Liontown Limited · ASX:LTR
Liontown — Liontown Resources — Shareholder Meeting (November 2021)
28 slides from Liontown's shareholder meeting presentation, Nov 24, 2021
Slide 1: Chairman's Address and AGM Presentation
ASX ANNOUNCEMENT | ASX : LTR 24th November 2021 For personal use only Chairman’s Address and AGM Presentation Liontown Resources Limited (ASX: LTR, “Liontown” or “Company”) is pleased to provide a copy of the Chairman’s Address and the Managing Director’s Presentation to be made at the Company’s Ann
Slide 2: Chairman's Address to 2021 Annual General Meeting
ASX ANNOUNCEMENT | ASX : LTR 24th November 2021 For personal use only Chairman’s Address to 2021 Annual General Meeting Fellow shareholders, It is a great privilege to report on what has been an exceptional year for Liontown Resources and its shareholders. I begin today by acknowledging the traditio
Slide 3: For personal use only
This study indicated downstream processing to produce battery-grade lithium hydroxide would more than double the project’s Net Present Value to $9.6 billion. This is clearly a hugely compelling opportunity, with the Company now proceeding with a Pre-Feasibility Study to further assess this downstrea
Slide 4: For personal use only
The coming year looks set to be an even bigger year for Liontown as we look to conclude important offtake negotiations, consider various funding alternatives to finance and develop the Kathleen Valley Project and move rapidly towards our goal of building a world-class battery materials company. Alon
Slide 5: Liontown Resources AGM Presentation
For personal use only AGM Presentation November 2021 ASX: LTR 1 | LIONTOWN RESOURCES May 2021
Slide 6: Important information
Important information For personal use only Cautionary Statement Competent person statement The production targets and forecast financial information referred to in the Definitive Feasibility Study (DFS) and Downstream The Information in this Presentation that relates to Exploration Results and Mine
Slide 7: Liontown's Strategy
Liontown’s Strategy We aim to be an ESG-leader, and a globally significant provider For personal use only of battery materials for the rapidly growing clean energy market Stage 3 Stage 2 Liontown Full Potential Stage 1 • Established, integrated producer of high value lithium chemicals • Utilise Buld
Slide 8: Highlights
Highlights Kathleen Valley (KV) is a globally significant lithium resource, located within a stable and established mining jurisdiction with a strong ESG position with growth optionality. The project is well positioned, with start of production expected to coincide with a significant spodumene marke
Slide 9: Liontown's ESG Focus
Liontown’s ESG Focus Environment • Aspiring to have Best-in-class Scope 1 Climate Strategy Roadmap For personal use only and 2 emissions and reduced impact on local surroundings due to UG4 approach First Production 1st Goal Net Zero • ~60% renewable energy target to reduce Scope 2 emissions 2024 202
Slide 10: Liontown's ESG Focus (cont.)
Liontown’s ESG Focus (cont.) Underground mining provides significant sustainability advantages compared to peers, owing to higher ore quality and grades and minimisation of waste For personal use only Sustainability Benchmarking Social Engagement Liontown is expected to be one of the first new minin
Slide 11: Lithium Market Dynamics
Lithium Market Dynamics Production at Kathleen Valley is expected to commence in 2024, coinciding with a forecast market deficit that is expected to continue and grow beyond 2024. Liontown has optionality to further increase production towards the end of the decade to capitalise on the widening defi
Slide 12: November 2021 DFS Key Metrics
November 2021 DFS Key Metrics Based on April 2021 MRE – 156Mt @ 1.4% Li2O and 130ppm Ta2O5 For personal use only NPV1 (post-tax) A$4.2B Reserve Mining IRR / Payback 57% / 2.3 years 68.5Mt @ 1.34% Li2O &120ppm Ta2O5 2.5 Mtpa (increasing to 4Mtpa) SC6 Opex US$402/dmt Years 1-53 (FOB) US$314/dmt (excl.
Slide 13: November 2021 DFS – NPV Sensitivity Analysis
November 2021 DFS – NPV Sensitivity Analysis The DFS represents the potential for a world-class project at Kathleen Valley, with exceptional economics including an NPV of A$4.2B. Liontown recognises the potential for upside and downside based on variation of actual outcomes against assumptions. For
Slide 14: We aim to accelerate the schedule to meet expected market shortfall
We aim to accelerate the schedule to meet expected market shortfall Project milestones right For personal use only Liontown well positioned to deliver project on accelerated schedule on schedule Updated Early PFS DFS FEED/ works/ Construction Complete Complete FID design complete Commissioning Produ
Slide 15: Building A Sustainable Company Starts With Good People
Building A Sustainable Company Starts With Good People Sustainability and governance has been approached to date with a clean slate and a small team, allowing the fundamentals to b e established early to provide a valuable blueprint as the employee numbers and the company grows through aligned value
Slide 16: Offtake Strategy
Offtake Strategy Liontown intends to put in place large foundation offtake agreements, aiming to deliver diversification by geography and stage in value chain For personal use only Offtake Strategy Geographic Breakdown and Indicative Target Customers North America Europe • Discussions held with in e
Slide 17: Downstream Processing Opportunity
Downstream Processing Opportunity The updated DSS confirms: Value maximizing pathway for Liontown is a staged-build, integrated mining, processing and refining operation producing Lithium Hydroxide Monohydrate (“LHM”) For personal use only Value Maximising The Integrated Project has the potential to
Slide 18: November 2021 Downstream Scoping Study Key Metrics
November 2021 Downstream Scoping Study Key Metrics Downstream Scoping Study updated for new input assumptions from the Kathleen Valley DFS For personal use only NPV1 (post-tax) A$9.6 Billion Production Spodumene Feedstock IRR 56% 86.4ktpa LHM Processing feed of ~570 ktpa SC6.0 LOM Free Cash A$32 Bil
Slide 19: Liontown's Long-Term Strategy
Liontown’s Long-Term Strategy Liontown is planning for the future For personal use only Kathleen Valley Spodumene Future Supply Near-term focus on maximising Liontown is continuously exploring spodumene value from Optionality for spodumene or processed lithium sales opportunities to increase batte
Slide 20: Liontown's Investment Proposition
Liontown’s Investment Proposition For personal use only Timed To Integrated Tier 1 Asset ESG-Positive Near Term Priorities Perfection Opportunity 1 Execute attractive offtake agreements to support final investment decision 2 Progress and finalise project funding Kathleen Valley is a Net zero traje
Slide 21: Thank You
For personal use only Thank You For More Information: Investor Relations: Tony Ottaviano Nicholas Read Managing Director Read Corporate T: +61 8 6186 4600 T: +61 8 9388 1474 info@ltresources.com.au nicholas@readcorporate.com.au @LiontownRes liontown-resources-limited 17 | LIONTOWN RESOURCES May 2021
Slide 22: Appendix: Kathleen Valley Project Additional Information
APPENDIX 1 For personal use only Kathleen Valley Project Additional Information 18 November 2021
Slide 23: Resources & Reserves
Resources & Reserves Kathleen Valley is a globally significant, high-grade resource For personal use only Mineral Resource Estimate1 – April 2021 Cut-off Resource Million Ta2O5 Li2O% Category Tonnes Li2O% (ppm) 0.55 Measured 20 1.3 145 Indicated 109 1.4 130 Inferred 27 1.3 113 TOTAL 156 1.4 130 Ore
Slide 24: DFS Key Parameters And Assumptions
DFS Key Parameters And Assumptions For personal use only General and Economic DFS 1 Cost Assumptions DFS 1 Discount rate (real, post-tax) 8% LOM avg open pit mining costs 3 (A$/dmt ore mined 4) 28 Weighted average LOM SC6.0 (FOB Geraldton) US$1,392/t 5 LOM avg U/G mining costs 3 (A$/dmt ore mined 4)
Slide 25: DSS Key Parameters And Assumptions
DSS Key Parameters And Assumptions For personal use only General and Economic DSS 1 Cost Assumptions DSS 1 SC6.0 LOM average operating cost excl. transport 4 (US$/dmt SC6.0 Discount rate (real, post-tax) 8% 378 produced) SC6.0 Transport cost (to Geraldton incl. Port Charges) (US$/dmt SC6.0 SC6.0 wei
Slide 26: Appendix: Net Zero Definition
APPENDIX 2 For personal use only Kathleen Valley Project Net Zero Definition 22 November 2021
Slide 27: Liontown will firm up its net-zero trajectory aspiration before FID
Liontown will firm up its net-zero trajectory aspiration before FID Selected examples of different “net zero” pathways For personal use only >2°C 2°C “Well below 2°C” 1.5°C There are many Emissions different ways to meet “net (MtCO2e) zero” by 2050 2050 2050 2050 2050 Aligned with the Sector- Paris
Slide 28: For personal use only
For personal use only Level 2, 1292 Hay St West Perth WA 6005 +61 8 6186 4600 info@ltresources.com.au www.ltresources.com.au @LiontownRes liontown-resources-limited 24 | LIONTOWN RESOURCES May 2021
Liontown Resources — Shareholder Meeting (November 2021) on 6ix