Slide 1: Investing in a vanadium future with Australian Vanadium
For personal use only Investing in a vanadium future with Australian Vanadium Investor Presentation October 2016 Vincent Algar Managing Director
Slide 2: Disclaimer
Disclaimer The views expressed in this presentation contain information derived from publicly available sources that have not been independently verified. For personal use only No representation or warranty is made as to the accuracy, completeness or reliability of the information. Comment It is com
Slide 3: Who is AVL?
Who is AVL ? For personal use only • Vanadium focused ASX listed company • Active evaluation of a new, long-life vanadium Project (Gabanintha) in Western Australia • Significant project with large, high-grade Measured, Indicated and Inferred resources • Vanadium energy storage market will disrupt tr
Slide 4: Corporate Snapshot
Corporate Snapshot (ASX:AVL) Capital structure and major shareholders For personal use only Key Statistics (as at 9/1016) Ordinary shares on issue 1,100m Options on issue (ex at 1.47c 176.1m AVL Share Price History expire Dec 2017) Listed Options (ex at 2.c exp 235.8m $0.030 160,000,000 Dec 2018) AV
Slide 5: AVL Vertical Integration Strategy
AVL Vertical Integration Strategy For personal use only Australian Vanadium Ltd Construct Energy Storage Steel Market Electrolyte Plant Market Develop Gabanintha V-Ti-Fe Project Vanadium Steel Vanadium V2O5 Battery and Market Products Battery Market Electrolyte Renewable Energy (V2O5 and FeV) produc
Slide 6: Vanadium Markets: Steel and Energy Storage
For personal use only Vanadium Markets Steel and Energy Storage 6
Slide 7: Vanadium in Energy Storage
Vanadium in Energy Storage For personal use only “Energy storage has the potential to transform our entire energy system.”– Clean Energy Australia 7
Slide 8: Vanadium Markets - Steel
Vanadium Markets - Steel Despite reduced rate of steel production, demand for For personal use only vanadium continues to grow. Steel remains a price driver for vanadium 3% • Steel is primary market (92% of vanadium 4% Steel Alloy consumption) Titanium Alloy • Addition of 0.2% vanadium increases ste
Slide 9: Vanadium Markets - Overview
V Vanadium Markets - Overview Supply and demand outlook offers compelling opportunity for early For personal use only involvement – particularly with interest from Energy Storage • Upward price signals are clear from very recent data • FeV prices up between 36% and 41% in early 2016 • V2O5 prices up
Slide 10: Globally Significant Project
For personal use only Globally Significant Project 10
Slide 11: Global Player
Global Player Gabanintha Project is significant development project on a global scale For personal use only in grade and size 11
Slide 12: Vanadium Peer Comparison
Vanadium Peer Comparison • Gabanintha a globally significant deposit. Vanadium energy storage a factor For personal use only • AVL Market Cap of $18m compares to TNG Market Cap of $108M and BMN $17M 350.00 1.48 1.60 1.40 300.00 1.40 In-Situ Resource Grade V2O5 % In-Situ Resource Tons (Millions) 1.20
Slide 13: Gabanintha Vanadium Project
Gabanintha Vanadium Project High grade resource in favourable mining jurisdiction in Murchison of WA For personal use only • One of the highest-grade vanadium deposits currently being advanced globally; • JORC 2012 compliant Total Resource of 91.4Mt @ 0.82% V2O5, 10% TiO2 and 35% Fe • Separate high-
Slide 14: Gabanintha Vanadium Project
Gabanintha Vanadium Project Discrete high-grade zone, simple geometry, suitable for open pit mining For personal use only 14
Slide 15: Vanadium Resource
Vanadium Resource Large high-grade resource For personal use only JORC Million In situ bulk Material Resource V2O5 % Fe% TiO2 % SiO2 % Al2O3 % LOI% Tonnes density Class High grade Measured 7 3.73 1.09 43 12 10 8 3.4 Indicated 4.3 3.29 1.07 41 12 12 9 4.6 Inferred 45.5 3.67 0.97 42 11 12 8 2.8 Subtot
Slide 16: Gabanintha Vanadium Project: First pass internal optimisation
Gabanintha Vanadium Project First pass internal optimisation shows significant potential For personal use only 16
Slide 17: Updated Concept Engineering Study
Gabanintha Vanadium Project Updated Concept Engineering Study For personal use only CONCEPT STUDY PARAMETERS – CAUTIONARY STATEMENT The Concept Study in this presentation (nominal +/- 50% accuracy) is based on low-level technical and economic assessments, and is insufficient to support estimation of
Slide 18: Gabanintha Concept Study
Gabanintha Concept Study Updated Concept Engineering Study supports move forward For personal use only • Results of study have satisfied the Board to advance the Project with further key studies. • Studies to include roast-leach metallurgical work, resource update, detailed mining study, hydrology s
Slide 19: Gabanintha Concept Study: Outcomes
Gabanintha Concept Study: Outcomes Updated Concept Engineering Study supports move forward For personal use only • Production cases considered were potentially economically viable while treating feed material containing up to 50% oxide and low grades (0.5% V2O5) with beneficiation pre- treatment. •
Slide 20: Gabanintha Concept Study: Proposed Process Flowsheet
Gabanintha Concept Study Proposed Process Flowsheet For personal use only 20
Slide 21: Value Addition in V-electrolyte
Value Addition in V-electrolyte Vanadium Electrolyte Production at the source de-risks and adds options For personal use only • Vanadium electrolyte is battery “fuel” • Mild acid solution of V2O5 with all oxidation states available for electron transfer. • Can be produced in stand-alone plant or as
Slide 22: Gabanintha Concept Study
Gabanintha Concept Study Updated Concept Engineering Study supports move forward For personal use only MONTH PROJECT DESCRIPTION Oct Nov Dec Jan Feb Mar Apr May Jun Jul 16 16 16 17 17 17 17 17 17 17 Resource Upgrade Mine Design Metallurgical Test Program Water Supply & Hydrology Studies Environmenta
Slide 23: Vanadium in Energy Storage
For personal use only Vanadium in Energy Storage 23
Slide 24: Vanadium in Energy Storage
Vanadium in Energy Storage Unique characteristics of Vanadium Redox Batteries (VRBs) For personal use only • Flow battery technology well established and at commercial deployment status • VRBs provide a way to store and re-supply renewable energy. Their very high capacity is ideal for large-scale en
Slide 25: Defining the space for flow battery technology
Vanadium in Energy Storage For personal use only Defining the space for flow battery technology Vanadium Flow Batteries are Energy Batteries that provide a unique ability to significantly time-shift very large amounts of previously generated energy. Source: GILDEMEISTER Energy Storage 25
Slide 26: Vanadium vs Lithium: Key Comparisons
Vanadium vs Lithium : Key Comparisons For personal use only Vanadium Flow Battery Lithium (Li-ion) Energy Battery – Store large amounts of Power Battery – ideal for shorter term high energy for later use power application Energy stored in electrolyte tanks All energy stored in cell Stable – non-flam
Slide 27: Redox Battery Market Beckons in Australia
Redox Battery Market Beckons in Australia Can the VRB be the ultimate grid energy storage solution for For personal use only Australia? • Rising power costs: VRB can reduce power bills by peak off-peak shifting and demand management • Australia has world’s most extended networks: Many fringe-of-grid
Slide 28: First CellCube Installation Completed
First CellCube Installation Completed Rural Site to benefit from Solar PV plus CellCube to shift to 90% For personal use only renewable energy self consumption. First Opening into large Australian Market 28
Slide 29: Key Partnerships in Place to Grow Strategy
Key Partnerships in Place to Grow Strategy AVL is on track to achieving vanadium storage market objectives with For personal use only excellent market and technology companies • GILDEMEISTER energy • Sun Connect is an Australia-wide • C-Tech Innovation is a UK research storage GmbH developed the com
Slide 30: Australian Vanadium: Highlights
Australian Vanadium: An active company advancing a unique integration strategy for vanadium For personal use only Highlights • Quality, grade and tonnage of Gabanintha resource moving towards project development. • Detailed concept engineering study shows outstanding results to support project advan
Slide 31: Vincent Algar, Managing Director
Vincent Algar, Managing Director Telephone: +61 (8) 9228 3333 For personal use only Email: info@australianvanadium.com.au Website: australianvanadium.com.au Office Location: 129 Edward Street, Perth Western Australia 6000 31