Pls Group Limited · ASX:PLS
Pls — Pilbara Minerals — Investor Presentation (April 2016)
27 slides from Pls's investor presentation, Apr 7, 2016
Slide 1: Presentation to Institutional Investors
ABN 95 112 425 788 For personal use only 7 April 2016 ASX Announcements Platform Bridge Street Sydney NSW 2000 Presentation to Institutional Investors Please find enclosed a copy of the presentation used for the institutional share placement announced earlier today. Pilbara Minerals Limited Alan Boy
Slide 2: Pilgangoora Lithium-Tantalite Project
For personal use only Pilgangoora Lithium-Tantalite Project ASX: PLS The world’s leading lithium development project Not for release or distribution in the United States Investor Presentation, April 2016
Slide 3: Important Notices and Disclaimer
Important Notices and Disclaimer This investor presentation has been prepared by Pilbara Minerals Limited (ABN 95 112 425 788) (“Pilbara Minerals”, “PLS” or “the Company”) in relation to a placement of new Pilbara Minerals ordinary shares For personal use only (“New Shares”) made to certain eligible
Slide 4: International Offer Restrictions
International Offer Restrictions This document does not constitute an offer of new ordinary shares ("New Shares") of the Company in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Shares may not be offered or sold, in any
Slide 5: Pilbara Minerals – Overview
Pilbara Minerals – Overview For personal use only ► 100% ownership of the world-class Pilgangoora Lithium-Tantalite Project in WA’s Pilbara region ► World-class lithium-tantalum reserve with significant upside ► Second largest spodumene-tantalite resource in the world ► Recently completed PFS confir
Slide 6: Corporate Summary
Corporate Summary Pilbara Minerals Shareprice – as at 4 April 2016 For personal use only Capital Structure ASX: PLS Shares on issue 856.3 million Top 20 shareholders 29% Convertible notes (proforma) 2.25 million @ $1.00 each Board & Management 10% Unlisted Options 48.8 million Cash at 01/04/2016 $11
Slide 7: Developing a World-Class Lithium Mining Centre
Developing a World-Class Lithium Mining Centre ►Pilgangoora Project located 120km south of Port Hedland in WA’s For personal use only Pilbara region ►Reserve location offers strategic advantages for infrastructure access, mining approvals and lower cost of operations ►High quality PFS demonstrates e
Slide 8: Capital Raising – Ensuring Project Delivery and Market Presence
Pilgangoora – A globally significant Lithium Reserve Capital Raising – Ensuring Project Delivery and Market For personal use only Presence ►Timeline to delivery of the Pilgangoora project: ► Secure long-lead items ► Taking advantage of current resources downturn and timely completion of the Pilgango
Slide 9: PFS Highlights: Technically and financially robust long-life project
PFS Highlights Technically and financially robust long-life project ► 2Mtpa mining and on-site processing For personal use only ► Forecast annual production of approximately 330ktpa of 6% spodumene concentrates (48ktpa of Lithium Carbonate Equivalent or LCE) and 274,000lbs pa of tantalite ► Maiden O
Slide 10: PFS Highlights: Outstanding project economics
PFS Highlights Outstanding project economics driven by very low cost of operations ► Life-of-mine operating cash costs1 of only USD$205/tonne of For personal use only spodumene concentrate FOB (including by-product credits for Ta2O5 production) ► EBITDA over first 5 years of operations of approximat
Slide 11: PFS underscores robust base case however further growth to come
PFS underscores robust base case however further growth to come ► Robust PFS: >50% EBITDA margins & 44% IRR based on: For personal use only ► average spodumene price of US$456/t FOB ► 29.5mt reserve for mine life of 15 years (at 2mtpa) ► We see significant upside potential in several areas: ► Curren
Slide 12: Peer Comparison – Resource Tonnage and Grade
Peer Comparison – Resource Tonnage and Grade Talison Lithium For personal use only Greenbushes NeoMetals Mt Marion Pilbara Minerals Ltd Nemaska Exploration Exploration Target Whabouchi - Canada (2016) RB Energy Ltd Quebec - Canada Altura Mining Ltd Galaxy Resources Pilgangoora Mt Caitlin Pilbara Min
Slide 13: Pilgangoora DFS Underway
Pilgangoora DFS Underway For personal use only Stage 1 Stage 2 Stage 3 Stage 4 Resource PFS DFS Project Growth Complete Underway Delivery Resource Estimation Project Definition Detailed Design and Finance / Permitting – ► JORC Inferred /Indicated ► Maiden reserve, Project Planning December 2016 comp
Slide 14: Global Lithium Markets Surging Demand – Tight Supply
Global Lithium Markets Surging Demand – Tight Supply For personal use only ► Pilgangoora spodumene concentrates meet the metallurgical specifications of the entire range of lithium products ► Over 100% of projected lithium oxide production subject to MOU’s with major off-take partners in China, Japa
Slide 15: Strong Demand Outlook
Strong Demand Outlook World forecast demand for Lithium by first use (t LCE) For personal use only ►Lithium-ion batteries driving demand ► 20%+ annual growth since 2000 ► Currently 30% of global market ►Electric Vehicles and E-Bikes ► Currently 3% of global lithium market ► Accelerated growth expect
Slide 16: Motor Vehicle Lithium Demand
Motor Vehicle Lithium Demand For personal use only • Tesla Series 3 to be released in ► China, Japan and Korean Government 2017, retail price of US$36,000 policy strongly supports EV’s with large rebates, zero sales tax and free • Chinese car manufacturers targeting licensing. sub $20K EV’s by 2017
Slide 17: Summary Key investment takeaways
Summary Key investment takeaways For personal use only Emerging low- Largest lithium Outstanding Ideally placed to cost Australian resource and project Rapid pathway to capitalize on robust strategic highest grade economics financing and market outlook and metals relative to ASX- demonstrated produc
Slide 18: Additional Information
Additional Information For personal use only Developing a globally significant new Australian lithium project March 2016 – PFS Release 17
Slide 19: Board of Directors
Board of Directors Tony Leibowitz Neil Biddle John Young Robert G Adamson For personal use only Chairman Executive Director Technical Director Non-Executive Director Fellow of The Institute of Geologist and Corporate Geologist and Geologist with over 40 Chartered Accountants in Member of the AusIMM
Slide 20: Management Team
Management Team For personal use only Ken Brinsden John Holmes Alan Boys Exploration Manager Company Secretary / CEO CFO Mining Engineer with over 20 Geologist with over 25 years Chartered Accountant with over years experience including mine experience in mineral exploration 30 years experience and
Slide 21: Pilgangoora – Mining
Pilgangoora – Mining A straightforward open pit mining proposition For personal use only ►Conventional open pit mining proposed, 100-tonne mining fleet ►2Mt ore feed per annum ►LOM strip ratio of 3.5:1, waste: ore tonnes ►Strip ratio over first 5 years 2.87: 1 ►Both owner-mining and contractor minin
Slide 22: Pilgangoora – Processing
Pilgangoora – Processing 2Mtpa ore feed with flowsheet to produce 3 product streams For personal use only 21
Slide 23: A Rapid Pathway to Financing and Development
A Rapid Pathway to Financing and Development For personal use only 22
Slide 24: Market Outlook
Market Outlook For personal use only Price forecasts – Chemical-grade spodumene ►Conservative pricing based on Roskill forecast data ► Latest public contract price +USD$600/t CFR ► Indicative of very tight supply ►Very strong leverage within the project to improved pricing outcomes. USD$600/t (FOB)
Slide 25: Pilgangoora Project Resource and Reserve Tables
Pilgangoora Project Resource and Reserve Tables For personal use only Pilgangoora Resource Category Tonnage (Mt) Ta2O5 (ppm) Li2O (%) Ta2O5 (T) Ta2O5 (Mlbs) Li2O (T) Table Ta2O5 17.9 182 3,255 7.2 Indicated Li2O 35.7 1.31 469,400 Ta2O5 24.3 205 4,995 11.02 Inferred Li2O 44.5 1.21 538,600 Ta2O5 42.39
Slide 26: Disclaimer and Competent Person’s Statement
Disclaimer and Competent Person’s Statement Disclaimer For personal use only ► This presentation may contain some references to forecasts, estimates, assumptions and other forward-looking statements. Although the company believes that its expectations, estimates and forecast outcomes are based on re
Slide 27: Pilgangoora Lithium-Tantalite Project
For personal use only Pilgangoora Lithium-Tantalite Project Developing a globally significant new Australian lithium project March 2016
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