Australian Vanadium Limited · ASX:AVL
Australian Vanadium — Shareholder Meeting (November 2020)
43 slides from Australian Vanadium's shareholder meeting presentation, Nov 25, 2020
Slide 1: AGM Presentation
For personal use only AGM Presentation 25th November 2020 ASX: AVL
Slide 2: Disclaimer
For personal use only Disclaimer The views expressed in this presentation contain information derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. Competent Person
Slide 3: Overview – Corporate
For personal use only Overview Corporate
Slide 4: Corporate Overview
For personal use only Corporate Overview ‣ Strong technical and commercial team Australian Vanadium Limited ‣ High quality deposit (ASX: AVL) is an emerging ‣ Building ability to deliver through all vanadium price cycles vanadium producer ‣ Moving directly from completed PFS to BFS ‣ Federal Major P
Slide 5: Corporate Overview – Key Statistics
Corporate Overview KEY STATISTICS (24/11/20) For personal use only Ordinary Shares on Issue 2.85b Share Price A$0.013 Average Daily Traded 5,104,912 Volume Market Cap (Undiluted) A$37m Cash ~A$8 Shareholders 7,181 SHAREHOLDER SPLIT MAJOR SHAREHOLDERS 1 JP Morgan Nominees Australia Pty Ltd Remaining
Slide 6: AVL provides a globally unique investment opportunity
AVL provides a globally unique For personal use only investment opportunity in a key critical and battery metal “ AVL is developing one of the highest-grade vanadium projects currently underway in the world. Our aim is to become a low-cost producer,“ able to withstand long-term commodity price cycle
Slide 7: Overview
Overview High quality vanadium deposit For personal use only ‣ Vanadium titanium magnetite (VTM) with massive high-grade zone 87.9Mt at 1.06% V2O5 Feasibility study status ‣ Detailed Pre-Feasibility study update nearing completion based on two site layout ‣ Feasibility studies proceeding direct to b
Slide 8: Experienced Team
Corporate Overview Experienced Team For personal use only Vincent Algar Cliff Lawrenson Daniel Harris Managing Director Non-Executive Director Technical Director Geologist with over 25 years’ experience in the Over 10 years experience chairing public and Over 40 years of global vanadium experience m
Slide 9: Markets – Vanadium
For personal use only Markets Vanadium
Slide 10: Vanadium Markets
For personal use only Vanadium Markets PRIMARY EMERGING ADDITIONAL Steel Energy Storage Ti and Chemical Accounts for 90% of current global Accounts for 2% of current global 4% of vanadium consumption each, with vanadium consumption. vanadium consumption, with significant significant potential for gr
Slide 11: Sustainability
Sustainability Steel For personal use only Using vanadium microalloyed steel can result in a reduction of the total global carbon footprint by as much as 0.385%* due to: • Increased strength of steel resulting in less steel required • Less steel required means less manufacturing of steel, with relat
Slide 12: Vanadium Markets: Growth in Global Consumption
Vanadium Markets Growth in Global Consumption For personal use only Total expected vanadium Annual global consumption in 2020 is consumption predicted 104,000 to grow to Mt (V metal equivalent) >135,000 Mt by 2025 Demand for vanadium in AVL’s current projected batteries could grow to production is 2
Slide 13: Vanadium Markets: Vanadium Price
Vanadium Markets Vanadium Price For personal use only Source: Metals Bulletin publication Long-Term Price Vanadium Market Analysis Prices Negotiated Privately Long-term average price for commodity grade V2O5 is ‣ According to respected market commentator Vanadium doesn’t trade on the open market - s
Slide 14: The Australian Vanadium Project
For personal use only The Australian Vanadium Project
Slide 15: PFS Project Metrics
The Australian Vanadium Project PFS Project Metrics* For personal use only TOTAL RESOURCE HIGH-GRADE ZONE QUALITY 208 Mt @ 0.74% V2O5 87.9 Mt @ 1.06% V2O5 RESOURCE OPEX CAPEX LOW OPEX AND US$4.15/lb V2O5 US$354M CAPEX INITIAL MINE LIFE V2O5 PRODUCTION RESOURCE LONG MINE LIFE 17 years 22.5 Mlbs per a
Slide 16: Project Location
For personal use only Global Tier 1 Mining Location in Western Australia Post PFS study considering unique coastal vanadium processing of vanadium Access to globally competitive natural gas supply The Australia Vanadium Project Project Location 16
Slide 17: Resource Summary
The Australian Vanadium Project Resource Summary The Australian Vanadium Project For personal use only ‣ Located in Western Australia, approximately 43kms south of mining town Meekatharra. ‣ Consists of 11 tenements covering 260km2 held 100% by AVL. ‣ Mining Lease granted. ‣ High-grade, Bushveld-typ
Slide 18: Resource Total Magnetic Intensity
The Australian Vanadium Project Resource Total Magnetic Intensity For personal use only 18
Slide 19: Pit, Beneficiation and Processing Plant
The Australian Vanadium Project Pit, Beneficiation and Processing Plant For personal use only 19
Slide 20: The AVL Innovation
For personal use only The AVL Innovation
Slide 21: AVL's Innovative Approach
The AVL Innovation AVL’s Innovative Approach For personal use only CMB – Crushing Milling & Beneficiation Processing Plant ‣ Extensive pilot study work completed on 20t of ‣ Extraction rate significantly improved through roast-leach representative drill core process innovation: ‣ Unique high vanadiu
Slide 22: Innovative Proposed Project Layout
The AVL Innovation Innovative Proposed Project Layout Coastal Processing For personal use only BFS focused on processing plant near coast offering significant opportunities. ‣ Proximity to gas pipeline infrastructure and associated low domestic gas prices. ‣ Ability to sell iron-titanium coproduct (
Slide 23: Hydrogen and renewable energy strategy
The AVL Innovation Hydrogen and renewable energy strategy For personal use only Hydrogen strategy • Use of green hydrogen in ore reduction process. • Offtake of ammonia from green hydrogen production for use in the final vanadium precipitation step of processing. • Introducing green hydrogen into th
Slide 24: Federal and State Government Support
The Australian Vanadium Project Federal and State Government Support For personal use only Major Project Status Lead Agency Status The Project has been awarded Major Project Status by ‣ The Project was awarded Lead Agency Status by the Federal Government in recognition of its national the Western Au
Slide 25: Broader State Economic Impact Analysis
The Australian Vanadium Project Broader State Economic Impact Analysis For personal use only Mid-West region of Western Australia Meekatharra Employment ‣ AVL aims to ensure that the community of Meekatharra is offered job opportunities on site Opportunities where appropriate. ‣ The company provides
Slide 26: What makes AVL unique?
What makes AVL unique? For personal use only Developing efficient process for producing high- The superior geology of the Australian Vanadium purity battery, chemical and master alloy grade Project deposit material Determination to deliver thorough studies to AVL’s thorough understanding of the geo-
Slide 27: Key Objectives to July 2021
Key Objectives to July 2021 For personal use only Offtake Finance Environmental Agreements Approval Steel markets account for 90% of Maintain strong financial position Submission of environmental approval current global vanadium consumption Qualification with financiers for Project for Mine and CMB
Slide 28: Project Summary
The Australian Vanadium Project Project Summary For personal use only Completed Ongoing Priorities Planned ✓ Exploration success – large high ‣ Completion of large-scale downstream ‣ BFS completion quality VTM resource processing pilot program and definitive ‣ Key funding partner selection and ✓ Res
Slide 29: Updated Resource Table
The Australian Vanadium Project Updated Resource Table For personal use only Material JORC Resource Class Million Tonnes V2O5 % Fe % TiO2 % SiO2 % Al2O3 % LOI % High Grade Measured 10.1 1.14 43.9 13.0 9.2 7.5 3.9 Indicated 25.1 1.10 45.4 12.5 8.5 6.5 2.9 Inferred 52.7 1.04 44.6 11.9 9.4 6.9 3.3 Subt
Slide 30: VSUN Energy
For personal use only VSUN Energy
Slide 31: A Renewable Energy Company
VSUN Energy A Renewable Energy Company For personal use only About VSUN Energy ‣ VSUN Energy is a renewable energy company focused on sale of vanadium redox flow batteries (VRFBs) for energy storage. ‣ VSUN Energy is AVL’s fully owned subsidiary, launched in 2016 to grow the VRFB market in Australia
Slide 32: Why use the VRFB for energy storage?
VSUN Energy Why use the VRFB for energy storage? For personal use only ‣ An energy battery, able to store large amounts of energy for later use ‣ Easy to scale by adding modules or introducing larger electrolyte tanks ‣ Lifespan of over 20 years with no degradation in performance over time and unlim
Slide 33: Recent Sales and Available Products
VSUN Energy Recent Sales and Available Products For personal use only Recent Sales ‣ 90kW/320kWh VRFB for a dairy in Meredith, Victoria. . ‣ 20kW/80kWh VRFB plus solar energy storage system for an orchard in Pakenham, Victoria. ‣ 5kW/30kWh standalone power system for an off-grid residential client i
Slide 34: Downstream revenue opportunities for AVL
VSUN Energy Downstream revenue opportunities for AVL For personal use only Vanadium Electrolyte Vanadium electrolyte (produced from high purity vanadium) is in short supply ‣ Low levels of investment in refining V2O5 and electrolyte production ‣ Investment needed in VRFB market development and elect
Slide 35: Coates Project
For personal use only Coates Project
Slide 36: Coates Mafic Complex
Coates Project Coates Mafic Complex For personal use only ‣ Coates Mafic Complex is located approx. 29 km SE of the recent Ni-Cu-PGE Julimar Project discovery by Chalice Gold Mines (ASX: CHN) in a comparable rock sequence. ‣ Within AVL tenure, the mafic complex was explored in the 1960s and 70s for
Slide 37: PGE Geochemistry
Coates Project PGE Geochemistry For personal use only 37
Slide 38: Historical Drill Dataset
Coates Project Historical Drill Dataset For personal use only ‣ Garrick Agnew Pty Ltd and Mt Dempster Mining Pty Ltd completed 385 percussion and diamond holes for nearly 18,000 metres of drilling during 1970 – 1975. ‣ Holes were assayed for select major elements. Sulphides were noted by the core lo
Slide 39: Historical Drill Dataset
Coates Project Historical Drill Dataset For personal use only 39
Slide 40: Historical Drill Dataset
Coates Project Historical Drill Dataset For personal use only 40
Slide 41: Micro XRF Scans – CRD019
Coates Project Micro XRF Scans – CRD019 For personal use only ‣ Micro XRF scanning at Portable Spectral Services in West Perth was completed on three pieces of core from CRD019. ‣ The 100 micron (µm) scans (human hair = 80 µm) identified a more mafic phase of the gabbro (mela- gabbro) that contains
Slide 42: Micro XRF Scans – CRD019
Coates Project Micro XRF Scans – CRD019 For personal use only ‣ 4 µm scans on two copper bearing sulphides was completed, confirming the presence of chalcopyrite within pyrrhotite crystals. ‣ Elemental mapping and interpretation shows the surrounding minerals are amphibole with relict pyroxene centr
Slide 43: Contact AVL
Contact AVL For personal use only P +61 (08) 9321 5594 E info@australianvanadium.com.au Level 1, 85 Havelock Street West Perth, Western Australia 6005 Australian Vanadium Limited | ASX: AVL australianvanadium.com.au 43
Australian Vanadium — Shareholder Meeting (November 2020) on 6ix