Lithium Americas Corp. · NYSE:LAC
Lithium Americas — Investor Presentation (August 2018)
27 slides from Lithium Americas's investor presentation, August 2018
Slide 1: Investor Presentation August 2018
INVESTOR PRESENTATION AUGUST 2018 Cauchari-Olaroz Project Jujuy, Argentina
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Technical Information management in light of their experience and perception of historical trends, Scientific and technical information in this presentation about the Caucharí-Olaroz current conditions and expected future developments, as well as other factors Project and the Th
Slide 3: Lithium Price
LITHIUM PRICE Since 2016 lithium prices have increase around 300% in China with average prices for large producers reported at over US$13,000/t Lithium Price (US$/tonne) Orocobre SQM Lithium Carbonate (China, >99.5%) Lithium Hydroxide (China, >56.5%) $30,000 $20,000 $17,858/t $15,139/t $10,000 $10,6
Slide 4: Lithium Americas – Recent Achievements
LITHIUM AMERICAS – RECENT ACHIEVEMENTS Lithium Americas is advancing world-class lithium assets Vancouver through a low-risk path to production Toronto Thacker Pass Partnered with SQM in 50/50 JV 1 Reno • Partnered with largest lithium brine producer, SQM, in 50/50 JV (Minera Exar) to help build and
Slide 5: Capital Structure
CAPITAL STRUCTURE Lithium Americas commenced trading on NYSE under the symbol “LAC” in January 2018 Recent Share Price (TSX:LAC) Symbol TSX / NYSE: LAC $16.00 Shares 88.5 million Outstanding1 $12.00 Share Price (C$/sh) 52 Week Range C$4.58 - C$14.06 Share Price2 C$5.01 $8.00 Average Daily 0.5 millio
Slide 6: The Management Team
THE MANAGEMENT TEAM Lithium Americas has assembled a highly qualified team with a focus on Argentina, lithium, engineering and capital markets Tom Hodgson, CEO John Kanellitsas, President Tom Hodgson, CEO • 30+ years experience in senior management roles John Kanellitsas, President • 25+ years of bu
Slide 7: Caucharí-Olaroz JV with SQM
CAUCHARÍ-OLAROZ JV WITH SQM In March 2016, Lithium Americas entered a strategic 50/50 JV with SQM to develop and operate the Caucharí- Olaroz project Leverages SQM’s technical expertise. SQM is the largest producer of lithium brines with over 20 years experience operating and expanding its world-cla
Slide 8: Strategic Investments by Ganfeng & Bangchak
STRATEGIC INVESTMENTS BY GANFENG & BANGCHAK In 2017, Ganfeng Lithium and Bangchak provided a total of US$285 million to Lithium Americas through a combination of credit and equity Ganfeng Lithium Bangchak Total • LAC’s cash balance is US$44 Equity Investment US$47 million US$33 million US$80 million
Slide 9: Strong Support from Argentina and Jujuy Government
STRONG SUPPORT FROM ARGENTINA AND JUJUY GOVERNMENT In 2017, senior executives from Lithium Americas, SQM and Minera Exar met with senior officials from Argentina and Jujuy government to reaffirm commitment to support development of Caucharí-Olaroz Meeting with SQM, Lithium Americas and Minera Exar w
Slide 10: Caucharí-Olaroz Lithium Project
CAUCHARÍ-OLAROZ LITHIUM PROJECT Caucharí-Olaroz is located on an international highway with access to power, water, and a large local labour force Located in Jujuy, Argentina • Large property package ~ 70,000 ha. • Close proximity to existing producers (ORE, FMC, SQM, ALB). Near excellent infrastruc
Slide 11: Caucharí-Olaroz Lithium Project (Cont.)
CAUCHARÍ-OLAROZ LITHIUM PROJECT (CONT.) Working closely with local communities • Economic benefits agreements with 6 local communities. • Emphasis on local employment. • Minera Exar Jujuy and field office staff ramping up. • Construction staff est. over 1,000 workers. • Over 400 employees and contra
Slide 12: Caucharí-Olaroz Conventional Process
CAUCHARÍ-OLAROZ CONVENTIONAL PROCESS Design by experience • SQM engineering staff developing design and execution planning. • Process is based on SQM’s +20 years experience operating in the Atacama. • Infrastructure and plant designed to be saleable to a production capacity of 50,000 tpa of battery-
Slide 13: Caucharí-Olaroz Stage 1 Feasibility Study
CAUCHARÍ-OLAROZ STAGE 1 FEASIBILITY STUDY Stage 1 DFS Results (100% basis) March 2017 Average annual production 25,000 tpa battery-grade Li2CO 3 Project life 40 years * Proven & probable reserves 1.5 million tonnes LCE at 698 mg/L Li Construction capital costs US$425 million (before VAT) Operating c
Slide 14: Caucharí-Olaroz Construction Schedule
CAUCHARÍ-OLAROZ CONSTRUCTION SCHEDULE H1 2017 H1 2018 2019 Started Stage 1 Started pond construction Plant construction development Detailed engineering for infrastructure 2017 2018 2019 2020 H2 2017 H2 2018 2020 Commenced detailed Begin filing ponds Commissioning engineering Detailed engineering fo
Slide 15: Thacker Pass Lithium Project
THACKER PASS LITHIUM PROJECT Advancing a low-cost and scalable lithium project to a construction decision in Nevada, USA Thacker Pass 100% owned by Lithium Nevada Corp., a wholly owned subsidiary of Lithium Americas Modern infrastructure Located near the mining town of Winnemucca Adjacent to
Slide 16: Thacker Pass Process Flowsheet
THACKER PASS PROCESS FLOWSHEET Thacker Pass PFS is designed to use conventional open-pit mining, sulfuric acid leaching and lithium processing to produce battery quality lithium carbonate TSX: LAC AUGUST 2018 | 16 NYSE: LAC
Slide 17: Thacker Pass Pre-Feasibility Study
THACKER PASS PRE-FEASIBILITY STUDY PFS Results (100% basis) August 2018 60,000 tpa battery-grade Li2CO 3 Average annual production (Phase 1 - 30,000 tpa) Mine life 46 years * Proven & probable reserves 3.1 million tonnes LCE at 3,283 ppm Li Construction capital costs $1,059 million (Phase 1 - $581 m
Slide 18: Thacker Pass Development Schedule
THACKER PASS DEVELOPMENT SCHEDULE Drilling Project Site Process Testing Q4 2017 Q2 2018 Q4 2020 Complete 2017 exploration Resource updated Begin Phase 1 Construction program Completed PFS 2017 2018 2019 2020 2021 2022 Q1 2018 Q3 2019 Q3 2022 Completed process testing Submit EIS for Phase 1 Commissio
Slide 19: Summary
SUMMARY ARGENTINA NEVADA 1 The next lithium producer from brine 2 Unlocking value in the largest known lithium resource in the • Development work in support of 2020 USA production start • Low-cost and scalable lithium • 2017 DFS supports production at low- project in Nevada end of cost curve (US$2,4
Slide 20: Appendix
| : LithiumAmericas
Slide 21: The Board of Directors
THE BOARD OF DIRECTORS Lithium Americas focus is on a low risk strategy to reach production and maximize shareholder value GEORGE IRELAND Board with diverse industry experience CHAIRMAN OF THE BOARD Background in mining, accounting and construction. • 35 years of experience in the resource sectors
Slide 22: Argentina's Turn Around
ARGENTINA’S TURN AROUND Improved business conditions with President Macri Mauricio Macri • Abolished export duties and trade controls. President of Argentina • Eliminated exchange rate and capital controls. • Settled outstanding claims from 2003 default. • Fast-track process to join the Organization
Slide 23: Caucharí-Olaroz Stage 1 Opex & Capex
CAUCHARÍ-OLAROZ STAGE 1 OPEX & CAPEX Initial Capital Costs Operating Costs Transportation G&A 3% 5% Contingency US$55 MM Labour 7% Evaporation Total Indirect Ponds Cost US$129 MM US$37 MM Maintenance 8% Reagents 40% Infrastructure Other US$82 MM 9% Lithium Carbonate Energy Plant 14% Pond US$121 MM H
Slide 24: Thacker Pass Opex & Capex
THACKER PASS OPEX & CAPEX Initial Capital Costs Operating Costs All figures on a 100% project equity basis unless otherwise noted. Totals may not add due to rounding. TSX: LAC AUGUST 2018 | 24 NYSE: LAC
Slide 25: Cost Curve (Excluding Royalties)
COST CURVE (EXCLUDING ROYALTIES) Note: Thacker Pass cash costs before by-products. Source: Lithium Americas, modified cost curve based on data from Morgan Stanley TSX: LAC AUGUST 2018 | 25 NYSE: LAC
Slide 26: Lithium Resource and Reserve Summary
LITHIUM RESOURCE AND RESERVE SUMMARY Average Li Concentration Brine Volume (m3) (mg/L) Lithium Metal (t) LCE (000 t) Caucharí-Olaroz (100% basis) Mineral Reserves – March 2017 Proven Reserves (Years 1-5)1,2,3,4 4.9 x 107 712 35,159 187 Probable Reserves (Years 6-40) 1,2,3,4 3.5 x 108 695 246,474 1,3
Slide 27: Contact Information
CONTACT INFORMATION info@lithiumamericas.com 1150 – 355 Burrard Street Vancouver, BC V6C 2G8 Canada Thacker Pass Project Nevada, USA
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