Slide 1: Steelpoortdrift Vanadium Project Corporate Presentation
Steelpoortdrift Vanadium Project Corporate Presentation October 2023 ASX:VR8 WWW.VR8.GLOBAL
Slide 2: Disclaimer
Disclaimer This presentation does not constitute investment advice. This presentation has been prepared by Vanadium Resources Limited (“the Company” or ASX:VR8) to provide summary information about the Company and its activities as at the date of this presentation (October 2023). Neither this presen
Slide 3: Emerging Vanadium Producer
Emerging Vanadium Producer One of the world’s largest DFS indicates strong financial Ore body easy to mine, Using conventional / proven and highest-grade outcomes with post-tax NPV7.5% of low strip ratio & low concentrate & Salt Roast Leach vanadium deposits US$1.2Bn (US$0.9Bn att. 74%)1, operating
Slide 4: Corporate Overview
Corporate Overview Corporate Structure (ASX: VR8) – as at 02 October 2023 Top Shareholders Board of Directors 1 Matrix Resources (Zhejiang) Co Ltd 9.9% Jurie Wessels 538.2m A$0.058 A$31.2m 2 Danterne Pty Ltd1 8.5% Executive Chairman Shares on issue Share Price Market Cap (undiluted) (@ $0.058c) 3 Ra
Slide 5: Why Vanadium
Why Vanadium Listed as a Critical Mineral in Australia, the US, UK and European Union, Vanadium demand is expected to grow significantly from its energy storage capabilities Vanadium Redox Flow Batteries (VRFBs) Steel & Alloys ➢ VRFBs forecast to represent up to 20% of total battery capacity1 ➢ Over
Slide 6: Global Demand & Pricing Dynamics
Global Demand & Pricing Dynamics Source: Project Blue 2023 Production Type Annual demand for VRFBs is Vanadium demand for expected to equate to Co-production: 144kt Steel will grow strongly and 2022 Production Primary: 37kt between 50kt and 100kt of may double by 2050.2 Total of Secondary: 26kt V2O5
Slide 7: Global VRFB Installation Projects
Global VRFB Installation Projects 280+ 9GWh 78 VRFB Installations Capacity of VRFB VRFB Installations in Europe Constructed or Announced1 Installations (>2.6GW) 1 (Excl. Residential Units) 1 Source: Vanitec Website – 2023 VRFB Project Map 1 Vanitec (2023) VRFB Global Database 6 WWW.VR8.GLOBAL
Slide 8: DFS Delivers World Class Vanadium Project
DFS Delivers World Class Vanadium Project US$1.21bn US$896m US$152m 42% (A$1.9bn) (A$1.4bn) (A$237m) NPV7.5% (post-tax) Attributable 74% NPV Yearly Free Cashflows IRR (post-tax) 27 months US$211m US$3.24 US$9.50 (A$329m) (Deloitte forward mid-range) Incl. Contingency Payback Start up Capex Cash Cost
Slide 9: Location – in the Bushveld Complex
Location – in the Bushveld Complex This world-renowned mining location is host to several mining operations, multiple major mining companies are active in the area, and is in close proximity to existing infrastructure. Other Mines in the Bushveld Complex Vametco – Vanadium Mine Rhovan – Vanadium Min
Slide 10: Mine, Concentrator & SRL
Mine, Concentrator & SRL Mine Site – View of the North of Mining Area The mine site, concentrator and SRL sites are located within a substantial mining and smelting district, with well established infrastructure (including water, power, sealed roads, rail, etc) VR8 Offices and Warehouses in Steelpoo
Slide 11: Resources & Ore Reserves
Resources & Ore Reserves ➢ Global Mineral Resource of 680Mt at 0.70% V2O5 ➢ Total Ore Reserve of 77Mt at 0.72% V2O5 ➢ Mineralisation outcrops at surface and dips shallowly (~10º) – less waste to mine, low strip ratios (0.88x waste : ore) and cheaper mining cost ➢ Orebody able to achieve a high-grade
Slide 12: Location of Mineral Resources & Ore Reserves
Location of Mineral Resources & Ore Reserves ➢ The final pit design and Ore Reserves based on LOM of 25 years Location and Classification of Location and Classification of (designed to match Mining Right term) Mineral Resources Ore Resources ➢ Final pit design was based on Pit 17, which highlights p
Slide 13: Steelpoortdrift Concentrator Plant
Steelpoortdrift Concentrator Plant Concentrator flow sheet Dewatering based on proven Regrind Magnetic technology Separation Areas Dewatering Wet Magnetic Separation Two-stage Crushing Circuit Concentrate Product Ball @ 2.08-2.16% V2O5 Milling 12 WWW.VR8.GLOBAL
Slide 14: Tweefontein SRL Plant
Tweefontein SRL Plant SRL flow sheet based on proven technology SO2 Scrubber SRL Plant comprises kiln roasting, Kiln desilification, ammonium Roasting metavanadate (“AMV”) precipitation, flash drying and Crystalliser V205 flake production Flash Concentrate feed rate of 790ktpa Drying with a grade of
Slide 15: Offtake, Strategic Investment and Project Financing
Offtake, Strategic Investment and Project Financing Strong progress toward securing binding offtake, strategic investment and project financing Hand specimen of Offtake Agreements & Strategic Investment vanadiferous titanomagnetite from the Project1 ➢ Secured A$5.9M strategic equity at 40% premium w
Slide 16: Growth Catalysts to Increase Shareholder Value
Growth Catalysts to Increase Shareholder Value Key Catalysts to FID ➢ Secure long-term offtake(s) ➢ Secure project funding from combination of: ➢ Ropeway conveyor from Mine to SRL plant i. Debt ~65% PF debt Optimise ➢ Delineation drilling and re-optimisation ii. Equity ~35% from offtakers, strategic
Slide 17: Key Project Workstreams
Key Project Workstreams Environmental Authorisation & Environmental authorisations and water use licence applications for each site are progressing well with approval Water Use Licence Applications expected H1 CY2024 Social And Labour Plan & Social and Labour Plan amendments submitted to regulators
Slide 18: Investment Highlights
Investment Highlights Strong financials with attributable NPV of A$1.4bn, IRR of 42% Securing offtake and strategic equity – secured strategic equity & and payback period of 27 months Offtake MOU from Matrix Resources Competitive Capex (US$211m) and lowest quartile Opex Building a strong project dev
Slide 19: Appendix
Appendix October 2023 ASX:VR8 WWW.VR8.GLOBAL
Slide 20: Board & Management
Board & Management Jurie Wessels has 26 years’ experience in the exploration industry and co-founded a number of exploration and mining companies, including Bauba Resources Ltd JURIE WESSELS (BAU.J), which owns three operating chrome mines, GoldStone Resources Ltd (GRL.L), which company is mining th
Slide 21: Preliminary Project Timeline
Preliminary Project Timeline CY23 CY24 CY25 CY26 Year H2 H1 H2 H1 H2 H1 H2 Quarter Environmental & Water Permits Build Project Development Team FEED Offtake & Strategic Investment Debt Financing Equity Financing FID Engineering & Procurement Construction Production (incl. Ramp up) 20 WWW.VR8.GLOBAL
Slide 22: Peer Comparison
Peer Comparison Largo Maracas1,2&3 Steelpoortdrift (VR8) 4&5 Bushveld Mokopane6 TMT Project7,8 AVL Project9 Richmond Vanadium10 In Production DFS Stage PFS Stage DFS Stage# BFS stage# PFS Stage (Results as at 30 Dec 2021) V2O5 Price US$7.80/lb US$9.50/lb US$7.50/lb US$10.50/lb US$10.50/lb US$9.60/lb
Slide 23: Peer Comparison Table
Peer Comparison Table Resource Resource Concentrate Company Code Project Stage Resource Category Information Source Tonnes Grade Grade Measured, Indicated & Largo LGO.TSX Maracas Production 79 0.79 2.46 Largo Maracas NI43-101 Technical Report - 16th December 2021 Inferred (NI43-101) Measured, Indica
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