Hpq Silicon Inc · TSXV:HPQ
Hpq Silicon — HPQ Silicon Resources — H.C. Wainwright 23rd Annual Global Investment Conference (September 2021)
28 slides from Hpq Silicon's conference presentation, September 2021
Slide 1: Innovative Silicon Solutions
HPQ - SILICON R E S O U R C E S Innovative Silicon Solutions www.HPQSilicon.com
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
Slide 3: Why Silicon Innovation?
WHY SILICON INNOVATION? Silicon (Si) is the most abundant element in earth’s crust after oxygen, but like all other energy metals (lithium, graphite, cobalt, nickel, etc.) it does not exist in its pure state! Ø Expensive and energy intensive carbothermic process needed to extract it from Quartz (SiO
Slide 4: The Long-Term EV Megatrend Is Only Starting
THE LONG-TERM EV MEGATREND IS ONLY STARTING EV adoption and vehicle sales (1) Leading EV manufacturer plans – over $300 billion committed 7 80 EV 3% 11% 28% Number of EV models announced (2) penetration 20 rate % 15 35 31 23 30 12 EV sales (million units) 25 10 20 47 15 28 12 10 10 5 3 20 0 0 5 10 2
Slide 5: Energy Storage Demand About to Explode
ENERGY STORAGE DEMAND ABOUT TO EXPLODE BUT THERE IS A “BATTERY BOTTLENECK” BATTERY PERFORMANCE HAS EVOLVED MUCH MORE SLOWLY THAN ELECTRONICS AND COMPUTERS Improvements have been made in battery technology, but they have not kept pace WHY IS BATTERY TECHNOLOGY EVOLVING SO SLOWLY? Batteries have evolv
Slide 6: Breakthroughs Needed in Battery Material Science
BREAKTHROUGHS NEEDED IN BATTERY MATERIAL SCIENCE AUTO MANUFACTURERS ARE PIVOTING TO SILICON DEPLOYING SILICON IN BATTERIES REQUIRES INNOVATIVE SOLUTIONS! www.HPQSilicon.com 6
Slide 7: Innovation Driven Technology Development Strategy with PyroGenesis
SINCE 2015 HPQ HAS IMPLEMENTED AN INNOVATION DRIVEN TECHNOLOGY DEVELOPMENT STRATEGY WITH PYROGENESIS: PROVIDING SILICON MATERIALS FOR BATTERIES & MORE • Currently advancing development of numerous silicon products to resolve Material Science issues • Breakthrough imminent with Nano Silicon materials
Slide 8: Ongoing Silicon-Silica Innovations
ONGOING SILICON - SILICA INOVATIONS PROJECTS DEVELOPING A MULTITUDE OF GAME CHANGING TECHNOLOGIES PUREVAPTM QRR From Quartz to High Purity 50 MTY Pilot Plant about to start in Q4 2021 Silicon in one step PUREVAPTM NSiR From Silicon to Nano Materials Ongoing testing with small scale equipment in one
Slide 9: PUREVAP QRR – HPQ Disruptive Technology
PUREVAPTM QRR – HPQ DISRUPTIVE TECHNOLOGY THE PUREVAPTM QRR: GAME CHANGING VERSATILITY VERSUS CONVENTIONAL PROCESS Conventional plants: Ø Scalable by minimum increments of 30,000 MTY Ø Minimum investment > US$ 200 M Ø 2N+ Si production limited at 40% of plant output Ø Requires additional purificatio
Slide 10: PUREVAP QRR – Low Cost, Low Emissions
PUREVAPTM QRR – LOW COST, LOW EMISSIONS PUREVAPTM QRR OPEX VERSUS CONVENTIONAL Si PRODUCERS Silicon in the 2020s Inflation-adjusted prices are higher than they were in the early 2000s US spot price of 5.5.3 grade silicon vs. avg. operating cost at plants outside China and the CIS in real terms, $/t
Slide 11: Economically Viable Solution Does Not Exist Now!
BREAKTHROUGHS NEEDED: DEPLOYING Si IN BATTERIES HAS CHALLENGES ECONOMICALLY VIABLE SOLUTION DOES NOT EXIST NOW! WITH A POTENTIAL DEMAND > 200K MT BY 2030, WHO WILL BE IN POSITION TO PRODUCE, AT A PRICE THAT BATTERY MANUFACTURERS WILL BE WILLING TO PAY, THE SILICON MATERIAL NEEDED? www.HPQSilicon.com
Slide 12: HPQ Nano – Developing Low-Cost Solutions
HPQ NANO - DEVELOPING LOW-COST SOLUTIONS STARTING COMMERCIAL VALIDATION OF A NEW LOW-COST PROCESS Material produced by PyroGenesis during proof of concept test MAKING SILICON MATERIALS FOR BATTERIES A new scalable, versatile, low-cost plasma process with a capability to produce SILICON SILICON tailo
Slide 13: HPQ Low-Cost Solutions vs Competition
HPQ LOW-COST SOLUTIONS VS COMPETITION CONVENTIONAL CARBOTHERMIC PROCESS SILICON TO SILANE GAS PROCESS QUARTZ TO SILICON REC SILICON SiCl4 HSiCl3 SiH4 Refined 3 time H2 RAW 2N Si Forms add To Get SILICON 98.0% to 99.5% Si 99.5% SiO2 + Low Electric Arc Energy Consumption: Dissolved in Silicon Trichlor
Slide 14: HPQ Silica Polvere – Fumed Silica Project
HPQ SILICA POLVERE - FUMED SILICA PROJECT Ø Fumed silica (Pyrogenic Silica) is a versatile value-added white microscopic powder with high surface area & low bulk density Ø Due to its unique properties commercial applications encompass various industries including personal care, pharmaceuticals, agri
Slide 15: Traditional Process vs New Process
TRADITONAL PROCESS VS NEW PROCESS QUARTZ (SiO2) TO SILICON (Si) SILICON (Si) TO FUMED SILICA (SiO2) CONVENTIONAL PROCESS TO MAKE SILICON CONVENTIONAL PROCESS TO MAKE FUMED SILCIA SiCl4 RAW SILICON 2N Si Forms add H2 Fumed Silica O2 98.0% to 99.5% Si 99.5% SiO2 + Low Electric Arc Energy Consumption:
Slide 16: HPQ Launches Green Hydrogen Extraction Technology Venture
HPQ LAUNCHES REVOLUTIONARY AND BREAKTHROUGH GREEN HYDROGEN EXTRACTION TECHNOLOGY VENTURE • August 24, 2021, HPQ announces the signature of an agreement with EBH2 Systems SA, (“EBH2”) a Swiss company that possesses a proprietary electrolysis technology that can efficiently extract, from virtually any
Slide 17: HPQ Capital Structure
HPQ CAPITAL STRUCTURE Cash and Cash equivalent in hand $ 9,217,632 Share Price (Sept 3, 2021) $0.760 TM Dedicated Cash for PUREVAP QRR Pilot Plant $ 1,950,000 52 Week Low $0.305 In the money warrants and options $ 5,997,932 52 Week High $1.680 TOTAL CASH POSITION $ 17,165,564 Warrants Breakdown Expi
Slide 18: HPQ Trading (last 12 months)
HPQ TRADING (last 12 months) Breakout! www.HPQSilicon.com 18
Slide 19: Value Proposition: Commercialize and Monetize
VALUE PROPOSITION: COMMERCIALIZE AND MONETIZE Silicon Solutions HPQ SILICON HPQ - SILICON Incubator RESOURCES INC R E S O U R C E S Division & PUREVAP QRR HPQ NANO SILICON HPQ SILICA Subsidiaries' Project POWDERS INC POLVERE INC Green Metallurgically Silicon Nano and Product of interest High Purity
Slide 20: Why Invest in HPQ Silicon?
WHY INVEST IN HPQ SILICON? UBS estimates that over the next ten years, the energy storage market in the United States alone could grow to as much as $426 billion, and there are many ways to buy into the surge! (CNBC Dec 30, 2019) HPQ – SILICON: AN INVESTMENT OPPORTUNITY TO PARTICIPATE IN THE SURGE!
Slide 21: Silicon Pricing Trending in HPQ Favor
Silicon pricing trending in HPQ favor Pricing trends ($/mt) 3,500 3,300 3,100 2,900 2,700 2,500 PUREVAPTM QRR Expected operating 2,300 cost to produce up to 4N Si (To be confirmed by Gen3 Pilot phase) 2,100 1,900 1,700 1,500 1,000 US Index ($) EU Index ($) Source Ferroglobe www.HPQSilicon.com 21
Slide 22: PUREVAP QRR Gen3 Starting in Q4 2021
PUREVAPTM QRR GEN3 STARTING IN Q4 2021 June 2021 pictures of Mr. P. Peter Pascali, President and CEO of PyroGenesis & Bernard Tourillon, President and CEO of HPQ Silicon next to the Gen3 PUREVAPTM QRR Pilot Plant (middle image blurred for confidentiality) “We have always believed that our PUREVAPTM
Slide 23: Management, Board & Key Investors
MANAGEMENT, BOARD & KEY INVESTORS Management Bernard J Tourillon, BAA, MBA Chairman, President, CEO and Director Patrick Levasseur Independent Directors Vice-President, COO and Director Richard Mimeau, B.Sc. Noelle Drapeau, LLL, MBA, PMP Director Corporate Secretary and Director Peter Smith, PhD, P.
Slide 24: Consultants, Transfer Agent and Auditors
CONSULTANTS, TRANSFER AGENT AND AUDITORS Consultants/ Technical Advisors Marcel Drapeau, BA, BSC. Comm, LLL PyroGenesis Canada Inc Apollon Solar Sa Transfer Agent Computershare Auditors KPMG S.E.C.N.R.L. www.HPQSilicon.com 24
Slide 25: Contact
CONTACT Patrick Levasseur Bernard J. Tourillon, B.A.A, MBA Vice-President, COO and Director Chairman, President and CEO patrick.levasseur@hpqsilicon.com bernard.tourillon@hpqsilicon.com +1 514 262-9289 +1-514-907-1011 3000 Omer-Lavallée St, Suite 306 Montreal, Quebec, CANADA, H1Y 3R8 +1 514 846 3271
Slide 26: Appendices
HPQ - SILICON HPQ - n a n o R E S O U R C E S SILICON POWDERS INC APPENDICES www.HPQSilicon.com 26
Slide 27: Energy Storage Demand About to Explode
ENERGY STORAGE DEMAND ABOUT TO EXPLODE ENERGY STORAGE CAPACITY MUST INCREASE TO OFFSET THE VARIABILITY OF RENEWABLE ENERGY “Investment dedicated to energy storage will exceed $40 billion by 2040 ” Yayoi Sekine, energy storage analyst for BNEF www.HPQSilicon.com 27
Slide 28: Graphite Is Fundamental to Rechargeable Battery Anodes
TODAY: GRAPHITE IS FUNDAMENTAL TO RECHARGEABLE BATTERY ANODES Battery NMC 111 NMC 532 NMC 111 NMC 532 (Ex. of cathode) chemistry Lithium 15% Lithium 16% Lithium 15% Lithium 16% Nickel 29% Nickel 29% Cathode Nickel 43% Nickel 43% Manganese 29% Manganese 29% Manganese 24% Manganese 24% Cobalt 27% Coba