Neometals Ltd · ASX:NMT
Neometals — Shareholder Meeting (November 2023)
50 slides from Neometals's shareholder meeting presentation, Nov 24, 2023
Slide 1: AGM Presentation
AGM Presentation For personal use only ‘Building a world-leading lithium battery recycling solution’ AGM Presentation | 24 November 2023 Authorised for release by Christopher Reed, Managing Director of Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9
Slide 2: Disclaimer
Disclaimer Disclaimer Summary information: Compliance Statement: This document has been prepared by Neometals Ltd (“Neometals” or “the Company”) to provide The information in this report that relates to Mineral Resource Estimates, for the Barrambie summary information about the Company and its assoc
Slide 3: Corporate
For personal use only Corporate ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 3 neometals.com.au
Slide 4: Corporate Dashboard and Key Milestones
Corporate Dashboard and Key Milestones Corporate ASX: NMT OTC: RDRUY 12-MONTH SHARE PRICE PERFORMANCE (4) Shares on Issue (1) m 553.3 1 8 Dec 2022 2 6 Jan 2023 3 8 Mar 2023 4 26 April 2023 Neometals and SMS Group formalise Stelco and Primobius have agreed Vanadium recovery project delivers Lithium C
Slide 5: Capital Raising Sources and Uses of Funds
Capital Raising Sources and Uses of Funds • Neometals has received commitments for a $9.0M institutional placement Corporate • Company seeks additional $13.0M in a non-renounceable entitlement offer for a total raising of approximately A$22.0M (1) Sources $MM Timetable of Key Milestones & Primary Us
Slide 6: Equity Raising Details
Equity Raising Details Corporate • Equity placement (Placement) commitments for A$9.0 million / £4.7 million and non-renounceable entitlement offer (Entitlement Offer) to raise approximately A$13.0 million / £6.8 million1 Offer Size and • Approximately 47.4 million new shares to be issued under the
Slide 7: Indicative Timetable
Indicative Timetable Corporate Equity Placement + Entitlement Offer Date (2023) (1) Placement announced on AIM Monday 20th November Trading halt on ASX Tuesday 21st November Completion of the ASX and AIM Placement announced Thursday 23rd November For personal use only Trading halt lifted on ASX Thur
Slide 8: Executive Summary
Executive Summary Executive Summary Neometals is generating value from commercialising its proprietary processing technologies Lithium-ion Battery Recycling To produce new battery materials For personal use only Enabling more sustainable battery materials, supporting from spent LiBs the transition t
Slide 9: Sustainability at Our Core
Sustainability at Our Core Neometals is committed to optimising finite resources using circular practices to benefit society and the environment Sustainability for a sustainable future Winner in 2022 under the ‘Best Environmental Community Ethics and Technology’ category People Care Benefits Account
Slide 10: Strategic Exposure to Battery Materials
Strategic Exposure to Battery Materials • Raw material supply deficits are inevitable; new green, circular domestic supply is needed Sustainable BRM’s • Focus on Europe and North America where battery raw material resilience is critical Global Battery Volume Available for Recycling For personal use
Slide 11: Demonstrated Operating Cost & Carbon Advantages
Demonstrated Operating Cost & Carbon Advantages Uniquely combining low cost and environmentally friendly production with Hydromet refinery delivering Sustainable BRM’s leading recovery rates (>95% for Nickel, Copper and Cobalt, and >93% for Lithium) (1) For personal use only Cost / Carbon Advantages
Slide 12: Smart Business Models for Us and Customers
Smart Business Models for Us and Customers • Technology Licensing and Plant Supply business model allows rapid global roll out Sustainable BRM’s • Customer fund Capex and retain 100% of production and turn recycling from a cost centre to profit centre Operating Model For personal use only Primobius
Slide 13: Lithium-ion Battery (LiB) Recycling
For personal use only Lithium-ion Battery (LiB) Recycling ACN 630 - Intellectual Property Holding Company 50% Neometals / 50% SMS group Primobius GmbH – Commercialisation Incorporated 50:50 JV with SMS group ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 14: Targeting Fastest Growing Market – EOL EV Batteries
Targeting Fastest Growing Market – EOL EV Batteries • CAGR +25%, addressable market estimated at +20Mtpa by 2040 Opportunity • Business targets deployment of scalable plants under low-capital, low-risk business models for maximum penetration For personal use only Solution Business Strategy Timeline
Slide 15: OEM's Retain Battery Materials and Generate More Profit
OEM’s Retain Battery Materials and Generate More Profit Opportunity For personal use only Solution Business Strategy Timeline *Assumption NMC622 battery ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 15 neometals.com.au neometals.com.au
Slide 16: Strong Commercial Pipeline
Strong Commercial Pipeline* Opportunity Operational Targeted Growth Plan Scale Up Opportunity Total Addressable Market (US$bn) % End of Life / Warranty Volumes Capacity: 10tpd Spoke Capacity: 10tpd Spoke Capacity: 10tpd Hub For personal use only 50 ~95% Solution Plant type: Shredding Feed: Cells & M
Slide 17: Mercedes-Benz: Strong Validation from a Marquee OEM
Mercedes-Benz: Strong Validation from a Marquee OEM PLANT SUPPLY, R&D TECHNOLOGY LICENSE, COLLABORATION MERCEDES-BENZ TARGET CELL PRODUCTION** Opportunity 200 GWh For personal use only Solution 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Key Illustrative Assumptions • ~10-year batter
Slide 18: Stelco: 1st 20,000tpa Customer – Future Continental Network
Stelco: 1st 20,000tpa Customer – Future Continental Network TECHNOLOGY LICENSE AND JV OPTION (≤50%) STELCO IS POSITIONED TO BE A LEADER IN ELECTRIC VEHICLE Opportunity RECYCLING Option to acquire 25-50% of the equity* in North America For personal use only Solution • Stelco to offer a holistic end-o
Slide 19: Upcoming Catalysts and Financial Milestones
Upcoming Catalysts and Financial Milestones • Primobius has a ‘product ready’ plant offering (Spoke), is earning JV revenue now, an order book exists and is growing Opportunity • Royalty revenues start late-2025 from Stelco Spoke and late-2026 from Stelco Hub 1H 2024 2H 2024 1H 2025 2H 2025 1H 2026
Slide 20: Lithium Chemicals
For personal use only Lithium Chemicals ELi™ Processing Technology Reed Advanced Materials (“RAM”) 70% Neometals / 30% Mineral Resources Ltd Lithium Chemicals Project - Portugal Co-funding Pilot Plant with Bondalti Chemicals SA Group ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 21: Looming Lithium Shortages are an Existential Threat to EV's
Looming Lithium Shortages are 60% of Global Li Resources an Existential Threat to EV’s are in Brine Deposits Need Solution For personal use only Status Source: Benchmark Mineral Intelligence (2022) Source: US Geological Survey (US Figures Rounded) ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 ASX: NMT
Slide 22: Technology Solution Lowest Cost Brine Conversion
Technology Solution Lowest Cost Brine Conversion • Significant operating and capital cost advantages Estimated Opex Comparison (Conversion to LHM) Need • Utilises off-the-shelf chlor-alkali membrane electrolyser US$/t LHM equipment 5,000 • Can utilise renewable power and sequester carbon 4,000 range
Slide 23: What's Happened and What's Next?
What’s Happened and What’s Next? What Happened Since Last AGM Indicative Timeline – Lithium Chemicals Need Successful electrolysis sighter test Successful bench testing, brine and hard rock Solution purification For personal use only Successful purification pilot test, brine, commencing electr
Slide 24: Upstream Lithium
For personal use only Upstream Lithium Spargos Project 100% Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 25: Prime Location
Prime Location • Spargos located in an area of regional interest. • Mt Ida fault in the Yilgarn region of Western Australia is attracting attention for its rare metal pegmatites; and • Recent review on tenement E15/1416, originally acquired for nickel prospectivity identified extensive pegmatites in
Slide 26: Results from Spargos Review
Results from Spargos Review • Spodumene in pegmatite intersections in historic nickel • With respect to the visual spodumene mineralisation identified DD holes. in pegmatite intercepts from historical DD core at the 100% • Visual examination of historic core has identified spodumene mineralisation u
Slide 27: Results from Spargos Review Cont'd
Results from Spargos Review Cont’d For personal use only Diamond Core from VQVD003 showing pegmatite intercepted between 242.3 – 246.77m under UV wavelength 365nm (blacklight). Spodumene fluoresces orange-pink under UV light from 242.3 – 245.5m. Cautionary Statement In relation to the disclosure of
Slide 28: Spargos – Textbook Geological Model
Spargos – Textbook Geological Model Pegmatites have intruded greenstone belt in close proximity to Ida Fault, Two potential large granite sources • The Mt Ida fault traversing the Neometals tenement E15/1416; For personal use only • The fault splays bound an Archean greenstone belt consisting of maf
Slide 29: Analogous Geological Settings to Major Local Deposits
Analogous Geological Settings to Major Local Deposits Textbook emplacement, K-rich grantite, Proterozoic dyke cross-cutting greenstone belt Mt Ida Mt Marion For personal use only Source: Geology – Eastern Goldfields Ltd, WAMEX Report A112032 Source: Geology – WA Geological Survey, 100k State Geology
Slide 30: Next Steps in Our Evaluation
Next Steps in Our Evaluation • Neometals retains core from 11 of the original 29 DD holes for the Spargos Project. Resampling and assaying of the priority holes (including VQVD003 which contained the visible spodumene) is underway; For personal use only • The relevant sections of historic core consi
Slide 31: Vanadium Recovery
For personal use only Vanadium Recovery Vanadium Recovery Process Technology 100% Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 32: Need Technology Solution
Need Technology Solution • Vanadium demand forecast to increase to 500% on • Unique (EU patent pending) hydrometallurgical process Need current levels, driven by stationary ESS batteries to recover vanadium from steel slag utilising captured (vanadium redox flow type) CO2 as primary reagent in proce
Slide 33: Lowest Quartile Cost Lowest CO2 Footprint
Lowest Quartile Cost Lowest CO2 Footprint Carbon Footprint Need Opportunity Kg CO2 - e per kg CO2 V2 O5 produced For personal use only 10 5 4.5 Status 0 (8.9) Total CO2 process (4.4) emissions (5) Total CO2 consumed by Total: (4.4) kg plant and locked CO2 - e per kg (10) V2O5 produced in the by-prod
Slide 34: What's Happened and What's Next?
What’s Happened and What’s Next? What Happened Since Last AGM Need Increased SSAB Supply Agreement – Feb 23 Earnt 50% Project Equity – Mar 23 Opportunity Completed DFS – Mar 23 For personal use only Earnt 72.5% Project Equity – Apr 23 Equity Partner Selection – May 23 Status Glencore Off
Slide 35: Barrambie Titanium and Vanadium
For personal use only Barrambie Titanium and Vanadium Barrambie Titanium and Vanadium Project 100% Neometals ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 36: Structural Supply Deficit PFS Metrics
Structural Supply Deficit PFS Metrics • China is half of the global titanium pigment production and is shifting to the more sustainable chloride process Need Opportunity • Chloride pigment production requires high-grade For personal use only feedstocks such as ilmenite, rutile and titanium slags Sta
Slide 37: Barrambie Titanium Deposit
Barrambie Titanium Deposit • One of the highest-grade titanium deposits globally Need • Granted mining lease and approval for 1.2Mtpa mining operation • Ministerial approval to construct up to 3.2Mtpa processing plant, timeframe extension application in progress • Successful bulk mining and pilot pl
Slide 38: What's Happened and What's Next?
What’s Happened and What’s Next? What Happened Since Last AGM Need Jiuxing Smelting Trials – November 2022 Barrambie PFS – November 2022 Opportunity Jiuxing Offtake MOU – March 2023 For personal use only PFS Update – May 2023 Change of Control – Jiuxing – May 2023 Status Jiuxing Offtake
Slide 39: Summary
For personal use only Summary ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 39 neometals.com.au
Slide 40: Neometals Has Outstanding Human Capital
Neometals Has Outstanding Human Capital Experienced executives backed by a team of skilled specialists Summary Board of Directors For personal use only Stephen Cole Chris Reed Dr. Natalia Streltsova Douglas Ritchie Dr. Jennifer Purdie Les Guthrie Independent Managing Independent Non- Independent Non
Slide 41: Neometals' Unique Value Proposition
Neometals’ Unique Value Proposition Neometals is at the forefront of the low carbon production of battery materials via recycling Summary Clear strategy to commercialise technologies into vast TAM with energy transition policy tailwinds For personal use only Enabling sustainable battery materials –
Slide 42: Appendix: Primobius
For personal use only Appendix: Primobius ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 43: Primobius Corporate Structure
Primobius Corporate Structure Synergistic joint venture leveraging complimentary skills & experience to deliver best-in-class recycling solutions Appendix Primobius Ownership Primobius Management Structure Advisory Board For personal use only Chris Reed Steven Cole Torsten Heising Holger Rief 50% 50
Slide 44: SMS is Primobius' Global Plant Delivery Partner
SMS is Primobius’ Global Plant Delivery Partner • SMS is a 150-year-old plant builder, with +14,000 employees and fabrication facilities in EU, NA, India and China Appendix Insert • Header Info Here Our disposal facility and refinery at SMS Germany demonstrates our process to new and existing custom
Slide 45: Regulatory Imperative in EU (US Inevitable)
Regulatory Imperative in EU (US Inevitable) • Primobius exceeds minimum recycling recovery rates Appendix Insert • Header Infoenables Primobius Here minimum recycled content to be met For personal use only Insert Header Info Here ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 ASX: NMT | AIM: NMT | OTC:
Slide 46: Robust Economics Across Major EV Chemistries
Robust Economics Across Major EV Chemistries 50tpd Spoke and Hub Engineering Cost Studies demonstrate compelling economics for customers Appendix Dismantling & Shredding Refining Total Discharging Annual 21,000 21,000 For personal use only 12,000 Throughput (70% modules, (70% modules, (black mass) (
Slide 47: Growing Our Third-Party Licensing Portfolio
Growing Our Third-Party Licensing Portfolio • Royalties provide shareholders with maximum exposure to a suite of battery commodities Appendix • Royalty companies attract P/E’s than lithium miners or chemical producers Four 10% Gross Sales Royalty licences issued, and payable on the following product
Slide 48: Appendix: Barrambie
For personal use only Appendix: Barrambie ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au
Slide 49: Barrambie Mineral Resource and Ore Reserve Estimate
Barrambie Mineral Resource and Ore Reserve Estimate Appendix For personal use only (1) Based on Cut-off grades of ≥10% TiO2 or ≥0.2% V2O5 (2) The high-grade titanium and vanadium figures are a sub-set of the total Mineral Resource. These figures are not additive and are reporting the same block mode
Slide 50: Thank you
For personal use only Thank you neometals.com.au ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 ASX: NMT | AIM: NMT | OTC: RDRUY | DEU: 9R9 neometals.com.au