Slide 1: Rhyolite Ridge: American Source of Lithium & Boron
For personal use only Rhyolite Ridge American Source of Lithium & Boron for an Energy Efficient Future ASX: INR Citi Basic Materials Conference New York, 28 November 2018
Slide 2: Important Notices and Disclaimers
Important Notices and Disclaimers This presentation has been prepared as a summary only and does not contain all information Competent Persons Statement about ioneer Ltd’s (ioneer or the Company) assets and liabilities, financial position and For personal use only The information in this report that
Slide 3: Capital Structure
For personal use only Shares Share Price (27 Nov 2018) 1.47B A$0.24 Options (Unlisted) Cash (30 Sep 2018) 58.1M A$75M Capital Structure Performance Rights (Unlisted) Market Cap Poised to become a responsible and profitable producer of the materials 1.9M A$350M necessary for a sustainable future, ion
Slide 4: Rhyolite Ridge Lithium-Boron Project
Rhyolite Ridge Lithium-Boron Project For personal use only USA supplier of critical minerals Integral to energy efficient future Nevada location Mining friendly & close to markets Large deposit Long mine life, expandable Shallow, thick & flat lying Open pit mining, low strip ratio Soft ore & waste r
Slide 5: Delivering first major lithium mine in the USA
Delivering first major lithium mine in the USA …and the next major boron mine globally. For personal use only In a tier 1 jurisdiction: Excellent infrastructure with direct access to rapidly expanding American and Asian markets Rhyolite Ridge Located on Federal (BLM) land No competing land use
Slide 6: Limited Lithium-Ion Battery Supply Chain in USA
Limited Lithium-Ion Battery Supply Chain in USA For personal use only Tesla Battery Gigafactory Target 35 GWh LG Chem Battery Factory Target 8 GWh Imperium3 Albermarle’s Battery Factory Target 15 GWh Increasingly reliant on Asia: Silver Peak Mine producing < 4Ktpa Li2CO3 • Only minor domestic lithiu
Slide 7: Major Deposits/Districts
Major Deposits/Districts For personal use only Jadar Rhyolite Ridge Lithium Boron Lithium & Boron Lithium-Boron deposits are rare – only Rhyolite Ridge and Rio’s Jadar ASX: INR 7
Slide 8: Two Distinct Types of Mineralisation at Rhyolite Ridge
Two Distinct Types of Mineralisation at Rhyolite Ridge For personal use only Li-B (Searlesite) Resource* Li-only (Clay) Resource* Core Core containing containing Li-B Li-only 121Mt at: (Searlesite) (Clay) 354Mt at: 1,740ppm Li mineralisation mineralisation 1,565ppm Li 12,600 ppm B 1,185 ppm B Contai
Slide 9: Project Design Layout per PFS
Project Design Layout per PFS For personal use only ASX: INR 9
Slide 10: PFS Highlights
PFS Highlights For personal use only After-tax After-tax NPV Annual Revenue Annual EBITDA IRR Cashflow (7% real): $450M $297M $6.6B $1.8B 28% Bottom of the Cost Curve • $1,796 per tonne of lithium carbonate (with boric acid credit) Long Life Project • >30 years & expandable • Initial production Q3 2
Slide 11: Very Competitive Costs
Very Competitive Costs Rhyolite Ridge to be at bottom of the lithium cost curve For personal use only PFS Base Case: Operating costs < $2,000/t lithium carbonate (with boric acid credit) Boric acid revenue at conservative $700/t pays for most of site operating costs ASX: INR 11
Slide 12: Capex Flexibility
Capex Flexibility Project sizing provides flexibility: For personal use only Base Case (2.7Mtpa) CapEx US$M % of Direct Acid plant key capex driver Acid Plant 173 41% Larger acid plant provides economies of scale Processing Plant 190 45% Base case capital intensity of $18k/t LCE compares Other
Slide 13: Mining
Mining For personal use only Conventional truck and shovel quarry operation Lithium-boron ore: • Outcrops over 3 km and dips gently to west • 20m to 40m thick and laterally consistent • Resource open to south, north and east Near-surface southern extensions currently being drilled: • Aim to extend h
Slide 14: Processing
Processing Using processing technologies proven at For personal use only commercial scale On-site acid plant provides all of the steam and power required (+ circa 38MW surplus) Ore crushed to 25mm Ore vat leached at 50-60o C and at ambient pressure (similar to oxide copper) Boric acid crysta
Slide 15: Material Circuits
Material Circuits Boric Acid Circuit Brine Brine Lithium Circuit PLS into boric acid circuit to be circa: For personal use only 50-60o C Slurry Boric Acid Boric Acid Boric Acid Crystallisation Centrifuges Dissolution / Product Drying Flotation Slurry Recrystallisation Centrifuges 0.05-0.10% Li
Slide 16: Key steps to production
Key steps to production For personal use only Indicative Timeline for Rhyolite Ridge* 2017 2018 2019 2020 2021 H2 2017 H1 2018 H2 2018 H1 2019 H2 2019 H1 2020 H2 2020 H1 2021 H2 2021 Key deliverables: Pre Feasibility Study • Pilot plant to produce samples for Definitive Feasibility customers Study •
Slide 17: Funding Flexibility
Funding Flexibility For personal use only Well positioned to assess and negotiate funding: Detailed PFS completed Two substantial revenue streams Full unencumbered ownership Funded to progress project to FID with ≈A$75M cash Range of customers for two products Engaging with multiple parties USA supp
Slide 18: Recent Achievements
Recent Achievements Providing the materials For personal use only for a sustainable & thriving planet. PFS Completed DFS Commenced Confirmed very low Fluor PFS demonstrated the Project’s scale, long life and operating costs appointed potential to become the lowest cost lithium producer in the world
Slide 19: Contact details
For personal use only Providing the materials for a sustainable & thriving planet. Bernard Rowe Roger Howe Managing Director Investor Relations T: +61 419 447 280 T: +61 405 419 139 e: browe@ioneer.com e: rhowe@ioneer.com ASX: INR
Slide 20: Appendix
For personal use only ASX: INR Appendix 20
Slide 21: Board with experience in Li-B development
Board with experience in Li-B development: For personal use only James D. Calaway Alan Davies Patrick Elliott John Hofmeister Bernard Rowe Non-executive Non-executive Non-executive Non-executive Managing Director Chairman Director Director Director Former: Former: Former: Former: Former: Non-exec Ch
Slide 22: Commercial & Technical Team
Commercial & Technical Team: For personal use only Ian Bucknell Matthew Weaver Michael Le Page Yoshio Nagai Peter Ehren Chief Financial Officer Sr. VP Engineering & Commercial Sales & Business Lead Process Operations Director, Sales & Development Director Engineer Marketing Key experience: Key exper
Slide 23: End uses
End uses 1. Strong demand growth For personal use only Li 2. Limited supply in North America Electric Vehicles Energy Storage 3. Essential for modern life 4. Broad range of uses mitigates reliance on single sector 5. Major Boron users also use Lithium Borosilicate LCD / Industrial / Agriculture 6. S
Slide 24: Lithium and Boron Conversion Factors
Lithium and Boron Conversion Factors • Lithium and boron grades are fundamentally presented in parts The conversion factors presented below are calculated on the atomic weights and number of For personal use only per million (“ppm”) or percentages of each element in a given sample or estimate. atoms
Slide 25: October 2018 Mineral Resource Estimate
October 2018 Mineral Resource Estimate (1,050ppm Li Cut-off) Total Resource including Lithium-Only Mineralisation and Lithium-Boron (Searlesite) Mineralisation Contained Group Classification Tonnage Li B Li2CO3 H3BO3 K2SO4 Li2CO3 Boric Acid Potassium For personal use only Mt ppm ppm % % % kt kt kt I