Lomiko Metals — Shareholder Meeting (December 2023)
43 slides from Lomiko Metals's shareholder meeting presentation, Dec 20, 2023
Slide 1: Developing a strategic stockpile of critical mineral graphite and lithium properties
Developing a strategic stockpile of critical mineral graphite and lithium properties in Quebec for a North American climate success story Annual and Special Meeting December 20 2023
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 to develop a
Slide 4: The Lomiko Advantage
The Lomiko Advantage Potential for Wealth Creation Diverse & Experienced Team 15 year life of mine (PEA) and Values driven, energetic and additional claims in region experienced management team Premium Product • 70% fines in flake distribution – anode profile Strong Partnership Focus • Located in st
Slide 5: Lomiko – a responsible developer of choice: A leader in 2023
Lomiko – a responsible developer of choice A leader in 2023 ✓ Increase of 184% in tonnage for the Indicated Mineral Resource category in updated 2023 MRE – the largest southernmost graphite resource in Canada ✓ Met with many local community members and communicated with mayors throughout 2023 – new
Slide 6: Partner focused
Partner focused € CRITM veeteur de transformation métallique SOMUEM ._.. Canada National Research Council Canada Conseil national de recherches Canada corem Innovation en traitement de minerais Innovation in mineral processing ECOLOGO UNIVERSITE LAVAL T CERTIFIED FOR REDUCED ENVI EN CIFIC EVALUATED.
Slide 7: La Loutre: Ranked as the seventh biggest deposit worldwide by Mining.COM
La Loutre: Ranked as the seventh biggest deposit worldwide by Mining.COM Source: Company filings 7
Slide 8: La Loutre graphite project close to infrastructure with great geological setting
La Loutre graphite project close to infrastructure with great geological setting 50% complete Preliminary Feasibility Studies (“PFS”) Phase I complete with Phase II subject to financing and advancing La Loutre Graphite Project Source: NI 43-101 Technical Report and Preliminary Economic Assessment (J
Slide 9: Concentrate Grade and NPV/Capex Multiple: Competitive economics
Concentrate Grade and NPV/Capex Multiple: Competitive economics • Updating the PEA for USD $1,500/t basket graphite selling price highlights upside in project returns • The La Loutre project combines high-grade concentrate with a post-tax IRR of 43%, post-tax NPV of $520M, and an NPV/Capex multiple
Slide 10: High Quality project with low capital requirements combined with High-Grade Graphite Concentrate
High Quality project with low capital requirements combined with High-Grade Graphite Concentrate Project Location Africa/Europe North America 10
Slide 11: Cut-Off Grade & Graphite Con Grade: Lower cost and higher recovery
Cut-Off Grade & Graphite Con Grade Lower cost and higher recovery Project Location Africa/Europe North America 11
Slide 12: La Loutre graphite development milestones
La Loutre graphite development milestones • Permitting and capital dependent • Exceptional project that is scalable, closest to US EV battery highway with sub competitive capex PFS Pilot Plant Testing Feasibility Study Permitting Construction Production 2024 2025 2026 2027 2028 12
Slide 13: Lomiko – Key Investor Takeaways: Operator of Choice in 2024
Lomiko – Key Investor Takeaways Operator of Choice in 2024 ✓ China graphite export restrictions now in place and positions North American graphite developers such as Lomiko well as a valued source of future supply in a market now in shortage ✓ COP 28 in 30 years of discussions on climate change, agr
Slide 14: Questions?
Questions? For more information info@lomiko.com Follow us @lomikometals on socials l l l f l
Slide 15: Lomiko 2024: Preserve - Adapt - Build
Lomiko 2024: Preserve - Adapt - Build ✓ Lomiko has augmented the quality of its assets in last 24 months ✓ The Company’s strategy for 2024 has three pillars upon which management and the board will execute PRESERVE ADAPT BUILD • Preserve the quality and • Adapt to market • Build and scale the compan
Slide 16: Market for Graphite
#, LOMIKO Market for Graphite
Slide 17: 97 graphite mines needed to fuel the EV revolution
97 graphite mines needed to fuel the EV revolution How many mines do we need? • Benchmark forecasts how many mines need to be built in the short time frame to keep up with exceptional volumes of demand needed for key raw materials expected by 2035 • La Loutre is positioning itself for success as a r
Slide 18: PRC announces natural flake and synthetic graphite export restrictions
PRC announces natural flake and synthetic graphite export restrictions • Restrictions set for December 2023 • China has declared its intention to implement export permits for certain graphite products to safeguard national security. This move is part of China's broader strategy to regulate the suppl
Slide 19: The EV market is in high growth mode
The EV market is in high growth mode • International Energy Agency (IEA): the number of electric cars, vans, trucks and buses on roads is forecast to grow from 11m this year to 145m by the end of the decade • China accounts for 50% of all EVs on the road today (13m of 26m globally) • The IEA expects
Slide 20: Lomiko can provide 10% of North American graphite
Lomiko can provide 10% of North American graphite A massive increase in battery plant capacity - most to start production from 2025-2030 • A wave of new planned electric vehicle battery plants will increase North America’s battery manufacturing capacity from 55 GWh/year in 2021 to nearly 1,000 GWh/y
Slide 21: Graphite shortfall starting in 2023; shortfall to increase to 8Mt by 2040
Graphite shortfall starting in 2023 Shortfall to increase to 8Mt by 2040 Projected Anode Demand (Mt) Graphite Market Balance - Projected Demand and Supply (Mt) 12,000,000 9,000,000 8,000,000 DEMAND IS EXPECTED TO 10,000,000 EXCEED SUPPLY BY 2023 – 7,000,000 AND CONTINUE BEYOND 6,000,000 8,000,000 La
Slide 22: La Loutre Graphite Project
La Loutre Graphite Project 22
Slide 23: La Loutre PEA details
La Loutre PEA details • Two known deposits currently being explored: EV Carmin Zone and Battery Zone Zone • LOM plant production of 21.8 Mtonnes of mill feed at 6.78% Cg diluted EV Zone • Graphite concentrate production at 1.43 Mtonnes Battery grading 95.0% Cg Zone • 14.7-year mine life producing 10
Slide 24: La Loutre EV Zone plan view
La Loutre EV Zone plan view • Completed 53 drill holes or 9,025 meters Section 1-1 • South-east and north-east end of the EV Zone remain open to the south and east Section 2-2 24
Slide 25: La Loutre Battery Zone plan view
La Loutre Battery Zone plan view • Completed 26 holes in Battery South for a total Section 1-1 of 4,076 m • Open on the South End Section 2-2 25
Slide 26: Achieving 184% Increase in Tonnage Indicated Mineral Resources
Achieving 184% Increase in Tonnage Indicated Mineral Resources La Loutre Resource Estimate (Effective Date: March 31, 2023) - PFS Source: InnovExplo March 2023 2023 MRE 2021 MRE Deposit EV Battery TOTAL EV Battery TOTAL Cut-off (%) Cg 1.5 1.5 1.5 1.5 1.5 1.5 Indicated Tonnage (kt) 24,267 40,429 64,6
Slide 27: La Loutre Graphite: 70% fines
La Loutre Graphite 70% fines • Developed and optimized PFS level flotation plant flowsheet -LCT testing achieved 94.7% recovery and 98.6% - 99.1% Cg reconciled grade • La Loutre flake distribution is 70% fines - suitable for anode market 37% growth year over year! • -100 mesh is used most commonly i
Slide 28: La Loutre metallurgical program – next steps
La Loutre metallurgical program – next steps R&D with partners CRITM, COREM and NRC • Testing underway on the flotation concentrate for battery-grade suitability, coating to produce cSPG (coated spherical graphite) for battery trials • Process 1,100 kg rock sample to produce flotation concentrate •
Slide 29: Lomiko Exploration Potential
Lomiko Exploration Potential 29
Slide 30: Graphite: Carmin Acquisition
Graphite: Carmin Acquisition Carmin - historic PFS contiguous to La Loutre Carmin The original historical estimate contemplated certain assumptions Zone A where the mineral resources are stated as Proven and Probable resources for Sites A and B. • Site A: total 1.55 Mt at 10.0% Cg Proven: 1.47 Mt at
Slide 31: Regional exploration in Grenville belt
Regional exploration in Grenville belt Most prospective graphite belt in North America • Completed 1,518-line kilometers of heliborne geophysical surveys completed over the six graphite properties, with 55 targets identified • 264 claims in total on 6 early-stage projects covering 15,639 hectares in
Slide 32: Lithium exploration on massive claim package on Nemaska lithium corridor
Lithium exploration on massive claim package on Nemaska lithium corridor Bourier Property 32
Slide 33: Lithium exploration on massive claim package on Nemaska lithium corridor
Lithium exploration on massive claim package on Nemaska lithium corridor Bourier • Option to earn in 70% with Critical Elements, first trigger: 49% • 203 claims for a total ground position of 10,252 hectares (102 km2) that boasts other lithium deposits and known lithium mineralization • Bourier cons
Slide 34: Bourier lithium project identifies exploration targets with Li anomalies
Bourier lithium project identifies exploration targets with Li anomalies 2021 Exploration Results Bourier Exploration Program 2023-2024 ▪ Focus on 2.5km long Li-Ce-Ta (lithium- Cesium-Tantalum) discovery ▪ Geochemical studies underway and soil sampling over entire concession ▪ Evaluation of targets
Slide 35: Lomiko Advantage
=, LOMIKO Lomiko Advantage
Slide 36: NPV scenario analysis: Positively leveraged to expected 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 for +94%Cg is US $1,070/t of graphite concentrate (source: Benchmark / Lone Star) • Current public information by graphit
Slide 37: PEA: The La Loutre project delivers 97.4kt/year over a 15-year mine life
PEA: The La Loutre project delivers 97.4kt/year over a 15-year mine life – PEA only, expansion possible Lomiko – La Loutre Operating Graphite Mines Source: Company filings 37
Slide 38: Capital Structure
Capital Structure As at Dec 6, 2023 Shares Issued & Outstanding 383.4M Market Cap $7.7M Options 24.3M Cash* $2.1M Warrants 126.3M Debt $- Share Units (PSU/RSU/DSU) 12.2M Total Enterprise Value $5.6M * Cash balance from audited annual financials – July 31, 2023 Fully Diluted 546.3M Management & Insid
Slide 39: Lomiko share price performance – an opportunity for improvement from a strong asset base
Lomiko share price performance – an opportunity for improvement from a strong asset base December 6, 2023 • During the year, Indicated Mineral Resources increased by 184% • Median graphite peer group share price declined by 31% compared to last year 39
Slide 40: Diverse leadership & Experienced team, board and advisors
Diverse leadership & Experienced team, board and advisors MANAGEMENT TEAM BOARD OF DIRECTORS STRATEGIC ADVISORS Belinda Labatte, CEO, CFA, MBA, ICD.D Sagiv Shiv, Lead Independent Director and Chair of Audit Committee 1,3 Normand Champigny, CEO 20 years experience in capital markets. Fluent in Head o
Slide 41: La Loutre: PEA Layout – great base to build on
La Loutre: PEA Layout – great base to build on Mine layout and costs – PEA • Waste rock and tailings co-disposed • Efficient site water management with WASTE ROCK & no wet tailings EV ZONE CODISPOSAL PILE • Pits sequenced to maximize the returns starting from North – EV Pits to South – Battery Pits
Slide 42: A responsible operator with track record of execution
A responsible operator with track record of execution Studies completed ✓ Completed 13,000m+ of drilling at La Loutre with exceptional results ✓ Completed NI-43-101 mineral Resource for La Loutre ✓ Completed 12 months of environmental baseline studies ✓ Completed pre-feasibility metallurgical test p
Slide 43: Corporate budget requirements for La Loutre
Corporate budget requirements for La Loutre The regional exploration program and Bourier work is being funded with Canadian Flow-Through financing PLANNED COMPLETED To PFS for La Loutre Cost ($M) Phase 1 at La Loutre Cost ($M) Mining Plan $0.3 Resource Drilling $3.5 Mining Geotechnical $0.9 Resource