Nouveau Monde Graphite Inc · TSX:NOU
Nouveau Monde Graphite — Corporate Update (February 2024)
23 slides from Nouveau Monde Graphite's corporate update, Feb 15, 2024
Slide 1: Binding Offtakes & Equity Investments
BINDING OFFTAKES & EQUITY INVESTMENTS PANASONIC ENERGY & GM ALONG WITH CO-INVESTORS Investor Briefing February 15, 2024
Slide 2: Cautionary Statements Regarding Forward-Looking Information
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING INFORMATION This presentation contains forward-looking information and forward-looking statements (collectively, “forward-looking statements”), which relate to future events or future performance and reflect management's expectations and assumptions re
Slide 3: Briefing Session Agenda and Management Team
+BRIEFING SESSION AGENDA MANAGEMENT TEAM » NMG at a glance » Eric Desaulniers Founder, President & CEO − Business plan » Charles-Olivier Tarte CFO − Market perspectives » Patrice Boulanger VP Sales, Marketing & Business » Offtakes and strategic Development investments » Julie Paquet VP Communication
Slide 4: NMG at a Glance
NMG AT A GLANCE NMG.com + NYSE: NMG | TSXV: NOU | FSE: NM9A + 4 + PROPRIETARY & CONFIDENTIAL
Slide 5: Planned to Be North America's Largest Integrated Natural Graphite Producer
+PLANNED TO BE NORTH AMERICA’S LARGEST INTEGRATED NATURAL GRAPHITE PRODUCER MATAWINIE UATNAN MINE & CONCENTRATOR MINE & CONCENTRATOR High-purity flake graphite Large volume production of flake graphite concentrate Mine and concentrator to produce 103 ktpa of high-purity flake concentrate UATNAN Mine
Slide 6: Vertical Integration to Deliver Lithium-Ion Battery Active Anode Material
+VERTICAL INTEGRATION TO DELIVER LITHIUM-ION BATTERY ACTIVE ANODE MATERIAL » Planned to become the North America’s largest and fully integrated lithium-ion battery anode material producer Integrated Anode » Carbon neutrality across its entire production value chain – “green” Material Producer operat
Slide 7: The Potential Evolution of NMG as a Global Anode Material Leader
+ THE POTENTIAL EVOLUTION OF NMG AS A GLOBAL ANODE MATERIAL LEADER OUR PLAN OUR GOAL OUR VISION PHASE 1 PHASE 2 PHASE 3 2017-2023 2024-2027 2028+ “DE-RISKING” EXECUTION GROWTH » Demonstration facilities for » MATAWINIE MINE: ~103 ktpa of » Develop the UATNAN MINING fully-integrated operations high-p
Slide 8: NMG's Long-Term Strategy in Today's Commercial Landscape
+ NMG’S LONG-TERM STRATEGY IN TODAY’S COMMERCIAL LANDSCAPE Active engagement targeting » Tier-1 customers with clarity on required specifications » Long-term agreements and shared ESG vision » North America-first integration approach » Supportive of targeted capital structure − Equity commitment to
Slide 9: Demand Expected to Outstrip Supply
DEMAND SUPPLY SHORTAGES EMERGING EXPECTED TO AS EV DEMAND RAMPS UP OUTSTRIP SUPPLY Market projection for graphite demonstrates structural deficit: » New production needed to come Projected start of Timely launch of online to meet the strong growth Phase-2 production Phase 3 to tap into market demand
Slide 10: A Rare Alternative to China's Controlled Supply as Geopolitics Escalate
+ A RARE ALTERNATIVE TO CHINA’S CONTROLLED SUPPLY AS GEOPOLITICS ESCALATE CHINA’S SHARE OF THE ANODE MARKET Source : Benchmark Mineral Intelligence, Q4-2023 » New restrictions on Chinese graphite exports » US targets China as a “foreign entity of concern” − Battery components or critical minerals so
Slide 11: New Trends to Emerge as North American Demand Picks Up Speed
+ CHINA-FOCUSED PRICING DYNAMICS NEW TRENDS TO EMERGE AS NORTH AMERICAN DEMAND PICKS UP SPEED China Forecasted Supply/Demand 1 200 000 Supply Demand 1 000 000 HISTORICAL NATURAL GRAPHITE ANODE PRICES (FOB CHINA) 800 000 600 000 400 000 200 000 0 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Slide 12: Binding Offtake & Investment Agreements
BINDING OFFTAKE & INVESTMENT AGREEMENTS NMG.com + NYSE: NMG | TSXV: NOU | FSE: NM9A + 12 + PROPRIETARY & CONFIDENTIAL
Slide 13: Panasonic Energy & General Motors
Offtakes & Tranche 1 Investment PANASONIC ENERGY & GENERAL MOTORS BECOME STRATEGIC US$25M private US$25M private INVESTORS AND OFFTAKE placement placement PARTNERS 18 ktpa of active 18 ktpa of active anode material anode material binding offtake binding offtake » Multiyear offtake agreements » Aggre
Slide 14: Panasonic Energy Offtake Agreement
+PANASONIC ENERGY OFFTAKE AGREEMENT OFFTAKE AGREEMENT SUMMARY Binding » 18,000 tpa of active anode material volume Initial term » 7-year term from the commencement of production, with option to extend » Based on price formula linked to future prevailing market prices as well as a Pricing mechanism t
Slide 15: GM Supply Agreement
+GM SUPPLY AGREEMENT SUPPLY AGREEMENT SUMMARY Binding » 18,000 tpa of active anode material once NMG reaches full production volume Initial term » 6-year term from the commencement of production, with option to extend » Based on price formula linked to future prevailing market prices as well as a Pr
Slide 16: Path to a Final Investment Decision (FID)
PATH TO A FINAL INVESTMENT DECISION (FID) NMG.com + NYSE: NMG | TSXV: NOU | FSE: NM9A + 16 + PROPRIETARY & CONFIDENTIAL
Slide 17: Participation from Anchor Customers and Renewed Support from Strategic Investors
+ BEYOND SUPPLY AGREEMENTS PARTICIPATION FROM ANCHOR CUSTOMERS AND RENEWED SUPPORT FROM STRATEGIC INVESTORS » Aggregate US$50 million Tranche 1 Investment from Panasonic and GM to advance the development of NMG’s Phase-2 based on their specs » US$37.5 million total investment by strategic partner Mi
Slide 18: Strong Equity Holders & a Sound Capital Structure
+ STRONG EQUITY HOLDERS & A SOUND CAPITAL STRUCTURE PROVIDE A SOLID FOUNDATION POST TRANSACTION SHARE STRUCTURE 16% Basic shares (M) 112.4 Convertible notes (M) 2.5 Other Warrants / convertible notes (M) 2.5 shareholders 12% 39% Reserve interest payment on convertible notes (M) 0.4 Warrants current
Slide 19: Update on Phase 2 Project Financing
+UPDATE ON PHASE 2 PROJECT FINANCING PROJECT FUNDING PLAN PROSPECTIVE KEY FUNDING PARTNERS » Targeted financing the Phase-2 Matawinie Mine and Bécancour Battery Materials Plant with contemplated debt:equity ratio of ~60:40 Strategic equity advisor Lead arranger » Advanced discussions with Société Gé
Slide 20: Strong Foundation Toward Commercial Production
STRONG ORE-TO-BATTERY-MATERIAL PROJECT DESIGN FOUNDATION TOWARD Integrated feasibility First Nation + community Mineral resource Technology development study engagement & public definition for beneficiation COMMERCIAL consultation PRODUCTION TECHNICAL ADVANCEMENT Assembling Mining Land purch
Slide 21: North America's First & Largest Fully Integrated Source of Natural Graphite Active Anode Material
TARGETED TO BE » Tier-1 industry partners at the center of the EV revolution NORTH embarking on a long-term relationship with NMG AMERICA’S » Multiyear offtake agreements with investment-grade anchor FIRST & customers engaged in the development of a local, ESG-driven and reliable North American supp
Slide 22: Q&A Session
Q&A SESSION NMG.com + NYSE: NMG | TSXV: NOU | FSE: NM9A + 22 + PROPRIETARY & CONFIDENTIAL
Slide 23: Green Battery Materials to Power the Energy Revolution
GREEN BATTERY MATERIALS TO POWER THE ENERGY REVOLUTION CORPORATE OFFICE NMG.com CONTACT 995 Wellington Street, Suite 240 Facebook Marc Jasmin Montréal (Québec) H3C 1V3 Twitter Director, Investor Relations Canada YouTube +1 450 757-8905 #993 LinkedIn mjasmin@nmg.com NMG.com + NYSE: NMG | TSXV: NOU |
Nouveau Monde Graphite — Corporate Update (February 2024) on 6ix