Lake Resources N.l. · ASX:LKE
Lake Resources N.l — Shareholder Meeting (November 2020)
28 slides from Lake Resources N.l's shareholder meeting presentation, Nov 26, 2020
Slide 1: Clean High Purity Lithium
CLEAN HIGH PURITY LITHIUM For personal use only Efficient Clean Technology Steve Promnitz - Managing Director 26 November 2020 AGM ASX:LKE FRA:LK1 OTC:LLKKF
Slide 2: Disclaimer
Disclaimer For personal use only General Statement and Cautionary Statement Forward Looking Statements This presentation has been prepared by Lake Resources N.L (Lake) for information purposes and meetings Certain statements contained in this presentation, including information as to the future fina
Slide 3: Clean Technology – No Mining – High Purity
Clean Technology – No Mining – High Purity For personal use only • Clean Technology – Direct Extraction by Partner, Lilac Solutions – Efficient lithium separation from brine; backed by Bill Gates-led Breakthrough Energy fund • High Purity Lithium - 99.97% purity battery quality lithium carbonate: Ka
Slide 4: Solution to EV & Battery Maker Demand
Solution to EV & Battery Maker Demand For personal use only Twin Demand – Consistently high purity & more sustainable • #1 High Purity Battery Materials - to avoid performance issues – Low impurities are being sought in battery materials to ensure reliable battery performance • #2 Responsibly Source
Slide 5: Why High Purity? Growing Demand
Why High Purity? Growing Demand For personal use only 99.97% Purity Lithium Carbonate Produced from Kachi project brines After processing in Lilac direct extraction pilot module • Battery Grade considered to be 99.5% • Kachi samples have very low impurities (60x less than 99.5% battery grade) • Batt
Slide 6: Why Low Impurities? Premium Pricing & Cost Competitive
Why Low Impurities? Premium Pricing & Cost Competitive For personal use only Direct Extraction Kachi Project Positioned at lower end of cost curve Lithium Carbonate Pricing Range Brine – Lower Cost Hard Rock – Higher Cost ASX:LKE OTC:LLKKF SLIDE / 6 Source: LKE announcements 20/10/2020, 14/01/2020
Slide 7: High Purity Lithium Process – Simple
High Purity Lithium Process – Simple For personal use only Pumping Brines - Kachi Direct Extraction Lithium Chloride – Lilac Pilot Plant Module Lithium Carbonate - Hazen Cathode/ Battery - Novonix ASX:LKE OTC:LLKKF SLIDE / 7
Slide 8: Why Direct extraction? Clean, Efficient
Why Direct extraction? Clean, Efficient For personal use only Re-engineered well-known technology in water treatment No Evaporation or Mining • Efficient – just lithium removed from brine • Faster – days not months or years • Higher recoveries than evaporation • High purity – because only lithium re
Slide 9: Direct extraction. Disruptive Technology
Direct extraction. Disruptive Technology (3 hrs to 30-60,000ppm vs 1-2 years) Ion Exchange Process For personal use only Saves time and money - Faster production. Recoveries doubled Lilac Solutions Lower impurities – Higher purity as only lithium is extracted. Sustainable solution – Brine reinjected
Slide 10: Why Direct extraction? Small Environmental Footprint
Why Direct extraction? Small Environmental Footprint For personal use only Lilac Direct Extraction Footprint vs Brine Evaporation Ponds (Atacama) and Hard Rock Mining (Greenbushes) Evaporation - Atacama Hard Rock - Greenbushes 15 km 5 km Direct Extraction - Kachi Direct Extraction: Returns ASX:LKE b
Slide 11: Why Sustainable Lithium? In demand
Why Sustainable Lithium? In demand For personal use only Electric Vehicle Makers want more sustainable battery materials in EV’s • Electric Vehicle Makers, EU Seek More Sustainable Lithium – Volkswagen, Daimler, BMW, EU want more responsible sourcing of battery materials (Reuters) • Direct extractio
Slide 12: Sustainable Lithium. ESG Targets for the Future – EU, UN
Sustainable Lithium. For personal use only ESG Targets for the Future – EU, UN EU UN ASX:LKE OTC:LLKKF SLIDE / 12
Slide 13: Prime Location – Lithium Triangle
Prime Location – For personal use only Large Producers. ATACAMA Tianqui/SQM Albemarle Lithium Triangle: 40% of world’s lithium production at the lowest cost. Lake’s Advancing Projects 5 largest producers all have operations ALB, SQM, LTHM + Tianqui, Ganfeng Ourhas Lake projects are side- a large pro
Slide 14: Kachi Project – Size Matters.
For personal use only Kachi Project – Size Matters.
Slide 15: Major brine resource - Top10
For personal use only Major brine resource - Top10 4.4 Mt LCE Total Resource (1Mt LCE Indicated Resource; 3.4 Mt Inferred) PFS only uses 20% of resource Open at depth and laterally 11x 70,000 hectares of leases (11x Size of Manhattan Island) It’s Not About Grade – In industrial chemistry, ‘low impur
Slide 16: Why Kachi? Advantages: Large, Clean, Expandable
Why Kachi? Advantages: Large, Clean, Expandable For personal use only • Large: 4.4 million tonne LCE. • Expandable: Open laterally; Open at depth • Clean: Brine low in impurities • Long Life, High Value: 25 year production 25,500 tpa LCE; US$1050 million project value • Cost Competitive: Operating c
Slide 17: Why Kachi? High Margin Pre-Feasibility Results
Why Kachi? High Margin Pre-Feasibility Results For personal use only • Long Life, High Value Project - 25 year production 25,500 tpa LCE**; US$1050 million project value* (NPV @ 8% discount rate, Pre-tax) • High Margin Lithium Production – • 55% Operating Margin; US$465 million EBITDA in 1st 3 years
Slide 18: Lake's Clean Lithium into Batteries
Lake’s Clean Lithium into Batteries Novonix - Process underway For personal use only Novonix - battery technology leader (ASX:NVX; OTCQX:NVNXF) Tier 1 firms - Panasonic, CATL, Samsung, SK, LG Chem, Bosch, Honda, Dyson Work with Dr Jeff Dahn at Dalhousie Uni - a ground breaking "name" in the battery
Slide 19: Lake – 506m Brine zone
For personal use only Lake – 506m Brine zone Cauchari Project. 421- 540mg/L lithium (102-608m) 493mg/L ave. (117-460m) Lake results show: • similar brines • similar high grades • similar flow rates. 506m Brine zone vs 198m in adjoining project AAL – 198m Brine Zone 450mg/L lithium (6-204m) Source: L
Slide 20: Production Timeline.
Production Timeline. For personal use only H1 - 2020 H2 – 2020 , H2 - 2021 High purity samples Kachi samples to battery makers for qualification Kachi direct extraction pilot purposes; testing by Novonix plant module – operating Kachi – offtake and strategic partner discussions Kachi PFS (Apr 2020)
Slide 21: Unparalleled Results over last years
Unparalleled Results over last 2 years For personal use only • Major Resource – Expandable – at Kachi – Nov 2018 4.4Mt LCE Total JORC Resource (1Mt LCE Indicated Resource; 3.4 Mt Inferred) • Direct Lithium Extraction – Lilac Solutions as Tech Partner– 2018-2020 Lab Testwork 2018-2019; Efficient lith
Slide 22: Leadership.
Lake has extensive development experience in Leadership. the resources sector and in Argentina. For personal use only Steve Promnitz Stu Crow Nick Lindsay Robert Trzebski MANAGING DIRECTOR CHAIRMAN NON-EXEC NON-EXEC DIRECTOR NON-EXEC DIRECTOR Extensive project management More than 25 years of experi
Slide 23: Lake Resources share price and market data
LAKE RESOURCES (ASX:LKE , OTC:LLKKF) LAKE RESOURCES (ASX:LKE) For personal use only 1 YEAR Share price chart Total Current Shares on Issue 792,128,624 Listed Options (10c) Jun 2021 Expiry 52,512,693 Unlisted Options (4.6c) Oct 2022 Expiry 18,300,000 Unlisted Options (8c) Feb 2022 Expiry 5,555,000 Un
Slide 24: Lithium Producers Recently Uplifted, Developers yet to rise
For personal use only Lithium Producers Recently Uplifted Developers yet to rise Lake Resources LKE vs Standard (SLL) Direct Extraction USA Lake $50m vs Peers SLL vs Lithium Americas (LAC) Pre-Production Argentina $80-200m market cap LAC vs Neo Lithium (NLC) Development Argentina Trading at 4%NPV vs
Slide 25: Clean High Purity Lithium - Unique Proposition.
Clean High Purity Lithium - Unique Proposition. For personal use only • New Clean Technology for High Purity Lithium – Growing need • Responsibly Sourced & Sustainable - Lake uniquely positioned to provide what EV / battery makers want - high quality battery materials more responsibly sourced withou
Slide 26: PFS - Kachi. Compelling Economics; High EBITDA Margin
PFS - Kachi. Appendix - PFS Compelling Economics; High EBITDA Margin For personal use only Cost Competitive; High Value Product Key Financial Parameters Values NPV8 (NPV @ 8% discount rate) Pre-tax US$1,052 million (A$1,660 million)* NPV8 (NPV @ 8% discount rate) Post-tax US$748 million (A$1,180 mil
Slide 27: Appendix – Mineral Resource – JORC Code 2012
Appendix – Mineral Resource – JORC Code 2012 For personal use only Kachi Lithium brine Project. KACHI LITHIUM BRINE PROJECT MINERAL RESOURCE ESTIMATE JORC Code 2012 Edition Indicated Inferred Total Resource Area, km2 17.1 158.3 175.4 Aquifer volume, km3 6 41 47 Brine volume, km3 0.65 3.2 3.8 Mean dr
Slide 28: Appendix – Table Report – JORC Code 2012.
Appendix – Table 1 Report – JORC Code 2012. For personal use only ASX:LKE OTC:LLKKF SLIDE / 28 ASX: LKE SLIDE / 28
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