Avalon Advanced Materials Inc. · TSX:AVL
Avalon Advanced Materials — Water Tower Research Insights Conference 2026
28 slides from Avalon Advanced Materials's conference presentation, Apr 14, 2026
Slide 1: Advancing a Resilient North American Critical Minerals Supply Chain
Advancing a Resilient North American Critical Minerals Supply Chain Water Tower Research Insights Conference April 2026
Slide 2: Cautionary Statement
Cautionary Statement FORWARD-LOOKING STATEMENT This presentation contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, information with that are not based on historical fact contained in t
Slide 3: Company Overview
Company Overview Avalon Advanced Materials Inc. is a Canadian critical minerals company advancing the supply of materials Nechalacho REE & Zirconium Project essential for Canada’s future. Aims to provide a stable supply of zirconium and rare-earth minerals, supporting advanced technological industri
Slide 4: Asset Locations
Asset Locations Office Headquarters Toronto, ON Lake Superior Lithium Inc. Thunder Bay, ON Lilypad Cesium Project Fort Hope, ON Nechalacho Project Thor Lake, NWT East Kemptville Yarmouth, NS Warren Township Project Timmins, ON 4 TSX:AVL OTCQB:AVLNF FRA:OU5A
Slide 5: Asset Overview
Asset Overview Nechalacho Project Lake Superior Lithium Inc. Divestment Opportunities Location: Location: Lilypad Cesium Project – Fort Hope, Ontario • Thor Lake, Northwest Territories • Thunder Bay, Ontario Mineralization: Stage: Stage: • Cesium • DFS 2013 Completed • PEA September 2024 Stage: • Af
Slide 6: Investment Thesis
UNLOCKING THE POTENTIAL OF AN ASSET-RICH, STRATEGIC CRITICAL MINERALS PORTFOLIO Investment Thesis Multiple Value Creation Levers Unique Diverse Portfolio High Demand Markets • Management reset • Nechalacho REE DFS (2013) - • Strategically positioned in • Board refresh: ~60% new After-Tax NPV @ 8%: $
Slide 7: Levers to Close Valuation Disconnect
Levers to Close Valuation Disconnect Secure Tactical Funding • Recent C$18.7M capital raise Advance Technical Studies • Initiated Nechalacho PEA; to be Governance Reset • Refresh 2013 Nechalacho DFS Management Reset followed by Feasibility Study. Senior leaders 4 of 7 directors joined since 2023, •
Slide 8: Recent Successful Equity Offering & JV Reorganization
Recent Successful Equity Offering & JV Reorganization: Funding Secured & Balance Sheet Strengthened – Catalyzing Next Phase of Value Creation Successful Recent ~C$19M Equity Offering Funding: JV Restructuring: Advancing Nechalacho by commencing PEA to modernize Exit of Separation Rapids JV and trans
Slide 9: Inflection Point: De-Risked, Focused, and Poised to Deliver
Inflection Point: De-Risked, Focused, and Poised to Deliver • Strong, Secular Growth Tailwinds: Rare Earths and Lithium • Advancing assets in two of the fastest-growing critical minerals—lithium and rare earths—projected to see sustained demand growth over the next decade. • Transformational Financi
Slide 10: Management Team
Management Team Scott Monteith, President & CEO Scott Monteith, CEO of Avalon since May 2023, is an experienced entrepreneur and founder of Monteco Ltd. Lorin Crenshaw, CFO Vienna Psihos, Dire ctor, P ublic Affa irs & Gove rnme nt Re la tions Mr. Crenshaw brings nearly 30 years of financial leadersh
Slide 11: Project Overview
NECHALACHO PROJECT Project Overview • Located at Thor Lake, Northwest Territories • Avalon retains 100% ownership of resources below 150 metres (Basal Zone) • An unrelated third party owns resources above 150 metres (Upper Zone) • Supports industries including nuclear, defense, and communications se
Slide 12: 2013 Feasibility Study: Basal Zone
NECHALACHO PROJECT 2013 Feasibility Study: Basal Zone Project Overview: 20-Year Mine Life Mining Operations: Optimization test work from 2013 to 2015: • Method: Underground drift and fill/long-hole stoping • SGS Canada conducted continuous piloting and supportive • Capacity: 2,000 tons per day (tpd)
Slide 13: Highest Grade & Among Most Advanced Development Paths in Peer Group
NECHALACHO PROJECT Highest Grade & Among Most Advanced Development Paths in Peer Group One of few projects to have achieved DFS-level — with unmatched quality (NdPr /DyTb intensity) Stage FS MRE P EA P EA MRE MRE P FS MRE MRE P rod. P FS Cons . FS Source: Company public filings, equity research As o
Slide 14: Lessons from China's Rare-Earth Playbook: 2005-2015
NECHALACHO PROJECT Lessons from China’s Rare-Earth Playbook: 2005-2015 Avalon’s Market Capitalization July 2010: China slashes its second-half REE export quota by ~72%, stoking tightness. 2013: Feasibility Study for Nechalacho completed and Sept 2010: REE shipments to Japan are halted amid a announc
Slide 15: Element Portfolio (18 Elements)
NECHALACHO PROJECT Element Portfolio (18 Elements) Heavy Rare Earth Elements: 71 64 65 66 67 68 69 70 71 39 Gd Tb Dy Ho Er Tm Yb 2 Lu Y Gadolinium Terbium Dysprosium Holmium Erbium Thulium Ytterbium Lutetium Yttrium Light Rare Earth Elements: 57 58 59 60 62 63 La Ce Pr Nd Sm Eu Lanthanum Cerium Pras
Slide 16: Critical Rare Earths in Technology
NECHALACHO PROJECT Critical Rare Earths in Technology • A single US F-35 Lightning II fighter jet contains approximately 920lbs of rare earth elements • Electric vehicles (EVs) contain as much as 1kg of rare earth elements • A single 3MW wind turbine can contain up to 2 tons of rare earth permanent
Slide 17: Project Overview
LAKE SUPERIOR LITHIUM PROJECT Project Overview • 100% wholly owned subsidiary • Strategically located in proximity of feed sources • Site is perfectly positioned to optimize supply chain efficiency • Close to all main infrastructure • Partnership with Metso Corp. to leverage sustainable processing t
Slide 18: Strategic Investment Overview
LAKE SUPERIOR LITHIUM PROJECT Strategic Investment Overview Strategic Location: Proximity to key markets and resources, supporting efficient supply chains Infrastructure Advantage: Robust infrastructure, including existing buildings, extensive rail connectivity, and a deep-water port Supporting Gove
Slide 19: PEA Financials (CAD $)
LAKE SUPERIOR LITHIUM PROJECT PEA Financials (CAD $) $35,360 30 Year Base Case LiOH $/t LiOH (USD $26,000/t LiOH) $4.1B Operating Life After-Tax NPV @ 8% Discount $1,360 Spodumene conc. $/t 2.5 Year (USD $1,000/t Spodumene @ 6%) Payback Period 48% 30,000 tpa After-Tax IRR $1.3B Annual LiOH productio
Slide 20: Avalon & Metso Corp. Partnership
LAKE SUPERIOR LITHIUM PROJECT Avalon & Metso Corp. Partnership Avalon has entered a partnership with Metso Corp. to leverage their groundbreaking sustainable technologies. Overview: • Metso is a comprehensive solution provider for major lithium operations and backed by the latest technologies and de
Slide 21: Phase 1 Production
LAKE SUPERIOR LITHIUM PROJECT Phase 1 Production Production Capacity: • The facility is designed to produce 30,000 tons per annum (tpa) of battery-grade lithium hydroxide monohydrate (LHM) Compact and Energy-Efficient Design: • Metso’s advanced technologies will facilitate the development of a lithi
Slide 22: The Phased Approach
LAKE SUPERIOR LITHIUM PROJECT The Phased Approach Office Building POTENTIAL EXPANSION Ce ll/Ca thode P roduction Ba tte ry Re cycling Fa cility Dock 11 17 11 PHASE 1 30k LiOH 2028 17 17 17 FROM 11 17 INTERNATIONAL MARKETS Thunder Bay PHASE 2 Property P rope rty Bounda Boundary ry 60k LiOH 2030 PHASE
Slide 23: Infrastructure
LAKE SUPERIOR LITHIUM PROJECT Infrastructure Fresh Water: Road Access: • Fresh water will be required for the process; a freshwater intake is envisioned • The site is within 4 km of the Trans-Canada Highway, allowing easy from Lake Superior transportation access Analcime Storage: Rail Infrastructure
Slide 24: From By-product To Breakthrough: Reimagining Analcime
LAKE SUPERIOR LITHIUM PROJECT From By-product To Breakthrough: Reimagining Analcime Spodumene What is Analcime? Analcime is a zeolite mineral composed of hydrated sodium aluminum silicate and is a by-product in lithium hydroxide conversion process. Potential Benefits: Enhanced Durability – Analcime
Slide 25: Lithium Demand
LAKE SUPERIOR LITHIUM PROJECT Lithium Demand Global lithium supply and demand Forecast Lithium Demand (MT, million) Global lithium demand 2035, mining supply 2025 and 2035, by country, Mt Lithium carbonate equivalent (LCE) 4.0 -40% 3.5 Global 3.0 RoW China 2.5 Chile Australia 2.0 31% 1.5 27% 27% 1.0
Slide 26: Inflection Point: De-Risked, Focused, and Poised to Deliver
Inflection Point: De-Risked, Focused, and Poised to Deliver • Strong, Secular Growth Tailwinds: Rare Earths and Lithium • Advancing assets in two of the fastest-growing critical minerals—lithium and rare earths—projected to see sustained demand growth over the next decade. • Transformational Financi
Slide 27: Board of Directors
Board of Directors Alan Ferry, Chair Mr. Ferry, with 28 years in mining finance, is Avalon's director since 2000, and chairs the Audit Committee. Scott Monteith, CEO, Director Timothy Haig, Director Scott Monteith, CEO of Avalon since May 2023, is an experienced A successful entrepreneur in renewabl
Slide 28: Capital Structure
Capital Structure OWNERSHIP STRUCTURE Description Value ( CAD) Ticker Symbol TSX: AVL 52 Week High/Low $0.135/0.02 Common Shares Outstanding 834.9M RSU & DSU 5.2M Stock options (additional shares if converted) 25.1M Warrants (additional shares if converted) 221.3M Fully Diluted Shares 1,086.4M Marke
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