Heavy Minerals Ltd · ASX:HVY

Heavy Minerals — Investor Presentation (February 2022)

21 slides from Heavy Minerals's investor presentation, Feb 8, 2022

  1. Slide 1: Focused on Industrial Minerals

    FOCUSED ON Industrial Minerals FEBRUARY 2 0 2 2 | A S X : H V Y

  2. Slide 2: Important Notice

    Important Notice This presentation has been prepared by Heavy Minerals Limited and its related entities (the “Company”). It does not purport to contain all the information that a prospective investor may require in connection with any potential investment in the Company. You should not treat the con

  3. Slide 3: Presentation Outline

    Presentation Outline • Investment Highlights • Capital Structure • Board of Directors • HVY Project Overview • Industrial Garnet • Garnet Market • Garnet to 2030 • Port Gregory Garnet Project & Timeline • High Grade Drilling Results • Port Gregory – Geological Model • Port Gregory Potential • Market

  4. Slide 4: Investment Highlights

    Investment Highlights Heavy Minerals Limited (HVY) is an Emerging Industrial Minerals Explorer with Projects adjacent to world class deposits in Pro-Mining jurisdictions • Western Australia – Port Gregory Project adjacent to GMA Garnet mine, supplying 30% of worlds Almandine Garnet1 • HVY targeting

  5. Slide 5: Capital Structure

    Capital Structure1 Directors 16.3% ASX CODE SHARES ON ISSUE2 MARKET CAP2 Retail HVY 51.3M $8.72M 41.23% CASH2 DEBT2 EV2 Remaining Top 20 $3.61M nil $5.11M 44.57% Position Holder Name % IC 1 VALENS INTERNATIONAL PTY LIMITED 6.49% 2 CHRISTOPHER ADAM SCHOFIELD 5.90% 3 HUNTER CAPITAL ADVISORS P/L 5.79%

  6. Slide 6: Board of Directors

    Board of Directors Adam Schofield Maurice (Nic) Matich GLENN SIMPSON GREG JONES Non-Executive Chairman Executive Director and CEO Non-Executive Director Non-Executive Director Mr. Schofield is a mining company Mechanical engineer and finance Mr. Simpson has been a Chartered Over 25 years’ experience

  7. Slide 7: Port Gregory Project Exploration Target of 170 Mt to 250 Mt

    Port Gregory Project Exploration Target of 170 Mt to 250 Mt @ 3.5% to 4.5% THM 3.5 Mt to 4.5 Mt contained garnet (E70/5160)1 1HVY.ASX announcement 12th October 2021 7

  8. Slide 8: Project Overview

    Inhambane HVY Sands Project Project Overview 17 km from Inhambane Mozambique Port Gregory Garnet Project Two projects with the potential to grow into globally significant deposits. (30km North of Geraldton, Western Australia) Both Projects adjacent to Tier 1 Assets (GMA & Rio Tinto). • Exploration T

  9. Slide 9: Industrial Garnet

    Industrial Garnet 1,000,000 Tonne Worldwide production in 20201 Garnet Production by Region1 USA 10% South Africa 13% India 12% Australia (GMA) ALLUVIAL ALMANDINE GARNET UNIQUE QUALITIES 32% Superior hardness (7.5 Mohs hardness3) = High productivity (lower abrasive consumption) China = Low dust (OH&

  10. Slide 10: Garnet Market

    Garnet Market Refined garnet commands a premium of up to 100% on unrefined products Major Markets (US$300-US$600+ per tonne)3. To be explored in Scoping study (2022) USA, EU, Asia and Middle East 8.7% CAGR in pricing 2016-20204 US$ per tonne (unrefined) 2 $350 Water Jet cutting drives current demand

  11. Slide 11: Garnet to 2030: HVY's Unique Opportunity

    Garnet to 2030 HVY’S Unique Opportunity Global average (nominal) Garnet price (unrefined)1 to significant and widening Current price (USA3) supply deficit forecast 2022 onwards2 540 kt deficit in 2030 without new sources of supply TZMI 2019 forecast long-term price of US$210 per tonne (indexed to 20

  12. Slide 12: Port Gregory Garnet Project and Proposed Timeline

    Port Gregory Garnet Project Largest tenure Exploration Target Adjacent to world's largest holder (226 km2) 3.5 – 4.5 Mt Garnet mine (GMA) in the region contained garnet and the Lucky Bay Garnet targeting garnet Mine (RDG.ASX) Proposed Timeline (Port Gregory) H1 2022 Jan Feb Mar Apr May Jun Jul Port

  13. Slide 13: High Grade Drilling Results

    High Grade Drilling Results 187 holes for 5,653.5 metres drilled in maiden drilling campaign Notable intersections from 2021 campaign1 High grade mineralised package trending N/S up to 20 m thick, Hole ID GRADE (THM) Interval (m) From 200 m wide and in excess of 1.5 km in length 12m PGAC0067 11.3% 2

  14. Slide 14: Port Gregory Geological Model

    Port Gregory Geological Model JORC Mineral Resource Exploration Target block plan and heat map expected in Q1 2022 Drilling program finalised (January 2022) Garnet fraction appears significantly higher than reported in GMA’s historical results. Reporting between 65% - 75% (visual scanning by microsc

  15. Slide 15: Blue Sky Potential

    Blue Sky Potential Exploration Over 50 km Historic Auger Historical Target of coastal Sampling¹ sampling located in a dunes with Q620 - 630: 0-19ft, using hand fraction of geology 5.1% - 19.8% THM, auger 63-92% Garnet the highly analogous highlights Q610 - 614: 0-7.5ft, prospective to GMA’s 3.3% - 5

  16. Slide 16: Port Gregory Potential

    Port Gregory Potential HVY plans to develop its tenure for garnet and other industrial minerals 16

  17. Slide 17: Market Outlook – Mineral Sands

    Market Outlook – Mineral Sands1 Heavy Mineral Sands Market Dynamics – Rapid uplift in pricing over the last 12 – 18 months Existing producers are seeing an increase in pricing Full suite of valuable heavy minerals (VHM) have on the full suite of valuable heavy minerals (VHM) seen growth over the pre

  18. Slide 18: Market Outlook – Mineral Sands

    Market Outlook – Mineral Sands1 Titanium dioxide concentrates Zircon Ilmenite accounts for 90% of Urbanisation is driving a the world's consumption of preference for tiled flooring in titanium minerals1. Inhambane Asia mineral assemblage contains 60% ilmenite China accounts for 55% Global demand² an

  19. Slide 19: Inhambane Mineral Sands Project

    Inhambane Mineral Sands Project OWNERSHIP 213.8 km2 of tenure under mining application: Adjacent to HV power, road and the Port of Inhambane. 70% 30% Mining Concession application lodged (25-year tenure), Heavy Minerals Local pending regulatory approvals Partners JORC Inferred Mineral Resource of 90

  20. Slide 20: JORC Mineral Resource Potential

    JORC Mineral Resource 5 drill ready targets with a substantial footprint to expand upon existing resource Historical auger data and field mapping guiding exploration program Potential strandlines identified Potential to grow resource into a globally significant deposit 1 W E Potential strandlines id

  21. Slide 21: www.heavyminerals.com

    Registered Office: Level 11, London House 216 St Georges Terrace Perth Western Australia 6000 Phone: (08) 9481 0389 Fax: (08) 9463 6103 Email: info@heavyminerals.com www.heavyminerals.com

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