Argosy Minerals Limited · ASX:AGY
Argosy Minerals — Shareholder Meeting (April 2021)
26 slides from Argosy Minerals's shareholder meeting presentation, Apr 27, 2021
Slide 1: 2021 AGM Presentation
For personal use only 2021 AGM Presentation April 2021 ASX: AGY www.argosyminerals.com.au
Slide 2: Disclaimer & Important Statement
Disclaimer & Important Statement • This presentation is for information purposes only. Neither this presentation nor the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. This presentation m
Slide 3: Company Overview
For personal use only Company Overview 3
Slide 4: Argosy… a new lithium producer
Argosy… a new lithium producer Owner of the Rincon Lithium Project, Salta Province, Argentina – 77.5% current interest, For personal use only increasing to 90% ownership upon development of 10,000tpa operation Industrial-scale pilot plant producing high purity battery quality >99.5% lithium carb
Slide 5: Corporate Snapshot
Corporate Snapshot For personal use only Capital Structure Recent Share Price Performance Shares on issue 1,250,271,704 0.25 50 Volume Close 45 Share price 1 A$0.094 0.20 40 Market capitalisation 1 A$118 million 35 (Price A$/sh) Volume (m) 2 Cash $29.8 million 0.15 30 Debt 2 Nil 25 0.10 20 Options 3
Slide 6: Rincon Project: Lithium Production
For personal use only Rincon Project: Lithium Production 6
Slide 7: Rincon Lithium Project: Production in Argentina
Rincon Lithium Project: Production in Argentina For personal use only • Rincon Lithium Project located in the world-class “Lithium Triangle” in Salta Province, Argentina • Argosy currently owns 77.5%, moving to 90% ownership upon development of 10,000tpa operation • PEA completed in November 2018, s
Slide 8: Industrial Scale Pilot Plant – Producing Li2CO3
Industrial Scale Pilot Plant – Producing Li2CO3 Industrial Scale Pilot Plant For personal use only 1 • Industrial scale pilot plant has successfully proven AGY’s proprietary technology • Produced +25t of battery quality lithium carbonate at >99.5% Li2CO3 • Delivered two cargoes to customers in Japan
Slide 9: Stage 2 in Construction: 2,000tpa Li2CO3 Plant Capacity
Stage 2 in Construction : 2,000tpa 2 2,000tpa Li2CO3 Plant Capacity For personal use only • Regulatory permitting approvals granted for 2,000tpa operation • Construction period approximately 12 months • Commissioning and ramp-up period approximately ~3-4 months • CAPEX of ~US$20 million (excl. VAT)
Slide 10: 10,000tpa Expansion
10,000tpa Expansion 3 10,000tpa Li2CO3 Plant Capacity For personal use only • Argosy completed PEA on 10,000tpa operation in November 2018 • Argosy currently owns 77.5% interest in Puna Mining S.A. increasing to 90% ownership upon development of 10,000tpa operation • Exceptional PEA results with low
Slide 11: Significant Infrastructure Footprint
Significant Infrastructure Footprint For personal use only • Rincon has significant mine site, power and transport infrastructure in place • Commercial 10,000tpa scale evaporation ponds (~300ha) to be constructed ~6km Existing ~38ha from production wells and proposed process operational evaporation
Slide 12: Minimal Environmental Footprint
Minimal Environmental Footprint For personal use only High Water Low Impact Green Process & Low Energy Use Low Water Use Clean Technology Green Product Recycling Flora & Fauna Argosy has developed a chemical process technology with a minimal environmental footprint • Technology has two key different
Slide 13: Low Carbon Footprint A Reality
Low Carbon Footprint A Reality For personal use only • AGY has the ability to be truly Existing ~38ha Proposed 2,000tpa 208MW Solar Power operational & 10,000tpa plant carbon neutral evaporation ponds operations site Park location • Altiplano Solar Power Park: - Less than 5km to plant operations - F
Slide 14: Increasing Stakeholder Engagement
Increasing Stakeholder Engagement For personal use only GLOBAL SUPPLY CHAINS AND COMMUNITIES Covid-19 Argosy continues to grow its alliance with European battery sector, having been accepted as a member to the: Inventory Overhang Low EV Sales • European Raw Material Alliance (ERMA) - supporting Euro
Slide 15: Significant Exploration Potential to Realise
Significant Exploration Potential to Realise For personal use only • 245,120t Li2CO3 JORC Indicated Resource to a vertical depth of 102.5m • Additional Exploration Target1 of 262,000t to 479,000t contained Li2CO3 based on a weighted average grade of between 315mg/L and 327mg/L, within depth interval
Slide 16: Tonopah Project: Exploration
For personal use only Tonopah Project: Exploration 16
Slide 17: Tonopah Lithium Project Overview
Tonopah Lithium Project Overview For personal use only TONOPAH IS STRATEGICALLY LOCATED IN THE LITHIUM BATTERY VALLEY • Located ~4km from Albermarle’s longstanding Silver Peak operation - the only lithium carbonate operation in USA (operating for +50yrs) • Albemarle plans to spend US$30-$50m to doub
Slide 18: Location & Infrastructure
Location & Infrastructure For personal use only • Located within the Big Smokey Valley region in Nevada, USA, comprises 425 claims covering ~34.25km² - Directly analogous to the neighbouring Silver Peak lithium deposit, both geologically and structurally • SRK technical review provided positive vali
Slide 19: Prospective Geophysical Data
Prospective Geophysical Data For personal use only • Gravity-derived 3D depth inversion model shows: - Favourable structures identified as boundaries of sub-basins; - Targeting sub-basins as trap-sites of lithium brines flowing from the northwest toward the Silver Peak lithium brine operation; and -
Slide 20: Next Steps
Next Steps For personal use only Tonopah Rincon Rincon Financing & FID for Commercial FID for Stage 2 production from Exploration Resource Feasibility Rincon 10,000tpa (2,000tpa project 2,000t operation update Study operation development) - COMPLETED Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q
Slide 21: Argosy: A New Lithium Producer
Argosy: A New Lithium Producer For personal use only Staged approach to development 2,000tpa operation in construction, first output in mid-2022 Rincon Lithium PEA outlines strong metrics for 10,000tpa project Project Ability to generate exceptional annual cash flows Meaningful, long life
Slide 22: Contacts
For personal use only Jerko Zuvela, Managing Director Contacts +61 8 6188 8181 admin@argosyminerals.com.au Level 2, 22 Mount Street Perth WA 6000 Australia 22
Slide 23: Lithium Carbonate Pricing: Rapid Recovery
Lithium Carbonate Pricing: Rapid Recovery For personal use only 14,500 95,000 • +25t Li2CO3 product from Rincon has been sold into the spot 13,500 market to key Asian customers 85,000 12,500 • Accelerated qualification process 11,500 allowing offtake discussions to 75,000 advance 10,500 • AGY has go
Slide 24: 10,000tpa PEA: Excellent Fundamentals
10,000tpa PEA: Excellent Fundamentals PEA November 2018 Outcome 1 For personal use only • PEA on Rincon Project completed in November 2018 Operating Outcomes • Stage 2 (2,000tpa) fully-funded and in-construction Annual production rate 10,000tpa of Li2CO3 Life of mine 16.5 years • 10,000tpa project:
Slide 25: Strategic Lithium Investments
Strategic Lithium Investments For personal use only 1. Albermarle Corporation’s US$820m acquisition of a 60% interest in Mineral Resources An increasing Limited’s Wodgina project in Western Australia and transfer of 40% of 50ktpa LiOH plant in number of mergers Kemerton (Aug 2019) and acquisitions,
Slide 26: Argentina & Salta: Open for business
Argentina & Salta: Open for business For personal use only • Investment friendly tax regime, no need to negotiate separate fiscal agreements: - 25% Corporate income tax - 30 year tax stabilisation - VAT is set at 21%, with some capital items attracting a lower rate of 10.5%. Reimbursement for import