Tmc The Metals Company Inc. · NASDAQ:TMC
Tmc The Metals — The Metals Company — Investor Presentation (September 2021)
33 slides from Tmc The Metals's investor presentation, September 2021
Slide 1: Revolutionizing the Mineral Supply Chain for Fast Growing EV Demand
Better Metals for EVs Revolutionizing the Mineral Supply Chain for Fast Growing EV Demand The Metals Company September 2021
Slide 2: Forward looking statements
2 Better Metals for EVs Forward looking statements. Certain statements made in this presentation are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are
Slide 3: DeepGreen Metals + SOAC
Better Metals for EVs DeepGreen Metals + SOAC =
Slide 4: Using a rock to change the world
4 Better Metals for EVs Using a rock to change the world.
Slide 5: Our mission: a carefully managed metal commons
Our mission is to build a carefully managed metal commons that will be used, recovered, and reused again and again—for millennia. oo ui Nickel Sulfate 28 . Ni 58.693 [Ar]3d°4s2
Slide 6: Investment highlights
6 Better Metals for EVs Investment highlights. The world’s largest estimated source of battery metals Enough nickel, copper, manganese and cobalt in situ to electrify 280 million EVs1 Four battery metals in high concentrations in a single resource 3.2% nickel equivalent2 vs. 0.3-1.9% for the world’s
Slide 7: The business combination has closed: TMC to list on the Nasdaq on Sept 10, 2021
7 Better Metals for EVs The business combination has closed: TMC to list on the Nasdaq on Sept 10, 2021. The business - Founded in 2011, DeepGreen Metals, now known as The Metals Company, is the developer of the world’s largest estimated deposit of battery metals1—seafloor polymetallic nodules—with
Slide 8: Key milestones ahead
8 Better Metals for EVs TMC expects current cash to Key milestones fund operations through the ahead. application for an ISA Exploitation Contract for 2011-today NORI in Q3 2023 Funding ✓ ~$200M raised prior to the SOAC 2025— transaction - Commercial production: Resource P1, 10Mtpa nodules ✓ Explora
Slide 9: Electrification: batteries for EVs and renewables
9 Better Metals for EVs TMC is positioned at ~$5 trillion the intersection of Electrification: Total addressable market for EVs over the next decade1 three megatrends in the green transition. batteries for EVs and renewables $1.7 trillion Cumulative mining investment required to limited rise in glob
Slide 10: EV revolution is metal intensive
10 Better Metals for EVs EV revolution is metal intensive. 85kg 56kg 7.1kg 6.6kg 29 28 27 25 CuCopper Ni Nickel Co Cobalt Mn Manganese 63.546 58.693 58.933 54.938 Metal requirements for a 75kWh battery with NMC cathode chemistry and average copper contents for electric harness and connectors. Differ
Slide 11: Four upstream challenges EV manufacturers should be worried about
11 Better Metals for EVs Four upstream Availability: Shortages expected Security: China dominates supply2 challenges EV China’s share of production, 2019 manufacturers Lithium, cobalt, nickel, manganese, cathode, anode & cells should be worried about. Mining Processing Cathode & Li-ion anode battery
Slide 12: Solving availability: in situ resource sufficient to electrify the entire U.S. car fleet
12 Better Metals for EVs Solving availability: in situ resource sufficient to electrify the entire U.S. car fleet. Exploration contract area NORI1 TOML2 Marawa Sponsoring state Republic of Nauru Kingdom of Tonga Republic of Kiribati Exploration area 74,830 km2 74,713 km2 74,990 km2 Technical resourc
Slide 13: Solving availability: nickel for nickel-rich battery chemistries
13 Better Metals for EVs Solving availability: nickel for nickel-rich battery chemistries. NORI-D project revenue by product2 29 Cu Copper 63.546 920,000 tonnes 13% Expected nickel supply deficit, 20301 27 28 Co 12% Cobalt 120,000 tonnes Ni Nickel 58.693 46% 58.933 Expected production, NORI-D2 ~500,
Slide 14: Solving security: we can localize our onshore plants on any continent
14 Better Metals for EVs Solving security: we can localize our onshore plants on any continent.1 1GSL Location Study prepared for the company. Locations selected based on access to deep-water port, access to renewable power and proximity to manganese and battery customers.
Slide 15: Solving price: second lowest-cost nickel producer
15 Better Metals for EVs Solving price: we expect to become the second lowest-cost nickel producer in the world. Nickel C1 cost curve on a by-products’ basis1 C1 Cash Cost represents all direct costs, incl. mining, processing, freight, SGA minus revenue from by-products C1 cash cost, $ / lb Wo r l d
Slide 16: Solving ESG footprint: we expect to be able to compress most of it
16 Better Metals for EVs Solving ESG footprint: we expect to be able to compress most of it. Land ores vs. nodules Resource use -75% -94% -89% +new use Ore Land Water Seafloor Climate change Habitat damage -70% -94% -100% -98% -99% -99% CO2e Stored carbon Solid Terrestrial Freshwater Eutrophication
Slide 17: World-class resource: with several advantages
17 Better Metals for EVs World-class resource: Nodule composition breakdown with several advantages. 25 0.70% Mn Manganese 54.938 29.20% 41.8% Hydroxide 29 Cu Copper 63.546 28 1.08% Ni 1.30% 8% Nickel 58.693 0.18% Fe 27 18% Co Cobalt Mg, Na, Al, Si 58.933 Unbound to the seafloor – no need for drilli
Slide 18: World-class resource: #1 largest undeveloped nickel project, with very high grades
18 Better Metals for EVs World-class resource: #1 largest undeveloped nickel project, with very high grades. World’s largest undeveloped nickel projects World’s largest nickel producers Total resources (inferred, indicated & measured), in Mt1,3 Total resources (inferred, indicated & measured), in Mt
Slide 19: World-class partners: why we can move faster than anyone else
19 Better Metals for EVs World-class partners: why we can move faster than anyone else. OFFSHORE ONSHORE RESOURCE COLLECT SHIP PROCESS Invested in 2012. Holds offtake on NORI Area: 28 50% of TECHNOLOGY DEVELOPMENT FLOWSHEET Ni Nickel production 58.693 Invested $70M in 2019-2020. Developing a pilot a
Slide 20: The ESG case for nodules: Structural challenges of land-based producers
20 Better Metals for EVs The ESG case for nodules: Structural challenges of land-based producers. Nickel & copper grades, fitted1 Falling grades More ore to get at the same amount of metal More land / energy / water use Falling grades x sharply rising demand = exponential increase in tailings Proble
Slide 21: The ESG case for nodules: Metal production from nodules can be much better
21 Better Metals for EVs The ESG case for nodules: Metal production from Resource nodules can be much High-grades of four metals in a single ore – much less ore mass to process better. Very low contents of hazardous elements – can turn 100% of mass into products Unobstructed access to nodules—no ove
Slide 22: The Abyssal Plain advantage
22 Better Metals for EVs The Abyssal Plain advantage: one of the lowest biomass & carbon sequestration environments on the planet. Biomass Contained carbon kg/m2 ~1,500x Stable, food-poor environment dependent on particles sinking from oligotrophic surface waters ~300x Very low biomass • No plants •
Slide 23: Regulatory framework: Transparent regulatory regime supported by international law
23 Better Metals for EVs Regulatory framework: Seabed resources in the high seas are governed by the International Seabed Authority (ISA) Transparent regulatory - Autonomous international organization - Modern regulatory regime regime supported by - Transparency & civil society engagement internatio
Slide 24: Resource definition: easy and effective to define
24 Better Metals for EVs Resource definition: easy and effective BOX CORE SAMPLING1 to define. 250 box cores collected2 82,000 kg (wet) nodules collected2 13,950 biological samples collected2 AUV CAMERA IMAGERY1 178,591 km2 of high-res bathymetric survey2 5,439 km2 detailed seafloor imagery2 1 Image
Slide 25: Project development: NORI-D on time and on budget
25 Better Metals for EVs Project development: NORI-D on time and on budget to achieve expected commercial production in 2024. we are here exploration planned production Exploration Contracts Initial Feasibility Project Zero Project One: and 43-101 resource Prefeasibility study (PFS) Assessment (IA)
Slide 26: ESIA program: 100+ studies
26 Better Metals for EVs ESIA program: 100+ studies working with some Seabed-to-surface ocean research program of the best research Surface biology institutions on the Surface fauna logbook (PelagOS) Remote Sensing, Hydrophone Acousitcs planet. Pelagic biology Microbial Community Characterization Ph
Slide 27: Offshore development: Progressing on track
27 Better Metals for EVs Production Offshore development: vessel & riser: 27 Drillship acquired Progressing on track. by Allseas in Feb 2020 <$50mm ($700mm new build) Conversion in progress Collector robot: Procurement of long-lead items in progress 2015- Jan 2025- 2019 2020 2022 2024 2019 2022 2030
Slide 28: Proven technology
28 Better Metals for EVs Proven technology. 1970’s pilot testing in CCZ Present Day Offshore Diamond Mining De Beers, NAMCO, Samicor Kennecott Copper Corp Ocean Management Inc. British Petroleum, Rio Tinto-Zinc Corp International Nickel Company Consolidated Gold Fields Metallgesellschaft AG Noranda
Slide 29: Onshore development: Zero solid waste flowsheet
29 Better Metals for EVs Onshore development: Zero solid waste We intend to select plant sites based on flowsheet. proximity to markets for by-products We will start with nodules that have remarkably low levels of harmful elements Dual pyro / hydro process would allow for We select reagents that res
Slide 30: Project economics: massive estimated resource leads to massive economic upside
30 Better Metals for EVs Project economics: massive estimated resource leads to massive economic Estimated resource upside. + Additional upside 2 3 Marawa Full portfolio1 Estimated resource $31.3B NPV 4 $6.8B NPV4 Resource: 1.6Bt Resource: 356Mt Resource definition Production: 9.3Mtpa dry Production
Slide 31: Project finance: NORI-D low CAPEX intensity and low OPEX compared to peers
31 Better Metals for EVs Project finance: NORI-D low CAPEX intensity and low OPEX compared to peers. Capital intensity 192,400 CAPEX in $US / average annual nickel equivalent tons produced1 Development Capex Sustaining Capex 153,600 92,800 99,400 82,200 82,900 63,300 140,100 53,900 42,600 113,600 37
Slide 32: Greenfield vs. bluefield: The advantages of nodule collection projects
32 Better Metals for EVs Greenfield vs. bluefield: The advantages of nodule collection projects. Greenfield development Bluefield development Land mining Nodule collection Development timeline from start PFS to 5-7 years 3 years production Capital intensity construction capital ~$60,000/t1 ~$28,000/
Slide 33: Thank you
Better Metals for EVs Analyst and Investor Contact craig@metals.co Thank you. Media Contact media@metals.co Follow us
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