Lomiko Metals — Investor Presentation (July 2022)
34 slides from Lomiko Metals's investor presentation, July 2022
Slide 1: Lomiko Metals: a people first company
Lomiko Metals: a people first company Developing a pipeline critical mineral properties in Quebec for a North American climate success story Lomiko Metals Inc. July 2022 1
Slide 2: Disclaimer
DISCLAIMER This presentation is not a prospectus, offering memorandum or an advertisement and is being provided for information purposes only and does not constitute or form part of, and should not be construed as, an offer or invitation to sell or any solicitation of any offer to purchase or subscr
Slide 3: Land Acknowledgement
Land Acknowledgement We would like to begin by acknowledging that the land/projects where we operate are located within the traditional land of the Algonquin Anishnaabeg and Cree Eeyou Istchee Peoples. Our vision is to embrace Indigenous people and Indigenous values within our projects in order to d
Slide 4: Natural flake graphite is the most important component in all EV batteries
Natural flake graphite is the most important component in all EV batteries on the market today • 95% of the anode is made of graphite and it is the heaviest mineral in the EV battery making it costly and unsustainable to import into North America • Lomiko is developing the strategic stockpile of cho
Slide 5: The challenge is lack of supply in North America
The challenge is lack of supply in North America • Current capacity at 769 GWH wit • There is demand for 800,000 of SPG per year, or 1.6Mt pa of graphite concentrate per year • This is 100% more of theGraphite and lithium in supply bottleneck graphite in the market today….Lomiko can provide 10% of t
Slide 6: Lomiko purpose: Operator of choice in Quebec
Lomiko purpose: Operator of choice in Quebec By putting people first We are building a strategic stockpile of critical Strong investment proposition and leading minerals assets in Quebec with vision and values ✔ 3mt tons of in situ graphite at 100% owned La ✔ 1 of 17 ECOLOGO-certified mining Loutre
Slide 7: Why investing in Quebec is the right choice
Why investing in Quebec is the right choice Quebec critical minerals and Lomiko can generate premium pricing • The Quebec Mineral Exploration Association (“QMEA”) ECOLOGO recognizes and promotes environmental, social and economic best practices: the first certification of its kind for mineral explor
Slide 8: 1.5m of EVs in Quebec requires 300,000tpa of graphite concentrate
1.5m of EVs in Quebec requires 300,000tpa of graphite concentrate 1.5m EVs in Quebec by 2030 means 150 GWh of capacity needed for batteries per Annum • Spherical Graphite requirement for 150GWh battery capacity is 150,000tpa • Graphite Concentrate 95% Cg requirement for 150GWh capacity is 300,000tpa
Slide 9: Early achievements from the new Lomiko team - 2022
Early achievements from the new Lomiko team - 2022 ESG and business purpose ✔ Community engagement sessions held and retained a strategic advisor to work with Kitigan Zibi community ✔ Completed 10 months of the baseline studies ✔ Ecologo – completed certification process ✔ Long term working relation
Slide 10: Natural flake graphite is highly amenable product for the EV battery industry
Natural flake graphite is highly amenable product for the EV battery industry Natural Graphite deposits of economic interest are grouped into three main categories • Amorphous (microcrystalline) Cg % - 60 - 99.9 • Vein Graphite (lump and chip) Cg % - 90 - 99.0 • Flake Graphite (crystalline) Cg % - 8
Slide 11: Graphite shortfall starting in 2027
Graphite shortfall starting in 2027 Shortfall to increase to 8Mt by 2040 Graphite Market Balance - Projected Demand and Supply (Mt) DEMAND IS EXPECTED TO EXCEED SUPPLY BY 2023 – AND CONTINUE BEYOND La Loutre Projected start www.lomiko.com TSXV: LMR OTC: LMRMF FRANKFURT: DH8C 11 Source: Benchmark Min
Slide 12: Lomiko Metals catalysts
Lomiko Metals catalysts For long term solution to our EV industry La Loutre New Grenville properties Bourier Graphite Graphite Lithium • Infill and extension • 6 new projects • Surface and airborne diamond drill program program starts July • Potentially feed centralized • Met testing processing faci
Slide 13: Critical Minerals Map of Quebec-new land package
Critical Minerals Map of Quebec-new land package New Staking Areas www.lomiko.com TSXV: LMR OTC: LMRMF FRANKFURT: DH8C 13
Slide 14: Lomiko new natural flake graphite claims: 14,255 hectares
Lomiko new natural flake graphite claims: 14,255 hectares of mineral claims • 236 claims in total, on 6 projects in the Laurentian region of Quebec and within KZA territory • Within a 100 km radius of the Company’s flagship La Loutre graphite project • Large disseminated flake graphite mineralizatio
Slide 15: La Loutre graphite project close to infrastructure
La Loutre graphite project close to infrastructure with great geological setting La Loutre • Stage of development: Preliminary Economic Assessment ("PEA") • Starting Preliminary Feasibility Study • Initiated infill-drill program • Initiated metallurgical studies • Concession size: 4,528 ha • Locatio
Slide 16: La Loutre: PEA establishes a critical path ahead
La Loutre: PEA establishes a critical path ahead for improvements and project de-risking • Resources: Ind 23.2 Mt @ 4.51% Cg for 1 Mt of graphite and inf 46.8 Mt @ 4.01% Cg for 1.9 Mt of graphite using cut-off grade of 1.5% Cg. La Loutre Graphite Project • PEA - LOM plant production of 21,8 Mtonnes
Slide 17: La Loutre: PEA Layout – great base to build on
La Loutre: PEA Layout – great base to build on No conventional tailings facilities • Waste rock and tailings co-disposed WASTE ROCK & • Efficient site water management EV ZONE CODISPOSAL PILE • Pits sequenced to maximize the returns starting from North – EV Pits to South – Battery Pits • Stockpiles
Slide 18: La Loutre study priorities underway
La Loutre study priorities underway Continue with Community and First Nations engagement and communications • Meeting with the local communities and all stakeholders and shareholders are ongoing Continue with environmental baseline studies • Complete 4 full seasons of Environmental Baseline studies
Slide 19: 2022 drilling program underway – Actual drilled
2022 drilling program underway – Actual drilled Infill and extension drilling along the strike of the deposits to confirm ore body shape, quality and extents Focus on higher grade EV Zone • Approximately 30 to 50 drill holes in EV Zone – up to 9,000 meters planned drilled to date 30 holes for 5,000m
Slide 20: La Loutre initial metallurgical program confirms high purity concentrate
La Loutre initial metallurgical program confirms high purity concentrate Expanded Graphite +80 & +50 mesh • ProGraphite (Germany) and Corem (Quebec) confirm graphite from La Loutre is suitable for a wide range of traditional markets such as refractories, crucibles and friction products, or expanded
Slide 21: La Loutre metallurgical program Next steps
La Loutre metallurgical program Next steps Next steps: • Metallurgical sample selected from the existing core from EV and Battery zones • 800kg of the core was sent to SGS Lakefield for testing • SGS started with the sample preparation and initial met work in June 2022 • Produce flotation concentrat
Slide 22: Corporate budget requirements
Corporate budget requirements The regional exploration program and Bourier work is being funded with Canadian Flow Through financing Phase 1 at La Loutre Cost ($M) To PFS for La Loutre Cost ($M) Resource Drilling $3.5 Mining & Mining Geotechnical $0.7 Metallurgy $0.6 Infrastructure Geotechnical $1.0
Slide 23: NPV scenario analysis: leveraged to graphite price increases
NPV scenario analysis: Positively leveraged to expected graphite price increases • PEA used a graphite concentrate selling price of US $916/t. • The current forecast selling price is US $1,000/t of graphite concentrate (source: Benchmark). • Current public information indicates selling price of over
Slide 24: Bourier lithium project: highly prospective region
Bourier lithium project: highly prospective region Bourier Adjacent Properties: Galaxy Resources Nemaska Lithium Critical Elements 1. Rose Tantalum Project FS stage 2. Lemare Property: ▪ New Discovery – March 2017 Drilling 21m @ 2.65% Li2O 41.5m @ 1.71% Li2O 23m @ 1.61% Li2O www.lomiko.com TSXV: LMR
Slide 25: Bourier lithium project
Bourier lithium project Bourier 2021 Field Work Summary ▪ The analytical results feature high-grade values for zinc and tungsten and anomalies in lithium-tantalum-cesium and gold. ▪ The lithium-tantalum-cesium anomalies represent an unprecedented discovery and spans along a 2.5 km long NE-trending m
Slide 26: Bourier lithium project identifies exploration targets with Li anomalies
Bourier lithium project identifies exploration targets with Li anomalies 2021 Exploration Results Bourier Exploration Program 2022 ▪ Located on Nemiscau greenstone belt and Critical Elements south-east of the Cree Eeyou Istchee James Bay territory in Quebec. ▪ Summer: intensifying prospection over a
Slide 27: Comparable company analysis demonstrates value creation potential
Comparable company analysis demonstrates value creation potential July 1, 2022 www.lomiko.com TSXV: LMR OTC: LMRMF FRANKFURT: DH8C 27
Slide 28: Diverse leadership with solid experience building businesses
Diverse leadership with solid experience building businesses MANAGEMENT TEAM BOARD OF DIRECTORS STRATEGIC ADVISORS Belinda Labatte, CEO, CFA, MBA, ICD.D A. Paul Gill, Executive Chair Normand Champigny, CEO 20 years experience in capital markets. Fluent in CEO of Pampa Metals, Lomiko Technologies, an
Slide 29: Capital Structure
Capital Structure As at July 1, 2022 Shares Issued & Outstanding 277.7M Market Cap (May 2) $13.8M Options 13.4M Cash $5.2M Warrants 91.3M Debt $- Share Units (PSU/RSU/DSU) 8.9M Total Enterprise Value $8.6M Fully Diluted 391.3M Source: Company Data Management & Insider Ownership % 6.6% www.lomiko.com
Slide 30: Lomiko generating momentum in 2022
Lomiko generating momentum in 2022 THE LOMIKO GRAPHITE OPPORTUNITY PLUS OTHER CATALYSTS LA LOUTRE Large resource 70mt Bourier lithium EV BATTERY Drill program @ 4.1%cg (Inferred exploration DEMAND TO underway to and Indicated) Annual growth increase resource La Loutre drill rate: 30% 3mt of graphite
Slide 31: Global battery supply opportunities are significant
Global battery supply opportunities are significant Battery manufacturers and GWH capacity worldwide ▪ Current capacity 600 GWh ▪ Projected capacity by 2030 5,500GWh (China 3,000GWh) ▪ China accounted for 90% of the world’s battery manufacturing in 2021. By the end of the decade, the region is expec
Slide 32: Bourier lithium assets close to infrastructure
Bourier lithium assets close to infrastructure Bourier Bourier Lithium Project Stage of development: Early-Stage exploration ▪ Concession size: 10,252 ha ▪ Location: Quebec, Nemaska ▪ Lomiko to earn up to 70% of Bourier with milestone payments – first kop ▪ Geology - volcanic-sedimentary unit Lithiu
Slide 33: Bourier lithium project targeting
Bourier lithium project targeting AI Targeting at Bourier (2021) GoldSpot highlighted lithium exploration targets at the Bourier project, using both traditional and machine learning approaches with various combinations of the numeric and categoric data and interpretations generated from the geoscien
Slide 34: Canada's federal gov't announces: All new cars will be electric by 2035
July 2021 Canada's federal gov't announces: All of Canada’s new cars will be electric by 2035 To reach even 50% of EV penetration in vehicles requires 20x increase in battery supply. The challenge: Renewable energy supercentres, longer life batteries, and charging stations can and should be sourced