Silex Systems Limited · ASX:SLX
Silex Systems — Corporate Update (February 2017)
30 slides from Silex Systems's corporate update, Feb 27, 2017
Slide 1: Silex Systems Limited Operational Update
For personal use only Silex Systems Limited Operational Update (ASX: SLX) (OTCQX: SILXY) Dr Michael Goldsworthy CEO/Managing Director 27 February 2017
Slide 2: Forward Looking Statements
Forward Looking Statements For personal use only Silex Systems is a research and development Company whose primary asset is the SILEX laser uranium enrichment technology, originally developed at the Company’s technology facility in Sydney, Australia. The SILEX technology, licensed exclusively to GE-
Slide 3: Disclaimer
Disclaimer For personal use only Silex Systems Ltd (Silex) has prepared this presentation based on information available to it. The information in this presentation does not purport to be a complete description of Silex and/or its business activities. Except as required by law, no representation or
Slide 4: Silex Systems Limited
Silex Systems Limited For personal use only Silex Systems (Silex) is an advanced technology company focussed on the commercialisation of its innovative SILEX laser enrichment technology for nuclear fuel production Operational Update | © Silex Systems Limited 2017 4
Slide 5: Key Activities and Status – 1H 2017
Key Activities and Status – 1H 2017 For personal use only • The Company continues to focus on commercialisation of the SILEX technology as the best path forward to re-build value for shareholders when nuclear fuel markets return to growth • Agreement between GLE and US Department of Energy signed 10
Slide 6: GLE Restructure Overview
GLE Restructure Overview For personal use only • A restructure of GLE was precipitated when GEH disclosed in April 2016 it was looking to exit due to changes in business priorities and continuing difficult market conditions • Silex and GEH signed a term sheet on 29 April 2016 giving Silex an exclusi
Slide 7: GLE Restructure Overview
GLE Restructure Overview For personal use only New Investors Restructure Operational Update | © Silex Systems Limited 2017 7
Slide 8: SILEX Laser Uranium Enrichment Technology
For personal use only SILEX Laser Uranium Enrichment Technology
Slide 9: Enrichment Technology Overview
Enrichment Technology Overview For personal use only • SILEX - third generation laser enrichment technology SILEX - Separation of Isotopes by Laser EXcitation Highly selective laser (optical) excitation of 235UF6 to separate isotopes Very high enrichment efficiency – expect low SWU* costs On
Slide 10: SILEX and Nuclear Fuel Production
SILEX and Nuclear Fuel Production For personal use only The SILEX technology can be utilized to produce: i) natural grade uranium via re-enrichment of tails inventories (e.g. Paducah) ii) enriched uranium for use as fuel in nuclear power reactors Uranium (~40%) and enrichment (~30%) comprise ~70
Slide 11: GLE's Phased Approach to Commercialisation
GLE’s Phased Approach to Commercialisation For personal use only • Phase I: ‘Technology Validation’ successfully completed in 2013 • Phase II: ‘Economic Validation’ is the focus for the next few years, including engineering scale-up of all laser and separator production equipment • End point for Pha
Slide 12: SILEX Technology - Process Flow Diagram
SILEX Technology - Process Flow Diagram For personal use only UF6 Feed UF6 Handling & Storage Laser Systems Enriched Product UF6 Feed System Separator Systems UF6 Withdrawal Systems Carrier Gas CG Feed & Storage Separator Support Systems CG Recovery System Depleted Tails Balance of Plant (Plant Supp
Slide 13: The Paducah and Wilmington Commercial Plant Opportunities
For personal use only The Paducah and Wilmington Commercial Plant Opportunities
Slide 14: Paducah Tails Re-Enrichment Opportunity
Paducah Tails Re-Enrichment Opportunity The path to commercialisation For personal use only • Agreement between GLE and DOE signed 10 November 2016 involving the Paducah Laser Enrichment Facility • Enrichment of DOE tails stockpiles equivalent to a large, low cost uranium mine operating for at least
Slide 15: Paducah Tails Re-Enrichment Opportunity: A Tier 1 Uranium Asset
Paducah Tails Re-Enrichment Opportunity A Tier 1 Uranium Production Asset For personal use only DOE Tails (UF6) • The US DOE holds over 500,000 MTU of tails 0.25 - 0.5% U235 material from decades of enrichment operations • Approximately ~300,000 MTU are regarded as ‘high assay tails’ (over ~0.25%) ~
Slide 16: Wilmington Enrichment Plant Opportunity
Wilmington Enrichment Plant Opportunity NRC License obtained in 2012 For personal use only • US enrichment demand currently ~15 MSWU total • Current enrichment capacity in the US is only one third of US requirements (4.7 MSWU - URENCO USA) • Positive support from US utilities for a new low-cost US-
Slide 17: Uranium Enrichment with SILEX Technology
Uranium Enrichment with SILEX Technology For personal use only Natural UF6 • Production of nuclear fuel with enriched 0.71% U235 uranium product (EUP) - up to 5% U235 • Technically difficult process with high barriers to entry ~10% ~90% Separation • Nearly all enrichment is currently performed with
Slide 18: The Market Outlook – Uranium and Enrichment
For personal use only The Market Outlook – Uranium and Enrichment
Slide 19: Nuclear Power Forecasted to Grow Through 2030
Nuclear Power Forecasted to Grow Through 2030 For personal use only 10 percent of global electricity 447 operable reactors currently 60 new plants under construction 164 plants planned 347 plants proposed Source: World Nuclear Association – January 2017 Source: UxC Uranium Market Outlook,
Slide 20: UxC Market Views: Uranium Market Outlook
UxC Market Views Uranium Market Outlook For personal use only Uranium Mid-Case Supply and Demand Forecast (Tails re-enrichment included) Source: UxC Uranium Market Outlook, Q4 2016 • Uranium supplies not sufficient to meet demand after ~2023 (mid case) - new production needed • Secondary uranium sup
Slide 21: UxC Market Views: Enrichment Market Outlook
UxC Market Views Enrichment Market Outlook For personal use only Base Case Enrichment Supply and Demand Forecast Source: UxC Enrichment Market Outlook, Q4 2016 • Base case forecast shows market back in balance ~2024 and then going into supply shortage • By mid-2020s, additional SWU supply will be ne
Slide 22: Enrichment Market Considerations
Enrichment Market Considerations For personal use only • High barriers to entry for new players Highly restricted access to sensitive nuclear technology Only four producers: URENCO, AREVA, Tenex, China (~90% state owned in total) High technology hurdle – long history of failed laser enrichment
Slide 23: Translucent Inc – cREO Technology
For personal use only Translucent Inc – cREO™ Technology
Slide 24: The Translucent – IQE Agreement
The Translucent – IQE Agreement For personal use only • Translucent’s innovative ‘Rare Earth Oxide’ (cREO™) technology has commercial application to advanced semiconductor devices and chips • Translucent signed an exclusive license agreement in September 2015 with UK-based IQE - world’s leading semi
Slide 25: cREO - IQE Development Program
cREO™ - IQE Development Program For personal use only • cREO™ technology was transferred to IQE’s Greensboro, North Carolina manufacturing facility for the completion of initial product development activities over the remaining license period to March 2018 • Product development focus is on high volu
Slide 26: cREO - Initial Applications
cREO™ - Initial Applications For personal use only Power electronics applications cREO™ Substrates Electric vehicle power Motor controllers for converters electrical appliances Lighting power converters DC/AC conversion (e.g. street lights) (e.g. solar inverters) • High efficiency power conversion d
Slide 27: cREO - IQE Commercialisation Outlook
cREO™ - IQE Commercialisation Outlook For personal use only • The technology is protected by a wide ranging IP portfolio consisting of 82 granted patents and 2 additional patent applications • cREO™ technology has the potential to be applied across all six of IQE’s key market sectors • Initial targe
Slide 28: Summary and Outlook
For personal use only Summary and Outlook
Slide 29: Summary and Outlook
Summary and Outlook For personal use only • Unique third generation SILEX laser enrichment technology at advanced stage of development • Inherently high efficiency provides cost advantages with increased operational flexibility • Restructure of GLE continuing with a number of parties at advanced sta
Slide 30: Thank you
For personal use only Thank you