Syrah Resources Limited · ASX:SYR
Syrah Resources — Benchmark Minerals Conference 2019
12 slides from Syrah Resources's conference presentation, Nov 11, 2019
Slide 1: Strengthening the Anode Supply Chain
For personal use only Strengthening the Anode Supply Chain November 2019 0 0
Slide 2: Establishing a position in the anode supply chain
Establishing a position in the anode supply chain Leveraging the globally significant Balama asset to develop an integrated battery anode material and industrial products business For personal use only Balama a globally Vertical integration Global mega trend significant resource Size of Balama ore R
Slide 3: Where we participate in the anode supply chain
Where we participate in the anode supply chain A global business to service the growing demand for natural flake graphite - a critical battery raw material For personal use only : Balama Graphite Operation • Ore Reserves1 113.3Mt at 16.4% TGC2 (18.5Mt of contained graphite) • Simple open pit operati
Slide 4: Demand for critical battery raw materials is growing
Demand for critical battery raw materials is growing China EV growth will continue to be a key market for natural flake graphite demand, Europe and USA will also be significant markets For personal use only China, Europe & USA key EV end markets Battery raw materials are of strategic importance Chin
Slide 5: Balama an alternate supply proposition
Balama an alternate supply proposition Balama provides an alternate and complementary supply proposition to existing domestic China supply to meet growing demand For personal use only When evaluating sources of supply, (~50 to 100 mines)(2) 500 Chinese consumers likely to consider: 400 • Quality con
Slide 6: Flake graphite pricing dynamics evolving
Flake graphite pricing dynamics evolving Syrah expects prices for natural graphite into the battery market to become globally integrated For personal use only • Transition to global pricing will provide increased pricing transparency, which will assist to induce global supply in an orderly manner ov
Slide 7: Several factors have caused a near term market imbalance
Several factors have caused a near term market imbalance Demand factors and increased supply availability have led to a near term market imbalance in critical battery raw materials For personal use only Weak Global Light Vehicle Sales (millions) China Central Government EV Subsidy Reductions Increas
Slide 8: Current market dynamics not isolated to flake graphite
Current market dynamics not isolated to flake graphite Other battery raw materials not immune to current market dynamic, supply response being observed across sector For personal use only Lithium Carbonate and Cobalt Prices Since January 2018 (1) USDCNY Since January 2018 40% 7.4 ~15% 7.2 20% 7 0% 6
Slide 9: Market re-balance phases common in smaller markets
Market re-balance phases common in smaller markets Supply variations normal in industrial markets, current battery material supply/demand dynamic not unique For personal use only World Rare Earth Mine Production (metric tons of rare-earth oxide equivalent)1 World Ilmenite Production (metric tons) 1
Slide 10: Adapting Balama to the market
Adapting Balama to the market Adapting Balama operations to current market conditions – balancing lower cost against continued ramp-up For personal use only • Plant operating methodology adapted to lower demand – optionality retained to enable ramp-up as demand increases (higher asset utilisation) •
Slide 11: Committed to active anode material production in the USA
Committed to active anode material production in the USA Long-term commitment to value added processing of flake graphite to active anode material enabled by long mine life at Balama For personal use only Mar 2018 May 2018 Aug 2018 Sep 2018 Dec 2018 Q1 2019 Q4 (YTD) 2019 Ongoing (to end 2020) First
Slide 12: Establishing a key position in the anode supply chain
Establishing a key position in the anode supply chain Leveraging the globally significant Balama asset to develop an integrated battery anode material and industrial products business For personal use only • Globally significant flake graphite resource: Balama a • • Ore Reserves1 113.3Mt at 16.4% TG