Nordic Mining Asa · OSL:NOM
Nordic Mining Asa — Investor Presentation (2016)
33 slides from Nordic Mining Asa's investor presentation, 2016
Slide 1: Minerals for a sustainable future
Ti Pt Lighter aircrafts Clean air Pd Minerals for a sustainable future OAX: NOM Electric cars Li Renewable energy Si 1
Slide 2: Disclaimer
Disclaimer This document has been used by Nordic Mining during an oral presentation. Therefore, this document is incomplete without the oral explanations, comments and supporting instruments that were submitted during the referred presentation. To the extent permitted by law, no representation or wa
Slide 3: Developing high-value assets in the Nordic Region
Developing high-value assets in the Nordic Region Platinum, Palladium Titanium - natural rutile High Purity Quartz Lithium Seabed minerals 3
Slide 4: Diverse and unique properties of titanium and lithium
Ti Diverse and unique properties Li The key to a greener society 4
Slide 5: Engebø
Engebø One of the world’s largest deposits of natural rutile Highest grade among current producers and projects Significant content of garnet Impurities at background levels Located next to tidal waters and European markets Permitted for 50 years of operation 5
Slide 6: Current status
Current status Geology and resource report published early September; significant increase of classified resources Hatch contracted as technical advisor for PFS; kick-off mid- September PFS will comprise a new review of project and scenarios Mine planning, test work and other activities are
Slide 7: Rutile concentrate can be processed into two main products
Rutile concentrate can be processed into two main products: Ti Titanium TiO2 Titanium dioxide Titanium has unique properties both as oxide and metal 7
Slide 8: The airplane and space industry discovered the advantages early
The airplane and space industry discovered the advantages early: strength, weight, temperature 8
Slide 9: Titanium oxide has photocatalytic properties
Titanium oxide has photocatalytic properties NOXITE 9
Slide 10: The highest rutile grade and lowest impurity content
The highest rutile grade and lowest impurity content Rutile grade for current feedstock producers and planned projects Engebø 3.77% Murray Basin - Iluka 2.32% Cerro Blanco 2.10% Akonolinga (Years 1-6) 1.66% Project Sierra Rutile 1.42% Producer Akonolinga 1.15% Kwale 0.65% Snapper 0.59% Donald 0.37%
Slide 11: European pigment majors will be future customers
European pigment majors will be future customers Regional, stable supply brings customer benefits Substantial freight reduction compared to existing supply Plant-to-plant shipment Simple logistics improve working capital, storage and planning Several European customers can each take Engebø’s
Slide 12: Long sea freights underpin attractiveness
25 % Long 20 % sea freights 22% underpin 25attractiveness % of new European supply 15 % 20 % 25 % 25 % 10 % 15 % 8% 20 % 20 % 25 % 5% 10 % 15 % 15 % 25 % 25 % 5% 20 % 0% 5% 10 % 8% 10 % Norway 20 % 20 % 5% 15 % Canada 0% Ukraine5 % 5% 15 % 15 % 10 % 0% 0% China US 10 % 5% 10 % 5% 5% 25 % 25 % 5% 5%
Slide 13: t€ is - ,
t€ is - , Siac aa J . a Tey »
Slide 14: Efficient and area-tight concept, minimum transportation costs
Efficient and area-tight concept, minimum transportation costs 14
Slide 15: Preliminary mine and extraction 2016
Preliminary mine and extraction 2016 15
Slide 16: PFS – study, ongoing activities
PFS – study, ongoing activities Crushing and milling • Test work ongoing with NTNU and misc. foreign vendors/laboratories. Mine and extraction planning • Simulation modelling by Hatch • Mine and production scenario screening • Preliminary financial modelling Processing • Various test work ongoing in
Slide 17: Process test work ongoing with full scale equipment
Process test work ongoing with full scale equipment 17
Slide 18: Garnet, update on market and sales target
Garnet, update on market and sales target Sales target for garnet is doubled to 200,000 tpy (up from 100,000 tpy) ● Primary markets for garnet are in waterjet cutting and abrasive blasting with additional market of coarse product in water filtration. ● In waterjet cutting, garnet is the dominant abr
Slide 19: Positive long-term price outlook for rutile
Positive long-term price outlook for rutile Selected research reports from Q1 2016 2016 2017 Long-term (Price forecasts in USD per tonne rutile) Royal Bank of Canada (RBC) 813 900 1,100 UBS 800 875 1,300 J.P. Morgan 698 677 1,000 Credit Suisse 750 800 1,250 Investec 763 838 1,020 Maquarie 700 680 81
Slide 20: Towards construction – tentative timeline
Towards construction – tentative timeline 2016 2017 2018 2019 Resource classification Process testwork Water & power supply Eng. & cost review Pre-feasibility Study Pilot production Basic engineering Market/offtake Def. feasibility study (DFS) Project financing FEED Investment decision Well financed
Slide 21: Keliber
m KELIBER 21
Slide 22: Macro and timing fits nicely for Keliber
Macro and timing fits nicely for Keliber Target to be the first lithium producer in Europe EU is the second largest market for lithium 21% of total world wide consumption in 2015 Robust market According to different studies lithium demand is expected to grow by 6,4 – 11% per year in the base
Slide 23: Lithium Demand
Lithium Demand Energy Storage Robust market for lithium batteries 0% Electric Vehicles E-Bikes 14 % 1% Batteries and battery market Batteries (Traditional Non-Battery Markets) Due to its high electrochemical Demand 25 % potential and low atomic mass, 60 % lithium is widely used in batteries Hy
Slide 24: Ideal geographical location
Ideal geographical location Mining friendly jurisdiction and strong infrastructure Keliber production plant and key transport hubs • Well positioned for European markets • Strong, existing infrastructure • Valid permits, claims and reservations Port of Railway Airpor Production Kokkola station t pla
Slide 25: Excellent exploration potential
Excellent exploration potential One of the most significant lithium-bearing areas in Europe Overview of concession areas • The lithium-rich province of Central Ostrobothnia covers over 500 sq. km • A number of unexplored areas and excellent potential for further discoveries • More than 1400 erratic
Slide 26: Innovative Process
Innovative Process Efficient and environmentally sound production of high purity lithium carbonate Customized process developed together with Outotec Columbite Rejects Sand & Fines • Optical sorting concetrate • Valuable by- products • Concentrate grade Spodumene optimization concentrate • Environme
Slide 27: Mines and production plant
Mines and production plant Easy access between sites Overview of mines and production site • Short distances between sites • Production site has good existing infrastructure (water, sewage, power and electricity) • No restrictions on layout planning 28 November 2016 Mines & Money High purity lithium
Slide 28: Clearly profitable project
Clearly profitable project Pre-feasibility study conducted by Sweco Industry Oy Key figures of pre-feasibility study and latest management case Pre-feasibility study Latest management case Li2CO3 production (9,000 t/a) Li2CO3 production (9,000 t/a) Ore reserves (Mt) 4.5 5.4 Plant capacity ore (t/a)
Slide 29: Project timeline
Project timeline Continuing to definitive feasibility study and preparation for production Tentative timeline for the next stages (2016-2020) • Definitive feasibility study on-going • Basic engineering to begin soon • EIA and permit processes are ongoing • Further drilling and exploration 2017–2018
Slide 30: Significant upside potential
Significant upside potential Further process efficiency, exploration and commercialization of by-products 28 November 2016 Mines & Money High purity lithium carbonate spotlight
Slide 31: Summary
Summary Lithium carbonate production with high value creation potential • 9,000 tonnes of lithium carbonate per annum for +11 Production of high purity years lithium carbonate • Attractive market driven by EV industry Innovative process • Efficient and environmentally sound production developed with
Slide 32: Finland reaches out for the battery value chain
Finland reaches out for the battery value chain Vasa in Finland will approach Tesla for gigafactory – based on Keliber 32
Slide 33: Safety – Environment - Innovation
Safety – Environment - Innovation www.nordicmining.com 33