Update” has been published on ASX and the Company’s website.
Slide 2: Graphite By-Product Strategy Update
GRAPHITE BY-PRODUCT STRATEGY UPDATE MARCH 2025 ASX: SVM | AIM: SVML | OTCQX:SVMLF ABN: 71 120 833 427
Slide 3: Disclaimers & Disclosures
DISCLAIMERS & DISCLOSURES AUTHORISATION STATEMENT This presentation has been approved and authorised for release by the Company’s Managing Director & CEO, Mr Frank Eagar. DISCLAIMER NOTICE This presentation has been prepared as a summary only and does not contain all information Sovereign Metals Lim
Slide 4: Kasiya Project
KASIYA PROJECT World’s Largest Known Rutile Resource 17.9Mt Contained Rutile 2nd Largest Known Flake Graphite Resource 24.4Mt Contained Graphite • Kasiya is a primary rutile project 201km2 Currently known • Only known deposit where mineralised area graphite is a by-product • Rio Tinto is a 19.9% Str
Slide 5: Weathered Geology Drives Advantages
WEATHERED GEOLOGY DRIVES ADVANTAGES KASIYA TOTALLY • Blanket style (flat) mineralisation WEATHERED • Hosted in soft, friable saprolite Sulphur generally increases with depth2 ROCK CONTAINING • Weathered ore with very low Hardness increases with depth RUTILE AND GRAPHITE sulphur levels MINERALS1 AFRI
Slide 6: Simpler Processing Drives Commercial Advantages
SIMPLER PROCESSING DRIVES COMMERCIAL ADVANTAGES Typically 94-95%C KASIYA 96-98%C Less intensive processing preserves flake size, resulting in a higher proportion of valuable medium and coarse flakes while also yielding a higher %C concentrate 5 Source: Sovereign Metals; typical %C of graphite concen
Slide 7: Weathered Ore Yields Higher Value Graphite
WEATHERED ORE YIELDS HIGHER VALUE GRAPHITE Etablissements Syrah Northern Mineral SOVEREIGN Gallois Resources Graphite Corp Commodities Larger flake size attracts METALS Largest Private Largest Listed North American Largest European significantly higher (OPFS) Producer ex- Global Producer Producer Pr
Slide 8: Kasiya Graphite Suitable for All Major End-Use Markets
KASIYA GRAPHITE SUITABLE FOR ALL MAJOR END-USE MARKETS Other Uses Friction Products Carburisation 3% 2% 2% Expanded Graphite 5% Primary End Uses of Expanded/ Refractories Batteries Natural Graphite Expandables Q4 2024 Flake Graphite Up to 1,193 Up to 1,193 564 Kasiya graphite testwork Price (US$/t)
Slide 9: Developments Since 2023 Rio Tinto Strategic Investment
DEVELOPMENTS SINCE 2023 RIO TINTO STRATEGIC INVESTMENT RIO TINTO PILOT OPTIMISED DEFINITIVE STRATEGIC PHASE PFS FEASIBILITY INVESTMENT COMPLETED COMPLETED STUDY A$60 Million Successful mining, Completed with Expected invested for 19.9% processing, input from Rio Q4 2025 of Sovereign deposition and T
Slide 10: OPFS Results Informed by Pilot Phase
OPFS RESULTS INFORMED BY PILOT PHASE CONDUCTED WITH OVERSIGHT FROM SOVEREIGN-RIO TECHNICAL COMMITTEE BEFORE MINED PROCESSED REHABILITATED 6 Months 10 Hectares 170,000m3 Trial Program Pilot Site Material Mined 9
Slide 11: Optimised PFS – Exceptional Results
OPTIMISED PFS – EXCEPTIONAL RESULTS OPFS Results Jan 25 NPV 8% (Pre-tax) US$M 2,322 IRR % 27 Ave. Annual EBITDA US$M 409 EBITDA Margin % 64 Capex to 1st Production US$M 665 Steady State Rutile Prod. (Ave) ktpa 246 Steady State Graphite Prod. (Ave) ktpa 265 *Graphite Incremental Cost of Production: O
Slide 12: Natural Graphite Cost Curve Ex-China
NATURAL GRAPHITE COST CURVE EX-CHINA (PFS Stage or Later) Cumulative Production = 1.7Mtpa 800 700 600 C1 Cash Costs (US$/t FOB) 500 2024 Price Range for “Battery-grade” graphite 400 300 200 KASIYA 100 US$241/t 0 NextSource NGX Nouveau Monde Focus Graphite Volt Syrah Evolution Falcon Triton Evion Bla
Slide 13: Natural Graphite – Challenging Industry Dynamics
NATURAL GRAPHITE – CHALLENGING INDUSTRY DYNAMICS Graphite Is Not Opaque Pricing and China Dominates Scarce Markets Low-Cost Production • 2023 natural graphite • No terminal market / • China produces ~1.2Mtpa demand: 1.6Mt widely varying specs i.e., ~75% global supply • Known global resources: • Chal
Slide 14: Real Natural Graphite Cost Curve (incl. China)
REAL NATURAL GRAPHITE COST CURVE (incl. CHINA) 800 Current Global Demand = 1.6Mtpa 700 C1 Cash Costs (US$/t FOB) 600 500 400 300 200 KASIYA CHINA WEIGHTED AVERAGE COST 100 US$241/t US$257/t 0 MRC MRC Volt Falcon Evion Syrah Triton Evolution Blencowe Ecograf Graphite One Black Rock Renascor NextSourc
Slide 15: Kasiya – A World Class Mining Project
KASIYA – A WORLD CLASS MINING PROJECT GRAPHITE COMPANIES WITH DOWNSTREAM STRATEGIES Blencowe Resources • Other companies need to go EcoGraf downstream to capture margin and Evion Group make a return on investment Evolution Energy Minerals Falcon Energy Materials Graphite One • Sovereign Metals is a
Slide 16: Kasiya Graphite – Conclusions
KASIYA GRAPHITE – CONCLUSIONS • Kasiya is a primary rutile project - only known project where graphite is a by-product • Blue-chip major as strategic investor – Rio Tinto • Potentially largest and lowest cost graphite producer globally • Up to 265ktpa at US$241/t • High quality, high value graphite
Slide 17: Appendices
APPENDICES
Slide 18: Appendix 1: Kasiya Graphite Produces Outstanding Anode Material
APPENDIX 1: KASIYA GRAPHITE PRODUCES OUTSTANDING ANODE MATERIAL Graphite Concentrate Spherical Purified Graphite Coated SPG (Kasiya Product) (SPG) (CSPG: Anode Material) High-grade concentrate Conventional purification Very low BET1 96.5-97.9% C 99.99% ≤2.0m2/g Low impurities (China Standard >99.95%
Slide 19: Appendix 2: Kasiya Graphite Suitable for Higher Value Traditional Markets
APPENDIX 2: KASIYA GRAPHITE SUITABLE FOR USE IN HIGHER VALUE TRADITIONAL MARKETS 18
Slide 20: Appendix 3: Flake Graphite Operating Cost Information
APPENDIX 3: FLAKE GRAPHITE OPERATING COST INFORMATION (SLIDES 11 AND 13) C1 Cash Costs Steady State Current Production Company Project Stage of Development (FOB) Production Notes Source tpa US$/t Tpa Operating costs are for first 10 years therefore Company Announcement: Black Rock Completes Black Ro
Slide 21: Appendix 3 Continued: Flake Graphite Operating Cost Information
APPENDIX 3 CONTINUED: FLAKE GRAPHITE OPERATING COST INFORMATION (SLIDES 11 AND 13) C1 Cash Costs Steady State Current Production Company Project Stage of Development (FOB) Production Notes Source tpa US$/t Tpa Company Presentation: Clean Energy Minerals in NGX Malingunde PFS Complete 396 52,000 - -
Slide 22: Appendix 4: Kasiya Mineral Resource
APPENDIX 4: KASIYA MINERAL RESOURCE Kasiya Mineral Resource Estimate at 0.7% Rutile Cut-off (inclusive of Ore Reserves) Rutile Mineral Resource Tonnes Contained Rutile Graphite Grade Contained Graphite Grade Category (Mt) (Mt) (TGC, %) (Mt) (%) Indicated 1,200 1.0% 12.2 1.5% 18.0 Inferred 609 0.9% 5
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