Slide 1: QEM Limited Innovative Energy Solutions
QEM Limited Innovative Energy Solutions ASX: QEM INVESTOR PRESENTATION August 2019
Slide 2: Innovative Energy Solutions
Innovative Energy Solutions Julia Creek Project Transport Fuels Vanadium Pentoxide QEM aims to provide innovative QEM also aims to become a and environmentally friendly leading supplier of high quality solutions that are important to vanadium pentoxide to both the our energy future. The Company nasc
Slide 3: Key Figures
Key Figures Over Up to Up to 1.7Bt V2O5 @ Ave 0.34% 0.74% V2O5 In High Grade Intercepts 3x Beneficiation Upgrade 589 MMbl @ Ave 64L/t 4
Slide 4: Disclaimer
Disclaimer QEM Limited ACN 167 966 770 (QEM or the Company) is the issuer of this presentation. The issue of this presentation is intended only for the person or entity to which it has been transmitted. Limited Responsibility for Information This presentation contains forward-looking statements. Tho
Slide 5: Investment Highlights
Investment Highlights Unique World Class Resource Simple and Clean Structure Management that Delivers Global Vanadium Deficit Growth Focused 5
Slide 6: Globally Significant Resource
Globally Significant Resource Company ASX Code Project Name Location Resource Mt V205 % Resource Type V205 MT King River Copper KRC Speewah Project Wyndam Port, North West WA 4,712 Mt 0.30% Measured, Indicated, Inferred 14.10 Mt Horizon Minerals HRZ Richmond Project Richmond / Julia Creek, QLD 2,579
Slide 7: Capital Structure
Capital Structure ASX Symbol: QEM IPO Completed and Shares on Issue 100 million Listed on the ASX Market Cap (24 July 2019) $11m Share Price (24 July 2019) $0.11 Cash (as at 30 June 2019) $3.928m Liquid Major Shareholders Directors 26.50% Greenwich Global Pty Ltd 19.70% Alignment SkipTrak Pty Ltd 4.
Slide 8: The Team
The Team John Foley Daniel Harris David Fitch Scott Drelincourt 8
Slide 9: Julia Creek Project
Julia Creek Project Key Facts • Julia Creek Project comprises 4 exploration permits EPM25662, EPM25681, EPM26429 & EPM27057 • Advanced exploration stage and drilling demonstrates ore depth from 37m to 104m • Close to all infrastructure and services including road, rail, water, gas, telecommunication
Slide 10: Julia Creek Project Location
Julia Creek Project Location 108
Slide 11: Project Infrastructure
Project Infrastructure • A new plan, announced June 2019, included $80m towards reducing freight charges on the Mount Isa Line and $30m towards building a new container terminal at the Port of Townsville. 108
Slide 12: Julia Creek Resource Overview
Julia Creek Resource Overview Summary of Mineral Resources as at 31 May 2018 Insitu Resource Average V2O5 Mo Strat Unit Mass (Mt) Density Cu (ppm) Ni (ppm) Zn (ppm) Class Thickness (m) (wt%) (ppm) (gm/cc) CQL 811 3.39 2.12 0.38 242 247 226 1329 Inferred OSU 454 1.77 2.10 0.31 241 146 193 1221 OSL 44
Slide 13: Julia Creek Oil Yield
Julia Creek Oil Yield Source: Measured Group The estimation methodology used is deterministic. The estimation is based on grids constructed for unit structure, thickness and oil grade parameters 12
Slide 14: Petroteq Testwork
Petroteq Testwork • On 17 July 2019, QEM announced successful results using Petroteq Energy Inc’s technology, from Stage 2 test work carried out on the previous drill core sample. • The test work undertaken by independent lab PRI Asphalt Technologies Inc, provided strong results, with total oil reco
Slide 15: Project Milestones
Project Milestones • JORC (2012) Resource•Upgrade . to • Scoping Study for vanadium only completed 1,700Mt @ 0.34% V2O5 • Initial financial modelling complete, showing strong potential for economic viability • Daniel Harris joins Board of QEM • No Native Title as Non-Executive Director • Positive te
Slide 16: 2019 Strategy
2019 Strategy Stage 2 Exploration • Landowner engagement & • Increase resource size with inclusion of compensation agreements EPM27057. • 2D Seismic program • Upgrade resource from JORC Inferred to • Environmental mapping Indicated/Measured. infill drilling to increase resource • Processing studies
Slide 17: Fuel Shortage
Fuel Shortage • Australia is an island nation that depends heavily on imported fuel — and our stockpile is critically low. The Government's Australian Petroleum Statistics published in November 2018 said this would amount to 21 days of petrol for automobiles, 18 days of diesel and 20 days of aviatio
Slide 18: Uses of Vanadium
ENERGY STORAGE STEEL MANUFACTURING Uses of Vanadium Applications Of Vanadium AEROSPACE AUTOMOTIVE 176
Slide 19: Vanadium Outlook
Vanadium Outlook • Vanadium demand is conservatively forecasted to grow at a compound annual growth rate of 5.6%, reaching 133,000t in 2025(~202,000t V2O5 equivalent). • 30% p.a. Increase in Vanadium Consumption expected, resulting from new regulatory changes in China. (Source: China Iron & Steel Re
Slide 20: Renewable Energy Storage
Renewable Energy Storage Competitive Advantages: • Vanadium redox flow batteries (VRFB’s) are the most efficient battery technology for utility scale renewable energy storage, including wind and solar • Higher levels of safety & stability with proven, reliability, scalability & durability • Load lev
Slide 21: Construction
Construction • Vanadium plays an essential role in providing high strength, cost- effective solutions in the steel industry • Announced in February 2018, with implementation by the 1st of November 2018, China revised steel rebar standards to limit the use of inferior strength steels in its ever grow
Slide 22: Aerospace & Automotive
Aerospace & Automotive • Increased aircraft are required to service larger addressable air-travel market • Both Boeing & Airbus both forecast annual global air traffic growth between 2016 and 2035 of nearly 5%. A titanium alloy containing 4% vanadium and 6% aluminium (Ti6Al4V) has been used extensiv
Slide 23: Contact
Contact David Fitch Executive Director david@qldem.com.au +61 (0) 400 631 608 www.qldem.com.au Jane Morgan Investor Relations jm@janemorganmanagement.com.au +61 (0) 405 555 618 www.qldem.com.au