Qem Limited · ASX:QEM
Qem — Investor Presentation (September 2020)
27 slides from Qem's investor presentation, Sep 2, 2020
Slide 1: ASX Announcement: Investor Presentation
ASXANNOUNCEMENT ASX ANNOUNCEMENT ASX: QEM 2 September 2020 Investor Presentation For personal use only QEM Limited (ASX: QEM) (“QEM” or “Company”) is pleased to release the following investor presentation titled “QEM Limited, Dual Commodity Opportunity”, which is attached below. The investor present
Slide 2: QEM Limited Dual Commodity Opportunity
For personal use only QEM Limited Dual Commodity Opportunity ASX: QEM INVESTOR PRESENTATION September 2020
Slide 3: Disclaimer
For personal use only Disclaimer 2
Slide 4: Dual Commodity Champion
Dual Commodity Champion For personal use only Julia Creek Project Oil & Transport Fuels Vanadium QEM aims to provide innovative QEM aims to become a leading and environmentally friendly supplier of high quality vanadium solutions that are important to our pentoxide to both the nascent energy future.
Slide 5: Investment Highlights
Investment Highlights For personal use only Significant Project Processing Route Studies Underway Excellent location Management that Delivers Growth Focused 4
Slide 6: Julia Creek Project
Julia Creek Project For personal use only Key Facts • Dual commodity deposit – oil bearing shale that is also mineralised with vanadium • QEM confident will be able to extract both oil and vanadium, for dual revenue contribution to project economics • Close to all infrastructure and services includi
Slide 7: The Journey So Far
The Journey So Far For personal use only • Project implementation Study & Process Design Report • Positive metallurgy & beneficiation testing • Seismic Survey & 5 hole drilling • Granting of tenements • Acquisition of EPM 26429 – granted • Acquisition of EPM 27057 increasing EPM25662 and 25681 Feb 2
Slide 8: Julia Creek Project Location
Julia Creek Project Location For personal use only 7
Slide 9: Local Infrastructure
Local Infrastructure For personal use only • 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. • Numerous local end users of oil products, including refinery operators •
Slide 10: Latest Development Test Work
Latest Development Test Work For personal use only • On 21 July QEM announced results from extraction test work, utilising hydrogen donor solvent to aid extraction of oil from oil shales • Test results from the Julia Creek resource confirm oil yields up to 181 kg per tonne, which is 218% on those re
Slide 11: Development Strategy
Development Strategy For personal use only Engineering Stage 2 design and cost PFS Commercial plant modelling development IP generation & protection Completion of bench scale Pilot plant Stage 1 Pilot plant testing for both design and development oil and vanadium costing 10
Slide 12: The Team
The Team For personal use only John Foley Gavin Loyden Daniel Harris David Fitch 11
Slide 13: Supportive Policy Environment
Supportive Policy Environment For personal use only Development of Northern Australia and Resource Corridors Government Priority Vanadium is a new energy mineral – strategic significance as a Critical Mineral Federal Government Resource Corridors Greater Fuel Resilience Needed 12
Slide 14: Fuel Resilience
Fuel Resilience For personal use only • 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 April 2020 said this would amount to 30 days of petrol for automobiles, 20 days of diesel a
Slide 15: Vanadium Market
Vanadium Market For personal use only • Vanadium demand is conservatively forecasted to grow at around 5%, reaching 133,000t in 2025(~202,000t V2O5 equivalent). • The global vanadium market is expected to grow by 28.31 thousand tons during 2020-2024. (Source: Technavio Global Vanadium Market Report
Slide 16: Peer Comparisons
Peer Comparisons For personal use only ASX Total Resource Total V205 Mt V205 % Total V205 Mt V205 % Total V205 V205 % Company Code Project Name Location Mt V205 % (Measured) (Measured) (Indicated) (Indicated) Mt (Inferred) (Inferred) Wyndam Port, North King River Copper KRC Speewah Project West WA 4
Slide 17: Capital Structure
Capital Structure For personal use only IPO Completed and ASX Symbol: QEM Listed on the ASX Shares on Issue 100 million $5m IPO in October 2018. Market Cap (25 August 2020) $10.0m Share Price (25 August 2020) $0.10 Director Support Cash (as at 30 June 2020) $2.638m 2.4m shares purchased by Directors
Slide 18: Contact
17 Contact For personal use only Gavin Loyden Managing Director gavin@qldem.com.au +61 7 5646 9553 www.qldem.com.au Shane Murphy Investor Relations shane.murphy@fticonsulting.com +61 420 945 291 www.qldem.com.au 17
Slide 19: Appendix – Julia Creek Resource & Oil Yield
For personal use only Appendix – Julia Creek Resource & Oil Yield 18
Slide 20: Julia Creek Resource Overview
Julia Creek Resource Overview For personal use only Table 1: Summary of JORC Mineral Resource Estimate Note: 1. The estimate uses a minimum cut-off of 0.2% V2O5 for the oil shale units, and minimum cut-off of 0.15% V2O5 for the Coquina units. 2. The total resource tonnage reported is rounded to refl
Slide 21: Julia Creek Oil Yield
Julia Creek Oil Yield For personal use only Source: Measured Group The estimation methodology used is deterministic. The estimation is based on grids constructed for unit structure, thickness and oil grade parameters 20
Slide 22: Appendix – Vanadium Market
For personal use only Appendix – Vanadium Market 21
Slide 23: Uses of Vanadium
ENERGY STORAGE For personal use only STEEL MANUFACTURING Uses of Vanadium Applications Of Vanadium AEROSPACE AUTOMOTIVE 22
Slide 24: Renewable Energy Storage
23 Renewable Energy Storage For personal use only 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, scalabilit
Slide 25: VRFB Installs Worldwide
113 VRFB Installs Worldwide 24 For personal use only COUNTRY VRFBs kW kWh Australia 7 945 4629.90 Barbuda 1 3000 12000.00 Botswana 1 112 560.00 Canada 3 2500 10000.00 China 17 15825 48005.00 Czech Rep. 3 47 209.90 Denmark 3 40 260.00 Germany 15 1530 86190.00 India 4 155 740.15 Indonesia 2 400 500.00
Slide 26: Construction
Construction For personal use only • Vanadium plays an essential role as an alloy of steel to provide strength and is also added to increase fire resistance and increase tensile strength. • Announced in February 2018, with implementation by the 1st of November 2018, China revised steel rebar standar
Slide 27: Aerospace & Automotive
Aerospace & Automotive For personal use only • Aerospace - 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% aluminiu