Tmc The Metals Company Inc. · NASDAQ:TMC
Tmc The Metals — Q4 2024 Earnings Presentation
42 slides from Tmc The Metals's earnings presentation, Mar 27, 2025
Slide 1: Unlocking the World's Largest Untapped Source of Critical Metals
The Metals Company (Nasdaq: TMC) – Unlocking the World’s Largest Untapped Source of Critical Metals for Infrastructure, Defense and Energy March 27, 2025
Slide 2: Forward looking statements
2 Nasdaq: TMC Forward looking statements. This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that relate to future events, TMC the metals company Inc.
Slide 3: First principles: get critical minerals from areas with least life
First principles: get critical minerals from the areas of the planet with the least life, rather than the most life.
Slide 4: Why nodules?
4 Why nodules? Polymetallic Far offshore Very deep High grades of four critical Far away from people, The deeper you go, metals: nickel, copper, cobalt no physical impact on the less life you will find. and manganese. communities. Unattached Portable No tailings, near No overburden to remove, no Onc
Slide 5: NOAA reported environmental impacts of nodule collection are minimal
5 Nasdaq: TMC Based upon impact studies beginning in the 1970s, NOAA reported that environmental impacts of nodule collection are minimal, pending further in-field trials. - The National Oceanic and Atmospheric Administration (NOAA) reported to Congress in 1995: the “1975-80 DOMES project has basica
Slide 6: Groundbreaking milestones since 2011, but one key hurdle remained
6 Nasdaq: TMC We have achieved groundbreaking milestones since inception in 2011, materially de-risking execution....but one key hurdle has remained. One key milestone Key milestones achieved since 2011: has remained outside our control: Two Resource Statements, 1.6 Billion Tonnes of Nodules The ISA
Slide 7: Another path forward has emerged
7 Nasdaq: TMC Another path forward has emerged, and we are going to take it. Our subsidiary, The Metals Company USA LLC, is filing applications in Q2 2025 that could allow us to begin production in international waters under the existing U.S. seabed Mining Code.
Slide 8: TMC USA filing applications for exploration and commercial recovery licenses
8 Nasdaq: TMC TMC USA is filing applications for exploration and commercial recovery licenses in the high seas, to be reviewed by NOAA under the existing U.S. seabed mining code. - TMC management and outside counsel have conducted thorough legal diligence on the Deep Seabed Hard Mineral Resources Ac
Slide 9: Agenda
9 Nasdaq: TMC Agenda. ISA regulatory update 10 Geopolitical backdrop 12 U.S. opportunity in seafloor resources 14 Overview of U.S. seabed mining code in international waters 17 Environmental impact assessment through NOAA 19 Questions and answers on TMC applications 26 Financial highlights 28 Append
Slide 10: March 2025 ISA session: slow progress on Mining Code
10 Nasdaq: TMC March 2025 ISA session: slow progress on Mining Code, and no agreement on NORI application review process. - Nauru’s proposed agenda item, that sought to develop a detailed guideline for the review of an exploitation contract application, was strongly opposed by Chile. There is unlike
Slide 11: Why has the ISA Mining Code been so difficult?
11 Nasdaq: TMC Why has the ISA Mining Code been so difficult? Negotiations of complex international instruments Years to adoption ISA Nodule Exploration Regs* Convention on Biological Diversity (CBD) Paris Agreement The Arms Trade Treaty (ATT) The Cartagena Protocol on Biosafety High Seas Treaty (BB
Slide 12: China is using these delays to its advantage
12 Nasdaq: TMC Meanwhile, China is using these delays to their advantage...altering geopolitics in the Pacific and spurring action in the U.S. and beyond. 2001-18 2019 Apr 2024 Jul 2024 Feb/Mar 2025 Launch of Sanya Deep Sea China Minmetals and Beijing Industrial Innovation China signs agreement with
Slide 13: Top industrial economies announced key actions on seafloor resources
13 Nasdaq: TMC The world’s top industrial economies announced key actions in the last year on seafloor resources, potentially also growing the addressable market for services business. India has submitted two ISA applications for seabed mineral exploration, and recently conducted pilot technology tr
Slide 14: Why is the U.S. interested in seafloor resources?
14 Nasdaq: TMC Why is the U.S. so interested in seafloor resources? Because critical minerals are the missing ingredient for re-industrialization… United States Extraction – top 3 countries China Processing – top 3 countries Share in total production, 20231 Share in total production, 20231 Energy Oi
Slide 15: A billion tonnes of nodules would be transformational for the U.S.
15 Nasdaq: TMC …and access to a billion tonnes of nodules would be transformational for the U.S. across several metals deemed critical by USGS. Number of years of current U.S. consumption that could be supplied by a billion tonnes of nodules 456 165 81 4 years years years years 25 27 28 29 Mn Mangan
Slide 16: U.S. companies and NOAA were nodule pioneers in the 1970s
16 Nasdaq: TMC U.S. companies and government agencies such as NOAA were nodule pioneers beginning in the 1970s. But while 168 nations ceded control of seabed mining in international waters to the ISA, the U.S. did not. US Government Legislation: Congress adopted the Deep Seabed Hard Mineral Resource
Slide 17: U.S. seabed Mining Code allows exploration and commercial production
17 Nasdaq: TMC Instead, the U.S. developed a robust seabed Mining Code allowing exploration and commercial production in international waters. Deep Seabed Hard Mineral Resources Act (DSHMRA 1980) and NOAA’s implementing regulations DSHMRA was designed to allow U.S. citizens to engage in the explorat
Slide 18: Regulatory path can be unlocked by the existing U.S. Mining Code
18 Nasdaq: TMC We believe our regulatory path can finally be unlocked by using the existing U.S. seabed Mining Code for the high seas, and legal experts agree. [Watch the Video] “The Deep Seabed Hard Mineral Resources Act was legislation that Congress passed and the president signed at or around the
Slide 19: USA vs. ISA: comparison of seabed mining regulations
19 Nasdaq: TMC USA vs. ISA: comparison of seabed mining regulations. REGULATOR International Seabed Authority (ISA) National Oceanic & Atmospheric Administration (NOAA - lead agency) MINING CODE UNCLOS 1982 >> DSHMRA 1980 Implementation Agreement, 1994 Exploration Regulations, 2000 NOAA implementing
Slide 20: Why does U.S. approach environmental permitting differently?
20 Nasdaq: TMC Why does U.S. approach environmental permitting differently? Conflict of Interest Prevention Public Trust and Transparency By having NOAA or a third-party contracted by NOAA This dual approach enhances public trust in the process, prepare the site-specific EIS, NOAA ensures that the a
Slide 21: Eight seafloor disturbance experiments show likely ecosystem recovery
21 Nasdaq: TMC Eight seafloor disturbance experiments by NOAA and leading research institutions shows likely recovery of ecosystem within 50 years. DISTURBANCE EXPERIMENTS Disturbance and Recolonization Experiment Disturbance experiments by leading international research (DISCOL) institutions (1991-
Slide 22: 2023 revisit of 1979 mining test site found limited plume impacts
22 Nasdaq: TMC A 2023 revisit of the 1979 mining test site found sediment plume impacts were limited…over 40 years later, we found the same thing. 1979 2022 Integrated Prototype Integrated Pilot Collector Test Collector Test Who: OMCO Who: TMC / NORI Where: CCZ Where: CCZ Collection tech: Tines Coll
Slide 23: A tale of two tracks: ecosystem recovery
23 A tale of two tracks: ecosystem recovery measured after 40+ years but could be faster with our technology. Archimedes-screw Added buoyancy and 80cm drivetrain results in deep furrows and significant 3cm low-impact Coandǎ nozzles reduce depth of sediment depth of sediment sediment disturbance dept
Slide 24: EIS based on one of the largest deep-sea datasets ever compiled
24 Nasdaq: TMC Environmental Impact Statement (EIS): based on one of the largest deep-sea datasets ever compiled. Campaign 4D Campaign 5C Campaign 7C Campaign 5A Campaign 5D Campaign 7B 1&2 Campaign 4E Campaign 5E Campaign 8A Campaign 5B Campaign 7A 1&2 Campaign 8B
Slide 25: Our EIS addresses six primary concerns
25 Our EIS is addressing six primary concerns. Results are encouraging on every one of them. Seafloor plumes Midwater plumes Carbon Concern: “Seafloor plumes could travel Concern: “Midwater plumes could travel Concern: “Planet’s biggest carbon sink 10,000s km2 beyond mining sites.” over a 1,000 km a
Slide 26: Answers to questions on U.S. seabed Mining Code under DSHMRA
26 Nasdaq: TMC Answers to questions on U.S. seabed Mining Code under DSHMRA. Question Answer Does TMC have to wait for an exploration permit to be granted by NOAA We believe that both can be pursued concurrently. Further, before pursuing a commercial recovery permit? based on discussions with the U.
Slide 27: What does this mean for NORI, TOML and our sponsoring states?
27 Nasdaq: TMC What does this mean for NORI, TOML and our sponsoring states? Question Answer Have you consulted on this application strategy with your sponsoring Yes. states? Might there be overlap on ground in a DSHMRA application with NORI The scope of the upcoming application(s) is under careful
Slide 28: Income statement highlights: three months ended Dec. 31, 2024
28 Nasdaq: TMC Income statement highlights: three months ended Dec. 31, 2024. ($mm) Q4 2024 Q4 2023 Change Exploration and evaluation expenses 8.3 26.7 (18.4) General and administrative expenses 8.1 6.6 1.5 Operating loss 16.4 33.3 (16.9) Equity-accounted investment loss - 0.1 (0.1) Loss on terminat
Slide 29: Cash flow highlights: three months ended Dec. 31, 2024
29 Nasdaq: TMC Cash flow highlights: three months ended Dec. 31, 2024. ($mm) Q4 2024 Q4 2023 Change Cash used in operating activities 13.8 15.2 (1.4) Capital expenditures 0.1 0.4 (0.3) Acquisition of equipment 0.1 0.4 (0.3) Free cash outflow 13.9 15.6 (1.7)
Slide 30: Income statement highlights: year ended Dec. 31, 2024
30 Nasdaq: TMC Income statement highlights: year ended Dec. 31, 2024. ($mm) 2024 2023 Change Exploration and evaluation expenses 50.6 49.9 0.7 General and administrative expenses 30.7 22.5 8.2 Operating loss 81.3 72.4 8.9 Equity-accounted investment loss 0.2 0.6 (0.4) Loss on termination of contract
Slide 31: Cash flow highlights: year ended Dec. 31, 2024
31 Nasdaq: TMC Cash flow highlights: year ended Dec. 31, 2024. ($mm) 2024 2023 Change Cash used in operating activities 43.5 59.6 (16.1) Capital expenditures 0.5 0.6 (0.1) Acquisition of equipment 0.5 0.6 (0.1) Free cash outflow 44.0 60.2 (16.2)
Slide 32: Balance sheet highlights: as at Dec. 31, 2024
32 Nasdaq: TMC Balance sheet highlights: as at Dec. 31, 2024. Dec 31, 2024 Dec 31, 2023 Change Total Assets ($mm) 63.0 68.9 (5.9) Cash 3.5 6.8 (3.3) Accounts receivable and prepaid expenses 1.8 2.0 (0.2) Exploration contracts 43.0 43.2 (0.2) Right of use asset 3.8 5.7 (1.9) Equipment 0.8 1.1 (0.3) S
Slide 33: TMC liquidity of $62 million at Dec. 31, 2024
33 Nasdaq: TMC TMC liquidity (cash plus borrowing capacity) of $62 million at Dec. 31, 2024, or $48 million pro forma for credit facility amendments and full receipt of RDO proceeds in Q1 2025. USD Millions 200.0 - Increased principal amount of our unsecured ERAS/Barron facility credit facility by $
Slide 34: Appendix
APPENDIX
Slide 35: Non-GAAP reconciliation: Q4 2024 free cash outflow
35 Nasdaq: TMC Non-GAAP reconciliation: Q4 2024 free cash outflow. Non-GAAP Financial Measures – Free Cash Outflow Free cash outflow is a non-GAAP financial measure. Free cash outflow is used in addition to and in conjunction with results presented in accordance with United States Generally Accepted
Slide 36: Non-GAAP reconciliation: full year 2024 free cash outflow
36 Nasdaq: TMC Non-GAAP reconciliation: full year 2024 free cash outflow. Non-GAAP Financial Measures – Free Cash Outflow Free cash outflow is a non-GAAP financial measure. Free cash outflow is used in addition to and in conjunction with results presented in accordance with United States Generally A
Slide 37: Why explore the seafloor? Most nickel, cobalt and manganese is there
37 Nasdaq: TMC Why explore the seafloor? That’s where most of the planet’s nickel, cobalt & manganese is. Nickel Cobalt Manganese Million metric tons Million metric tons Million metric tons 94 306 7,706 94 Indonesia - 21 Australia - 20 1,300 Russia - 7 Brazil - 16 DRC 3.6 Australia 230 RSA 520 Cuba
Slide 38: Ranked #1 and #2 largest undeveloped nickel projects
38 Nasdaq: TMC TMC: ranked in 2022 and 2023 as #1 and #2 largest undeveloped nickel projects on the planet1; the high- grade alternative to Russian- and Chinese-funded supply. World’s largest nickel projects – 2023 World’s largest nickel operations ranked by resource Total est. resources (inferred,
Slide 39: Technical resource statements issued on NORI and TOML
39 Nasdaq: TMC TMC: technical resource statements issued on NORI + TOML, with an in situ estimated resource of Ni, Cu, Co and Mn sufficient to electrify the entire U.S. passenger car fleet1. TMC exploration contract area NORI2 TOML3 Sponsoring Republic of Kingdom of State Nauru Tonga Exploration are
Slide 40: Nickel from NORI-D could have dramatically lower lifecycle impacts
40 Nasdaq: TMC Benchmark: Nickel from NORI-D could have dramatically lower lifecycle impacts including substantially lower CO2e emissions.1 Global Warming Potential Kilogram of CO2e emissions per kilogram of nickel in nickel sulfate Lowest impact value 102.0 64.4 29.2 28.5 19.2 13.9 8.0 6.2 Laterite
Slide 41: 3,000 wet tonnes of nodules in the hold of the Hidden Gem
3,000 wet tonnes of polymetallic nodules in the hold of the Hidden Gem vessel during the pilot collection system test in Q4 2022.
Slide 42: Thank you
Investor Contact investors@metals.co Media Contact Thank you. media@metals.co Follow us
TMC the metals company — Q4 2024 Earnings Presentation on 6ix