Lithium Universe Limited · ASX:LU7
Lithium Universe — Investor Presentation (May 2024)
33 slides from Lithium Universe's investor presentation, May 20, 2024
Slide 1: Conversion
For personal use only CONVERSION ASX LU7
Slide 2: Lithium Supply
For personal use only LITHIUM SUPPLY • Quebec > 40 companies • Lithium Resource > 500 Mt +1% Li2O
Slide 3: Li Battery Demand
For personal use only LI BATTERY DEMAND • 20 Major Manufacturers • >1,000 GW battery Capacity • 850,000 tpa Lithium Chemicals
Slide 4: Current Conversion
Current Conversion For personal use only Spodumene Battery Plants Conversion Lithium Carbonate ASX LU7
Slide 5: Conversion
For personal use only CONVERSION Citing “multi-step security review” Established automotive industry to EVs Local battery supply chain ASX LU7
Slide 6: No Current Lithium Converters
For personal use only No Current Lithium Converters Only 100,000 tpa planned 2028 ASX LU7
Slide 7: The Lithium Conversion Gap
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Slide 8: Problems with Filling the Gap
Problems with Filling the Gap For personal use only • Lithium conversion, complex chemical business Experienced Operators • Lithium is a young industry • Limited lithium expertise and experience • Many failures, and technical difficulties • Even with existing Lithium producers Proven Technology ASX
Slide 9: Experienced Li Operators
Iggy Tan, Chairman Experienced Li Operators For personal use only • Ran Greenbushes Li in 1995, commissioned Li Carb Plant • First mining executive - lithium-ion battery future • First large scale integrated mine to refinery project • Built Mt Cattlin Spodumene Mine (137 ktpa) • Built Jiangsu Lithiu
Slide 10: Proven Lithium Expertise
Proven Lithium Expertise For personal use only Greenbushes Lithium Veteran International Downstream Expert Patrick Scallan OAM Dr Jingyuan Liu PhD Non-Executive Director Non-Executive Director • Ran Greenbushes Mine for • Ex-Galaxy GM Technology 25 years • Leading technical expert in • Oversaw expan
Slide 11: For personal use only
For personal use only
Slide 12: Lithium Dream Team
For personal use only Alex Hanly CEO Lithium Dream Team Terry Stark Roger Pover John Loxton John Sobolewski Head of Mining Head of Processing Head of Li Refinery Chief Financial Officer Ex Galaxy GM Operations Ex Galaxy Plant Manager Ex Hatch Li Carb Plant Ex Galaxy CFO & Co Sec
Slide 13: Typical Li Mine Development
Typical Li Mine Development For personal use only 8-10 Years to First Product Maiden Scoping PFS DFS Funding Construct 12 mths 12 mths 12 mths 12 mths 12 mths 18 mths Explore Options Select Develop Due Diligence Commission 6 Maiden Res Feasible Estimates Firm Quotes Funding mths Exact Plant Design A
Slide 14: Dream Team Track Record
Dream Team Track Record Mt Cattlin Spodumene Project For personal use only 3 Years to First Product Maiden DFS Construct First Product Jan 2009 Aug 2009 Dec 2007 Oct 2010 DFS Completed Construction 2 mt Resource Plant Complete 12.3 mt Starts • Skip Scoping, PFS • Run things in parallel • Team Cultur
Slide 15: Mt Cattlin Spodumene Mine
For personal use only Mt Cattlin Spodumene Mine
Slide 16: Trouble Li OH Plants
Trouble Li OH Plants For personal use only Tianqi Kwinana LiOH Albemarle Kemerton LiOH • 5 Years so far • Construct 2019 (5 years) • Capital Cost Blowout • 18 mth commissioning • A$400m to A$770m • Still <50% of design rate • FY 23 - 8% of design • Parachuting Chinese operators ASX LU7
Slide 17: Failed Canadian Li Projects
Failed Canadian Li Projects For personal use only North American Lithium Nemaska Lithium • Started 2014 • DFS completed 2018 • Spent circa CAD 250m • Spent CAD 411 m • Produced 109 t LC • Failed to start up 2019 • Bankruptcy 2015 ASX LU7
Slide 18: Why have these projects failed?
Why have these projects failed? For personal use only • Lack of operating direction at design • Limited management oversight at design • Limited commissioning experience Our Lithium Dream Team are Operators DESIGN
Slide 19: Dream Team Track Record
Dream Team Track Record Jiangsu Li Carbonate Plant For personal use only 2 Years to Commercial Production Ground Start of Project Breaking Construction Completion 6 May 2012 21 Feb 2010 6 Dec 2011 (6 mths 1 May 2010 (19 mths) Commissioning) • Capital Cost – US$120 m • At design rate • Highest qualit
Slide 20: Jiangsu Lithium Carbonate Plant
For personal use only Jiangsu Lithium Carbonate Plant
Slide 21: Successful at Start-Ups
Successful at Start-Ups • Spodumene price - US$ 260/tonne then • Largest plant in the world at the time For personal use only • FY 22-23 EBITDA record of US $516m • Best quality Li Carbonate today • 130,984dmt of spod 5.3 %Li2O • Li Carb price then US$ 6,000/tonne Mt Cattlin Spodumene Jiangsu Lithiu
Slide 22: Bécancour Lithium Refinery
For personal use only Bécancour Lithium Refinery • 16,000 tpa battery grade lithium carbonate plant Canadian Source Spod Conc • Located in Becancour, Quebec Bécancour Lithium • Based on proven Jiangsu design Refinery Worldwide • Same flow sheet, same equipment, same suppliers Source • Winterization
Slide 23: Li Refinery DFS Underway
Li Refinery DFS Underway For personal use only • Canadian Co, Aust based, Canadian Offices • Built Jiangsu Li Carbonate Plant • Jiangsu style refinery in Canada – current price • DFS level of study
Slide 24: Why Li Carbonate not Li Hydroxide?
Why Li Carbonate not Li Hydroxide? For personal use only • Proven track record in Li Carbonate • Li Carbonate feed for LFP lithium batteries • LFP battery demand growth due to safety and costs • LFP 67% of China EV installations in 2023 • LFP forecast 87% of ESS market by 2033 • Some Li Chinese prod
Slide 25: For personal use only
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Slide 26: For personal use only
For personal use only
Slide 27: Lithium Refinery Flow Sheet
Lithium Refinery Flow Sheet Sulphuric Acid For personal use only Cooler Calciner Cooler Sulphating Hydrated Alpha Kiln Hydrated Beta Lime Spodumene Spodumene Lime Spodumene Ball Milling Water Filter Process Liquor Leaching Polishing Wash Tank Filter Mg Ca Water Alumina Precipitation Precipitation So
Slide 28: Lithium Refinery Layout
Lithium Refinery Layout For personal use only ß Spod Sulphation Calciner Spodumene Storage Kiln Storage Leaching Residue Sodium Storage Sulphate Plant Boilers Residue Cooling Processing Towers Process Water Treatment Product Warehouse Reagents LiC Production Storage & Purification Maintenance Buildi
Slide 29: Lithium Refinery Flow
Lithium Refinery Flow For personal use only ß Spod Sulphation Calciner Spodumene Storage Kiln Storage Leaching Residue Sodium Storage Sulphate 2 Plant 1 3 Boilers Residue Cooling 5 Processing Towers 4 Process Water Treatment Product Warehouse Reagents LiC Production Storage & Purification Maintenanc
Slide 30: Becancour Li Refinery
For personal use only Becancour Li Refinery Handles Various Spodumene Types • Metallurgical testing - International sources of spodumene • Lithium Refinery to have robust capability • Shipment to Becancour – while Canadian Li industry develops • All programs achieves 99.7% LiCO3 BG Spec of 99.5% LiC
Slide 31: Conversion Business Model
Conversion Business Model For personal use only • OEMs like Tesla, LG, Ford have spodumene offtake • Currently, have to convert in China • Carbon footprint, supply security risk • Take or pay conversion model • Pays back refinery without market risks • Becomes part of OEM supply chain
Slide 32: Lithium Dream Team
For personal use only 1 Lithium Dream Team Proven Lithium Track Record 2 Proven Technology Derisking Lithium Conversion Technology Bécancour Lithium Refinery Closing the North American Conversion Gap ASX LU7
Slide 33: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS The Company wishes to remind investors that the presence of pegmatite does not necessarily equate to spodumene mineralization. Also that the presence of pegmatite and spodumene mineralization on nearby tenements does not necessarily equate to the occurrence on Lithium Univ