European Lithium Ltd. · ASX:EUR
European Lithium — Non-Deal Roadshow (October 2016)
28 slides from European Lithium's roadshow presentation, Oct 4, 2016
Slide 1: Company Presentation
4 October 2016 For personal use only COMPANY PRESENTATION European Lithium Limited (formerly Paynes Find Gold Limited)(ASX:EUR)(the Company) would like to share the Company Presentation that is being utilised for the current road show. The Company Presentation is attached to this announcement. Tony
Slide 2: Presentation October 2016
For personal use only Presentation October 2016
Slide 3: Disclaimer
Disclaimer This presentation (Presentation) has been prepared by and is the sole responsibility of European Lithium Limited (the Company). It is not a disclosure document and should not be considered as an offer or invitation to subscribe for, or purchase any securities in the Company or as an induc
Slide 4: Capital Structure
For personal use only Capital Structure Shares on issue = 361.8 million Cape Lambert Resources Ltd - 13.57% Free float1 = 156 million Exchange Minerals Ltd - 8.53% Unlisted options2 = 208 million Major Shareholders Company owns 100% of European Lithium AT (Investments) Ltd, a BVI company that in tur
Slide 5: Investment Highlights
Investment Highlights For personal use only Central European project Experienced team EU Net importer Robust lithium market ● 100% owned lithium project in ● Directors have considerable ● Apart from small Iberian ● Lithium market has grown from Austria experience in resource project production for l
Slide 6: Board of Directors
Board of Directors For personal use only Steve Kesler Tony Sage Paul Lloyd Malcolm Day CEO Non-executive Chairman Non-executive Director Non-executive Director ● Experienced mining ● Executive Chairman of ● Over 25 years of ● Experienced Surveyor executive with over 38 ASX listed Cape commercial exp
Slide 7: Main Sources of Lithium
Main Sources of Lithium For personal use only PROCESSING OPEX CAPEX OTHER Hard rock Mining, crushing, concentration, Typical operating Typically lower Less impurity roasting, leaching and crystallisation costs higher capex/t LCE than variation than to lithium carbonate brine projects brines which is
Slide 8: Wolfsberg Lithium Project
Wolfsberg Lithium Project ● Located 270km SW of Vienna, Austria ● The 5 year term of the original exploration For personal use only ● Good local infrastructure and sources of energy licences was extended by the mining authority nearby to 31 December 2019 and is renewable. The mining licence is held
Slide 9: Project History
Project History For personal use only 1981 1988 1991 Discovered by Minerex, an Austrian Austrian Government decided BBU was closed by the Austrian government company. Following not to develop the project and government and the Project was sold extensive exploration, technical and Minerex was closed.
Slide 10: Geology
Geology ● Substantial exploration and development work by ● A JORC Code (2004) compliant measured and For personal use only previous owners include: indicated resource was declared in 2012. However, because certain primary data and ● 17,000m of drilling / 1,400m of decline, drives and QA/QC protocol
Slide 11: Project Topography
Project Topography For personal use only Lithium Deposit Wolfsberg Area Of Investigation Graphic: A. Pamsl Brandhöhe 1866m 5 1800m ZONE 2 ZONE 1 Adit (1574m asl) Amphibolite Micaschist Pegmatites (proven/estimated) Source: Company, Mine-it representation 9
Slide 12: Project Geology
Project Geology Section through deposit For personal use only Mineworkings – plan view Source: The spodumene depost at “Weinebene” Koralpe, Austria • Source: Company, prepared from Minerex data by Dr. Göd. by Dr.Göd, Mineralium Deposita 24, 270-278 (1989). • 10
Slide 13: Geology of Wolfsberg - plan
Geology of Wolfsberg - plan For personal use only Source: The spodumene depost at “Weinebene” Koralpe, Austria by Dr. Göd, Mineralium Deposita 24, 270-278 (1989). • 11
Slide 14: Metallurgy
Metallurgy ● Metallurgical test work in 1982-7 at North Carolina State University For personal use only ● PFS in 1987 ● Mining licence awarded in 2011 to then owners KMI ● Scoping study by Global Strategic Metals in 2011 ● Two 500 tonne bulk mine samples of each ore type at end 2013 ● Spodumene (lit
Slide 15: Development Strategy
Development Strategy ● Verify the Minerex data and upgrade the For personal use only resource compliant to JORC Code (2012) “opportunities for fast ● Increase resource by drilling down dip track concentrate ● Establish a resource in Zone 2 production” ● Establish the most suitable mining method and
Slide 16: Consultants for Work Programme
Consultants for Work Programme ● Geology Adviser - Dr Richard Göd (ex Chief Geologist Minerex) (Austria) For personal use only ● Exploration Management – Technisches Büro für Geologie (Austria) ● Drilling contractor (underground) – Swietelsky (Austria) ● Drilling contractor (surface) – VA Erzberg (A
Slide 17: Estimated Development Timeline
Estimated Development Timeline Work Programme Q3 16 Q4 16 Q1 17 Q2 17 H2 17 H1 18 H2 18 2019 2020 For personal use only Re-listing on ASX PFS DFS Baseline/EIS/Permitting Construction Operations Fast track DMS 15
Slide 18: Material Lithium Projects in Europe
Material Lithium Projects in Europe 1. Keliber • Finland For personal use only • In PFS • No guidance on first production 2. Avalonia Lithium (Intl. Lithium & Jiangxi Ganfeng) • Ireland • Exploration 1 • No resource declared 3. SMP • Portugal • For local glass/ceramics 4. European Lithium 2 • Austri
Slide 19: Recent Industry News
Recent Industry News September European Lithium Limited readmitted to ASX (code: EUR). Capital raising to fund pre-feasibility 2016 study successfully completed. For personal use only August Sichaan Tianqui lithium hydroxide plant 2016 Tianqui announces plans to build a 24,000tpa lithium hydroxide p
Slide 20: Project Photographs
Project Photographs For personal use only 18
Slide 21: Appendices
For personal use only Appendices
Slide 22: Lithium Applications
Lithium Applications For personal use only CURRENT APPLICATIONS NEW MARKETS CHEMICAL TECHNICAL Electric vehicles Batteries Glass Lubricants Ceramics Fixed energy storage with renewables Air Treatment Aerospace Aluminium smelting Li-Al alloys for aircraft Steel and Iron Pharmaceuticals castings 20
Slide 23: LCE in Batteries
LCE in Batteries For personal use only SMART PHONE LAPTOP TABLET TOYOTA PRIUS TESLA ROADSTER LONDON BUS 2-3g/battery 30-40g/battery 20-30g/battery 3.6kg/battery 40kg/battery 200kg/battery ● Lithium ion has captured nearly 100% of consumer electronics market ● Tesla aims to build its lithium ion batt
Slide 24: World Market - rechargeable lithium batteries
World Market - rechargeable lithium batteries For personal use only World Market for rechargeable lithium batteries by end-use 2002-2017 (MWh) Source: Roskill Lithium Market Outlook to 2017 12th Edition 2013 (“Roskill 2013”) 22
Slide 25: Lithium Price
Lithium Price For personal use only High forecast Base forecast Historic technical grade lithium price (CIF excl. China) Source: Roskill 2013 ● Pricing off-market ● Pricing determined by product and specification for each consumer ● Pricing typically in LCE ● Battery grade lithium is highest purity
Slide 26: Demand
Demand World Historical and Forecast consumption of lithium by end-use For personal use only 2002-2017 (t LCE) Optimistic Source: Roskill 2013 ● Majority of lithium continues to be used for lower value industrial applications (glass, ceramics etc.) ● Recent growth largely from rechargeable battery m
Slide 27: Demand Outlook
Demand Outlook For personal use only Source: Roskill 2013 ● Market has grown from ~60,000 tonnes LCE in 2000 to 150,000 tonnes LCE in 2012 and 200,000 tonnes LCE in 2015 ● Growth base rate 9.7% with high of 15.7% if rapid take up of EV’s ● Entire new markets are still at embryonic phase (e.g. fixed
Slide 28: Lithium Supply
Lithium Supply Production of lithium by country For personal use only 2000-2012 (LCE) Source: Roskill 2013 ● Lithium supply totalled 168,000 LCE in 2012 ● Global supply is dominated by the “big four” that supply ~82% (Talison Lithium, SQM, Rockwood and FMC) ● Talison (now owned by Tianqui and Alberm