Grounded Lithium Corp · TSXV:GRD
Grounded Lithium — Investor Presentation (August 2023)
33 slides from Grounded Lithium's investor presentation, August 2023
Slide 1: Corporate Presentation August 2023
Corporate Presentation August 2023 W W W G R O U N D E D L I T H I U M . C O M ` DEFINING OUR PATH TO COMMERCIAL CANADIAN LITHIUM PRODUCTION www.groundedlithium.com | TSX.V: GRD.V | OTCQB: GRDAF
Slide 2: Disclaimer
Disclaimer This presentation material contains forward-looking statements and forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and applicable Canadian securities laws. The opinions
Slide 3: Corporate Vision and Macro Backdrop
Macro backdrop – North American battery supply chain Corporate Vision: industry rapidly expanding to Build a Best-in-Class, Environmentally Responsible, compete globally. Provides Canadian Lithium Producer strong sustained tailwinds W W W G R O U N D E D L I T H I U M . C O M Proven resource develop
Slide 4: Lithium from Brine (LFB) – Commercial 'Playbook'
Lithium from Brine (LFB) – Commercial ‘Playbook’ Key Attributes Investors Should Consider in LFB Development ATTRIBUTES FACTORS GROUNDED FACTS GLC 1. 220 million bbls/section W W W G R O U N D E D L I T H I U M . C O M Rock and Resource 2. 70 to 82 mg/litre (74 mg/litre in report) Quality Lithium +
Slide 5: Grounded PEA – Leading Lithium from Brine Project
Grounded PEA – Leading Lithium from Brine Project Robust Project Economics – 11,000 tonne/yr lithium hydroxide monohydrate (“LHM”) Phase 1 Sensitivities Grounded’s Kindersley NPV(AT) 8% Lithium Project competes with all other lithium W W W G R O U N D E D L I T H I U M . C O M USD$1.0 Billion IRR(AT
Slide 6: Lithium from Brine – Torque to Investment
Lithium from Brine (LFB) – Torque to Investment Compelling PEA Valuation relative to Industry Peers 2 1 Grounded’s 20% W W W G R O U N D E D L I T H I U M . C O M downside case exceeds our peer’s Enterprise Value (Millions of CDN$) stated base case IRR’s. Downside protection in a volatile commodity
Slide 7: Compelling PEA Valuation with Industry Peers
Lithium from Brine (LFB) – Torque to Investment Compelling PEA Valuation with Industry Peers Enterprise Value vs Profitability Index from PEA (Corporate) $1,000.00 W W W G R O U N D E D L I T H I U M . C O M 1 $900.00 Enterprise Value (Millions of CDN$) $800.00 $700.00 $600.00 $500.00 $400.00 $300.0
Slide 8: Capitalization | TSX.V – GRD | OTCQB: GRDAF
Capitalization| TSX.V – GRD | OTCQB: GRDAF Clean balance sheet with capital structure conducive for growth and returns for all shareholders 0.60 3,500,000 Capitalization (as at July 24'23) GLC Ownership TSXV: GRD - Share Price $ 0.15 3,000,000 14% 0.50 W W W G R O U N D E D L I T H I U M . C O M Out
Slide 9: Preliminary Economic Assessment Importance and Conclusion
Preliminary Economic Assessment Importance and Conclusion • PEA’s provide a 3rd party independent corroboration of the economic viability of a project W W W G R O U N D E D L I T H I U M . C O M • In Grounded’s case, PEA ranks among the highest results to date for project economics • No reason not t
Slide 10: Relative Stock Performance to Select Peers
Relative Stock Performance to Select Peers Grounded is less expensive – potential rebound when market improves? W W W G R O U N D E D L I T H I U M . C O M DEVELOPING SASKATCHEWAN'S UNTAPPED LITHIUM RESOURCES 10
Slide 11: Macro Tailwinds Abound for the Critical Mineral Industry
Macro Tailwinds Abound for the Critical Mineral Industry Largely an EV Driven Story but Other Factors at Play (ie. energy storage, military, etc) • To meet the world’s demand, massive amounts of capital need to be brought to the mining sector, in W W W G R O U N D E D L I T H I U M . C O M particula
Slide 12: Balancing Battery Supply Chain to North America
Balancing Battery Supply Chain to North America US & Canada (public & private sectors) eyeing battery industry expansion • GLC’s vision anticipates providing feedstock to manufactures in the lithium battery supply chain (e.g., anode/cathode manufacturers, ultimate customer of batteries such as an au
Slide 13: GLC Project Area – Leduc Formation / Duperow
GLC Project Area The Leduc Formation / AKA the Duperow in Saskatchewan Leduc formation: extensively dolomitized ancient carbonate complex that spans 100s km2 and is over 200 m thick Southern Alberta & Saskatchewan has massive shallow W W W G R O U N D E D L I T H I U M . C O M water carbonate reserv
Slide 14: Robust Resource Potential
Robust Resource Potential Proven Deliverability & Low-Cost Development Compelling Geology • High lithium concentration tests confirm mechanics for trapping • Large brine volumes, from thick porous reservoir with W W W G R O U N D E D L I T H I U M . C O M extensive areal extent • Concentration/grade
Slide 15: GLC Project Area – Kindersley Lithium Project
GLC Project Area Kindersley Lithium Project (”KLP”) - Inferred Resource1 – 4.2 million tonnes LCE ➢ Sufficient acreage for multiple projects GLC 1St Test Well ➢ Flexibility at this point to produce either lithium (2nd Lithium Well in Sask) AB SASK MB carbonate or lithium hydroxide – will be a functi
Slide 16: Deliverability per Well is Mission Critical
Deliverability per Well is Mission Critical Project economic and/or commercial hurdles require deliverability Analysis – how many GRD @ 19,500 bblds/day and 74 mg/litre = wells are needed to 450 tonnes annually per well maintain 11,000 tpa of battery grade lithium (ie. LHM) production at W W W G R O
Slide 17: Grade is only half the equation – KLP Predicted Well Deliverability
KLP Predicted Well Deliverability Grade is only half the equation… Critical Factors for Successful Predicted Short Horizontal Well Performance Relative to Vertical Brine Producers in Commercial Production 100,000 Leduc/Duperow 1. Brine Deliverability From High W W W G R O U N D E D L I T H I U M . C
Slide 18: KLP Production Forecast
KLP Production Forecast Multi-stage build-out minimizes risk on several fronts Future Phases Kindersley Lithium Project • Sufficient land holdings to support W W W G R O U N D E D L I T H I U M . C O M 44,000 multiple 11,000 tonne/yr phases LHM • Grounded continues to add to portfolio 33,000 where o
Slide 19: Tier 1 Operating Jurisdiction to Build Business
-Tier 1 Operating Jurisdiction to Build Business Saskatchewan Chose GLC, We Did Not Chose Saskatchewan! Resource Potential Lead GLC Efforts Saskatchewan ranked 3rd in the world for Easy access to infrastructure and services including: investment attractiveness in the Fraser Institute’s • High graded
Slide 20: ESG & Lithium from Brine
ESG & Lithium from Brine DLE delivers improved social and environmental license Environmentally Friendly Current Lithium Sources • Much lower environmental impact (less land disturbance, minimal water consumption and Large Environmental Footprint W W W G R O U N D E D L I T H I U M . C O M emissions
Slide 21: Direct Lithium Extraction - DLE
Direct Lithium Extraction - DLE Deploy capital to resource development, not R&D DLE: Key to Future of Clean Energy in Western Canada • Applies innovative process to Western Canada’s tremendous lithium resource potential while W W W G R O U N D E D L I T H I U M . C O M leveraging oil & gas expertise
Slide 22: DLE – Noteworthy Industry Progression/Advancement
DLE – Noteworthy Industry Progression/Advancement Grounded – Fast Follower at Cheaper Metric! W W W G R O U N D E D L I T H I U M . C O M DEVELOPING SASKATCHEWAN'S UNTAPPED LITHIUM RESOURCES 22
Slide 23: Direct Lithium Extraction Technology
Direct Lithium Extraction Technology Potential Game Changer in Battery Supply Chain Industry DLE - Koch Technology Koch Technologies Solutions (Current Status) ➢ Sorption and Ion-exchange based technology (Li-ProTM) ➢ Grounded working with Koch to finalize pilot ➢ Would be first of its kind in Canad
Slide 24: Operational Milestones and Objectives
OPERATIONAL MILESTONES AND OBJECTIVES FINANCING PROJECT FUNDING DEBT & EQUITY OFFTAKE PRE-FID DISCUSSIONS FINANCING. & AGREEMENT(S) LEGEND IC COMPLETED INMATIVES IME GICTBC (INFRASTRUCTURE & FACILITIES) GC TBC (WELLS & PIPELINES) 1M PROJECT MILESTONES AV POTENTIAL VALUATION RE-RATE (PROJECT DE-RISKI
Slide 25: Lithium from Brine Developer Comparables
Lithium from Brine Developer Comparables Grounded is extremely inexpensive to market peers – compelling entry point COMP SHEET LITHIUM FROM BRINE DEVELOPERS W W W G R O U N D E D L I T H I U M . C O M Primary Traded Market TSXV TSXV TSXV CSE TSXV ASX Stock Symbol GRD ETL LBNK EMPS SLI LKE Jurisdicti
Slide 26: Why Invest
Why Invest Robust Value Proposition to Investors • Provide critical exposure to the global energy- transition shift Measured strategy designed to • Quality resource – potential for one or more achieve operational wins and W W W G R O U N D E D L I T H I U M . C O M economic upstream lithium developm
Slide 27: Appendix
W W W G R O U N D E D L I T H I U M . C O M APPENDIX 27
Slide 28: PEA Support References
PEA Support References The economic analysis of the PEA is based on the following main assumptions: • realized sales price of USD $25,000 per tonne of LHM; • annual production of 11,000 tonnes per year of LHM; W W W G R O U N D E D L I T H I U M . C O M • commerciality of KTS’ Li-ProTM lithium extra
Slide 29: Leadership Team – We Build
Leadership Team – We Build Disciplined resource development professionals with history of economic success Over 35 years combined technical and managerial Over 28 years of combined experience in finance and Gregg Smith Greg Phaneuf W W W G R O U N D E D L I T H I U M . C O M experience leadership di
Slide 30: Board of Directors & Advisors
Board of Directors & Advisors Wisdom and expertise to guide management and steward shareholder interests Board Member Experience Chair Other Committees John Wright Chairman of GLC, Mr. Wright also serves as the Chairman of two resource Board, development companies in the oil and gas sector (Touchsto
Slide 31: Progressing on All Fronts
Progressing on All Fronts Goal: Multiple 11,000 tonne/year LHM Projects. First phase by late 2026/early 2027 2023 2023 - Complete PEA + Initiate Field Pilot W W W G R O U N D E D L I T H I U M . C O M 2022 2021 PEA: Preliminary Economic Assessment 2020 LCE: Lithium Carbonate Equivalent DEVELOPING SA
Slide 32: Building Blocks to PEA
Building Blocks to PEA GLC following step-wise plan to unlock value Near-Term W W W G R O U N D E D L I T H I U M . C O M Catalysts • Filing of PEA • Initial steps to design, permitting and construction of field demonstration facility DEVELOPING SASKATCHEWAN'S UNTAPPED LITHIUM RESOURCES 32
Slide 33: Lithium from Brine – Low Cost & Sustainable
Lithium from Brine – Low Cost & Sustainable W W W G R O U N D E D L I T H I U M . C O M Lithium from brines dominate low end of the cost curve DEVELOPING SASKATCHEWAN'S UNTAPPED LITHIUM RESOURCES 33
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