Ecora Royalties Plc · LSE:ECOR
Ecora Royalties — Ecora Resources — Merger or Acquisition (July 2024)
10 slides from Ecora Royalties's merger presentation, July 2024
Slide 1: Phalaborwa Royalty Acquisition
Providing capital to the Providing capital to the mining sector required mining sector required to supply the commodities to supply the commodities central to a sustainable future central to a sustainable future Ecora Resources PLC Phalaborwa Royalty Acquisition July 2024
Slide 2: Disclaimer
Disclaimer The contents of this document are strictly private and confidential and accordingly this document may not be published, reproduced, copied or disclosed to any person other than the recipient's professional advisers without the prior written consent of the Company. • This presentation has
Slide 3: Royalty acquisition over the Phalaborwa rare earths project
Royalty acquisition over the Phalaborwa rare earths project Tier-1 rare earth Strong commodity Delivering on Robust sustainability project(1) outlook strategy credentials Advanced project, with Attractive countercyclical Exposure to targeted Clean-up of existing DFS underway entry point future-facin
Slide 4: Transaction summary
Transaction summary Rainbow Rare Earths (Rainbow) US$1.5 million Equity subscription – Listed on the London Stock Exchange (LSE: RBW) with a GBp11.3652 per share, priced at 20-day VWAP market capitalization of ~US$80m(1) – Majority owner (85%) of Phalaborwa rare earths project Key royalty terms Tran
Slide 5: Overview of rare earth elements and their uses
Overview of rare earth elements and their uses What are rare earth elements (REEs)?(1) Light rare earth elements (LREE) – Group of 17 elements split into two categories “light” and “heavy” Nd Pr La Ce Sc – Most are naturally occurring, but are rarely found in concentrated forms that are commercial t
Slide 6: Demand growth is tied to the energy transition
Demand growth is tied to the energy transition Market value(1) New wind energy capacity installations(2) REE Element Current 2030E GW Offshore wind 541 Nd Pr Onshore wind 424 Electric Tb Dy vehicles $1.25bn $2.80bn 240 Nd Pr 105 124 Wind Dy turbines $0.40bn $0.90bn 2023 2025 2027 2030 2035 Nd Pr Ele
Slide 7: Phalaborwa project overview
Phalaborwa project overview Phalaborwa project, Limpopo Province South Africa Estimated Targeted first mine life(1) production date 16+ years 2027 Average annual production target(2) NdPr oxide Dy oxide Tb oxide ~1,750 t ~60 t ~20 t DFS target EBITDA Estimated TechMet / US DFC publication date(3) op
Slide 8: Phalaborwa's unique characteristics aid economics & benefit the environment
Phalaborwa’s unique characteristics aid economics & benefit the environment No need for conventional mining, crushing & beneficiation Tailings are at surface Lowers initial capex and ongoing operating expenditure Desired elements are already partially liberated from the rock Chemically “cracked” Few
Slide 9: Countercyclical entry point with attractive outlook
Countercyclical entry point with attractive outlook Historical price of NdPr Oxide and forecast Phalaborwa basket price US$/kg Historical(1) Forecast $200 Countercyclical entry point $180 near 3-year lows for NdPr 3-year oxides highs $160 As rare earth demand builds later this decade, $140 Ecora for
Slide 10: Endnotes
Endnotes Third party information As a royalty and streaming company, the Group often has limited, if any, access to non-public scientific and technical information in respect of the properties underlying its portfolio of royalties, or such information is subject to confidentiality provisions. As suc