Lynas Rare Earths Limited · ASX:LYC
Lynas Rare Earths — Lynas — Investor Presentation (March 2014)
11 slides from Lynas Rare Earths's investor presentation, March 2014
Slide 1: Lynas Corporation: Rare Earths – we touch them everyday
Lynas Corporation Rare Earths – we touch them everyday Lynas Offers Sustainable RE Business Model For Customers and Producers March 2014
Slide 2: Disclaimer
Disclaimer This Presentation has been prepared by Lynas Corporation Limited (ABN 27 009 066 648) (Lynas or the Company). This Presentation contains summary information about Lynas and its subsidiaries (Lynas Group) and their activities current as at the date of this Presentation. The information in
Slide 3: Lynas offers long term RE supply security supporting market growth
Lynas offers long term RE supply security supporting market growth A new environmentally sustainable source of RE supply The ability for end users to enter into long term supply contracts securing quantities and prices Specific partnerships with downstream processors in order to close and secure the
Slide 4: Lynas RE distribution: 45% Cerium, 25% Lanthanum, 25% NdPr, 5% Heavies
Lynas RE distribution: 45% Cerium, 25% Lanthanum, 25% NdPr, 5% Heavies ANTICIPATED LAMP PHASE 1 + 2 ─ 22,000t REO CAPACITY Major Applications VOLUMES (tpa) Autocat, NiMH batteries, Chemical Ce carbonate, oxide 5,200 Catalysis, UV cut La carbonate, oxide 2,700 FCC, NiMH batteries Ce / La and Ce / La
Slide 5: RE market outlook – key demand side trends
RE market outlook – key demand side trends A number of key trends will drive the future growth of the global RE market 1 Energy efficient and green applications continue to accelerate strong NdPr Estimated REO demand in magnet industry demand growth 50 Wind energy, HEV/EVs, general auto, energy ef
Slide 6: RE market outlook – key demand side trends
RE market outlook – key demand side trends A number of key trends will drive the future growth of the global RE market 3 NiMH battery technology is continued Chinese exports of lanthanum products (REO equivalent) to be used in HEVs, potentially securing La demand in the future 18000 Chinese export
Slide 7: 2012-2020F REO Demand Growth (CAGR)
RE market outlook – forecast demand by end market in 2020 End market demand in 2020 and demand growth rates End Market Historic vs. Forecast RE Demand Growth(1)(2) NiMH Batteries Magnets Autocatalysts FCCs Metallurgy & FerroSilicon Phosphors Polishing 15% 2012-2020F REO Demand Growth (CAGR) Magnets
Slide 8: 2012-2020F REO Demand Growth (CAGR)
RE market outlook – forecast elemental balance in 2020 Elemental market balances and demand growth rates RE Element Forecast Demand Growth vs. Forecast Supply Balance (1)(2)(3) La Ce NdPr Sm Eu Gd Tb Dy Y 12% La 2012-2020F REO Demand Growth (CAGR) 10% 43.1ktpa Gd Ce 1.2ktpa 8% Sm 35.7ktpa 0.6ktpa 6%
Slide 9: Move from a speculative market to a business model providing price visibility and security
Move from a speculative market to a business model providing price visibility and security 1 Fears of a RE supply shortage leads to market 250 panic and over- China Domestic RE Prices purchasing of REs (above China FOB RE Prices 1 actual consumption) Unsustainable RE price 2 Results in a build of in
Slide 10: China RE market moving towards sustainability
China RE market moving towards sustainability China consumes 50-60% of global Moving towards supply discipline inside RE production today. This figure is China – aiming at sustainable production expected to continue to grow, in large part due to fast growing Chinese domestic demand At this pace Chin
Slide 11: Rare Earths market data - Disclaimer
Rare Earths market data - Disclaimer The slides in this presentation containing Rare Earths market data have been sourced from independent analysis of end application demand, along with Lynas estimates of quantities of Rare Earths end use in various key applications. Although Lynas believes that