Elkem Asa · OSL:ELK
Elkem Asa — CRU Silicon Market Forum 2022
11 slides from Elkem Asa's conference presentation, Oct 13, 2022
Slide 1: CRU Silicon Market Forum 2022
CRU Silicon Market Forum 2022 13 October 2022 Inge Grubben-Strømnes Senior Vice President of Silicon Products, Elkem
Slide 2: Elkem at a glance
Elkem at a glance | SILICONES | SILICON PRODUCTS | CARBON SOLUTIONS | GREEN VENTURES = Producer of silicones = Global producer of = Leading producer of = Battery Materials with two upstream sites silicon, ferrosilicon, electrode paste and (Vianode) (France and China) foundry alloys and other carbon
Slide 3: Elkem Silicon Products: Global leader in silicon based materials and solutions
Elkem Silicon Products: Global leader in silicon based materials and solutions ▪ Producer of silicon, ferrosilicon, foundry alloys and microsilica ▪ Strong positions based on scale, operational excellence, global footprint and sustainable hydro power ▪ Robust market positions based on high degree of
Slide 4: Strong growth in silicon driven by silicones and polysilicon, especially in China
Strong growth in silicon driven by silicones and polysilicon, especially in China Silicon per end-use (million tons) Silicon per region (million tons) 5,000 5 2021-2026 CAGR 7% 2021-2026 CAGR 7% 4,500 4,5 4,000 4 4% 12% 3,500 3,5 7% 3,000 3 2% 2,500 2,5 7% 2,000 2 1,500 1,5 11% 1,000 1 3% 0,500 0,5
Slide 5: Supply dynamics – China balancing global markets
Supply dynamics – China balancing global markets Anti dumping duty - ADD Net exporting country/ region ▪ China is balancing global markets through export to Rest of Asia, Europa and North America where Net importing country/ region demand is exceeding capacity to supply Major supply flow ▪ EU and US
Slide 6: China's role balancing silicon likely to change
China’s role balancing silicon likely to change Chinese silicon exports vs. domestic demand (000’ mt) ▪ China silicon production established as low-cost exports 3 500 ▪ Domestic demand has increased 3 000 2 500 ▪ Production cost increasing ▪ Energy cost 2 000 ▪ Environmental regulations ▪ General co
Slide 7: Current power prices pose a significant challenge to European silicon smelters
Current power prices pose a significant challenge to European silicon smelters 2023 Forward prices EUR/MWh (per 11.10.22) 600 500 400 300 200 100 0 France Bosnia* Slovakia Germany Spain Norway Island** North *Prices shown for Slovenia ** Avg. price to industry from Landsvirkjun 2021
Slide 8: Sustainability high on the agenda – the nature of our process poses a dilemma
Sustainability high on the agenda – the nature of our process poses a dilemma We need to reduce our CO2 emissions Silicon is essential to the energy But our production process emits CO2 transition
Slide 9: Changing market dynamics, creates attractive opportunity for Elkem to grow Silicon in the western hemisphere
Changing market dynamics, creates attractive opportunity for Elkem to grow Silicon in the western hemisphere Elkem well positioned for Attractive market outlook growth Stable growth Chinas role of Brownfield Elkem with strong Elkem well Resilient raw expected outside of balancing silicon is expansio
Slide 10: Elkem's strategic means to reduce fossil CO2 from silicon alloy production
Elkem’s strategic means to reduce fossil CO2 from silicon alloy production Increase material Increase Technology and energy biocarbon to development of efficiency reduce fossil CO2 silicon production emissions
Slide 11: Delivering your potential
~ Elkem Delivering your potential