Lithium Energy Ltd. · ASX:LEL
Lithium Energy — RIU Explorers Conference, Fremantle 2024
35 slides from Lithium Energy's conference presentation, Feb 14, 2024
Slide 1: Developing Lithium & Graphite to Power the Future
RIU EXPLORERS CONFERENCE, FREMANTLE Developing Lithium & Graphite to Power the Future ASX:LEL 13 – 15 February 2024 lithiumenergy.com.au
Slide 2: Corporate Overview
CORPORATE OVERVIEW Lithium Energy Limited (ASX:LEL) Fully Paid Ordinary Shares 103,010,000 Options (Exercise Prices: Various $0.30 - $1.595) 36,500,000 Market Capitalisation (@ $0.31) (as at 13 February 2024) $32 Million ASX:LEL 2
Slide 3: Highly Experienced Team
HIGHLY EXPERIENCED TEAM Strong leadership, technical and commercial experience William Johnson Victor Ho Raúl Di Lena Executive Chairman Company Secretary & CFO GM Solaroz S.A. MA (Oxon), MBA, MAICD BCom, LLB (Western Australia), CTA BSc Chem Eng; MFin (Magister of Finance, UNR) • Masters degree in
Slide 4: Increased Battery Demand Needs Lithium and Graphite Supply
How many mines needed to meet 2035 forecast demand? INCREASED BATTERY DEMAND NEEDS LITHIUM AND GRAPHITE SUPPLY 74 new lithium mines • 500% increase in battery demand Average size 45,000t LCE by 2035, forecast by Benchmark 1. • Lithium Energy is developing the Solaroz Lithium Brine (Argentina) and Bu
Slide 5: Lithium Markets
LITHIUM MARKETS Solaroz Lithium Brine Project is ideally positioned to take advantage of forecast lithium price recovery • Recent Lithium price fall caused principally by slower than forecast global EV sales during 2023. • Medium and long-term EV growth forecasts remains strong however, with prices
Slide 6: Strategic Partner Update
LITHIUM STRATEGIC PARTNER UPDATE Multiple Non-Binding Indicative Offers Received • LEL has received multiple approaches from major third parties in the EV battery sector for a strategic partnership to develop Solaroz. • After the formal invitation process, the expressions of interest narrowed down t
Slide 7: Solaroz Lithium Brine Project, Argentina
SOLAROZ LITHIUM BRINE PROJECT, ARGENTINA
Slide 8: A High Margin, Large Scale Lithium Project
LITHIUM A HIGH MARGIN, LARGE SCALE LITHIUM PROJECT Developing Solaroz for sustainable lithium supply Outstanding Significant Scoping Study Multiple EV Design and project upside demonstrates Battery parties Engineering economics opportunity low technical seeking components of with resource and partne
Slide 9: Solaroz Lithium Brine Project
LITHIUM SOLAROZ LITHIUM BRINE PROJECT Located in the prolific ‘Lithium Triangle’ in Argentina • World’s largest reserves of lithium are found in the Lithium Triangle. • Argentina is the world’s 3rd largest producer of lithium after Australia and Chile. • Lithium brine projects from Argentina are amo
Slide 10: Salar de Olaroz Basin (Olaroz Salar)
LITHIUM SALAR DE OLAROZ BASIN (OLAROZ SALAR) Home of Significant Lithium Production Arcadium Lithium566.5% Lithium Argentina 44.8% LEL 90% JV partnership with Toyota JV partnership with Ganfeng JV partnership with Tsusho & JEMSE Argentina Lithium & JEMSE Argentina Hanaq Argentina S.A. Production DFS
Slide 11: High Margin Lithium Project with Large Scale & Long Life Potential
LITHIUM HIGH MARGIN LITHIUM PROJECT WITH LARGE SCALE & LONG LIFE POTENTIAL Scoping Study confirms exceptionally strong project economics for both 20ktpa 40ktpa 20ktpa and 40ktpa LCE production scenarios6 Pre-Tax IRR 41% 44% 20ktpa 40ktpa Capital Payback 20ktpa 40ktpa Pre-Tax NPV10 US$2.3bn US$3.9bn
Slide 12: Solaroz Is Highly Competitive on the Cost Curve
LITHIUM SOLAROZ IS HIGHLY COMPETITIVE ON THE COST CURVE Industry Total Cash Cost curve for LCE production 20237 SOLAROZ 4,985 @ 20ktpa 4,611 @ 40ktpa (US$/t LCE) ASX:LEL 7 Source: S&P Global Market Intelligence, 27 October 2023 12
Slide 13: Lithium Brine Is Key for Future Sustainable Supply
LITHIUM LITHIUM BRINE IS KEY FOR FUTURE SUSTAINABLE SUPPLY Brine processing uses less carbon and less water than hard rock lithium sources8 • Lower carbon emissions Lithium carbonate produced from brine typically has less than 1/3 the carbon intensity (CO2 emissions) of equivalent lithium chemicals
Slide 14: Solaroz Mineral Resource Estimate
LITHIUM SOLAROZ MINERAL RESOURCE ESTIMATE Solaroz hosts a significant, strategic resource of lithium • Total JORC Indicated and Inferred MRE of 3.3Mt of LCE 9. • Indicated category 2.4Mt of LCE. • Contains high-grade core of 1.3Mt of LCE with an average concentration of 400 mg/l lithium. • 1.3Mt of
Slide 15: Battery Grade Lithium Carbonate
LITHIUM BATTERY GRADE LITHIUM CARBONATE Laboratory test work with Solaroz Brine achieves 99.5% Li battery grade lithium carbonate sample10 Primary Evaporation Stage of Salt Precipitation Stage, with concentrated brine separate Solaroz Brines from Salts • Representative brine from Solaroz used with a
Slide 16: Evaporation Ponds: Ponds or DLE?
LITHIUM Evaporation Ponds Scoping Study confirms Solaroz brines are suitable for processing using conventional solar evaporation. 12,000ha Solaroz landholding could support evaporation ponds of similar scale to Arcadium and Lithium PONDS OR DLE? Argentina. Lithium Argentina Cauchari–Olaroz Project S
Slide 17: Solar Pond Design
Illustrative Solar Evaporation Pond Locations within Solaroz LITHIUM SOLAR POND DESIGN concessions in Olaroz Salar Development base case is solar evaporation • Scoping Study modelling confirms Solaroz brine can be processed to produce LCE using conventional solar evaporation11. • Solaroz concessions
Slide 18: Conceptual Plant Design
Evaporation Pond Layout for LITHIUM CONCEPTUAL PLANT DESIGN total 40,000tpa LCE production Layout based on capacity for 40ktpa LCE production 20ktpa LCE Processing Plant Layout with purple areas designated for second 20ktpa production line Boron Removal Area Admin, warehousing and workshops DLE Area
Slide 19: Flowsheet Configuration
LITHIUM FLOWSHEET CONFIGURATION Standard configuration based on neighbouring operations ASX:LEL 19
Slide 20: Lanshen Update
LITHIUM LANSHEN UPDATE Large Scale Laboratory DLE Testwork • Xi'an Lanshen New Material Technology Co. Ltd. (Lanshen) has agreed to fund and construct a battery-grade lithium plant at Solaroz capable of producing 3,000 tonnes of lithium carbonate per annum12. • 10,000-litre lithium brine sample from
Slide 21: Battery Anode Material (BAM) Graphite Project
LITHIUM BATTERY ANODE MATERIAL (BAM) Graphite Project ASX:LEL 21
Slide 22: ≈8x more Graphite than Lithium in a Li-ion Battery
There is more Graphite in a Li-ion Battery than any other metal ≈8x more Graphite than Lithium in a Li-ion Battery Source: elements.visualcapitalist.com ASX:LEL 22
Slide 23: Graphite Battery Anode Material (BAM)
GRAPHITE Graphite Battery Anode Material (BAM) Strong outlook for graphite demand and pricing • Natural graphite flake prices forecast to rise significantly in next 10 years, driven by EV battery sector 13. • 87 new graphite mines required by 2035 to meet demand 14. • Increasing scrutiny from offtak
Slide 24: Lithium Energy's BAM Project
GRAPHITE Lithium Energy’s BAM Project Developing a Vertically Integrated Battery Anode Material (BAM) Business in Queensland Australia • LEL has two high grade graphite deposits in Queensland: • Burke Graphite Deposit – 130km north of Cloncurry • Corella Graphite Deposit – 30km west of Cloncurry • T
Slide 25: The BAM Strategy
GRAPHITE The BAM Strategy Mine and Concentrate the Graphite Transport the Shape and Purify the Graphite Flake to produce flake at the site of the deposit Concentrated Flake to Uncoated Spherical, Purified Graphite, and Ship to the BAM Facility International Anode Makers Burke Graphite Mine and Conce
Slide 26: Burke Graphite Flake Concentrator
GRAPHITE Burke Graphite Flake Concentrator Supported by One of the world’s highest grade flake graphite deposit • JORC Total Indicated and Inferred Mineral Resource of 9.1Mt @ 14.4% BURKE GRAPHITE MINERAL RESOURCE Total Graphitic Carbon (TGC)15 for 1.3Mt of contained graphite (at 5% Resource Resourc
Slide 27: BAM Manufacturing Facility, Townsville Queensland
GRAPHITE BAM Manufacturing Facility, Townsville Queensland • Testwork completed in Germany has shown 17 : Metric Units Product 1 Product 2 – Shaping and spheronising successfully produced 2 products d10 SPG µm 10.15 6.78 – Overall spheronising recovery >60% achieved d50 SPG µm 16.29 10.5 d90 SPG µm
Slide 28: Corella Graphite Deposit
GRAPHITE Corella Graphite Deposit Potential additional feedstock for BAM Plant • JORC Inferred Mineral Resource Estimate 13.5Mt at 9.5% TGC for 1.3Mt contained graphite (at a 5% TGC cut-off grade) 18 : − High-grade area within the mineralisation envelope, Inferred Mineral Resource of 4.5Mt at 12.7%
Slide 29: Appendix
APPENDIX
Slide 30: Solaroz Lithium Brine Project: Mineral Resource Estimate
SOLAROZ LITHIUM BRINE PROJECT Table 1: Upgraded Total JORC Indicated and Inferred Mineral Resource Estimate19 Mineral Lithology Sediment Volume Specific Brine volume LCE Resource Lithium mg/l Lithium Tonnes Units (million m3) Yield % million m3 Tonnes Category A (Upper Aquifer) 7,200 10.0% 720 245 1
Slide 31: Solaroz High-Grade Core Mineral Resource
SOLAROZ LITHIUM BRINE PROJECT Table 2: Upgraded High-Grade Core within Total JORC Indicated and Inferred Mineral Resource Sediment Brine volume Mineral Resource Lithology Specific LCE Volume Lithium mg/l Lithium Tonnes Category Units Yield % million m3 Tonnes (million m3) A 878 10.0% 88 349 30,000 1
Slide 32: Burke Graphite Project
BURKE GRAPHITE PROJECT • Total Mineral Resource of 9.1Mt at 14.4% Total Graphitic Carbon (TGC) for a total of 1.3Mt contained graphite (at a 5% TGC cut-off grade), comprising: Table 3: Burke Deposit Mineral Resource Estimate - Indicated Mineral Resource of 4.5Mt at 14.7% TGC for 670kt of contained W
Slide 33: JORC Code Competent Persons' Statements
JORC CODE COMPETENT PERSONS’ STATEMENTS (1) The information in this document that relates to Mineral Resources (and the interpretation and reporting of Exploration Results related thereto) in relation to the Solaroz Lithium Brine Project is extracted from the following ASX market announcements made
Slide 34: About This Document: Forward Looking Statements
ABOUT THIS DOCUMENT This document has been prepared by Lithium Energy Limited (the "Company” or “LEL”). No representation, expressed or implied, or warranty as to the accuracy or completeness of the information contained herein is made by any party and nothing contained herein shall be relied upon a
Slide 35: Contact: Lithium Energy Limited
AUTHORISED FOR RELEASE - FOR FURTHER INFORMATION Australia William Johnson Executive Chairman Lithium Energy Limited Tel: +61 8 9214 9737 Mob: +61 419 047 460 wjohnson@lithiumenergy.com.au ASX:LEL lithiumenergy.com.au
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