Australian Mines Limited · ASX:AUZ
Australian Mines — Investor Presentation (November 2021)
37 slides from Australian Mines's investor presentation, Nov 17, 2021
Slide 1: Investor Presentation November 2021
For personal use only Investor Presentation NOVEMBER 2021 Decarbonising and electrifying the world through the development of ethically sourced nickel and cobalt materials australianmines.com.au ASX I AUZ
Slide 2: Disclaimer
AUSTRALIAN MINES Disclaimer For personal use only Forward Looking Statement: This document may contain forward looking statements. Forward looking statements can generally be identified by the use of forward looking words such as, ‘expect’, ‘anticipate’, ‘likely’, ‘intend’, ‘should’, ‘could’, ‘may’,
Slide 3: Agenda
For personal use only Agenda Company Overview Market Opportunity Sconi Project Summary
Slide 4: Company Overview
For personal use only Company Overview
Slide 5: Corporate Review
AUSTRALIAN MINES Corporate Review For personal use only Capital Structure Ownership (16 November 2021) Market Cap (16 November 2021) ~ A$99M Investors (by Type) Investors (by Geography) Share Price (16 November 2021) A$0.023 Issued Share Capital 4,304M (16 November 2021) Net Cash (30 September 2021)
Slide 6: Why Australian Mines?
AUSTRALIAN MINES Why Australian Mines? For personal use only World Class Sconi Project Strong Board and Experienced Team Development ready, nickel-cobalt-scandium project Strong, experienced, and disciplined team in Queensland, Australia Diverse skills mix, stable tenure, and well integrated
Slide 7: FY2021 Operating Highlights
AUSTRALIAN MINES FY2021 Operating Highlights For personal use only Sconi Project Corporate Binding long form offtake agreement Achieved industry first with LG Energy Solution (6+5 years) Carbon Neutral certification Offtake agreement accounts for 100% Fully funded beyond the current financia
Slide 8: Offtake Partner and Project Financing
AUSTRALIAN MINES Offtake Partner and Project Financing For personal use only Offtake Partner Project Financing Entered into a binding long form offtake agreement with Financing negotiations projected to be LG Energy Solution, a subsidiary of LG Chem completed on/before 30 June 20222 Supply agr
Slide 9: Responsible Corporate Citizen
AUSTRALIAN MINES Responsible Corporate Citizen For personal use only Achieved Industry First Carbon Neutral Certification First mineral resources company to be certified a Carbon Neutral organisation1 by the Australian Government’s Climate Active program Climate Active is the only Australian Gov
Slide 10: The Electric Vehicle Revolution
AUSTRALIAN MINES The Electric Vehicle Revolution For personal use only Focus on Becoming a Leading Producer and Supplier of Ethically Sourced Nickel and Cobalt Materials Long term commitment to the EV and energy storage industries Source of ethically produced nickel and cobalt from a certified C
Slide 11: Market Opportunity
For personal use only Market Opportunity
Slide 12: Demand Surge
MARKET OPPORTUNITY Demand Surge For personal use only ESG Mega Trends Driving Demand Projected Metal Demand Growth (2019-2050F)3 (Under a Rapid Transition (IEA SDS) scenario (+1.5oc) to 2050F) Future facing metals (including nickel and cobalt) AUZ focus to drive decarbonisation and electrification
Slide 13: The Rise of Nickel-Based Cathode Chemistries
MARKET OPPORTUNITY The Rise of Nickel-Based Cathode Chemistries For personal use only Nickel’s Vital Role Distribution of EV Market by Battery Chemistry2 (split between nickel and non-nickel based battery cathode chemistries 2015A-2030F) Nickel-based cathodes are projected to represent 75% of the
Slide 14: 1.6 Mt New Nickel Supply Needed by 2040
MARKET OPPORTUNITY 1.6 Mt New Nickel Supply Needed by 2040 For personal use only Nickel Demand to Outstrip Supply1 Global Nickel Market Overview (2010A-2040F)7 (Existing supply, probable projects and demand in ktpa) 1 From 2021, 115 ktpa new nickel in 5 chemicals supplied from new HPALs2 4,000 Deman
Slide 15: Nickel Supply Inelasticity
MARKET OPPORTUNITY Nickel Supply Inelasticity For personal use only Nickel Supply/Demand Imbalance Base Case ‘Probable’ Category Mine Project Growing demand for Electric Vehicles Potential Measured in Years of Supply Requirement set to double demand for nickel by 20401 Met5 (at average annual dema
Slide 16: Sconi Project
For personal use only sconi.com.au
Slide 17: Sconi Investment Highlights
SCONI PROJECT Sconi Investment Highlights For personal use only World Class Project MHP Production Process 100% owned, nickel-cobalt-scandium Simple process, minimal technical risk materials project – successfully demonstrating nickel and cobalt production from Sconi ore since 2018 Lowest cost
Slide 18: Key Developments Since 2018
SCONI PROJECT Key Developments Since 2018 For personal use only LGES OFFTAKE AGREEMENT Australian Mines executes a binding long form offtake 100% SCONI MINE LIFE EXTENDED FINANCIAL SUPPORT PACKAGE agreement with leading battery AUZ owns 100% of the Sconi Mine life plan extended Queensland Government
Slide 19: Ideally Located, Long Life
SCONI PROJECT ldeally Located, Long Life For personal use only Expected Mine Life of 30+ Years Sconi Nickel-Cobalt-Scandium Project Mineral Resource tonnage exceeds 115 million tonnes1 Contained metal quantities2: • 738,359 tonnes of nickel, plus • 71,757 tonnes of cobalt Development ready, wi
Slide 20: Infrastructure Ready
SCONI PROJECT Infrastructure Ready For personal use only Port Road Power Port facilities secured Sealed, all-weather roads Power (grid) (import and export) from site to port already on site Water Comms Airport Accom Water supply Telecommunications Existing airport Developed on available infrastructu
Slide 21: Capital Expenditure
SCONI PROJECT Capital Expenditure For personal use only Indicative Capital Cost Inputs On Site Proven (MHP production) Processing Plant Technology Life-of-mine average production of contained nickel and cobalt: 11,997 tonnes per annum1 Expected installed capacity cost (processing plant): circa U
Slide 22: Lowest Cost Quartile
SCONI PROJECT Lowest Cost Quartile For personal use only Nickel production cost curve 2025 (US$ / tonne Ni) Market Study Forecast by CRU International 1st quartile of cost curve for 4th quartile both nickel and cobalt production 1.3 million tonne nickel supply gap expected between 2023 and 2025
Slide 23: Track Record of Delivery
SCONI PROJECT Track Record of Delivery For personal use only Producing Nickel and Cobalt Products Since 20181 Ore processed at Australian Mines’ pilot plant in Perth Full production process demonstration circuit from Sconi Project ore Existing Sconi processing flow built on proven industry sta
Slide 24: Proven Industry Standard MHP Processing Flowsheet
SCONI PROJECT Proven Industry Standard For personal use only MHP Processing Flowsheet Mined Ore Crushing and High Iron MHP from Sconi Grinding Pressure Removal (Mixed Hydroxide Acid Leach Precipitate of Ore Product) H2SO4 Limestone 100% Production Existing Sconi processing flow built on proven 5th g
Slide 25: Social and Economic Benefits
SCONI PROJECT Social and Economic Benefits For personal use only 500 300 Committed to Queensland and Local Communities 80% of workforce sourced locally Construction Full Time Jobs Staff Upgrading and investing in shared infrastructure Upgrading sports and community facilities underway Establ
Slide 26: Working with Government and the Community
SCONI PROJECT Working with Government and the Community For personal use only Ongoing Support from the Queensland Government Offered conditional financial support package in July 20201 Conditions include executing an offtake agreement and securing financing Support would be provided through the
Slide 27: Summary
For personal use only Summary
Slide 28: Summary
SUMMARY Australian Mines For personal use only Development-Ready, World Class Sconi Project 100% Auditable Ethically Derived in Supply Chain Low Risk Jurisdiction Long term offtake agreement (6+5 years) in place with LG Energy Solution Well serviced by existing infrastructure and skilled labour
Slide 29: For Further Information, Please Contact
For personal use only FOR FURTHER INFORMATION, PLEASE CONTACT David Loch Investor Relations Australian Mines Limited m: +61 456 799 967 e: dloch@australianmines.com.au australianmines.com.au ASX I AUZ sconi.com.au
Slide 30: Appendix
For personal use only Appendix Role of Critical Minerals Board of Directors Competent Persons’ Statements Sconi Project Mineral Resources Sconi Project Ore Reserve
Slide 31: Role of Critical Minerals in the EV Revolution
APPENDIX Role of Critical Minerals in the EV Revolution For personal use only Critical Minerals Used in Passenger Vehicles (EV vs ICE)1 (in kg per vehicle) Electric Vehicle (EV) AUZ focus (Ni/Co in MHP form) 6x more minerals Conventional Vehicle (ICE) 0 20 40 60 80 100 120 140 160 180 200 220 kg/ ve
Slide 32: Board of Directors
APPENDIX Board of Directors For personal use only Michael Ramsden Benjamin Bell Michael Elias Dominic Marinelli Les Guthrie Oliver Canton Chairman Managing Director Non-Executive Non-Executive Non-Executive Company BEc, LLB, FFIN BSc, MMET, MBA Director Director Director Secretary Independent Execut
Slide 33: Competent Persons' Statements
APPENDIX Competent Persons’ Statements For personal use only Sconi Project, Queensland (Australia) The Mineral Resource for the Sconi Project contained within this document is reported under JORC 2012 Guidelines. This Mineral Resource for the Greenvale, Lucknow and Kokomo deposits within the Sconi P
Slide 34: Sconi Project Mineral Resources
APPENDIX Sconi Project Mineral Resources For personal use only Table 1: Greenvale Mineral Resource Mineral Resources as per Australian Mines’ announcement released via the ASX platform on 14 February 2019. Prepared by CSA Global in accordance with the current 2012 JORC Code. There has been no Materi
Slide 35: Sconi Project Mineral Resources
APPENDIX Sconi Project Mineral Resources For personal use only Table 4: Bell Creek Mineral Resource Mineral Resources as per Australian Mines’ announcement released via the ASX platform on 29 April 2019. Prepared by CSA Global in accordance with the current 2012 JORC Code. There has been no Material
Slide 36: Sconi Project Ore Reserve
APPENDIX Sconi Project Ore Reserve For personal use only Ore Reserve as per Australian Mines’ announcement released via the ASX platform on 13 June 2019. Prepared by specialist mine planning consultants, Orelogy, in accordance with the current 2012 JORC Code. There has been no Material Change or Re-
Slide 37: Powering the Future of Clean Energy
For personal use only POWERING THE FUTURE OF CLEAN ENERGY ASX I AUZ australianmines.com.au sconi.com.au
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