Vulcan Energy Resources Ltd. · ASX:VUL
Vulcan Energy Resources — Shareholder Meeting (September 2020)
35 slides from Vulcan Energy Resources's shareholder meeting presentation, Sep 10, 2020
Slide 1: Zero Carbon Lithium
For personal use only Zero Carbon Lithium TM
Slide 2: Disclaimer
Disclaimer For personal use only The information contained in this presentation has been differ materially from results ultimately achieved. COMPETENT PERSON STATEMENT prepared by Vulcan Energy Resources Ltd. This presentation VUL does not make any representations and provides The information in thi
Slide 3: Vulcan – Zero Carbon Lithium
Vulcan – Zero Carbon LithiumTM For personal use only In The Heart Of The Agreement with German Fastest Growing Lithium Geothermal Operator High Carbon World-first Zero Carbon Market In The World Footprint Of Existing Lithium™ Project Supply Chain Largest Lithium Team of World DLE & Geothermal Resour
Slide 4: Why Vulcan?
Why Vulcan? I.ENVIRONMENTAL IMPACT For personal use only We exist to decarbonize the currently high carbon production footprint of lithium-ion batteries used in electric vehicles by producing a world-first Zero Carbon Lithium™ hydroxide CO2 That’s equivalent to the 1.05 Billion product from our geot
Slide 5: Environmental concerns
Environmental concerns I.ENVIRONMENTAL IMPACT For personal use only Lithium extraction in South America evaporates large quantities of water in one of the driest places on earth. This stresses the environment and local communities. Hard rock mines for lithium are unpopular. Once you mine it, the roc
Slide 6: Carbon intensity
Carbon intensity I.ENVIRONMENTAL IMPACT For personal use only 15 13-15 TONNES* (tCO2/tLiOH•H20) INTENSITY 10 CARBON 5 5 TONNES* 0 Hard-Rock Salar-Type Brines Spodumene Significant CO2 Refining in China High water Coal power consumption Vulcan High CO2 Geothermal Brine *See Minviro LCA Study, The CO2
Slide 7: Vulcan to offset CO2 penalties for automakers
Vulcan to offset CO2 penalties for automakers I.ENVIRONMENTAL IMPACT For personal use only CO₂ Emissions Linked to Lithium Production Penalties currently only target Hard Rock Mining VW’s target: 28M EVs by 2028 vehicles’ emissions but not their supply chain This is likely to change shortly with new
Slide 8: Energy transition – the fossil-nuclear era in Europe coming to an end
Energy transition – the fossil-nuclear era in Europe coming to an end II. EUROPE For personal use only 2020 2030 2040 2050 Europe is aiming for carbon neutrality, but the EU’s energy transition is far from being complete: 30.7% RE in Power Renewable 19.5% RE in Heat Energy (RE) 7.6% RE in Transport
Slide 9: Europe: fastest growing lithium market
Europe: fastest growing lithium market EUROPEAN LITHIUM-ION BATTERY II. EUROPE CELL PRODUCTION FORECAST TO 2029 For personal use only Europe is undergoing a once-in-a-lifetime switch to electric vehicles. This has made it the fastest growing lithium-ion battery 2029 production centre in the world. >
Slide 10: Location: centre of fastest growing lithium market
Location: centre of fastest growing lithium market II. EUROPE Vulcan’s negligible distance to markets is a cost advantage as well as carbon advantage For personal use only Brandenburg, 2021 Skellefteå, 2021 CAPACITY UNKNOWN 32 GWh LATER 40 GWh Salzgitter, 2024 Brandenburg, 2021 16 GWh, LATER 24 GWh
Slide 11: Vulcan will capitalize on the fastest growing lithium market
Forecast demand Vulcan Energy target market Vulcan will capitalize on the fastest growing lithium market II. EUROPE in the world, which has zero local supply For personal use only By 2029, Europe will require >0.4Mt of Lithium Hydroxide EU FORECAST LITHIUM Future growth possible for Vulcan: not reso
Slide 12: Vulcan financially supported by the EU
Vulcan financially supported by the EU II. EUROPE For personal use only May ‘20: Agreement signed with EU-backed body to launch Vulcan Zero Carbon Lithium™ Project EIT InnoEnergy will marshal its ecosystem and significant EU-wide resources to launch the Zero Carbon Lithium™ Project forward: Securing
Slide 13: A perfect fit for the European Green Deal
A perfect fit for the European Green Deal II. EUROPE For personal use only Mobilising research and fostering innovation Increasing the EU’s Climate A zero pollution ambition ambition for 2030 and 2050 for a toxic-free environment Supplying clean, affordable and secure energy Mobilising industry for
Slide 14: We scoured the globe to find the right project
We scoured the globe to find the right project III. OUR PROJECT LITHIUM CONCENTRATION For personal use only 181 IN BRINE (MG/L LI) We had the lithium expertise to know 181 that Zero Carbon Lithium production was possible using modern extraction methods, provided a deep geothermal 77 brine reservoir
Slide 15: Birth of the Vulcan project
Birth of the Vulcan project III. OUR PROJECT For personal use only A PERFECT FIT Market Demands in Vulcan value propositions EU & Germany & revenue streams Zero Carbon Lithium™ Core Market Zero Carbon Heating Secondary Market Zero Carbon Electricity 15
Slide 16: Largest lithium resource in Europe
LARGEST Largest in Europe LITHIUM 15.37 III. OUR PROJECT RESOURCE IN EUROPE For personal use only We used our geological expertise to pick out the best areas in the Upper Rhine 7.17 Valley for sub-surface lithium grade and potential flow rate. We secured exclusive rights to these areas: GERMANY Very
Slide 17: Commercially mature technologies combined
Commercially mature technologies combined III. OUR PROJECT For personal use only Our process replicates existing operations taking place commercially across the world. What is unique about us is the combination of those different steps. Binary Cycle Direct Lithium Lithium 1 Geothermal Plant 2 Extrac
Slide 18: Our Zero Carbon Lithium Process
Our Zero Carbon Lithium™ Process IV. DIRECT LITHIUM EXTRACTION Geothermal Brine for Re-Injection For personal use only Brine (165°C) without Lithium (65°C) • Hot brine is extracted from the ground 1 and generates steam that powers turbines and produces renewable electricity 1 • They are standard geo
Slide 19: DLE Geothermal: a better way
Atacama Desert in Chile, the world’s second driest DLE Geothermal: a better way desert. IV. DIRECT LITHIUM EXTRACTION For personal use only DLE technologies paired with geothermal brines have a number of major advantages compared to South American brines, including: 1. Extraction rate and efficiency
Slide 20: The Vulcan Advantage: Size, Grade, Heat & Jurisdiction
The Vulcan Advantage: Size, Grade, Heat & Jurisdiction IV. DIRECT LITHIUM EXTRACTION For personal use only Controlled Thermal Vulcan Resources Standard Lithium Size (Mt LCE) 15.37 2.7 3.1 Grade (mg Li/L) 181 181 168 Renewable Heat Source? Yes Yes No Jurisdiction Risk Low Low Low Stage Scoping Study
Slide 21: Cost Advantage Of Geothermal Lithium Brines
Cost Advantage Of Geothermal Lithium Brines Brine projects are the lowest cost method of lithium IV. DIRECT LITHIUM EXTRACTION hydroxide production, For personal use only typically around US$5-7,000/t. (Source: Canaccord). If you’re producing battery-quality lithium hydroxide chemicals, the price Ou
Slide 22: The Vulcan Zero Carbon Lithium team: Board
The Vulcan Zero Carbon LithiumTM team: Board V. TEAM & TIMELINE Lithium, Renewable Energy & Project Finance Experience For personal use only Dr. Francis Dr. Horst Gavin Ranya Rob Wedin Kreuter Rezos Alkadamani Ierace MANAGING DIRECTOR CO-FOUNDER & CHAIR – INVESTMENT NON-EXECUTIVE DIRECTOR – CFO / CO
Slide 23: Management, Technical Team & Consultants
Management, Technical Team & Consultants V. TEAM & TIMELINE World-Renowned Geological, Chemical & Engineering Expertise For personal use only Dr Katharina Dr. Thomas Vincent Ledoux Alex Thorsten Gerber Aicher Pedailles Grant Weimann LITHIUM PROJECT LITHIUM CHEMICAL VICE PRESIDENT – BUSINESS DLE TECH
Slide 24: Where to from here?
Where to from here? V. TEAM & TIMELINE For personal use only PRE- DEFINITIVE SCOPING FEASIBILITY FEASIBILITY GROWTH STUDY STUDY STUDY SCALE-UP WITH MARKET We completed our We have In 2021 we want We are then We plan to grow Scoping Study in commenced our to complete our planning with the just six mo
Slide 25: Share Price & Capital Structure
Share Price & Capital Structure INSTITUTIONAL V. TEAM & TIMELINE 8% For personal use only 28% ASX : VUL BOARD & MANAGEMENT 64% Shares on Issue 68,957,056 RETAIL Options (28.5c expiring in January 2021) 10,680,458 Performance Milestone Shares* 8,800,000 Performance Rights* 4,250,000 Market Capitaliza
Slide 26: Vulcan summary: best-in-class for the 2020s
Vulcan summary: best-in-class for the 2020s For personal use only WORLD’S 1ST & POSITIVE SIZE & QUALITY: LOCATION ONLY ZERO- SCOPING EUROPE’S CENTRE OF LOCAL RAPIDLY CARBON STUDY: DUAL LARGEST FASTEST PARTNERS & THE RIGHT ADVANCING LITHIUM™ REVENUE EU BACKING LITHIUM GROWING INFRASTRUCTURE TEAM FOR
Slide 27: Thank you
For personal use only Thank you @VulcanEnergyRes V-er.com info@v-er.com ASX:VUL FRA:6KO 27
Slide 28: Appendix
For personal use only APPENDIX 28
Slide 29: Appendix 1: proud members of a leading-edge industry
Appendix 1: proud members of a leading-edge industry For personal use only 29
Slide 30: Appendix 2: information for slide
Appendix 2: information for slide 16 For personal use only Lithium Cauchari-Olaroz, Chile (50% own- Resource Statement Americas NYSE:LAC ership. Thacker Pass not Included) Construction Measured, Indicated & Inferred 7.8 x 109 M3 592 mg/l Li 24.6 7 May 2019 AVZ Minerals Company Presentation ASX:AVZ M
Slide 31: Appendix 3: information for slides
Appendix 3: information for slides 20 For personal use only Contained Brine Volume Resource Grade Information Source Company Project Stage Resource Category (km3) LCE Tonnes Controlled Thermal Resources Hell’s Kitchen PEA Complete Inferred Unknown 181 mg/l Li 2.7 Company Website Standard Lithium LAN
Slide 32: Appendix 4: Time to market
Appendix 4: Time to market For personal use only Maiden JORC Resource & MoU Agreement with German Plant Operator Scoping Study & LCA Completion PFS DFS Permitting, Financing, Construction Staged Commercial Operation 2020 2021 2022 2023-2024 32
Slide 33: Appendix 5: decarbonisation potential calculations
Appendix 5: decarbonisation potential calculations For personal use only Decarbonisation potential for Zero Carbon Lithium process: Based on 50 kWh average lithium- ion battery size, with average of 0.9 kg LCE/kWh across different cathode chemistries. Total 1.4B vehicles in use worldwide 6 million (
Slide 34: Appendix 6: aligned with UN Sustainable Development Goals
Appendix 6: aligned with UN Sustainable Development Goals For personal use only Gender equality Affordable and clean energy Decent work and economic growth Industry, innovation and infrastructure Sustainable cities and communities Responsible consumption and production Climate action 34
Slide 35: Thank you
For personal use only Thank you @VulcanEnergyRes V-er.com info@v-er.com ASX:VUL FRA:6K) 35
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