Rainbow Rare Earths Ltd. · LSE:RBW
Rainbow Rare Earths — Investor Presentation (November 2021)
29 slides from Rainbow Rare Earths's investor presentation, November 2021
Slide 1: A Strategic Source of NdPr for a Growing Market
RAINBOW RARE EARTHS A STRATEGIC SOURCE OF NdPr FOR A GROWING MARKET November 2021
Slide 2: Disclaimer
DISCLAIMER These Presentation Materials are for information purposes only and must not be used or relied upon for the purpose of making any investment decision or engaging in any investment activity and should not be construed as, an offer for sale or subscription of, or solicitation of any offer to
Slide 3: The Middle East has oil; China has rare earths
“THE MIDDLE EAST HAS OIL; CHINA HAS RARE EARTHS.” Deng Xiaoping, credited as the father of modern-day China, 1992
Slide 4: Market Overview: Rare Earths, the Critical Building Blocks
MARKET OVERVIEW RARE EARTHS: THE CRITICAL BUILDING BLOCKS Market Overview IN THE GREEN REVOLUTION 4 Rainbow Rare Earths Limited Corporate Presentation – November 2021
Slide 5: NdPr constitute 90%+ of global rare earths value
NdPr CONSTITUTE 90%+ OF GLOBAL RARE EARTHS VALUE NEODYMIUM AND PRASEODYMIUM (NdPr) ARE CRITICAL ELEMENTS IN PERMANENT MAGNETS USED FOR MOTORS AND TURBINES Permanent magnet production accounted for 91% of the total value of TREO consumption in 2019 Market Overview Source: Adamus Intelligence 5 Rainbo
Slide 6: Global trends accelerating NdPr demand
GLOBAL TRENDS ACCELERATING NdPr DEMAND TO DRIVE THE GREEN REVOLUTION KEY GLOBAL MEGATRENDS ARE DRIVING STRONG AND DIVERSIFIED DEMAND FOR NdPr IN PERMANENT MAGNETS ANTICIPATED GLOBAL REO MAGNET DEMAND GROWTH 160,000 • LOW CARBON TRANSITION: environmental protection and climate 141Kt by 2030 change dr
Slide 7: Significant projected NdPr supply constraints
SIGNIFICANT PROJECTED NdPr SUPPLY CONSTRAINTS NEW SOURCES WILL BE REQUIRED TO MEET PROJECTED DEMAND GROWTH SECURING AN ETHICAL AND SUSTAINABLE SUPPLY CHAIN FOR STRATEGIC MATERIALS NdPr OXIDE – FORECAST SUPPLY – DEMAND BALANCE • China currently dominates global RE production - both in terms of 160,00
Slide 8: Rainbow project economics supported at current NdPr prices
RAINBOW PROJECT ECONOMICS: SUPPORTED AT CURRENT NdPr PRICES ACTUAL RARE EARTH BASKET PRICES FOR PHALABORWA AND GAKARA HAVE SIGNIFICANTLY OUSTRIPPED FORECAST PRICE RISES IN 2021 TO DATE ...forecasters suggest the current price strength will be supported by ongoing demand growth in the medium term Wit
Slide 9: Project Overview: Phalaborwa Project
PROJECT OVERVIEW Project Overview: Phalaborwa Project PHALABORWA PROJECT 9 Rainbow Rare Earths Limited Corporate Presentation – November 2021
Slide 10: Significant NdPr production to power the green revolution
SIGNIFICANT NdPr PRODUCTION TO POWER THE GREEN REVOLUTION PHALABORWA – EXCITING, NEAR-TERM GROWTH OPPORTUNITY 38.3MT OF GYPSUM IN TWO STACKS FROM 50+ YEARS PHOSPHATE JORC COMPLIANT INFERRED MINERAL RESOURCE ESTIMATE Project Overview: Phalaborwa Project HARD ROCK MINING IN SOUTH AFRICA Contribution o
Slide 11: Assay results confirm high value project
ASSAY RESULTS CONFIRM HIGH VALUE PROJECT MUCH HIGHER GRADE THAN TYPICAL IONIC CLAY RARE EARTH PROJECTS Project Style Owner TREO4 NdPr5 Uranium6 Thorium7 % ppm ppm ppm Dy Project Overview: Phalaborwa Project Gypsum 11% Phalaborwa1 Rainbow Rare Earths 0.431% 1,257 2 48 stacks Tb Round Top2 Ionic Clay
Slide 12: Simple processing and high value carbonate product
PHALABORWA SIMPLE PROCESSING AND HIGH VALUE CARBONATE PRODUCT EXPECTED TO DRIVE STRONG PROJECT ECONOMICS • Historical processing, including initial Typical unit processes Typical rare earths project Phalaborwa Project Overview: Phalaborwa Project flotation and concentration by Foskor followed by pro
Slide 13: Opportunity to deliver separated magnet rare earth oxides
PHALABORWA OPPORTUNITY TO DELIVER SEPARATED MAGNET RARE EARTH OXIDES THROUGH RECENTLY LICENCED TECHNOLOGY • RARE EARTHS SEPARATION TECHNOLOGY LICENCE: Rainbow has exclusive rights to K-Tech rare Project Overview: Phalaborwa Project earths separation technology across the SADC region of Africa for us
Slide 14: Phalaborwa: an environmentally friendly source of NdPr
PHALABORWA – AN ENVIRONMENTALLY FRIENDLY SOURCE OF NdPr CLEANING UP EXISTING ENVIRONMENTAL LIABILITIES EXISTING ENVIRONMENTAL ISSUES Project Overview: Phalaborwa Project The 38Mt Phalaborwa gypsum stacks from >50 years of phosphoric acid production currently represent an environmental liability fo
Slide 15: Ongoing testwork continues to de-risk project
PHALABORWA ONGOING TESTWORK CONTINUES TO DE-RISK PROJECT AHEAD OF DELIVERY OF TECHNICAL STUDY On signing the Phalaborwa earn-in agreement a number of risks were identified, typical for rare earth elements contained in PhosAcid production Project Overview: Phalaborwa Project residue, that required te
Slide 16: Phalaborwa: an ideal location for a new operation
PHALABORWA AN IDEAL LOCATION FOR A NEW OPERATION • Brownfield site near established Site boundary Project Overview: Phalaborwa Project mining town • Agreed location for new deposition of clean treated gypsum in a ‘green’ stack • Space for new processing Existing plant area infrastructure within exis
Slide 17: Excellent local infrastructure
PHALABORWA EXCELLENT LOCAL INFRASTRUCTURE SASOL’S PILOT PLANT REMAINS ON SITE WITH [INSERT PICS FROM DAVE] Project Overview: Phalaborwa Project ASSOCIATED INFRASTRUCTURE OF PHOSPHORIC ACID PLANT, INCLUDING: • High voltage switchyard (providing access to Eskom grid power) • Equipped machine shops • W
Slide 18: Project Overview: Gakara Project
PROJECT OVERVIEW GAKARA PROJECT Project Overview: Gakara Project 18 Rainbow Rare Earths Limited Corporate Presentation – November 2021
Slide 19: High-grade rare earth mineral concentrate production in Burundi
HIGH-GRADE RARE EARTH MINERAL CONCENTRATE PRODUCTION FROM LARGE MINERALISED SYSTEM IN BURUNDI TRIAL OPERATIONS HAVE DEMONSTRATED AMENABILITY TO SIMPLE MINING AND PROCESSING TO PRODUCE HIGH GRADE MINERAL CONCENTRATE Project Overview: Gakara Project • 39km2 mining permit located just south of Bujumbur
Slide 20: Rainbow adopts a sustainable approach
RAINBOW ADOPTS A SUSTAINABLE APPROACH ENGAGING WITH LOCAL COMMUNITY AT GAKARA TO ENSURE BENEFITS FOR ALL STAKEHOLDERS ZERO HARM POLICY: Committed to ensuring that staff, contractors and visitors remain healthy and safe from harm: Project Overview: Gakara Project 1 million+ hours achieved without a
Slide 21: Progressing mining at Gakara to mechanical methods
PROGRESSING MINING AT GAKARA TO MECHANICAL METHODS TRIAL MINING HAS PROGRESSED FROM SMALL-SCALE MANUAL …TO BULK MECHANICAL WASTE MINING AND SELECTIVE MECHANICAL FOCUSSED OPERATION… MINING METHOD Project Overview: Gakara Project • A second new mining fleet has been operating at site improving efficie
Slide 22: JORC exploration target from across the licence
JORC EXPLORATION TARGET FROM ACROSS THE LICENCE Gasagwe – Trial mined by Rainbow between 2017–2019 Murambi South – Currently being trial mined by Rainbow. producing 1,200t high grade concentrate. Production data and vein mapping data delivered updated Production data and vein mapping data delivered
Slide 23: Summary
SUMMARY RAINBOW: A STRATEGIC SOURCE OF RARE EARTH Summary MINERALS FOR A GROWING MARKET 23 Rainbow Rare Earths Limited Corporate Presentation – November 2021
Slide 24: A strategic source of rare earth minerals for a growing market
RAINBOW A STRATEGIC SOURCE OF RARE EARTH MINERALS FOR A GROWING MARKET Rainbow Rare Earths is uniquely positioned to benefit from the expected growth in the demand for Rare Earths to power the Green Revolution • Rainbow has both project and country risk diversification from two potentially world-cla
Slide 25: Thank You
RAINBOW RARE EARTHS THANK YOU Contact us: GEORGE BENNETT PETE GARDNER CEO CFO SA Mobile: +27 82 652 UK Mobile: +44 771 779 4251 Office Number: + 27 11 996 3500 Skype: petegardner73 Skype: George.bennett72 Email: peteg@rainbowrareearths.com Email: georgeb@Rainbowrareearths.com
Slide 26: Appendices
APPENDICES Appendices 26 Rainbow Rare Earths Limited Corporate Presentation – November 2021
Slide 27: Our Executive Management
OUR EXECUTIVE MANAGEMENT GEORGE BENNETT DAVE DODD CEO TECHNICAL DIRECTOR • 25 years in finance and management, including as partner in stockbroking/advisory • 45 years of extractive metallurgy experience firms in SA • Metallurgical Project Consultant • Former CEO of Shanta Gold Ltd, successfully lis
Slide 28: Our Board – Non-Executive Directors
OUR BOARD – NON-EXECUTIVE DIRECTORS ADONIS POUROULIS J PETER PHAM NON-EXECUTIVE CHAIRMAN NON-EXECUTIVE DIRECTOR • Mining engineer: an entrepreneur whose expertise lies in the discovery, exploration • Scholar and practitioner of International Affairs with more than 20 years of and development of natu
Slide 29: Key Shareholder Information
KEY SHAREHOLDER INFORMATION BOARD SHAREHOLDINGS Shareholder Holding Ticker Market Market cap Share price Shares in Brokers issue Adonis Pouroulis* 14.9% RBW.L LSE £81.9m 15.88p 512m SP ANGEL George Bennett* 6.8% Appendices Shawn McCormick* 1.8% SHARE PRICE GBP Alexander Lowrie 1.2% Robert Sinclair 1
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