Gratomic Inc · TSXV:GRAT.H
Gratomic — Investor Presentation (September 2022)
45 slides from Gratomic's investor presentation, September 2022
Slide 1: Corporate Presentation
TSX-V:GRAT OTCQX:CBULF FSE:CB82 VEIN GRAPHITE COMPANY Corporate -—= Presentation
Slide 2: Forward Looking Statement
gratomic.ca Gratomic Inc. Forward Looking Statement Certain statements included in this presentation are forward looking statements currency fluctuations; defective title to mineral claims or property and dependence within the meaning of Canadian securities laws, including the following on key emplo
Slide 3: About Us
gratomic.ca About Us The primary focus of Gratomic is to diversify graphite supply chains out of China into North America and Europe. The Company aims to be the LARGEST VEIN GRAPHITE PRODUCER globally, with full operational capabilities for its fully licensed and permitted 22,000 tpa (tonnes per ann
Slide 4: Estimated Project Development Timelines
gratomic.ca Estimated Project Development Timelines 2022 2023 2024 2025 Aukam: Complete drilling, Operational Aukam: First year of operations and Aukam: Expansion of onsite processing Aukam: Expansion ramp-up Readiness, Feasibility Study (FS) and expansion plan gets under way plant to begin enter op
Slide 5: Vision, Values, Mission
VISION Gratomic aims to become a key strategic supplier of clean, ™ VALUES üHealth and Safety of our people environmentally friendly and ethically always comes first sourced graphite for the Carbon Age, re-diversifying the Global Graphite üTransparency within the organization supply chain. and with
Slide 6: Business Strategy
gratomic.ca Business Strategy To establish a long-term sustainable business with a lower- quartile cost curve and diversified team focused on Purpose continuous international growth and expansion Strict Positive Economic Asset Acquisition Continuous Objectives ESG Plan Impact & Development Improveme
Slide 7: Shareholder Value
Shareholder Value Cost Management Balance Sheet Growth Expertise Valuation • Pioneering innovative • Strictly enforced • Strategic focus on • Decades’ combined • Sustainable growth approaches to mining cash flow controls the discovery and experience in through the tactical exploration and • Strong f
Slide 8: Global Presence
gratomic.ca Global Presence Project Name Location Key Highlights Karas Region, Namibia ✓ Friendly mining jurisdiction ✓ Vein graphite ✓ High purity Aukam Graphite Project ✓ High quality ✓ Eco-friendly ✓ Lowest quartile of cost curve ✓ Ease of processing Bahia Region, Brazil ✓ Friendly mining jurisdi
Slide 9: Graphite Anodes
Graphite Anodes As depicted in the chart above, graphite continues to be the main component in EV battery chemistry. In fact, according to Rho Motion approximately 50% of all EV Li-ion battery anodes are made up of natural graphite. *Charts provided by Rho Motion. “Confidential and Proprietary. Copy
Slide 10: Industrial Development Plan
gratomic.ca Industrial Development Plan ADDED VALUE MANUFACTURING MINERAL GRAPHITE GRAPHITE TRANSPORT DISTRIBUTION PROCUREMENT PROCESSING FINISHING Once the graphite has At the Lüderitz Bay After the graphite has Graphite is extracted The graphite is then fed been successfully facility, the graphite
Slide 11: Opportunities
Opportunities EXISTING MARKETS EV BOOM & ESG & MINING GROWING DEMAND Diversification: Continued need for graphite in its ü Inclusive hiring practices and equal existing markets: opportunity employer ü Batteries Second largest component in the Li- ü Fuel cells ion Battery: Estimated Carbon Footprint:
Slide 12: Executive Leadership
gratomic.ca THE TEAM Executive Leadership Arno Brand Rodger Roden Armando Farhate Bill Johnstone President & CEO Chief Financial Officer COO & Head of Graphite Legal Counsel & & Director Marketing and Sales Corporate Secretary “Confidential and Proprietary. Copyright (c) by Gratomic Inc. All Rights
Slide 13: Management, Directors, & Advisors
gratomic.ca Management, Directors, & Advisors The Team Corporate Office Canada Directors: Glenda Green, Head of Communications & Marketing Arno Brand, President & CEO Karl Trudeau, Head of Operations, Namibia Armando Farhate, Head of Graphite Marketing & Sales Stephen Woodhead, Senior Vice president
Slide 14: Financials & Capital Structure
Financials & Capital Structure CAPITAL STRUCTURE Issued & Outstanding: 184,718,519 FINANCINGS FINANCIAL HIGHLIGHTS Warrants: 987,882 at $1.45 ü Debt Free 5,684,440 at $0.54 (until May 2020 $2.25 MM September 14, 2023 and then at ü Near-term Revenue $0.80 until September 14, 2024) March 2022 $5.5 MM
Slide 15: International Trading Information
gratomic.ca International Tr a d i n g I n f o r m a t i o n 1 CANADA TSX-V : GRAT 2 UNITED STATES OTCQX : CBULF 3 EUROPE FSE : CB82 “Confidential and Proprietary. Copyright (c) by Gratomic Inc. All Rights Reserved.” 15
Slide 16: Appendices
T S X - V: G R AT OTCQX:CBULF F R A N K F U R T: C B 8 2 Appendices
Slide 17: Namibia: Political & Business Climate
Namibia Political & Business Climate ü Politically stable since gaining independence from South Africa in 1990 ü One of the world’s most mining-friendly jurisdictions ü Good infrastructure, Aukam Graphite Project situated close to the Port of Lüderitz Bay ü “Namibia is upgrading its transportation i
Slide 18: Aukam Graphite Project: Milestones Achieved
Namibia Aukam Graphite Project Milestones Achieved: ü Product in Bag – April 2022 ü Record breaking 150 tonnes graphite unearthed - September 2022 ü Modular and expandible processing plant ü Commissioning/Operational readiness in final stages ü Assembly of world-class graphite team ü All Necessary L
Slide 19: Aukam Graphite Project: Competitive Advantages
Namibia Aukam Graphite Project Competitive Advantages: ü Transitioning from exploration to a mining company ü Debt-free ü Strategic partnerships with TM2 and Forge Nano ü MOU with state-of-the-art battery manufacturer ü In talks with OEMs and Gigafactories ü Working toward transition from retail to
Slide 20: Aukam Graphite Project
Namibia Aukam Graphite Project Aukam is a historical mine hosting five underground adits In 2018, the Company successfully constructed and that was periodically mined from 1940 to 1974. In 2012, operated a pilot facility with the intent of gathering the Gratomic team reclassified Aukam as a vein gra
Slide 21: Aukam Graphite Project
Namibia Aukam Graphite Project In addition to the five underground adits, the project also hosts an open pit located at the top of the mountain, where mining is intended to resume. In August of 2022, a bench-mining program was started at Aukam. This process involves cutting berms alongside the mount
Slide 22: Aukam Mining License
Namibia Aukam Graphite Project On March 24th, 2020 the official Mining License (ML 215) was granted by the Ministry of Mines and Energy for its Aukam Graphite Property located in Namibia. The License area falls within the proximity of the Aukam Processing Plant and the Graphite bearing shear zone of
Slide 23: Aukam Graphite Project
Namibia Aukam Graphite Project Aukam is located 45 minutes from Aus and 200 km from the port of Lüderitz Bay. Local infrastructure also includes a railway system, which is part of a government upgrade plan. Local logistics makes this location ideal for transporting processed graphite to Gratomic’s f
Slide 24: Aukam Graphite Project
Namibia Aukam Graphite Project Data obtained over the past 8 years of the project has led to a better understanding of the quality and distribution of the graphite mineralization at Aukam. Exploration has demonstrated significant potential for expansion of the mineralization outside the old workings
Slide 25: Simplified Aukam Flow Diagram
Namibia Aukam Graphite Project Simplified Aukam Flow Diagram Engineering Design: ü Engineering design completed ü Optimization of specific process areas underway based on Trade-off studies conducted ü The entire plant employs proven mineral processing equipment that has been used in the industry for
Slide 26: Aukam Processing Plant in progress
Namibia Aukam Graphite Project Aukam Processing Plant in progress “Confidential and Proprietary. Copyright (c) by Gratomic Inc. All Rights Reserved.” 26
Slide 27: Brazil Graphite Projects
Brazil Graphite Projects Capim Grosso Vein Graphite Jacobina and Igrapiuna Asset Characteristics: ü Above average head-grade asset ü 100% interest ü Graphite characteristics similar to Aukam ü Located 30 km from Capim Grosso with ü 100% interest possibility to feed the same processing plant ü 5,000
Slide 28: Capim Grosso Vein Graphite Project
Brazil Capim Grosso Vein Graphite Project ü Head grade in the range of 7.8% to 15% ü High crystallinity, typical of vein deposits ü Weathered, friable host rock ü Mining friendly jurisdiction ü Favourable proximity to grid power, water and road ü Anthropized areas, little environmental impact “Confi
Slide 29: Capim Grosso Vein Graphite Project
Capim Grosso Vein Graphite Project Gratomic’s Capim Grosso Graphite Project comprises mineral claim 870.180/2012, covering a surface area of 426.03 Ha, owned by Zumbi Mineração Brazil, a subsidiary of Gratomic, Inc. The asset was acquired from private shareholders in a transaction concluded in Decem
Slide 30: Capim Grosso Resource Exploration
Brazil Capim Grosso Vein Graphite Project Resource Exploration up to April 2022: Grab samples from site visit in July 2021: 14 samples analyzed Between 3.8 and 18% Total Graphite as Carbon (TGC), average 11% 3 trenching programs, in August and October 2021 and in August 2022: 56 trenches varying in
Slide 31: Next Steps for PFS and FS
Brazil Capim Grosso Vein Graphite Project Next steps for PFS (Pre-Feasibility Study): Next steps for FS (Feasibility Study): Complete drilling program Infill drilling Execute topography survey Detailed Engineering studies Perform lab assays Pilot Pit and Pilot Processing Plant Resource Estimate Othe
Slide 32: Partial Preliminary 3D Perspective of Capim Grosso Deposit
Brazil Capim Grosso Vein Graphite Project Partial Preliminary 3D Perspective of the Capim Grosso Deposit The graphite depicted in this model ranges between 3% to 41% TCG based on detailed analysis The legend to the right indicates the corresponding colour and grade of graphite within the 3D perspect
Slide 33: Current Mining Permit Status
Brazil Capim Grosso Vein Graphite Project Current Mining Permit Status Mineral claim 870.180/2012 is currently at “Mining Requirement” status at ANM (National Mining Agency). This means ANM is reviewing the PAE (FS) and should issue the permit in the sequence Exploration environmental permit was ren
Slide 34: Geological Description
Capim Grosso Vein Graphite Project Geological Description The most graphite occurrences in central region of Bahia state, Brazil is located within the Tanque-Novo-Ipirá Complex (TNIC), located to the north of the Bahia-Minas Province (Figure 1). The northern region of the Itabuna-Salvador-Curaçá Oro
Slide 35: Geological Description Continued
Capim Grosso Vein Graphite Project Geological Description Continued The TNIC is a metavolcanosedimentary unit representative of a Paleoproterozoic basin integral of the Itabuna-Salvador- Curaçá Orogen, Craton São Francisco (Kosin et al. 2003). TNIC comprises, graphite and phosphate mineralization si
Slide 36: Additional Graphite Mineral Rights
Brazil Capim Grosso Vein Graphite Project Additonal Graphite Mineral Rights Gratomic has a total of 10 mineral rights for graphite within its Capim Grosso Project. Block 1: Potential strike length of 6 km 870.180/2012 being the main property, with the other 5 adjacent EPLs to be explored subsequentl
Slide 37: Capim Grosso Concentrator Design
Brazil Capim Grosso Vein Graphite Project Concentrator Feed Preliminary engineering design has Rougher commenced based on the recent Combined metallurgical test results and a 60,000 Screen Rod Mill Ball Mill Tailings tpa design capacity Impact Crusher Polishing Mill #1 SMM #2 Deliverables of the pre
Slide 38: Metallurgical Test Results
Brazil Capim Grosso Vein Graphite Project SGS Lakefield (ON, Canada) has been commissioned Size Weight Assay % Distribution to perform metallurgical tests Fraction % % C(t) C(t) +48 mesh 3.2 93.5 3.0 Preliminary results from trenched material show +80 mesh 7.8 96.3 7.7 combined concentrate grade of
Slide 39: Graphite Size Fractions and Baseline Prices
Brazil Capim Grosso Vein Graphite Project Size Assay % Distribution Prices (*) Baseline market prices for the Fraction % % C(t) C(t) USD/t different particle sizes (source: +48 mesh 3,2 93,5 3,0 1.466,00 Benchmark Minerals) +80 mesh 7,8 96,3 7,7 1.185,00 ensures sustainability to the +100 mesh 4,9 9
Slide 40: Jacobina and Igrapiuna Graphite Project
Brazil Jacobina and Igrapiuna Graphite Project Jacobina Jacobina: Capim Grosso Two active permits: 870162/2019 and 870163/2019 with a total of 1,989.6 ha Igrapiuna: Active permit nº 870599/2019 with 792.4 ha Mineralization of flake graphite, disseminated hosted in high metamorphic grade rocks Occurr
Slide 41: Buckingham, Canada
Canada Buckingham Asset Characteristics: ü Mining Friendly jurisdiction ü 480 hectares in eight claim blocks ü 7 kilometres northwest of Buckingham, Quebec, Canada ü Located within the Central Metasedimentary Belt of the Grenville Geologic Province ü Technical Report available HERE ü Trenching and d
Slide 42: EV Graphite Projections
EV Graphite Projections Graphite in Batteries “Benchmark estimates that the amount of graphite needed for anode material in lithium-ion batteries will rocket to 1.75 million metric tons by 2028, a nine-fold increase over 2017 levels.” (Lasley, S. 2020) “The global lithium-ion battery industry is exp
Slide 43: Competitive Landscape
EV Graphite Projections Competitive Landscape According to “Shortage of EV battery raw material graphite could delay global drive to go green“ (April 2022): “Graphite, a critical mineral used in electric vehicle batteries, could see a shortage in supply amid surging demand for EVs, which may delay t
Slide 44: Risk Factors
gratomic.ca Risk Factors No mineral resources, let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam Property. The Company is not in a position to demonstrate or disclose any capital and/or operating costs that may be associated with
Slide 45: Thank You
Thank You 22 Adelaide Street West, Suite 3600, Bay Adelaide Centre – East Tower Toronto, ON, CA M5H 4E3 Contact: As noted in the disclaimer , elements of this presentation may contain forward-looking statements, which are based on estimates and assumptions made by the Company in light of its experie