Lake Resources N.l. · ASX:LKE
Lake Resources N.l — Corporate Update (June 2023)
27 slides from Lake Resources N.l's corporate update, June 2023
Slide 1: Investor Update
Investor Update June 2023
Slide 2: Disclaimer
Disclaimer General Statement and Cautionary Statement This presentation has been prepared by Lake Resources N.L (Lake) for information purposes and meetings with sophisticated and professional investors, institutional investors and brokers and not any particular party. The information in this presen
Slide 3: Company Overview
Company Overview Lake Resources NL (ASX:LKE; OTC:LLKKF) is a responsible developer of lithium from its flagship Kachi Project, in the Catamarca Province of Argentina, in addition to owning three other lithium brine assets in Argentina. We have an OUR VISION international team with extensive experien
Slide 4: Industry-Leading Management Expertise
Industry-Leading Management Expertise Experienced, well-credentialed and highly motivated management team ready to deliver on Lake’s new strategy and accelerate the Company’s next growth phase David Dickson, Managing Director / CEO Core Functions Support Functions Scott Munro Sean Miller Amalia Saen
Slide 5: Argentina's Significant Lithium Assets
Argentina’s Significant Lithium Assets Argentina is an attractive location for lithium investment on a global scale, not only due to its vast lithium resource base, but also given the supportive regulatory and legal environment. Lake is well positioned to optimize its lithium assets, resources and r
Slide 6: Project Kachi: A New, Phased Approach
Project Kachi A New, Phased Approach 6
Slide 7: Project Concept Reset
Project Concept Reset Track record of achievement over nine months Notes: 1. DLE = Direct Lithium Extraction 2. Refer to ASX announcement dated 11 January 2023 3. Refer to ASX announcement dated 12 January 2023 4. Refer to ASX announcement dated 12 January 2023 5. Refer to ASX announcement dated 4 A
Slide 8: Exceptional Operational Team
Exceptional Operational Team Jonathan Nielsen Jonah Smith Jonathan Whittier Michael Gabora Process Technology Drilling and Hydrogeology Drilling and Hydrogeology Drilling and Hydrogeology 30+ years of experience 25+ years of experience 20+ years of experience 25+ years of experience Lake's operation
Slide 9: Project Concept Reassessment & Validation
Project Concept Reassessment & Validation Outcome of Preliminary Assessment Phased development to 50,0001 tpa of battery grade Gaps identified in the following areas § Power supply and demand lithium carbonate § Resource knowledge and reservoir performance § Logistics and supporting infrastructure §
Slide 10: New Path to First Lithium
New Path to First Lithium New Production Plan: Two Phases to 50Ktpa target1 Production Plan New Plan Old Plan Planned modular plant expansion (Ktpa LCE) 50 Fastest path to first lithium production P O Phased multi-train approach de-risks project 40 execution “design-1-build-many” P O 30 Reduced reli
Slide 11: Significant Resource Growth
Significant Resource Growth True Scale of Resource expansion to 8.1 million tonnes LCE from January 2023 update: Deposit is Emerging § Measured resource has increased ~37% from 1.6 to 2.2 million tonnes LCE Resources in Million Tonnes LCE § Indicated resource has increased ~24% from 0.58 to 0.72 mil
Slide 12: Additional Lithium Discovery
Additional Lithium Discovery New brine found north and south of previously measured resource § 283 mg/L at K22 in northern expansion area § 219 mg/L at K21 in southern expansion area § K21 is shallow and may have better grades at depth § Infilling necessary for higher confidence (i.e., indicated and
Slide 13: Successful Extraction and Reinjection
Successful Extraction and Reinjection Proven extraction and reinjection without significant disruption to KB Water storage water tables (Injection Point) between wells § Tested upper reservoir § High reservoir permeability § Extrapolates to high well production rates (~65 liters per second) Indicati
Slide 14: DLE Process Proven
DLE Process Proven Major Milestones Achieved in Process flow sheet proven from brine Kachi Demonstration Plant using to battery grade lithium carbonate Lilac DLE Technology § DLE demonstration plant continuously operational for more than 2,500 hours with 90% uptime § Highly selective process with co
Slide 15: Cleaner Lithium by Design
Cleaner Lithium by Design Higher Lithium Recovery Lower Water Usage2 Four key pillars underpin our quality-conscious commitment to sustainability Hardrock1 Evaporation Ponds Kachi DLE6 Lower Land Usage2,5 Lower Solid Waste Volume3,4 Note 1. Hard rock based on mining, processing, and refining 1% spod
Slide 16: Power Solution Development
Power Solution Development Lake plans to have an off-grid power solution in Phase 1 for commissioning, start-up and Power Solution Six-Month Plan emergency backup, followed by a transition to grid power Grid power solution expected to be available on site in H2 2027 § Completed initial technical fea
Slide 17: Kachi Development Timeline
Kachi Development Timeline Key Milestones Targeted Timeline 2023 2024 2025 2026 2027 2028 2029 2030 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Bankable DFS Completion for Phase 1 (25Ktpa) Dec. 2023 Phase 1 EIA Submission Q1 2024 Phase 2 FEED Q1 – Q3
Slide 18: Outputs from Internal Preliminary Analysis
Outputs from Internal Preliminary Analysis (Not DFS Numbers) All numbers in USD Illustrative Phase 1 EBITDA Phase 1 – 25Ktpa LCE Impact of Lithium Prices Target Production Capacity (US$M) e 7 p ric $365M $1.4B - $2.1B 17% - 24% m sp ot Annual Average EBITDA2,3,5 Pre-Tax NPV2,3,6 Pre-Tax IRR2,3 lit h
Slide 19: Phased Approach Reduces Risk And Unlocks Value
Phased Approach Reduces Risk And Unlocks Value 3-year ramp up to 50ktpa Target Capacity by 2030 Phase 1 50 ktpa Phase 2 Capacity Available 37.5 ktpa Capacity Available 25 ktpa Capacity Available 12.5 ktpa Capacity Available 2027 2028 2029 2030 2031+ Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 20: Project Stakeholders' Continued Support
Project Stakeholders’ Continued Support These project stakeholders are supportive of our new execution plan Technology Project Finance Offtake 20
Slide 21: Strong Community Engagement
Strong Community Engagement Building a strong relationship with surrounding communities § Daily work to maintain and monitor Lake’s Social License to Operate § Committed to ensuring our people and our project are understood and accepted by all members of the communities in which we plan to operate §
Slide 22: Project Kachi: Next Steps
Project Kachi Next Steps 22
Slide 23: Next Six Months
Next Six Months Reservoir § Completion of DFS Field Test Work (end of pumping) § Complete Groundwater Model Lithium Carbonate Demo Plant § Completion of demo plant test work EPCM § Select FEED / EPCM Contract Partner Bankable DFS § DFS for Phase 1 Complete Power § Power solution selected Funding § D
Slide 24: Positioned for Success
Positioned for Success Credible, Achievable and De-risked § Potential resource expansion to 8.2 million tonnes LCE § ~40% increase in Measured and Indicated Resource and 67% increase in Inferred Significant Resource Resource Growth § Higher lithium grades from new discoveries § Brine footprint expan
Slide 25: Thank you!
Thank you!
Slide 26: Appendix
Appendix 26
Slide 27: Non-GAAP Financial Measures
Non-GAAP Financial Measures Definitions Note: These financial definitions are alternative performance measures that are not defined or specified under IFRS or AASC standards and for which there are no generally accepted reporting formats § EBITDA = Earnings before Interest, Taxes, Depreciation and A