Beowulf Mining Plc · LSE:BEM
Beowulf Mining — Investor Presentation (March 2024)
34 slides from Beowulf Mining's investor presentation, March 2024
Slide 1: European Critical Raw Materials for the Green Transition
European Critical Raw Materials for the Green Transition March 2024
Slide 2: Disclaimer
Disclaimer The information contained in this confidential document (“Presentation”) has been prepared by Beowulf By their nature, forward-looking statements involve risks and uncertainties because they relate to events Mining Plc (the “Company”). It has not been fully verified and is subject to mate
Slide 3: Developing a portfolio of critical minerals
Developing a portfolio of critical minerals Delivering European minerals for a sustainable future Portfolio of European critical minerals • Listed on AIM (UK) and Spotlight (Sweden) • Focused on delivering shareholder returns 26 Iron ore for Green Steel Fe • High-grade, low-impurity concentrate Iron
Slide 4: Capital Raise ongoing
Capital Raise ongoing Funding to progress projects through key milestones Deal structure: • Rights Issue of up to 1,035,553,623 SDRs at SEK 0.08 for approx. SEK 82.8m (~£6.3m) • Underwriting of SDR issue to SEK 50m (~£3.8m) • PrimaryBid retail offer in UK of up to 266,282,272 shares at 0.61p for app
Slide 5: Use of Proceeds
Use of Proceeds* Funding to progress projects through key milestones Jokkmokk Iron: £3.0m / SEK 39.8m • Complete Kallak Pre-Feasibility Study • Complete Kallak Environmental Impact Assessment • Submission of Environmental Permit Grafintec: £2.1m / SEK 27.4m • Complete GAMP Pre-Feasibility Study • Co
Slide 6: Scandinavia benefits from cheap, clean power
Scandinavia benefits from cheap, clean power Driving both Green Steel and Gigafactory investment Steel industry Giga factories • 7% of global CO2 emissions (5% in EU) • 40 plants for €30b planned in Europe • €130b annual revenues in Europe • 69GWh in 2022 ➢ 238-286GWh in 2025 • Employs 306,000 peopl
Slide 7: Building blocks for a sustainable future
Building blocks for a sustainable future ESG embedded throughout the company Sustainability approach driven by: • Transparency and Accountability • Stakeholder Engagement • Environmental Stewardship • Corporate Governance • Innovation and Technology Beowulf plans to: • Build a sustainable minerals b
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Slide 9: High-grade iron ore: demand forecast to grow
High-grade iron ore: demand forecast to grow Decarbonisation of steel to drive demand of low carbon feedstocks, primarily DRI Share of DRI and scrap in total metallics demand (2022 and 2050) • Decarbonisation is transforming the supply and trade of iron and steel • Electric Arc Furnaces (EAFs) are r
Slide 10: Kallak: high-grade, low-impurity iron ore
Kallak: high-grade, low-impurity iron ore Critical product to decarbonise the steel industry • Potential to produce unique high-grade concentrate • Strong demand from domestic and international markets • Well located for infrastructure: rail ~40km; range of port options • Access to low-cost, clean e
Slide 11: Kallak North Iron Ore Project
Kallak North Iron Ore Project Project parameters Scoping Study completed on Kallak North Deposit: • Open pit mine • Mining ~9Mtpa of ore • Producing ~2.5Mtpa of high-grade, low-impurity concentrate • Initial 14 year mine-life Physical Parameters Economic parameters Mining rate (Mtpa) 14 Initial Capi
Slide 12: Infrastructure & Logistics
Infrastructure & Logistics Well located for infrastructure Well located to access: • Low-cost, clean energy • Road and rail • Multiple port options • Domestic consumers Distances (km): Well located 12
Slide 13: Current workstreams
Current workstreams Focus on developing a world class mine Environmental: 2023 2024 2025 2026 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 • Completing Environmental Impact Assessment (EIA) Environmental studies EIA submission • Nature values including biodiversity, Environmental Permit applicati
Slide 14: Kallak advantage
Kallak advantage Targeting a premium product Premium product: • Critical for decarbonising steel industry • Highly sought after for domestic and international markets • Enhanced economics • Focus on developing a sustainable world class mine • Further upside potential from Kallak South deposits Scopi
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Slide 16: Strong growth in European batteries
Strong growth in European batteries Driving demand for Graphite Anodes Lithium-ion Battery Cell Capacity by Region Critical Need for Natural Flake Graphite 16
Slide 17: Grafintec
Grafintec Aiming to be a European leader in the sustainable supply of anode material Anode Materials • Development of anode materials production facility in Finland Production • Established partnerships to provide an integrated solution • Advanced discussions with several mines to secure supplies of
Slide 18: Graphite Anode Materials Production in Finland
Graphite Anode Materials Production in Finland Site reserved at GigaVaasa Energy Industrial Hub Graphite Anode Materials Plant Initially targeting 20,000 tonnes production in 2027 Phase 2 expansion to 60,000 tonnes per annum Import of CSPG to Anode Mined Graphite Spheronisation Purification Coating
Slide 19: Development Timeline
Development Timeline Environmental and Technical Workstreams Technical workstream: The project is advancing with bench-scale test work that commenced in October, which is to be followed by pilot-scale test work. Environmental workstream: EIA is underway and is aimed to be completed in Q3 2024. Octob
Slide 20: Strategic resources
Strategic resources One of Europe’s largest flake graphite deposits Aitolampi • Indicated and Inferred 26.7Mt at 4.8% graphite for 1,275,000 tonnes of Mineral contained graphite (Indicated and Inferred) resource • Several untested EM conductive areas • 96.8% to 97.5% graphite concentrates produced s
Slide 21: Varda Minerals
VARDA MINERALS
Slide 22: Vardar – focused on discovery
Vardar – focused on discovery Tethyan Belt – a major metallogenic province Timok deposit (Zijin), Serbia: • Zijin acquired Nevsun Resources Ltd. for US$1.4b in 2018, after Nevsun acquired Reservoir Minerals Inc. for US$365m in 2016 Rudnik • Total resources of 1.8bt @ 0.9% Cu & 0.2g/t Au • Forecast 2
Slide 23: Vardar – systematic exploration
Vardar – systematic exploration First-mover in highly prospective Kosovo Kosovo: • highly prospective for base and precious metals Mitrovica licences Viti licences • limited to no exploration since the 1980s Mitrovica licence area: • km-scale hydrothermal alteration systems identified - comparable i
Slide 24: Other assets and opportunities
Other assets and opportunities Active management of portfolio Swedish assets: • Kallak South-North deposit: 21Mt at 26.9% Fe Indicated & 6Mt at 23.4% Fe Inferred • Kallak South-South deposit: 8Mt at 26.1% Fe Inferred • Copper exploration target Finnish assets: • Rääpysjärvi graphite project: trench
Slide 25: Summary and Outlook
Summary and Outlook Primed for a re-rate Diverse portfolio of critical materials: • Jokkmokk Iron has the potential to produce a market-leading, high-grade, low impurity concentrate • Grafintec holds one of Europe’s largest flake graphite resources and aims to supply of graphite anode material • Var
Slide 26: Appendices
Appendices 26
Slide 27: Corporate summary
Corporate summary Experienced Board & Management Market Data (as at 1 March 2024) Listing AIM/ Spotlight Ticker BEM/ BEO Johan Röstin Ed Bowie Share price 1.2p/ SEK 0.17 Non-Executive Chairman Chief Executive Officer Former CEO of shipping and port companies Ov er 20 y ears' ex perience in corporate
Slide 28: Supply chain security
Supply chain security Political initiatives EU Critical Raw Materials Act to secure EU supply: US–Japan Critical Minerals Agreement on battery minerals (lithium, nickel, cobalt, graphite and manganese): • >10% extracted from EU • to help Japanese automakers and critical minerals processors access •
Slide 29: Supply chain security
Supply chain security Driving investment in critical minerals €9.2m investment for 11.5% 10ktpa of lithium hydroxide 75kt nickel concentrate over 6 Supply agreement from 2026 Supply agreement from 2026 and 40% offtake for 5 years for 5 years’ worth ~€1.5b years October 2023 September 2023 April 2023
Slide 30: Forecast growth in steel from DRI
Forecast growth in steel from DRI Planned and under-construction DRI plants and capacity1 1 Estimated metric tonnes of steel based on DRI capacity, expected utilization, and raw material yields 2 Began operations in 2020 Source: McKinsey & Company Growing demand for DRI 30
Slide 31: Direct Reduction Iron supply-side constraints
Direct Reduction Iron supply-side constraints Anticipated deficit of high-quality raw materials • DRI currently accounts for ~5% of supply to steel industry • Production will need to more than triple in next 30 years if steel industry to become carbon neutral • Mines capable of supplying sufficientl
Slide 32: Supply deficit forecast for DRI
Supply deficit forecast for DRI Demand for high grade iron concentrate set to increase • 200-220Mt shortfall in high-grade ore anticipated by 2050 • Iron ore accounts for ~50% of the total production cost of DRI - access to the necessary grade of feedstock is becoming more critical • Deficit driving
Slide 33: Global Graphite Supply
Global Graphite Supply Dominated by China Growing demand for Natural Flake Graphite 33
Slide 34: Global Graphite Demand
Global Graphite Demand Dominated by China Growing demand for Natural Flake Graphite 34