Euro Manganese, Inc. · TSXV:EMN
Euro Manganese — Investor Presentation (May 2020)
35 slides from Euro Manganese's investor presentation, May 6, 2020
Slide 1: Updated May 2020 Corporate Presentation cover note to ASX
For personal use only May 5, 2020 To ASX Re: Updated May 2020 Corporate Presentation – Euro Manganese Inc. The attached presentation is an up updated version of the May 2020 Corporate Presentation, which is being provided to correct an error found on page 10. No other changes have been made. All oth
Slide 2: Manganese is Electric!
For personal use only Manganese is Electric! GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE
Slide 3: Corporate Presentation – May 2020
For personal use only GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE Corporate Presentation – May 2020
Slide 4: Cautionary Note: Forward-Looking Statements and Risks Notice
Cautionary Note For personal use only Forward-Looking Statements and Risks Notice Except for statements of historical fact relating to the Euro Manganese Inc. (“EMI” or the “Company”), certain information contained in this presentation constitutes forward-looking statements. When we discuss our cost
Slide 5: Compliance Statements
Compliance Statements Competent and Qualified Persons Statement For personal use only All production targets for the Chvaletice Manganese Project referred to in this presentation are underpinned by estimated Measured and Indicated Mineral Resources prepared by competent persons and qualified persons
Slide 6: Introduction to Euro Manganese
Introduction to Euro Manganese Developing the Chvaletice manganese resource in For personal use only the Czech Republic – in the heart of Europe. 25-year project designed by world-leaders in high- purity manganese production (“HPM”). Production of battery-grade manganese by reprocessing tailings (wa
Slide 7: Investment Highlights
Investment Highlights For personal use only 1 2 3 4 5 6 7 HPM MARKET STRATEGIC EXCELLENT EASILY TREATED WASTE CLEAR LED BY HIGHLY SET TO BE EUROPEAN INFRASTRUCTURE CARBONATE RECYCLING, NOT DEVELOPMENT EXPERIENCED TRANSFORMED SOURCE OF AND JURISDICTION TAILINGS MINING PLAN MANAGEMENT SUPPLY TEAM • HP
Slide 8: Investment Highlights: Recent Developments
1 Investment Highlights Recent Developments For personal use only 55% of annual HPEMM and HPMSM capacity of proposed Demonstration Plant allocated to first five customers in MoUs 1. JFE Steel Corporation. Major Japanese steel producer – for use in specialty steel applications Other parties under NDA
Slide 9: HPM Market Set to be Transformed
1 HPM Market Set to be Transformed SUMMARY For personal use only Demand for HPM products growing rapidly around the world driven by growth of the electric vehicle and Li-ion battery industry • To date, the supply response has been entirely within China NMC cathode chemistry expected to dominate, wit
Slide 10: HPM Market Set to be Transformed: Li-ion Battery Demand
1 HPM Market Set to be Transformed Manganese Use in NMC and LNMO Cathode Formulations For personal use only Li-ion Rechargable Battery Demand to 2040 The vast majority of Li-ion batteries use manganese 3,500 in their cathodes and require HPM • Little price sensitivity given Mn is lowest cost input 3
Slide 11: Manganese Use in Li-ion Battery Market
1 HPM Market Set to be Transformed Manganese Use in Li-ion Battery Market 1,000,000 Total Mn Demand from For personal use only 900,000 battery industry 800,000 (NMC and LNMO battery chemistries only) Metric tons Mn contained 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 Only a small prop
Slide 12: EU, North America and China share of Lithium-ion Battery Raw Materials Supply Chain
EU, North America and China share of the Lithium-ion Battery Raw Materials Supply Chain For personal use only Stage One: Mining Stage Two: Chemical Processing/Refining Chemical Processing Nickel 8% 0% 31% Nickel 13% 1% 65% Mining Cobalt 0% 0% 1% Cobalt 17% 0% 68% 1 1 Graphite 1% 0% 65% Graphite 0% 0
Slide 13: Strategic European Source of Supply
2 Strategic European Source of Supply Europe is becoming a global hub for EV and battery production For personal use only FINLAND SLOVAKIA GERMANY ~15 GWh 10 GWh 32 GWh FINLAND TBD (Eastern Europe) SWITZERLAND 24 GWh 1 GWh FINLAND TBD Precursors & Cathodes FRANCE GERMANY 2 GWh Battery Cells POLAND P
Slide 14: Excellent Infrastructure and Jurisdiction
3 Excellent Infrastructure and Jurisdiction For personal use only Strategically Located in the Heart of Europe Set in an industrialized valley with gentle topography, served by excellent infrastructure. Rail, gas, water and power are all available on the Project site Adjacent to 820 MW power station
Slide 15: Easily Treated Carbonate Tailings: Barriers to Entry in the HPM Market
4 Easily Treated Carbonate Tailings Barriers to Entry in the HPM Market For personal use only Photos show ultra high purity manganese products made from Chvaletice Manganese Project tailings during 2018 product development and testwork program. Ultra-high-purity manganese products have emerged as Pr
Slide 16: Simpler Cost-Effective Processing
4 Easily Treated Carbonate Tailings Simpler Cost-Effective Processing For personal use only Asia imports the majority of its manganese ore used for HPM production, predominantly from oxide sources in Africa In comparison, EMN processes tailings onsite with simple commercially proven technologies Con
Slide 17: Extensive Technical Studies and Testwork
4 Easily Treated Carbonate Tailings Extensive Technical Studies and Testwork For personal use only GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE 16
Slide 18: Drilling & Bulk Sampling
4 Easily Treated Carbonate Tailings Drilling & Bulk Sampling For personal use only Sonic drill – modern, effective sampling tool Sonic drill “core” of soft, sandy tailings material 14.8 tonne bulk sample collected using Sonic drill for metallurgical and pilot plant testing GREEN AND EUROPEAN SOURCE
Slide 19: Fully Drilled Ore Body
4 Easily Treated Carbonate Tailings Fully Drilled Ore Body For personal use only 2017-2018 DRILL PROGRAM 160-Hole 2017-2018 Sonic and auger drill program upgraded the resource estimate to a Measured and Indicated Status (98.3% of the resource classified as Measured under NI 43:101/JORC 2012) Cell 1
Slide 20: Waste Recycling, Not Mining
5 Waste Recycling, Not Mining. Meeting Europe’s Circular Economy Goals by Recycling Waste For personal use only Extraction of Chvaletice manganese is expected to result in self-funding environmental remediation of the Chvaletice site, bringing it in full compliance with all Czech and European Union
Slide 21: Permitting Momentum and Plant Site Land Secured
5 Waste Recycling, Not Mining. For personal use only PERMITTING MOMENTUM AND PLANT SITE LAND SECURED Baseline environmental studies completed. EIA preparation initiated with Q2 2020 Project Notification submission targeted CHVALETICE Rezoning process initiated. Both adjoining municipalities TAILINGS
Slide 22: Clear Development Plan: Pre-Feasibility Testwork and Pilot Plant Tests
6 Clear Development Plan Pre-Feasibility Study-level Testwork Program and Pilot Plant Tests Completed For personal use only GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE 21
Slide 23: Target Project Development Timeline
6 Clear Development Plan Target Project Development Timeline RECENT MILESTONES NEAR TERM MILESTONES For personal use only 2018 2019 2020/2021 2023 ü Upgrade resource estimate to NI 43-101 ü Complete NI-43-101/JORC Code Build and commission Start-up, commissioning Measured and Indicated status Prelim
Slide 24: Feasibility Study
6 Clear Development Plan FEASIBILITY STUDY Highly experienced Feasibility Study contributors: For personal use only Feasibility Study initiated in 2019 based on process flowsheet developed during scoping • Tetra Tech Canada – Owner’s Engineer, studies and pre-feasibility study programs conducted dur
Slide 25: Preliminary Chvaletice Plant Design
6 Clear Development Plan Preliminary Chvaletice Plant Design For personal use only GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE 24
Slide 26: Demonstration Plant: The Key Next Step
6 Clear Development Plan DEMONSTRATION PLANT: THE KEY NEXT STEP. For personal use only Demonstration Plant (DP) is a key element of EMN’s Chvaletice development strategy Lumpsum, turnkey EPC contract for DP awarded to CRIMM (Changsha Research Institute of Mining and Metallurgy, a division of China M
Slide 27: Investment Highlights
Investment Highlights For personal use only 1 2 3 4 5 6 7 HPM MARKET STRATEGIC EXCELLENT EASILY TREATED WASTE CLEAR LED BY HIGHLY SET TO BE EUROPEAN INFRASTRUCTURE CARBONATE RECYCLING, NOT DEVELOPMENT EXPERIENCED TRANSFORMED SOURCE OF AND JURISDICTION TAILINGS MINING PLAN MANAGEMENT SUPPLY TEAM • HP
Slide 28: Thank You!
For personal use only Thank You! Marco A. Romero | President & CEO | Tel: +1 (604) 681-1010 x 101 1500 - 1040 West Georgia Street | Vancouver, BC Canada V6E 4H8 info@Mn25.ca | www.Mn25.ca
Slide 29: Appendices
For personal use only APPENDICES 26 GREEN AND EUROPEAN SOURCE OF ULTRA HIGH-PURITY MANGANESE
Slide 30: HP Manganese Market Opportunity
HP Manganese Market Opportunity Conversion to Cathode 0.473 kg 1.453 kg 1.439 kg For personal use only 1% loss 5% loss HPEMM HPMSM HPMSM MnSO4ŸH2O Production Some new battery formulations Equivalent to will use up to 2.3 times more 0.445 kg manganese than the prevalent HPEMM NMC-111 chemistry Gross
Slide 31: 2018 NI 43-101 / JORC Resource Estimate
4 Easily Treated Carbonate Tailings 2018 NI 43-101 / JORC Resource Estimate For personal use only Updated Resource Estimate NI 43:101/JORC 2012 Resource Estimate included in 2017 – 2018: 160-hole drilling Technical Report dated March 15, 2019 by Tetra Tech Canada Inc. program findings • Manganese is
Slide 32: Led by Highly Experienced Team: Canada
7 Led by Highly Experienced Team Canada For personal use only Marco Romero Martina Blahova Thomas Glück Fausto Taddei PRESIDENT & CEO, CHIEF FINANCIAL OFFICER VICE PRESIDENT, VP CORPORATE DEVELOPMENT & FOUNDER & DIRECTOR DEVELOPMENT CORPORATE SECRETARY • 40 years of diversified • 20 years of experie
Slide 33: Led by Highly Experienced Team: Europe
7 Led by Highly Experienced Team Europe For personal use only Jan Votava Wenling Sun Tomas Hochmann Blanca Dobrkovská Lucie Jaremová Erika Duchanová Vit Gloser MANAGING DIRECTOR (MANGAN STRATEGIC DIRECTOR, TECHNICAL DIRECTOR ENVIRONMENTAL PROCUREMENT COMMUNICATIONS DIRECTOR CORPORATE CHVALETICE S.R.
Slide 34: Non-Executive Directors
7 Led by Highly Experienced Team Non-Executive Directors For personal use only Roman Shklanka David Dreisinger Daniel Rosický Harvey McLeod John Webster Gregory Martyr DIRECTOR & DIRECTOR DIRECTOR DIRECTOR INTERIM CHAIRMAN DIRECTOR CO-FOUNDER & DIRECTOR • Geologist, mine finder • Professor and chair
Slide 35: Euro Manganese Inc. - Capitalization
Euro Manganese Inc. - Capitalization For personal use only Dual IPOs completed on October 2nd, 2018. Capitalization as of May 1, 2020 Shares trade on the TSX Venture Exchange Shares (including ~77.7M CDIs) 185,405,635 and CHESS Depository Instruments (CDIs) Options 15,850,000 trade on the Australian