Element 25 Limited · ASX:E25
Element 25 — Diggers & Dealers Mining Forum 2022
25 slides from Element 25's conference presentation, Aug 2, 2022
Slide 1: Element 25 Limited Investor Update
Element 25 Limited Investor Update Building a world-class Zero Carbon Manganese business August 2022 – Diggers & Dealers Mining Forum ASX:E25
Slide 2: Disclaimer
Disclaimer This presentation contains only a brief overview of Element 25 Limited and its associated entities (“Element 25") and their respective activities and operations. The contents of this presentation, including matters relating to the geology of Element 25's projects, may rely on various assu
Slide 3: Introduction
Introduction Financial Information Introduction ASX Ticker E25 Shares on Issue 153M Developing the world class Share Price $0.54 Butcherbird Manganese Project in Debt Nil Western Australia to produce high 3 Month Share Price and Volume quality manganese concentrate and $0.83 battery grade High Purit
Slide 4: Experienced Owners Team – Knowledge Stays In-House
Experienced Owners Team – Knowledge Stays In-House Seamus Cornelius John Ribbons Justin Brown Ian Huitson Sias Jordaan Neil Graham Chairman Non-Executive Director Managing Director Mining Marketing Manager Development Manager Lawyer CPA Geologist Mining Engineering Accountant Chemical Engineer Micha
Slide 5: Our Strategic Vision…
Our Strategic Vision… Stage 1 Stage 2 Stage 3 Stage 4 365Kt per annum 1 Mt per annum High Purity Mn MnSO4 Expansion In production, optimising Engineering optimisation FS study scheduled Long term - multiple process in progress, startup 2023 for completion 2022 HPMSM modules globally Delivered 1 year
Slide 6: Not all manganese is created equal
Not all manganese is created equal Serving the Established… And the Emerging… • Manganese (Mn) is the fourth most used metal • The electrification of the global vehicle fleet on earth in terms of tonnage. requires vast amounts of cathode materials. • Used in steel, specialty alloys and aluminium pro
Slide 7: Great infrastructure endowment, fully permitted
Great infrastructure endowment, fully permitted 100% E25 owned, long term tenure. E52/2350 M52/1074 Granted Mining Lease Measured & Indicated Resources are the basis Simple Logistics for the 42-year Base Case -7-
Slide 8: Very simple geology equals low-cost, low environmental impact manganese units
Very simple geology equals low-cost, low environmental impact manganese units Classification Tonnes (Mt) Mn (%) Contained Mn (Mt) RESOURCE GROWTH POTENTIAL Resource 263 10.0 20.8 • Enough resource base for multi- Reserve 50.6 10.3 5.22 decade long expansion pathway. • Can produce concentrate, batter
Slide 9: Stage 1: Project Delivery Complete – Engineering Optimisation Progressing
Stage 1: Project Delivery Complete – Engineering Optimisation Progressing Process Water Storage Tails Storage ROM Stocks Main Access Road Ore Stockpiles Feedstock for HPMSM conversion Processing Plant -9-
Slide 10: Latest Quarterly Report – First Operating Cashflow Neutral Quarter Since Start-Up
Latest Quarterly Report – First Operating Cashflow Neutral Quarter Since Start-Up Mn2 Mn 25 Mn25 Mn 25 66,000t A$11.8 million A$20.8M cash A$0.83 million Mn concentrate sold Product sales After receipt of funds in Spend on new equipment transit. Solid Performance under challenging conditions: Founda
Slide 11: New Energy Vehicle (NEV) Demand Growing Strongly
New Energy Vehicle (NEV) Demand Growing Strongly 58% by 2040 54 million percentage of new vehicles EV passenger sales that will be EV or hybrid by 2040 Mn from 2033 17.6M by 2040 Mn decline emissions barrels of oil displaced from road transport by EVs each day Reference: https://about.newenergyfinan
Slide 12: Market Response is Dramatic
Market Response is Dramatic The EV transition is no longer a concept, it is well underway and accelerating. Mn Reference: CIC energiGUNE - 12 -
Slide 13: If not manganese, then what?
If not manganese, then what? Global mined cobalt output (Kt) • Manganese is the cheapest, most 58% by 2040 abundant of the NMC cathode percentage of new vehicles that will be EV or hybrid 54 million materials (Ni,Mn,C). EV passenger sales • Nickel and cobalt have supply by 2040 constraints, manganes
Slide 14: If not manganese, then what?
If not manganese, then what? • VW, Tesla and Stellantis have announced moves to high manganese cathodes. Manganese: • High manganese means better 17% of Material 2% of Cost energy density and lower cost. (NMC 622) • Transition will require large volumes of high purity manganese sulphate (HPMSM). Hig
Slide 15: Our Goal – Zero Carbon High Purity Manganese…
Our Goal – Zero Carbon High Purity Manganese… Stage 1 First production of manganese concentrate to sell to manganese alloy manufacturers Multi-stage growth Stage 2 potential Expansion of the concentrate production to produce manganese feedstock to convert to MnSO4 Stage 3 Establishing a conversion f
Slide 16: Low cost, efficient HPMSM process – significant improvements…
Low cost, efficient HPMSM process – significant improvements… The Element 25 Process makes significant changes & improvements… Problems with Current Technologies • Large volumes of waste residues • Toxic Reagents • Inefficient • Higher Cost • Outdated processing technology Reagents/Cost Carbon Emiss
Slide 17: Conversion of concentrate to HPMSM – EV fuel, Scoping Study delivered…
Conversion of concentrate to HPMSM – EV fuel, Scoping Study delivered… • Compelling economics. • • Modular, multi-stage growth strategy. Volumes tailored to demand growth. MnSO4 Mn25 Mn25 • Development strategy flexibility. 50,000 t/a A$1.52 billion 47% expanding to 150ktpa over NPV8 post-tax IRR pr
Slide 18: Stage Processing Location Optionality – Multiple Plant Potential
Stage 3 Processing Location Optionality – Multiple Plant Potential EU US KR Mn Concentrate Feedstock (33% Mn): Up to 1M tonnes per annum manganese concentrate production planned at the Butcherbird Project in Western Australia. MY • E25 manganese concentrate is a very AU • stable, easily transported
Slide 19: Zero Carbon Manganese™ – ESG considerations integral to our thinking
Zero Carbon Manganese™ – ESG considerations integral to our thinking Sustainable extraction Sustainable Extraction Renewable energy Low-carbon processing Fuel cell haulage Carbon offsets Zero Carbon Manganese™ Renewable Energy Other potential pathways that Element 25 is investigating: Powered Proces
Slide 20: Partnering with Circulor for Supply Chain Transparency & ESG Accounting
Partnering with Circulor for Supply Chain Transparency & ESG Accounting The First ESG Transparent Manganese Supply Chain • Circulor’s platform will underpin real-time traceability of Element 25’s (E25) manganese products. The partnership plays a critical role in E25’s strategic pathway to Zero Carbo
Slide 21: Our Strategic Vision…
Our Strategic Vision… Stage 1 Stage 2 Stage 3 Stage 4 365Kt per annum 1 Mt per annum High Purity Mn MnSO4 Expansion In production, optimising Engineering optimisation FS study scheduled Long term - multiple process in progress, startup 2023 for completion 2022 HPMSM modules globally Delivered 1 year
Slide 22: Investment Summary
Investment Summary ü Australia’s largest onshore manganese deposit comprising >260 Mt of manganese ore in JORC resources ü Long mine life – 42 years using only 20% of the global resource, significant potential to expand with further drilling ü Simple mining and processing, a “wash plant” ü No blasti
Slide 23: Thank you
Thank you For more information, please contact Element 25 Limited: +61 8 6315 1400 admin@e25.com.au www.element25.com.au Come & see us at booth #120 ASX:E25
Slide 24: Reserves and Resources
Reserves and Resources Maiden Ore Reserve1 Category Tonnes (Mt) Mn (%) Contained Mn (Mt) • 89% conversion of measured Proved 14.4 11.5 1.65 and indicated resources to Probable 36.2 9.8 3.56 reserve. Total 50.6 10.3 5.22 • Maiden Reserve only exploits Global Mineral Resource2 approximately 20% of glo
Slide 25: Competent Person’s Statement
Competent Person’s Statement The information in this presentation that relates to Exploration Results is based on information compiled by Mr Justin Brown who is a full-time employee of the Company and is a member of the Australasian Institute of Mining and Metallurgy. Justin Brown has sufficient exp