Pls Group Limited · ASX:PLS
Pls — Pilbara Minerals — Investor Presentation (March 2018)
25 slides from Pls's investor presentation, Mar 27, 2018
Slide 1: Pilgangoora – the world's leading lithium development project
For personal use only Pilgangoora – the world's leading lithium development project Corporate Presentation March 2018
Slide 2: Important Notices and Competent Person's Statement
Important Notices and Competent Person’s Statement Not an Offer of Securities For personal use only This document has been independently prepared by Pilbara Minerals Limited (“Pilbara”) and is dated 27/03/2018. This document is provided for informational purposes and does not constitute or contain a
Slide 3: Important Notices and Competent Person's Statement
Important Notices and Competent Person’s Statement Not Financial Product Advice For personal use only This document does not constitute financial product advice or take into account your investment objectives, taxation situation, financial situation or needs. This document consists purely of factual
Slide 4: Company Overview
For personal use only Company Overview Lithium Markets Pilgangoora Stage 1 Project Pilgangoora Stage 2 Project Summary 4
Slide 5: Pilbara Minerals – Overview
Pilbara Minerals – Overview ► Pilgangoora is located in the Pilbara region of Western Australia, a proven mining jurisdiction 120km south of Port Hedland with established transport and port infrastructure For personal use only ► 100% ownership interest in the world-class Pilgangoora Lithium-Tantalum
Slide 6: Pilgangoora – Pilbara Minerals, delivering on project execution
Pilgangoora – Pilbara Minerals, delivering on project execution For personal use only Stage 2 PFS (2Mtpa Stage 1 Near-term Resource DFS (2Mtpa) and 4/5Mtpa) Project Production Growth Complete Complete Execution Growth to 5Mtpa Resource Estimation Project Definition Detailed Design and Project Execut
Slide 7: Pilbara Minerals – A Key Supplier to Global Lithium Markets
Pilbara Minerals – A Key Supplier to Global Lithium Markets For personal use only Outstanding project partners: - Scale - Quality - Excellent Technology - Experience 7
Slide 8: Pilbara Minerals – A Key Supplier to Global Lithium Markets
Pilbara Minerals – A Key Supplier to Global Lithium Markets Pilbara Minerals For personal use only Mining SC 6.0 Stage 1 Stage 2 315kt 500kt-550ktpa Stage 1 ≈43Ktpa LCE Spodumene Production 2018 2020* Stage 1+2 >100ktpa LCE Ganfeng Great Wall Motors POSCO Spodumene Offtakers General Lithium Ganfeng
Slide 9: Stage 2, 5Mtpa Expansion Project – Off-take and Associated Funding
Stage 2, 5Mtpa Expansion Project – Off-take and Associated Funding POSCO agreements announced on 28 February 2018 close out the remaining uncommitted Stage 2 production For personal use only ► Binding offtake agreement for an initial 80,000tpa of 6% spodumene concentrate from Stage 2 production for
Slide 10: Strategic Downstream JV with POSCO
Strategic Downstream JV with POSCO • Pilbara Minerals to be a 30% participant in a Downstream Joint Venture (DSJV) with POSCO (at Pilbara’s election), to For personal use only develop and operate a 30,000tpa LCE lithium carbonate/ lithium hydroxide conversion plant in South Korea Pilbara Minerals PO
Slide 11: Lithium Markets
For personal use only Company Overview Lithium Markets Pilgangoora Stage 1 Project Pilgangoora Stage 2 Project Summary 11
Slide 12: Lithium Growth Batteries are the key driver
Lithium Growth Batteries are the key driver The way we Generate, Use, Distribute and Store energy is changing. For personal use only Lithium Ion rapidly becoming the dominant rechargeable battery technology. Electric Vehicle uptake driving the growth in demand, followed by energy storage. The Lithiu
Slide 13: China market overview – 2017 snapshot
China market overview – 2017 snapshot (Lithium Carbonate Equivalent) For personal use only Domestic Production +17kt3 Imports +193kt1 ►Spodumene (118kt)1 LOCAL PRODUCTION3: Exports +19kt1 ►DSO (36kt)1 ► Brine (≈12kt) ►Lithium Chemicals (39kt)1 ► Spodumene (≈5kt) ►Lithium Carbonate (1kt)1 LC Consumpt
Slide 14: Lithium raw materials: the key ingredient of the improved battery supply chain
Lithium raw materials The key ingredient of the improved battery supply chain ► Lithium raw materials are the vital ingredient for lithium Battery Supply Chain For personal use only battery technology Lithium raw materials ► Lithium is sourced predominantly from: Spodumene Mine - Hard Lithium Carbon
Slide 15: Lithium Raw Material Prices – Grade Differential
Lithium Raw Material Prices – Grade Differential For personal use only Lithium Carbonate ≈99% Technical Grade Lithium Carbonate ≥99.5% Battery Grade Price Variance – Battery Grade vs Technical Grade over recent history Minimum - +USD$1,200/tonne Maximum - +USD$3,500/tonne Upgrading an ‘Industrial or
Slide 16: Lithium Raw Material Prices – Grade Differential
Lithium Raw Material Prices – Grade Differential For personal use only Battery grade materials trading at higher levels for the best part of 2 years, driven by; - Significant demand - Premium for product quality Sources: China Domestic Price, Asian Metals (exc. VAT) China Import Price, Impexp data (
Slide 17: Global Cost Curve – Product Grade Matters
Global Cost Curve – Product Grade Matters…… Global cost curves are not ‘normalised’ For personal use only for Battery Grade specifications, i.e. ≥99.5% purity lithium carbonate By far, the majority of brine production does not meet Battery Grade specifications and therefore has to have more money sp
Slide 18: Pilgangoora Stage 1 Project
For personal use only Company Overview Lithium Markets Pilgangoora Stage 1 Project Pilgangoora Stage 2 Project Summary 18
Slide 19: Stage 1 – 2Mtpa Overview
Stage 1 – 2Mtpa Overview Stage 1 ► DFS completed in September 2016; subsequent update to reflect higher ore reserve (80.3Mt) further enhances project economics For personal use only ► 41 year project life based on 80.3Mt reserve ► LOM average annual production: ► approximately 320ktpa of 6% spodumen
Slide 20: Pilgangoora Project – Overview
Pilgangoora Project – Overview For personal use only Site overview, as at 14 February 2018 20 Plant site, as at 14 March 2018
Slide 21: Pilgangoora Project – construction progress
Pilgangoora Project – construction progress For personal use only Central Pit Pre Strip TMF Construction Expanded Camp Facilities 21
Slide 22: Pilgangoora Stage 2 Project
For personal use only Company Overview Lithium Markets Pilgangoora Stage 1 Project Pilgangoora Stage 2 Project Summary 22
Slide 23: Stage 2 - 5Mtpa Expansion Overview (PFS Results)
Stage 2 - 5Mtpa Expansion Overview (PFS Results) ► Modest incremental capital to expand to 5Mtpa of AUD 207m For personal use only ► LOM average annual production, after Stage 1 and 2 production ramp-up: ► approximately 800ktpa of 6% spodumene concentrates, and ► approximately 780,000lbs of tantalit
Slide 24: 5Mtpa Expansion - Project Delivery Schedule
5Mtpa Expansion - Project Delivery Schedule For personal use only 24
Slide 25: Summary Investment highlights
Summary Investment highlights For personal use only Outstanding project Rapid pathway Ideally placed to Low-cost and through Significant economics and Offtake and full capitalize on high quality construction and resource scale ability to Stage 1 project robust lithium lithium production from and gra
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