Cvw Sustainable Royalties Inc. · TSXV:CVW
Cvw Sustainable Royalties — CVW CleanTech — Investor Presentation (October 2024)
36 slides from Cvw Sustainable Royalties's investor presentation, Oct 1, 2024
Slide 1: Creating Value from Waste
TSX-V: CVW | OTCQX: CVWFF Creating Value from Waste The Leading Platform for Diversified Clean Technology Royalty Investments I N V E S T O R P R E S E N TAT I O N OCTOBER 2024 TSX-V: CVW | OTCQX: CVWFF 1
Slide 2: Disclaimer
Disclaimer The information provided in this presentation is provided as of October 1, 2024 for informational purposes only, is not complete, and may not contain certain material information about CVW CleanTech Inc. (“CVW CleanTech" or the "Company"), including important disclosures and risk factors
Slide 3: Forward-looking Information
Forward-looking Information Certain statements included in this presentation of CVW CleanTech constitute forward-looking statements and funding agreements for such government programs; the details of government funding programs and that such information within the meaning of applicable the securitie
Slide 4: Creating a Leading Cleantech Royalty Platform
Creating a Leading Cleantech Royalty Platform Expected Opportunity in $2.8T+ Cleantech Market Growing Exponentially1 Macro Funding Gap for Capital Intensive Cleantech in the Tailwinds Commodity Sectors Strong Regulatory Environment Provides the Right Timing for the Strategy Proven Company Builders w
Slide 5: Corporate Profile
Corporate Profile CAPITAL STRUCTURE & SHAREHOLDER BREAKDOWN TSX-V: CVW | OTCQX: CVWFF October 1, 20241 Shares Outstanding 144.7M SHARE PRICE PERFORMANCE Equity Awards 10.1M Warrants 11.8M $2.00 3 4.0 Fully Diluted Shares Outstanding 166.6M 6 2 Share Price (As of October 1, 2024) $0.83 7 $1.50 5 3.0
Slide 6: Dual Prong Approach to Value Creation with Significant Optionality
Dual Prong Approach to Value Creation with Significant Optionality Tier 1 Royalty Opportunity on CVW Proprietary Diversified Exposure to Clean Technology Companies Technology through Royalty Structure Creating Value from Waste (“CVW ”) technology is ready-to-deploy in Building a portfolio of royalty
Slide 7: CVW CleanTech Maiden Royalty Transaction
CVW CleanTech Maiden Royalty Transaction CVW CleanTech’s first transaction is an investment in Northstar Clean Technologies Inc. to create revenue royalties on two of Northstar’s future facilities Northstar has developed a clean $14 Million Invested into a Significant Future Upside technology to rep
Slide 8: Macro Tailwinds
Macro Tailwinds TSX-V: CVW | OTCQX: CVWFF 8
Slide 9: Macro Tailwinds Behind Clean Technology Deployment
Macro Tailwinds Behind Clean Technology Deployment Macroeconomic tailwinds driving innovation and leading to an opportunity rich environment Green energy Trillions of US $ Over 135 countries including all G7 nations have committed to be net-zero by 20501 GLOBAL SPENDING ON THE investments 1.8 GREEN
Slide 10: Capital Flows are Increasingly Rewarding Sustainability
Capital Flows are Increasingly Rewarding Sustainability INCREASING INVESTOR FOCUS ON ESG The increased focus by governments and the private sector has created the incentive ~$2.8 trillion in 20231 $40 $33.9 The global cleantech market funding flows is projected for new clean technology innovations w
Slide 11: Commodity Sectors are Critical for the Transition
Commodity Sectors are Critical for the Transition Hydrocarbons Materials and Metals Agriculture PROJECTED GLOBAL ENERGY MIX PROJECTED DEMAND FOR MATERIALS & METALS FOOD SECURITY 5% 200 Tons (millions) 10% 56% 5% more food 160 required to meet the 2021 55% minimal needs of the 25% 120 population in 2
Slide 12: Strategy
Strategy TSX-V: CVW | OTCQX: CVWFF 12
Slide 13: Investment Focus Areas – Sectors
Investment Focus Areas – Sectors CVW CleanTech will focus on opportunities and projects at the intersection of clean technology and commodities Underlying revenue based on production of commodity or 1 commodity-like product • Lower emission oil and gas Technology focused on enhancing the sustainabil
Slide 14: Investment Focus Areas – Company Stage
Investment Focus Areas – Company Stage CVW CleanTech’s focus is on clean technologies at the commercialization or growth Commercially deployed Earlier stage technologies Existing technologies with access to phases where access to traditional forms of capital is exceeding the desired risk profile fin
Slide 15: Why Royalties?
Why Royalties? TSX-V: CVW | OTCQX: CVWFF 15
Slide 16: Royalty Companies – Attractive for Investors
Royalty Companies – Attractive for Investors Operators versus Royalty Companies Royalty model provides investors with an efficient way to access an industry thematic 2024 Earnings Multiple1 while providing diversification and lower risk GOLD 23.2x TRADITIONAL CLEAN MINING TECHNOLOGY AND/OR 7.7x OPER
Slide 17: Effective Funding Solution for Clean Technology Companies
Effective Funding Solution for Clean Technology Companies Key Advantages for Operators Illustrative Use of Proceeds Retain Equity Upside Project / Asset Development Capital Flexible Structure and Competitive Cost of Capital Acquisition Capital Alignment and Focus on Growth Recapitalizations No Refin
Slide 18: Our Portfolio
Our Portfolio TSX-V: CVW | OTCQX: CVWFF 18
Slide 19: Northstar Clean Technologies
ASSET Northstar Clean Technologies Commercial Facility CALGARY, ALBERTA Operations Overview1 TRADITIONAL PRODUCTION/ LANDFILL DISPOSAL • Northstar has developed a proprietary design process for taking discarded Facility Details asphalt shingles, otherwise destined for already over-crowded landfills,
Slide 20: Northstar Clean Technologies
ASSET Northstar Clean Technologies Northstar Clean Technologies Inc. is a Canadian-based clean technology company, focused on the sustainable recovery and reprocessing of asphalt shingles • Developed a proprietary process to recover liquid asphalt (bitumen), aggregate and fiber from waste and defect
Slide 21: Northstar Clean Technologies
ASSET Northstar Clean Technologies CVW CleanTech will have revenue royalty exposure to Northstar’s next two facilities REVENUE PER COMMODITY1 • Base-case includes a single operating shift with the ability to increase output by adding additional labour Significant • Opportunity for Northstar to monet
Slide 22: CVW Proprietary Technology
ASSET CVW Proprietary Technology Operations Overview A CVW project offers significant economic, environmental and operational benefits1: ECONOMIC BENEFITS ENVIRONMENTAL BENEFITS OPERATIONAL BENEFITS Bitumen: ~1.9 MMbbl CO2e Emissions Eliminates use of tailings ponds Abatement: ~380+ kT for froth tre
Slide 23: CVW Proprietary Technology
ASSET CVW Proprietary Technology CVW CleanTech has invested over $100M and 18 years to advance its Creating Value from Waste (“CVW ”) proprietary technology to a state of commercial readiness CVW CleanTech has multiple project development options: CVW EcoBase1 CVW EcoFlex1 CVW EcoMax1 • CVW CleanTec
Slide 24: CVW Proprietary Technology
ASSET CVW Proprietary Technology Asset Overview FREE CASH FLOW (100% BASIS) REVENUE PER COMMODITY $314 $303 $297 $288 $264 $254 $250 • A CVW project would require between 16% $390M in capex for a hydrocarbons focused project and $1.1B for a hydrocarbons and minerals project1 EcoBase 55% 29% • CVW Cl
Slide 25: CVW Proprietary Technology
ASSET CVW Proprietary Technology CVW CleanTech continues to aggressively pursue the implementation of its ready-to-deploy proprietary technology CVW CleanTech continues to build relationships with the oil sands mining operators with the goal of signing a partnership agreement. The company continues
Slide 26: Opportunities for Growth
Opportunities for Growth TSX-V: CVW | OTCQX: CVWFF 26
Slide 27: Robust acquisition pipeline to expand royalty portfolio
Robust acquisition pipeline to expand royalty portfolio Advanced opportunity pipeline with over $280M of transaction value, with another 30+ opportunities in evaluation ROYALTY PRIMARY/ APPROXIMATE OPPORTUNITY SECONDARY SECTOR FOCUS UNDERLYING COMMODITY EXPOSURE GEOGRAPHY INVESTMENT SIZE STATUS 1 Pr
Slide 28: Experienced Leadership Team
Experienced Leadership Team Opportunity To Partner With Proven Company Builders with Significant Royalty and Commodity Experience Akshay Dubey Darren Morcombe Pierre Lassonde CEO & DIRECTOR CHAIRMAN SPECIAL ADVISOR & SHAREHOLDER 13+ years of experience originating and structuring 30+ years of intern
Slide 29: Summary
Summary Strong Macro Tailwinds Diversification • Global cleantech funding flows in 2023 exceeded ~$2.8 • Scalable within the cleantech space, providing investors trillion1 exposure to multiple technologies and geographies • Ability to capitalize on decarbonization and sustainability • Management tea
Slide 30: www.cvwcleantech.com
CVW CleanTech Inc. Suite 305, 505 – 8th Ave. SW, Calgary, Alberta, Canada T2P 1G2 Akshay Dubey Joshua Grant CHIEF EXECUTIVE OFFICER AND DIRECTOR CHIEF FINANCIAL OFFICER Tel: 403-460-8135 Tel: 403-460-8135 Akshay.Dubey@CVWcleantech.com Joshua.Grant@CVWcleantech.com www.cvwcleantech.com TSX-V: CVW | O
Slide 31: Appendix
Appendix TSX-V: CVW | OTCQX: CVWFF 31
Slide 32: Commodities Critical to the Green Transition
Commodities Critical to the Green Transition • Commodities required for clean energy technologies and otherwise are GLOBAL MINERALS SHORTAGE FOR CLEAN ENERGY TECHNOLOGIES expected to be in significant shortage over both the medium and long Several materials critical for the energy transition will se
Slide 33: Reduction in Carbon Intensity of Hydrocarbons Essential to Achieve Net Zero
Reduction in Carbon Intensity of Hydrocarbons Essential to Achieve Net Zero OPEC 2023 WORLD OIL OUTLOOK As of mid-2024, OPEC sees no peak oil demand long term - • In 2022, the per capita oil consumption of developed nations was between rather, OPEC predicts oil demand growth of 4 mb/d over 2024 5 an
Slide 34: Agricultural Innovation and Waste Diversion Necessary to Support Humanity
Agricultural Innovation and Waste Diversion Necessary to Support Humanity As global temperatures rise and extreme weather events become more frequent, ensuring food security for a growing population is arguably the most critical challenge we face. 56% more food needed to feed the Growing production
Slide 35: Board of Directors
Board of Directors Darren Morcombe Jennifer Kaufield Bruce Griffin CHAIRMAN DIRECTOR DIRECTOR • Founder of Springtide Capital Pty. Ltd., a private investment • Independent businesswoman with over 30 years of experience • Owner of Farview Solutions Limited, providing consulting and company specializi
Slide 36: Management Team
Management Team Akshay Dubey Joshua Grant Kevin Moran Mathew Ullattikulam CFO AND CORPORATE SECRETARY EVP AND CHIEF TECHNOLOGY OFFICER VP, CORPORATE DEVELOPMENT CEO AND DIRECTOR • Extensive oil sands industry • Extensive experience in the oil • Joined CVW CleanTech in September • Has over 15 years o