Abx Group Limited · ASX:ABX

Abx — Investor Presentation (May 2022)

23 slides from Abx's investor presentation, May 25, 2022

  1. Slide 1: Business Plan

    (ASX:ABX) Business Plan 25 May 2022 Page 1

  2. Slide 2: Disclaimer

    Disclaimer This presentation has been prepared by ABx Group Limited ACN 139 494 885 (“ABx” or the “Company”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those secu

  3. Slide 3: Creating new sources and technologies for the supply of strategic minerals and chemicals

    Creating new sources and technologies for the supply of strategic minerals and chemicals: Exploration Development Technology 1. Multiple discoveries of the ideal type of rare earth deposit in northern Tasmania 2. Production of aluminium fluoride, essential for aluminium smelting, from recycled waste

  4. Slide 4: Segments

    Segments Rare earth discoveries in northern Tasmania ALCORE Aluminium fluoride production technology Bauxite operations in Queensland and Tasmania Page 4 4

  5. Slide 5: ABx's potential rare earth elements

    ABx’s potential rare earth elements • 15+ rare earth elements (REEs) used in wide variety of applications, with demand growing rapidly • China dominates rare earths markets • Prices of different rare earths vary significantly because: • Proportions of supply do not match proportions of demand • Rare

  6. Slide 6: Permanent magnets

    Permanent magnets Super Magnets • Essential for electric vehicles and wind turbines • Represent over 90% of value of rare earths consumption • Forecast to grow faster than other rare earth applications By Volume By Value Pr Nd Neodymium Praseodymium Smart Electric Phones Vehicles Tb Dy Terbium Dyspr

  7. Slide 7: Ionic absorption clay (IAC) rare earth deposits

    Ionic absorption clay (IAC) rare earth deposits • Currently only processed in southern China • Contain much higher proportion of higher value rare earths, such as those required for permanent magnets (Nd, Pr, Dy, Tb) • Less complex processing: lower costs and shorter time to production Permanent Per

  8. Slide 8: ABx rare earth discoveries in Tasmania

    ABx rare earth discoveries in Tasmania • ABx is the first company to discover rare earths in Tasmania • Four discoveries spanning 52 km1 Wind Break REE Tick all the boxes2,3 Deep 1. Grade (samples above 3,000 ppm total Leads REE Targets 52km Rubble Mound Portrush rare earth oxides) REE REE discovery

  9. Slide 9: ABx rare earths strategy

    ABx rare earths strategy Strategy • Rapidly develop low-cost production of rare earth concentrates • Operate only where welcomed 2022 Plan • Metallurgical testing to determine recovery via leaching • Further drilling campaigns in newly granted exploration licence EL10/20211 • Enhance ABx’s explorati

  10. Slide 10: Segments

    Segments Rare earth discoveries in northern Tasmania ALCORE Aluminium fluoride production technology Bauxite operations in Queensland and Tasmania Page 10 10

  11. Slide 11: Aluminium fluoride from aluminium smelter waste

    Aluminium fluoride from aluminium smelter waste Aluminium fluoride (AlF3): essential for aluminium smelting • 1.2 million tonnes produced globally per year worth US$1.5 • Traditionally produced billion (US$1,000-1,800 per tonne) from high-cost aluminium • 50% produced in China, mainly for Chinese sm

  12. Slide 12: Process to produce aluminium fluoride

    Process to produce aluminium fluoride • Exemplary illustration of circular economy • ABx’s 83%-owned refining technology subsidiary • Developing processes to produce aluminium fluoride using: • Fluorine from tapped bath • Aluminium from dross (an aluminium smelter waste) or bauxite 12

  13. Slide 13: Process economics

    Process economics • Based on long term aluminium fluoride prices and exchange rates, and estimated costs • For 20,000 t/y aluminium fluoride • Attractive margins under all scenarios Operating Operating AlF3 price FX rate AlF3 price EBITDA Aluminium source Scenario cost margin (US$/t) USD:AUD (A$/t)

  14. Slide 14: Technical progress

    Technical progress • Critical processing steps have been demonstrated in laboratory • Commenced pilot plant program Customised reactor for recovery of fluorine from aluminium smelter bath AlF3 imports from China to Australasia fell by more than Pilot plant for production 60% in 2021 of precursor che

  15. Slide 15: Process scale-up

    Process scale-up • Rigorous scale-up to reduce technical risk • First aluminium fluoride plant planned for Bell Bay, Tasmania, near existing hydro-powered aluminium smelter. Planned production 20,000 t/y • Potential for plants in other major aluminium smelting regions • Potential expansion into othe

  16. Slide 16: Progress and schedule

    Progress and schedule Chinese production Pilot Commercial 16

  17. Slide 17: Segments

    Segments Rare earth discoveries in northern Tasmania ALCORE Aluminium fluoride production technology Bauxite operations in Queensland and Tasmania Page 17 17

  18. Slide 18: ABx bauxite operations

    ABx bauxite operations Sunrise Bauxite project Queensland • 50:50 joint venture with Alumin Pty Ltd, an Australian special purpose vehicle company associated with our strategic marketing partner, Rawmin India • Mining lease application is on the large Binjour deposit, 115km west of Bundaberg Port. •

  19. Slide 19: ABx bauxite operations

    ABx bauxite operations Sunrise Bauxite project Project schedule Project Stage 2022 2023 2024 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Approvals Binjour Mine Operations Bundaberg Approvals Port Operations Subject to change 19

  20. Slide 20: ABx bauxite operations

    ABx bauxite operations Northern Tasmania • Several Tasmanian bauxite deposits that can supply cement and fertiliser grade bauxite for many years. • Bauxite production at DL130 project may accelerate development of the Deep Leads REE discovery Mines  First mine at Bald Hill fully rehabilitated  Maj

  21. Slide 21: ABx Group Limited

    ABx Group Limited L5 52 Phillip Street Sydney 2000 Australia Phone: +61 2 9251 7177 E: corporate@abxgroup.com.au Julie Young Marketing & Investor Relations Manager E: jyoung@abxgroup.com.au Authorised for release by the Board of Directors

  22. Slide 22: Reference Information

    Reference Information Page 22 22

  23. Slide 23: References

    References 1ASX release 16 March 2022 2ASX release 23 November 2021 3ASX release 10&14 February 2022 4ASX release 29 April 2022

ABx Group — Investor Presentation (May 2022) on 6ix