Earth Alive Clean Technologies Inc
Earth Alive Clean Technologies — Investor Presentation (October 2020)
28 slides from Earth Alive Clean Technologies's investor presentation, October 2020
Slide 1: Investor Presentation October 2020
Investor Presentation October 2020
Slide 2: Disclaimer
DISCLAIMER This presentation contains certain information that may constitute “forward-looking information” and “forward-looking statements” within the meaning of applicable Canadian and United States securities laws, including statements regarding the expectations of Earth Alive Clean Technologies
Slide 3: Overview and Opportunity
OVERVIEW AND OPPORTUNITY Overview and Opportunity Soil First Platform Financial and Governance Overview 2
Slide 4: The Earth Alive Soil First Platform
THE EARTH ALIVE SOIL FIRST PLATFORM Earth Alive develops, manufactures and distributes high quality, environmentally-sound, proprietary microbial products that address soil degradation caused by erosion, nutrient depletion, acidification, and chemical pollution currently faced in the infrastructure
Slide 5: History and Company Milestones
HISTORY AND COMPANY MILESTONES Corporate Milestones Pivotal Year: 2017 EAC Commercial Milestones • Signed a pilot application agreement for its ea1 dust • Jean-Paul Blais hired to assist suppressant in a copper Earth Alive • Listing on the CSE management and conduct an in- mine in Chile founded • Ac
Slide 6: Global Footprint Across 5 Continents
GLOBAL FOOTPRINT ACROSS 5 CONTINENTS GLOBAL OPERATIONS – PROVEN CAPACITY TO DELIVER SALES 67% RECURRING BUSINESS SALES 67% RECURRING BUSINESS 2019-202 Sales R&D : 2 NEW PRODUCTS Infrastructure & Maintenance Agriculture TESTED IN 16 MINES IN RECURRING SALES IN REGISTERED FOR SALE IN RECURRING SALES I
Slide 7: Investment Highlights
INVESTMENT HIGHLIGHTS Substantial upside potential in Leading organic biofertilizer with Robust market opportunity in patented ea1 dust suppressant distinct competitive advantages stable agricultural segment with further upside in infrastructure First mover advantage as only organic and Certified, h
Slide 8: A Global Shift Toward Sustainability
A GLOBAL SHIFT TOWARD SUSTAINABILITY Agriculture Biological Agriculture Dust Suppressant Biological Dust Suppressant From the … the chemical age biological era (1989) to… Over the past three decades there has been a global paradigm shift toward sustainable economic and ecological development, enabli
Slide 9: An Expanding Market
AN EXPANDING MARKET • ~US$12.5B global dust control market expected to grow to ~US$18.8B by 2026 • Expected annual growth rate of 4.7% Global Dust Control • North America accounted for 29.3% of the global dust control market in Market Outlook 2018 and is expected to grow at a 2.3% CAGR until 2026 •
Slide 10: Soil First Platform
SOIL FIRST PLATFORM Overview and Opportunity Soil First Platform Financial and Governance Overview 9
Slide 11: Infrastructure & Maintenance – ea1 Opportunities
INFRASTRUCTURE & MAINTENANCE – EA1 OPPORTUNITIES Current global dust control market of ~US$12.5B is expected to grow to ~US$18.8B by 2026, representing a 4.7% CAGR CURRENT MARKET Open-pit mining operations OPPORTUNITIES Construction NEAR-TERM Oil and Gas Revegetation Stockpiles Hippodromes Coal wago
Slide 12: Infrastructure & Maintenance – Market Opportunity
INFRASTRUCTURE & MAINTENANCE – MARKET OPPORTUNITY TYPICAL WORLD-CLASS OPEN PIT MINE PRIMARY ROADS • The initial ea1 target market is the mining industry due to the prevalence and scale of Average Width dust and water preservation issues 30 – 40m • Typical target mine: • Large, open-pit operation • G
Slide 13: Infrastructure & Maintenance – Dust & Mining
INFRASTRUCTURE & MAINTENANCE – DUST & MINING OPERATIONAL SAFETY WATER RESOURCE MANAGEMENT IMPACT ON NEIGHBORING COMMUNITIES WORKER’S HEALTH AND SAFETY ENVIRONMENTAL COMPLIANCE Dust is quickly growing as a top priority in the mining industry 12
Slide 14: Infrastructure & Maintenance – Dust & Mining (Cont'd)
INFRASTRUCTURE & MAINTENANCE – DUST & MINING (CONT’D) • The U.S. EPA attributes between 78% and 97% of airborne particulate matter emissions from mines to dust from haul roads • Dust contamination affects productivity and health of workers as well as profitability of operations • Water is one of the
Slide 15: Infrastructure & Maintenance – ea1 Overview
INFRASTRUCTURE & MAINTENANCE – EA1 OVERVIEW DESCRIPTION • ea1 prevents dust from becoming airborne and eliminates the need for water application to abate dust for approximately two weeks • First 100% organic and biodegradable microbial dust REDUCTION OF REDUCTION suppressant product in the world, sp
Slide 16: Infrastructure & Maintenance – ea1 Effectiveness
INFRASTRUCTURE & MAINTENANCE – EA1 EFFECTIVENESS SAMPLE STUDIES BRAZIL MEXICO BEFORE AFTER 15
Slide 17: Infrastructure & Maintenance – ea1 Current Pipeline
INFRASTRUCTURE & MAINTENANCE – EA1 CURRENT PIPELINE Monthly application on multiple kilometers LARGE-SCALE APPLICATION Performing an on-site test to develop a full-scale application protocol TRIAL TEST Bidding process and understanding specific needs TENDER SUBMITTED Meaningful contact with clear in
Slide 18: Infrastructure & Maintenance – RapidAll
INFRASTRUCTURE & MAINTENANCE – RAPIDALL DESCRIPTION • RapidAll is a 100% organic, biodegradable industrial cleaner used to clean and eliminate organic materials like fats, grease, oil & synthetics, heavy dirt and grime Industrial Usage • All-natural, industrial cleaner made with beneficial bacteria
Slide 19: Agriculture – Market Opportunity
AGRICULTURE – MARKET OPPORTUNITY • Microbial biofertilizers represent ~US$700.0M of the ~US$3.4T global agriculture market Global Agriculture • Microbial biofertilizer market has a Market US$3.4T projected CAGR of 12.5% from 2018 to 2024 Global Fertilizer Global Biostimulant Market US$156B Market US
Slide 20: Agriculture – Soil Activator
AGRICULTURE – SOIL ACTIVATOR DESCRIPTION END USERS • Soil Activator is a CFIA approved and certified organic microbial biofertilizer (1) INDUSTRIAL AND RETAIL • Improves the absorption of plant nutrients and increases agricultural efficiencies (lower nitrogen losses, decreased water use), leading to
Slide 21: Agriculture – Soil Activator (Cont'd)
AGRICULTURE – SOIL ACTIVATOR (CONT’D) KEY BENEFITS BARRIERS TO ENTRY • Proven to enhance crop productivity • Capital requirements and skilled resources for • Both field trials and scientific research exhibit highly advanced research and development positive results • Origination of highly effective
Slide 22: Agriculture: Focusing the Business
AGRICULTURE: FOCUSING THE BUSINESS ROAD TO COMMERCIAL SUCCESS TRANSITIONING FROM SMALL DISTRIBUTORS TO LARGER PLAYERS Soil Activator Registration in Small 18 countries distributors: Soil Activator + trials in 30 • Early countries adoption Soil Activator validated in • Narrow 50+ crops focus Understa
Slide 23: Financial and Governance Overview
FINANCIAL AND GOVERNANCE OVERVIEW Overview and Opportunity Soil First Platform Financial and Governance Overview 22
Slide 24: Revenue and Financial Highlights
REVENUE AND FINANCIAL HIGHLIGHTS HISTORICAL REVENUE BY BUSINESS LINE RECENT FINANCIAL HIGHLIGHTS In C$M • Revenues for the first six months of 2020 more than Agriculture Infrastructure & Maintenance Gross Margin quadrupled to $1.9M in 2019 and gross margin increased to 29.9%, compared to 24.8% $3.6
Slide 25: Capitalization and Ownership
CAPITALIZATION AND OWNERSHIP CAPITALIZATION TABLE LTM SHARE PRICE PERFORMANCE All amounts in C$M, except where indicated Volume (000's) Price $0.25 1,200 EAC Closing Price (25-Sep-20) $0.09 $0.21 960 Volume (000's) (1) FD Shares Outstanding (M) 195.9 $0.17 720 Price (C$) Market Capitalization $16.7
Slide 26: A Proven Leadership Team
A PROVEN LEADERSHIP TEAM MICHAEL WARREN • Proven track record in environmentally focused businesses for 20+ years • Previously founded and managed LFP Solutions whom joined Earth Alive in 2014 CEO & DIRECTOR • Appointed CEO in May 2017 & member of the Board of Earth Alive in June 2018 FRÉDÉRIC BEAUS
Slide 27: Board of Directors
BOARD OF DIRECTORS Robert Blain FCPA, is CEO of Groupe Lune Rouge, a company that develops projects and invests in different funds with a focus on Technology, Life sciences, Sustainability, Entertainment and Real Estate and he handles ROBERT BLAIN the Family office of Mr. Guy Laliberté. He acted as
Slide 28: Board of Directors (Cont'd)
BOARD OF DIRECTORS (CONT’D) Mr. Patterson is a corporate entrepreneur with over 25 years experience developing markets for both U.S.- and Canadian-based businesses. Throughout his life, Todd has been immersed in the world of agriculture. He grew up on a working farm in southern Ontario and has manag
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