Hpq Silicon Inc · TSXV:HPQ
Hpq Silicon — Investor Presentation (July 2024)
28 slides from Hpq Silicon's investor presentation, Jul 15, 2024
Slide 1: Green Engineered Silica and Silicon Materials Technology
GREEN ENGINEERED SILICA AND SILICON MATERIALS TECHNOLOGY
Slide 2: Disclaimers
DISCLAIMERS This presentation includes certain FORWARD-LOOKING STATEMENTS All statements (other than statements of historical fact included herein), including, without limitation, statements regarding future plans and objectives of the company, are forward-looking statements that involve various ris
Slide 3: HPQ Key Management & Directors
HPQ KEY MANAGEMENT & DIRECTORS Bernard J Tourillon, BAA. MBA CHAIRMAN, PRESIDENT, CEO AND DIRECTOR Over the last 35 years, Mr. Tourillon has held senior level executive positions with extensive finance, accounting, marketing, administration, and business development experiences in diverse industries
Slide 4: Executive Summary: Multitude of Everyday Uses Material With No Substitute
EXECUTIVE SUMMARY: MULTITUDE OF EVERYDAY USES MATERIAL WITH NO SUBSTITUTE Fumed Silica Silicon Metal (Si) Silicon Battery Materials Autonomous H2 Production Product: Specialized powder additive Product: Specialized metalloid used in Product: Engineered silicon oxide Product: Autonomous and on demand
Slide 5: Upcoming Catalysts / HPQ Business Strategy
UPCOMING CATALYSTS HPQ BUSINESS STRATEGY 01. GREEN FUMED SILICA INITIATIVE Centered on: • Developing multiple new scalable processes, perfect for customized solutions Ø Finalized pre-offtake agreement with Evonik Corporation ✓ • Processes with lower Capex and Opex and/or high margin potential Ø Star
Slide 6: Fumed Silica Market – HPQ Near Production Proposal
FUMED SILICA MARKET – HPQ NEAR PRODUCTION PROPOSAL Fumed Silica Market (%) by Industry • Fumed Silica is a specialized industrial powder with huge surface area Paint & Coating • Used as a thickener, anti-cake, anti-settling, and thixotropic (ketchup) agent Adhesive & Silants • Used in various indust
Slide 7: Conventional Fumed Silica Processes vs HPQ Silica Polvere Process
CONVENTIONAL FUMED SILICA PROCESSES: MULTI STEPS – CAPITAL INTENSIVE – LOW MARGIN – GENERATES TOXIC GAS – MASSIVE CO2 FOOTPRINT STEP 1 STEP 2 STEP 3 SILICON (Si) TO SILICON TETRACHLORIDE (SiCL4) QUARTZ (SiO2) TO SILICON (Si) SILICON TETRACHLORIDE (SiCL4) TO FUMED SILICA (SiO2) RAW SiCl4 SILICON 98.0
Slide 8: HPQ Polvere Fumed Silica Reactor (FSR): A Paradigm Shift in Fumed Silica
HPQ POLVERE FUMED SILICA REACTOR (FSR): A PARADIGM SHIFT IN FUMED SILICA HPQ POLVERE FSR: A LOW CAPEX AND OPEX PROCESS Commercialization strategy: commence with a 1,000 TPA Fumed Silica Reactor, scale up capacity at 1,000 TPY increments Internal scoping study, adjusted after PyroGenesis exercised it
Slide 9: Indicative Overview of Financial Potential of HPQ FSR Process
INDICATIVE OVERVIEW OF FINANCIAL POTENTIAL OF HPQ FSR PROCESS [1] 9 www.hpqsilicon.com
Slide 10: Fumed Silica Indicative Timeline: Fast Track to Commercialization
FUMED SILICA INDICATIVE TIMELINE: FAST TRACK TO COMMERCIALIZATION PROJECT 2024 2025 2026 2027 Engineering – FSR Pilot plant Fumed Silica production using the 50 TPY pilot plant FUMED SILICA Fumed Silica production Construction – testing & Engineering studies from our first of many 1,000 TPY REACTOR
Slide 11: The Beginning: PUREVAP QRR Silicon Metal in One Step
THE BEGINNING: PUREVAPTM QRR “Silicon Metal in one step” HISTORIC SUCCESS: • Successful scaling up production by 2,500X from PUREVAPTM Gen2 QRR. • Successful one-step production of Battery Grade Silicon (>99.9%, or 3N+) • Successful semi-continuous production and silicon metal pours • Success using
Slide 12: Silicon-Based Battery Anodes: A Huge Opportunity
SILICON-BASED BATTERY ANODES: A HUGE OPPORTUNITY § Rechargeable Battery and EV Demand is growing exponentially & Performance Improvements are Required Gravimetric Volumetric Capacity § Resulting battery raw material demand adds supply stress Capacity § Graphite: 10x 3,600 3x • Is the largest (by %)
Slide 13: HPQ Silicon – Novacium Engineering Silicon for Battery Anodes
HPQ SILICON – NOVACIUM ENGINEERING SILICON FOR BATTERY ANODES HPQ and Novacium are working on the manufacture of commercial “Novacium Engineered Silicon” - based anode materials SUCCESS TO DATE: • Manufacturing 18650 industrial batteries using graphite and Novacium Engineered Silicon material for an
Slide 14: Silicon in Battery Anodes: Positive Test Results Continue
SILICON IN BATTERY ANODES: POSITIVE TEST RESULTS CONTINUE HPQ and Novacium are rapidly developing cutting-edge rechargeable batteries § Uses the industry standard 18650 battery format for rapid adaptation § Initial, non-optimized test results are exceeding expectations Table showing various 18650 ba
Slide 15: HPQ / Novacium Hydrogen Initiative
HPQ / NOVACIUM HYDROGEN INITIATIVE • HARNESSING HYDROGEN POTENTIAL WHILE ELIMINATING LIMITING FACTORS 15 www.hpqsilicon.com
Slide 16: HPQ / Novacium Hydrogen Initiative
HPQ / NOVACIUM HYDROGEN INITIATIVE Combustible First commercial Hydrogen prototype H2 Station : Will produce 11M3 9,5 kg/day 11 m3 of Hydrogen per (6 litres) (1 kg/day) day Water ( ) * By products That Hydrogen can be used to generate 33 KWhr (*) Flexible Water source, from: • Regular water 18 kg/da
Slide 17: HPQ Plan: Develop & Monetize New Green Silicon / Silica Technologies
HPQ PLAN: DEVELOP & MONETIZE NEW GREEN SILICON / SILICA TECHNOLOGIES HPQ has successfully scaled its QRR reactor, now focused on commercializing TWO disruptive initiatives: • Green Fumed Silica Manufacturing, in discussions with industry leaders for product development and commercialization • Green
Slide 18: Upcoming Catalysts / HPQ Capital Structure
UPCOMING HPQ CAPITAL STRUCTURE CATALYSTS Major Investors Basic Fully Diluted IQ (Investissement Québec) 8.7% 8.1% 01. GREEN FUMED SILICA INITIATIVE 6.3% 10.7% Management & Board Ø Finalized pre-offtake agreement with Evonik Corporation ✓ Strategic Investors 7.0% 6.1% Ø Start Producing Fumed Silica:
Slide 19: Management, Board & Others
MANAGEMENT, BOARD & OTHERS Management Consultants Bernard J. Tourillon, BAA, MBA Marcel Drapeau, BA, BSC. Comm, LLL Chairman, President, CEO and Director PyroGenesis Canada Inc Noelle Drapeau, LLL, MBA, PMP Karl Rheinberger and Ludmila Livertovsky Corporate Secretary and Director Transfer Agent Fran
Slide 20: Technical Appendix
TECHNICAL APPENDIX 20 www.hpqsilicon.com
Slide 21: HPQ Polvere Fumed Silica Milestones to Date
HPQ POLVERE FUMED SILICA MILESTONES TO DATE • Lab scale Fumed Silica Reactor (“FSR”) produced Commercial grade fumed silica in 2023 • HPQ Polvere has signed NDAs with three (3) major Fumed Silica participants • Samples have been sent for analysis of commercial potential and feedback is very positive
Slide 22: Silicon in Battery Anodes: Helping Accelerate the EV Transition
SILICON IN BATTERY ANODES: HELPING ACCELERATE THE EV TRANSITION [1] Combining HPQ's PUREVAPTM QRR and Novacium's proprietary expertise, HPQ is well- positioned to seize this once-in-a-lifetime opportunity 22 www.hpqsilicon.com
Slide 23: HPQ / Novacium Battery Initiative vs Competition
HPQ / NOVACIUM BATTERY INITIATIVE VS COMPETITION CONVENTIONAL CARBOTHERMIC PROCESS SILICON TO SILANE GAS PROCESS QUARTZ TO SILICON RAW SiCl4 HSiCl3 Refined 3 times SiH4 SILICON 98.0% to 99.5% Si 2N Si Forms add To Get H2 99.5% SiO2 + Low Ash Electric Arc Furnace Energy Consumption: Dissolved in Sili
Slide 24: References & Sources Appendix
REFERENCES & SOURCES APPENDIX 24 www.hpqsilicon.com
Slide 25: References and Sources
REFERENCES AND SOURCES In the following pages, you will find supplementary information, references and/or the sources of key points made in the presentation Page 4 [1] GML, Global Market Insight. Fumed Silica Market - By Product (Hydrophilic, Hydrophobic), By Application (Pharmaceutical, Beauty & Pe
Slide 26: References and Sources
REFERENCES AND SOURCES In the following pages, you will find supplementary information, references and/or the sources of key points made in the presentation Page 7 (Continued) [4] Management has calculated the EBITDA margins for the Fumed Silica Reactor (FSR) based on data derived from third party s
Slide 27: References and Sources
REFERENCES AND SOURCES In the following pages, you will find supplementary information, references and/or the sources of key points made in the presentation Page 10 [1] Management has prepared the ”Indicative overview of Financial potential of HPQ FSR Process” based on data derived from PyroGenesis
Slide 28: References and Sources
REFERENCES AND SOURCES In the following pages, you will find supplementary information, references and/or the sources of key points made in the presentation Page 17 continued [3] Data compiled from information found in the presentations made by CRU International Limited (“CRU”), a world-leading meta