Vital Metals Ltd · ASX:VML
Vital Metals — Investor Presentation (March 2020)
20 slides from Vital Metals's investor presentation, Mar 4, 2020
Slide 1: Investor Presentation February 2020
For personal use only Investor Presentation February 2020 ASX:VML Investor Presentation – February 2020 1
Slide 2: Disclaimer
Disclaimer For personal use only This presentation provides an overview of prospective rare earth projects (“the Projects”) and development opportunities and contains “forward looking statements”. Forward looking statements are all statements other than statements of historical fact included in this
Slide 3: Corporate Overview
Corporate Overview For personal use only Capital Structure ASX Code VML Shares on Issue 2.142b Performance Rights* 800m Options on Issue* 433.5m Share Price (as 3rd March 2020) $0.009 Market Capitalisation $17.39m Cash (31 December 2019) $5.3m Board of Directors Geoff Atkins Managing Director Franci
Slide 4: Vital's senior management are world experts in developing rare earth projects
Vital’s senior management are world experts in developing rare earth projects For personal use only Senior Management Geoff Atkins - Managing Director • 25 years of project and corporate development experience including four (4) years as Corporate Planning Manager at Lynas Corporation where he overs
Slide 5: Rare Earths In Supply/Demand Imbalance
An immediate opportunity exists for Vital For personal use only Rare Earths In Supply/Demand Imbalance New mines are required now • To meet strong global demand, a new mine with production of 20,000t REO/yr is required every year from 2020 to 2025 • China is forecast to be a net importer of rare ear
Slide 6: Rare earth demand will be driven by high strength magnets
Rare earth demand will be driven by high strength magnets For personal use only Lanthanum and Neodymium Supply/Demand Imbalance • Demand for both neodymium and lanthanum is forecast to grow significantly from 2021 • With new projects typically taking 2-4 years to reach production, there is a risk of
Slide 7: Vital will be the lowest cost producer of mixed rare earth oxide outside of China
Vital will be the lowest cost producer of mixed rare earth oxide outside of China For personal use only Unique Advantages • Highly experienced management with specific expertise in the development of rare earth projects • One of the highest grade rare earth deposits in the world • Demonstrated abili
Slide 8: Nechalacho Canada
For personal use only Nechalacho Canada Investor Presentation – February 2020 8
Slide 9: The Nechalacho project is a world class rare earth project
The Nechalacho project is a world class rare earth project For personal use only Nechalacho is located on Great Slave Lake near Yellowknife, NWT Canada Large World Class REO Resource • 94.7MT at 1.46% REO (measured, indicated and inferred) Tier 1 Mining Jurisdiction Excellent infrastructure • Locate
Slide 10: Vital's focus is on achieving positive cashflow and then self-funding growth
Vital’s focus is on achieving positive cashflow and then self-funding growth For personal use only Development Strategy • Commence operations at North T with a focus on achieving positive cashflow in the shortest possible timeframe • Increase production through expanding North T production and then
Slide 11: The Nechalacho Rare Earth Project has over 1M tonnes of contained rare earths
The Nechalacho Rare Earth Project has over 1M tonnes of contained rare earths For personal use only Nechalacho contains a JORC Resource of 94Mt@1.46% REO, including a high grade zone of 3Mt @2.38% REO Upper Zone (0.1% Nd2O3 Cut-off) Tardiff Zone (0.3% Nd2O3 Cut-off) Resource Type Mt TREO (%) HREO/TR
Slide 12: The North T Deposit will be the focus for a near term start-up
The North T Deposit will be the focus for a near term start-up operations For personal use only With results from the recent drilling and re-assay program to be incorporated in a new resource, the North T has the potential to be one of the highest grade rare earth deposits in the world North T Zone
Slide 13: High concentrate grades and recoveries achieved by simple processing
High concentrate grades and recoveries achieved by simple processing indicates low operating costs are possible For personal use only Concentrate sample via sorting Process Test-work Ore Sorting via X-Ray Transmission (single pass) • 36% REO concentrate produced from 10.5% REO • Grades up to 41% REO
Slide 14: Development Achievements
Vital will be the lowest cost producer of mixed rare earth oxide outside of China For personal use only Development Achievements • October 2019: • Vital finalises acquisition of Cheetah Resources • Acquisition of Nechalacho project is completed • December 2020: • Successful beneficiation test work c
Slide 15: Vital is on target to commence production of rare earths from Nechalacho in 2020
Vital is on target to commence production of rare earths from Nechalacho in 2020 For personal use only 2020 Development Timeline - Nechalacho Project Opex/Capex Finalised. Concentrate Production Mining fleet mobilisation Commences commenced Q1 Q2 Q3 Q4 2020 2020 2020 2020 Off-take Leaching Commences
Slide 16: First Mover Advantage
For personal use only First Mover Advantage To be a successful rare earth company for shareholders you must have the following: • The ‘right’ people To be a successful • A differentWigu rare Hill approach earth company for to development shareholders • Projectsyouwhich must meet havedefined the foll
Slide 17: Wigu Hill REO Project (Tanzania)
Wigu Hill REO Project (Tanzania) (90%) For personal use only Excellent infrastructure • Rail and Power within 10 km of project Previous Owners spent US$10m+ • Acquired for US$1m 2018 Potential to be a large world class resource • Current high grade resource of 3.3Mt at 2.6% REO Mineralise widespread
Slide 18: Target Light Rare Earths Zone
Target Light Rare Earths Zone For personal use only Bastnasite mineralisation Initial concentration done on site only • Amenable to concentration via ore sorting • Barge high grade concentrate to off site • No water or reagents required location for “cracking” Investor Presentation – February 2020 1
Slide 19: The Wigu Hill Project
The Wigu Hill Project For personal use only Wigu Hill contains a historical NI43-101 Resource of 3.3Mt@2.6% REO TREO Pr6O11 Nd2O3 Zone Mt La2O3 % CeO2 % (%) (%) (%) Twiga NE 1.6 2.6% 0.98% 1.26% 0.1% 0.23% Twiga SW 0.5 3.6% 1.33% 1.71% 0.13% 0.3% Tembo NW 0.9 2.2% 0.78% 1.09% 0.09% 0.23% Tembo SE 0.
Slide 20: Contact
For personal use only Contact Geoff Atkins Managing Director vital@vitalmetals.com.au +61 8 6555 2950 Investor Presentation – February 2020 20