Alpha Hpa Limited · ASX:A4N
Alpha Hpa — Resource Rising Stars investor conference 2019
29 slides from Alpha Hpa's conference presentation, Jun 5, 2019
Slide 1: Presentation to Investors
ASX: A4N ASX Announcement 5 June 2019 ABN 79 106 879 690 The Manager Companies ASX Limited 20 Bridge Street Sydney NSW 2000 (29 pages by email) Dear Madam PRESENTATION TO INVESTORS I attach a PowerPoint presentation that Managing Director Rimas Kairaitis will be presenting today at the Resource Risi
Slide 2: Alpha HPA - HPA First Project
ALPHA HPA LTD (ASX: A4N) Alpha HPA HPA FIRST PROJECT INNOVATIVE HIGH PURITY ALUMINA (HPA) PRODUCTION TECHNOLOGY FOR THE BURGEONING ELECTRIC VEHICLE (EV) BATTERY MARKETS
Slide 3: Forward Looking and Cautionary Statements
Forward Looking and Cautionary Statements Alpha HPA Cautionary Statement The Pre-Feasibility Study (PFS) referred to in this announcement has been undertaken to assess the technical and financial viability of the HPA First Project. Further evaluation work including a Definitive Feasibility Study (DF
Slide 4: Global Transportation is Electrifying
Global Transportation is Electrifying Alpha HPA Dramatic EV penetration rates - driven by Govt Regulation m@ The Electric Vehicle (EV) revolution has arrived, underpinned by Government mandated EV targets, led by China and Europe » 14 @ 70 lithium ion battery mega-factories under construction I Boar
Slide 5: Global Transportation is Electrifying
Global Transportation is Electrifying Alpha HPA Passenger car (PC) and commercial vehicle (CV) Global ESS installations (GWh) EV sales forecast 60 ses PC HEV 50% 150 mmm PC PHEV 45% wm PC BEV CV HEV 40% CV PHEV 35% mmm CV BEV —% PC EV 30% —% PC EV (excl. HEVs 25% 20% 15% a i) So S 40 EV penetration
Slide 6: Global Transportation is Electrifying
Global Transportation is Electrifying End dates for ICEs around the world Alpha HPA ICE sales ban starting from 2020s =~ a S 2020 2021 «42 2025 ICE sales ban starting from 2030s & 20301 42 2030 ) 2030 =~ = S 2030 (> 2030 ICE sales ban starting from 2040s @ 2040 §=B 20402 S$ 2040 @ 2040 = @ 2040 = @
Slide 7: HPA - A critical part of the EV/battery revolution
HPA — A critical part of the EV/battery revolution H High Purity Alumina (HPA) is the pure form of aluminium oxide (AI,0.). HPA is a pre-cursor LITHIUM-ION BATTERY SEPARATORS material for the manufacture of ceramic coated Lithium-lon-Battery (Li-B) separators CHARGE CYCLE DISCHARGE CYCLE Alpha HPA C
Slide 8: HPA Demand 1:1 linked with the Battery Boom
HPA Demand 1:1 linked with the Battery Boom Alpha HPA HPA Demand Outlook (2018-2025) 140,000 I Sapphire Glass 120,000 O® us Separators |_| Phosphor Applications 100,000 Semiconductors 80,000 LED’s 60,000 40,000 = = Ei ~ fi U L Source: CRU
Slide 9: High Purity Alumina (HPA) - Price for Purity
High Purity Alumina (HPA) — Price for Purity Alpha HPA = _HPA’s value derives from its physical properties of extreme hardness, high thermal conductivity, and being chemically inert = Purity is determined by the concentration of trace elements in the alumina compound e.g. iron, magnesium, sodium m P
Slide 10: Existing HPA Market Production Processes
Existing HPA Market Production Processes Existing HPA production is synthesised from Aluminium metal feedstock or produced from hydrochloric acid leach of kaolin clay. HPA from kaolin — schematic flow sheet Mining of Kaolin ¥ Hydrochloric (HCI) acid leach v 3x crystallisation steps GD Calcination Q—
Slide 11: HPA Process technology based on established SX process
HPA Process technology based on established SX process Alpha HPA holds an Australian Proprietary, unique and innovative process approach to HPA production — including Alpha HPA by-product credits — producing HPA from an aluminium chemical feedstock Based on established Solvent Extraction (SX) Proces
Slide 12: 'HPA FIRST' - Fast Track Path to HPA Production
‘HPA FIRST’ - FAST TRACK PATH TO HPA PRODUCTION The HPA First process uses the Company’s proprietary licenced solvent extraction (SX) and refining technology and a feedstock blend of readily available industrial products rather than mine generated feedstock SIMPLE Does not require a mining operation
Slide 13: 'HPA First' - Pre-Feasibility Study - Updated Feb '19
‘HPA First’ — Pre-Feasibility Study — Updated Feb ‘19 Alpha HPA = The ‘HPA First’ PFS has delivered a compelling business case, capable of delivering 10,200tpa of 4N (99.99% purity) High-Purity Alumina (HPA) into the burgeoning HPA market = PFS Highlights include: Production rate of HPA Unit cash co
Slide 14: 'HPA First' - Key Financial Metrics
‘HPA First’ — Key Financial Metrics Alpha HPA HPA Production (t/y) HPA Price Assumption (per/t HPA) $33,333 $25,000 Annual Revenue (including by-products) $413 million $310 million Annual Average Cash Operating Cost $143 million $107.5 million Unit Cash Cost accounting for by-products (per/t HPA) $6
Slide 15: Site Selection: Strategic Options
Site Selection: Strategic Options The ‘HPA First’ process allows for the discretionary location of an HPA Plant within an existing industrial zone offering highly favourable logistics Gladstone SDA (QLD), Kwinana (WA) and Newcastle Port (NSW) offer industrial processing facilities, extensive infrast
Slide 16: Corporate Snapshot
Corporate Snapshot Alpha HPA TRADING INFORMATION SHARE PRICE PERFORMANCE ASX CODE A4N Share Price (31-May-19) 12.5¢ 52 week trading range 8.2c — 14.0 Issued Shares 567.1M g CAPITAL STRUCTURE 3 Issued Shares 567.1M rs os a Unlisted options (@10c) Unlisted options (@15c) Unlisted options (@20c) 30.0M
Slide 17: Corporate Snapshot
Corporate Snapshot SHAREHOLDERS Alpha HPA TOP 20 SHAREHOLDERS BT Portfolio Services Budworth Capital Permgold Pty Ltd (N. Seckold) PT Muara Mulya Propertindo RECENT HPA HIGHLIGHTS == 99.99% HPA FIRST @ AN (99.99%) purity Adoption of the achieved in HPA HPA First process testwork program $4.0M underw
Slide 18: Board & Management
Board & Management Norman Seckold Chairman 30+ years in the full time management of natural resource companies. Past Chairman and Director of listed companies including Bolnisi Gold NL, Timberline Minerals Inc., Perseverance Corporation Limited, Valdora Minerals NL, Palmarejo Silver and Gold Corp. a
Slide 19: Indicative Project Delivery Timetable
Indicative Project Delivery Timetable = Pilot-plant operation and DFS completion targeted for CY19 ahead of project construction starting CY20 Alpha HPA 2018 2019 2020 2021 2022 LESS From To DecQ_ MarQ__JunQ__SepQ_ DecQ MarQ_ JunQ_ SepQ DecQ MarQ JunQ_ SepQ DecQ MarQ Jund_ SepQ_DecQ PRE-CONSTRUCTION
Slide 20: HPA First Pilot Plant - commencing June 2019
HPA First Pilot Plant - commencing June 2019 Solvent Extraction Pilot Rig HPA Pre-Cursor Room
Slide 21: 'HPA FIRST' - Fast Track Path to HPA Production
‘HPA FIRST’ - FAST TRACK PATH TO HPA PRODUCTION The HPA First process uses the Company’s proprietary licenced solvent extraction (SX) and refining technology and a feedstock blend of readily available industrial products rather than mine generated feedstock SIMPLE Does not require a mining operation
Slide 22: Contact / Thank You
Norman Seckold Chairman nseckold@alphahpa.com.au Rimas Kairaitis Managing Director rkairaitis@alphahpa.com.au Peter Nightingale Director/Chief Financial Officer pnightingale@alphahpa.com.au Justin Werner Non-Executive Director jwerner@alphahnajcom-au : oe FT Cameron’ Peacdck j InV@Stor Relations and
Slide 23: Appendices
ALPHA HPA LTD (ASX:A4N) Appendices : ; —_—~
Slide 24: Demand for HPA - Regions
Appendix 1 Demand for HPA — Regions Demand for HPA is primarily being driven by the increasing adoption of LED (Light Emitting Diode) products, separators in lithium ion batteries (Li-B’s) and scratch resistant artificial sapphire glass for smartphone screens and watches HPA DEMAND BY GEOGRAPHIC REG
Slide 25: Supply of HPA
Appendix 2 Supply of HPA EB ina | ry BB North America BD south Korea France Russia Sumitomo Chemicals PERT Zibo Xinfumeng Chemicals [EXIE Baikowski (Pe Xuan Cheng Jing Rui [ER s Nippon Light Metal Dalin Hiland Photoelectric HMR Co Hebei Pong Now Mtl Sasol s a xR GLOBAL HPA SUPPLY DISTRIBUTION - 2016
Slide 26: High Purity Alumina (HPA) Market
Appendix 3 High Purity Alumina (HPA) Market HPA MarketDemand Batts a LED and Lithium-lon Semiconductor Sorat ero Battery Separator Substrates Coating Phosphor Coating Automotive Household & Industrial Lighting Smart phones, tablets, smart watches Electric Vehicles Consumer Goods Fluorescent Lighting
Slide 27: Statement of Compliance
Appendix 4 Statement of Compliance Competent Persons Statement (Process Development Testwork) Alpha HPA Information in this announcement that relates to metallurgical results is based on information compiled by or under the supervision of Dr Stuart Leary, an Independent Consultant trading as Delta C
Slide 28: Modifying Factors
Appendix 5 Modifying Factors Alpha HPA [Study Status [The ‘HPA First’ Pre-Feasibilty Study (PFS) indicates the project's technically and financially viable, The Study was completed by Prudentia Process Consulting, with input from the Company and other specialist consultants, The activities and findi
Slide 29: Modifying Factors
Appendix 5 Modifying Factors Aloo HPA Financial Project costs have been estimated by Prudentia Process Consultants on the basis below. |CapEx: IThe capital cost estimate is provided at an accuracy level of +30% to -15%. The capital cost estimate has been based on the implementation of an Engineering
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