Cobalt Blue Holdings Ltd. · ASX:COB
Cobalt Blue — Investor Presentation (March 2022)
22 slides from Cobalt Blue's investor presentation, March 2022
Slide 1: 1H 2022 Company Presentation
1H 2022 Company Presentation
Slide 2: Our Aim: Australian Ethical Cobalt Producer
Our Aim: Australian Ethical Cobalt Producer The directly integrated BHCP solution offers a vastly superior emission footprint and ethical value chain over alternatives 1. Volume certainty: Long life, large volume cobalt supply. BHCP represents 10% of non-DRC cobalt supply by 2025. Enough cobalt to e
Slide 3: BHCP – Timeline
ASX: COB BHCP – Timeline 3 Source: Cobalt Blue Holdings Limited
Slide 4: Capital Structure
BHCP – Capital Structure Capital Structure: ▪ Ordinary Shares at 07/03/2022: 298.5m ▪ Options (unlisted): 33.8m ▪ Promissory Note1 (5yr to 2025): $3.0m ▪ Market Cap (undiluted): $240m Share Price: ▪ Share Price at 25/03/2022 : $0.82 Parameters: ▪ 3,500 tpa cobalt metal – marketed as 10ktpa MHP or 17
Slide 5: Project Metrics
BHCP – Project Metrics NPV (A$m) (Post Tax) vs Cobalt Price 1800 Financials* 1600 1400 NPV (A$m) (Post Tax) ▪ Pre-Tax NPV7.5 A$861m (IRR 23%) 1200 Source: Cobalt Blue 1000 Holdings Limited ▪ Post Tax NPV7.5 A$554m (IRR 19%) 800 600 Payback: 4.5 years 400 ▪ 200 - ▪ EBITDA A$3.05B generated LOM $20.0
Slide 6: Globally Significant Project
BHCP: Globally Significant Project Australia’s largest cobalt sulphide deposit – a top 10 global cobalt mine Cobalt Prod by Region Cobalt Supply ex DRC Cobalt Prod by Operation, ex-DRC (2026) DRC 109 2021 2030 Weda Bay (Indo) 7.5 China 6.9 5.5 Morowali - QMB (Indo) 4.5 Other Africa 6 Indonesia 4.8 1
Slide 7: Logistical Advantages
BHCP – Logistical Advantages Broken Hill: people, power, water, road and rail benefits Source: Cobalt Blue Holdings Limited ASX: COB 7
Slide 8: Straightforward Infrastructure
BHCP – Straightforward Infrastructure ▪ Secured access to nearby established infrastructure Source: Cobalt Blue Holdings Limited means small spend: ▪ Raw water allocation of 1.2GLpa (capacity to go to 1.5GL if required). ▪ 75MW power allocation (NEM), 20km powerline to Broken Hill - district has hig
Slide 9: Pilot Plant Achievements
BHCP – Pilot Plant Achievements Proven COB Process at Pilot Plant scale Study Level Period Concentrate Circuit Pyrolysis Circuit Leaching/Purification Source: Cobalt Blue Holdings Limited Scoping Study 2017 20–30 kg Lab scale 1 kg Lab scale 1 kg Lab scale Pre-Feasibility Study 2018 820 kg Bulk trial
Slide 10: Cobalt Sulphate Production Flowsheet
BHCP Cobalt Sulphate Production Flowsheet Source: Cobalt Blue Holdings Limited ASX: COB 10
Slide 11: The pilot plant
BHCP – The pilot plant Concentrate circuit MHP circuit Source: Cobalt Blue Holdings Limited ASX: COB 11
Slide 12: Co-Ni Mixed Hydroxide Product (MHP)
BHCP – MHP BHCP – Co-Ni Mixed Hydroxide Product (MHP) ▪ High Grade: 37% cobalt. ▪ Byproduct Credit: 7% nickel. ▪ Low trace metal impurities – Cu, Fe, Mn. ▪ Trading terms typical grade is 30% Co content. Typical content from testwork: Ca Co Cl Cu Fe Mn Ni Zn 2.5 % 37 % 7% 0.01 % 0.07 % 0.85 % 7% 0.1
Slide 13: Cobalt Sulphate
BHCP – Cobalt Sulphate BHCP – Cobalt Sulphate Source: Cobalt Blue Holdings Limited Heptahydrate (CoSO4.7H2O) ▪ High Grade: 20.8% cobalt. ▪ Low trace metal impurities. ASX: COB 13
Slide 14: Elemental Sulphur
BHCP – Elemental Sulphur Source: Cobalt Blue Holdings Limited BHCP – Elemental Sulphur ▪ >99% purity (max 0.2% Fe, 0.5% SiO2) ▪ Physical Form: Prills (2–5 mm) ▪ Australia: 1mtpa deficit market: ▪ fertiliser feedstock (55%) ▪ metallurgical consumption (43%) ASX: COB 14
Slide 15: Flexible, low-cost production
BHCP – Flexible, low-cost production ▪ Cobalt sulphate Sulphate (Co metal equiv revenue) production from MHP Source: Cobalt Blue Holdings Limited intermediate ▪ Low costs: cobalt C1 (US$9.34/lb)* & AISC (US$12.13/lb)*. * Project Update 2020 – Value Engineering Study including nickel credits. ASX: CO
Slide 16: Capital and Operating Costs
BHCP – Capital and Operating Costs Capital Costs (A$) LOM Operating Costs Process Plant $343 Infrastructure $137 ▪ Cobalt Sulphate ~US$12/lb (ASIC) Mine Development $38 Mine Fleet $22 ▪ Cobalt Hydroxide (MHP) ~US$9/lb (ASIC) Other $20 ▪ Economic resilience (px vs LT) Total $560 Pre-Production Capita
Slide 17: Outstanding capital efficiency
BHCP – outstanding capital efficiency Cobalt Payable Capital Intensity Project US$ Capex Cobalt (tpa) By-products (% LME) Mine Life (years) (US$/ktpa Co) BHCP (Aust) 392 3,500 Sulphur 100% 17 112 Source: Cobalt Blue Holdings Limited Jervois (USA) 200 1,267 Cu / Au 100% 13 158 Mount Thirsty (Aust) 26
Slide 18: Strategic Arrangements / Partnerships
Strategic Arrangements / Partnerships Existing commercial partnerships ▪ LG International: First Mover partnership provides capital and technical assistance on high purity battery grade cobalt sulphate ▪ Cooperative Research Centre & Future Batteries Industries project to fund and validate our refin
Slide 19: Funding Capacities
Funding Capacities Currently well-funded ▪ Recent raisings/placements, options – current cash Multiple options on the table ▪ Cutfield Freeman appointed strategic financial advisor, working to identify best-fit financiers/facility ▪ A$2bil Critical Minerals Facility: COB a “premiant critical mineral
Slide 20: Cobalt Blue – Who We Are
Cobalt Blue – Who We Are “Extensive expertise – mineral development, investment management, corporate law and energy storage.” Independent Chairman – Robert Biancardi IBM, Citibank, Westpac and Evolution Healthcare (senior management and director). Numerous directorships of private companies. Indepe
Slide 21: Mineral Resource Summary
Mineral Resource Summary Source: Cobalt Blue Holdings Limited ASX: COB 21 Source: Cobalt Blue Holdings Limited
Slide 22: Disclaimer
Disclaimer Information contained in this confidential document (“Presentation”) has been prepared by Cobalt Blue Holdings (the “Company”). It has not been fully verified and is subject to material updating, revision and further amendment. While the information contained herein has been prepared in g
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