Black Rock Mining Limited · ASX:BKT
Black Rock Mining — Investor Presentation (April 2022)
22 slides from Black Rock Mining's investor presentation, Apr 6, 2022
Slide 1: Black Rock Mining: Simply Better Graphite Investor Update
Black Rock Mining Mahenge Graphite Mine Simply Better Graphite: Investor Update Paydirt Battery Materials Conference, Perth April 2022
Slide 2: Important notices
Important notices This presentation has been prepared by Black Rock Mining Limited (Black Rock or the Company). The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is
Slide 3: Black Rock and the Mahenge Graphite Mine: Table of Contents
Black Rock and the Corporate overview: Black Rock at a glance 4 Black Rock team 5 Mahenge The outlook for graphite 6 Graphite A snapshot of the Mahenge graphite mine 11 Mine Premier Location 12 Graphite Uses 13 Table of Contents Why Black Rock? 14 ESG Focus 15 Graphite Playbook 16
Slide 4: Black Rock at a glance
Black Rock at a glance Capital structure ASX ticker BKT Premium graphite player Share price (1 April 2022) $0.25 Shares on issue 872.3 M Developing the Tier 1 scale Mahenge graphite project in Tanzania (2nd largest reserve globally) Options and performance rights 69.7 M Market capitalisation (undilu
Slide 5: Black Rock team
Black Rock team Board of Directors Management Richard Crookes, Non-exec Chairman: Geologist with over 30 years’ Steuart McIntyre, GM Corporate Development: Mining analyst with over 15 executive experience in the resources and finance industries; raised capital years experience. Previous roles includ
Slide 6: Graphite in batteries
Graphite in Graphite is the dominant anode material, regardless of battery chemistry batteries LFP 17% NMC 111 15% NMC 532 16% NMC 811 16% NCA 11% There is more 29% 43% graphite in Li-ion Cathode (+) 68% 73% batteries by volume 83% 29% 24% than any other 27% 8% material, regardless 17% 14% 8% of bat
Slide 7: Natural graphite increasing in batteries
Natural Growing importance of natural graphite in batteries 100% graphite 75% 48% increasing in 58% 41% 50% batteries 25% 39% 48% 49% 0% The use of natural 2020 2025 2030 graphite in batteries Natural graphite Synthetic graphite Silicon LTO Other has been growing Demand for LIBs kt kt kt and is expe
Slide 8: Battery demand growth
Battery Battery Raw Material Demand Growth (kt) demand 6,000 5,903 growth 5,000 4,241 4,000 3,689 A synchronised global technology 3,000 2,869 change is underway 2,645 and is expected to 2,000 drive strong demand 1,652 for battery materials 1,000 914 693 654 506 342 185 0 2020 2025 2030 Cobalt Nicke
Slide 9: Strong outlook for natural graphite
Strong Structural deficits in natural graphite predicted from 2022 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 outlook for 500,000 natural 0 graphite Market Balance (tpa) -500,000 -1,000,000 Potential graphite deficit of ~80kt -1,500,000 forecast in 2022, -2,000,000 expecte
Slide 10: Graphite prices on the move
Graphite prices over past 12-months for Mahenge's 5 products Graphite US$/t 2,000 prices on the 1,750 1,500 move 1,250 1,000 750 Current graphite 500 31/03/21 30/06/21 30/09/21 31/12/21 31/03/22 prices are -195 +195 +895 +595 +3295 Split in Mahenge basket: 32% 9% 36% 18% 5% Source: RefWin, Asian Met
Slide 11: A snapshot of the Mahenge Graphite Mine
A snapshot of the Mahenge Graphite Mine Simple open pit mine development with outstanding forecast returns1 US$1.5B 45% 83ktpa NPV10 nom post tax, post 16% FC Post-tax, ungeared, real IRR Module 1 production (1Mtpa) US$116M 340ktpa 95 – 99%+ TGC purity 59% +80 mesh, 41% -80 Module 1 development cape
Slide 12: Premier location
Premier location AFRICA Well positioned in Dar es Salaam East Africa’s growing Graphite belt Mahenge Graphite Mine TANZANIA Tanzania seeking to encourage investment - BKT signed FCI Agreement with Govt (Dec 2021) - BHP committed US$100m in Kabanga Nickel (Jan 2022)
Slide 13: Graphite Uses
Graphite Price increases with flake size Uses Black Rock has a diversified product SMALL FLAKE (FINES) LARGE FLAKE JUMBO FLAKE mix with 60% Lithium-Ion Batteries Flame Retardants Flame Retardants exposure to the high Paint & Coatings Refractories Gaskets & Seals margin large flake Lubricants Aviatio
Slide 14: Why Black Rock?
Why Black Rock ? Unique competitive advantages driven by Geology and Geography GEOLOGY GEOGRAPHY ★ Mahenge’s 212mt resource makes it the 4th largest graphite ★ Access to key infrastructure, Grid Power, Rail, Airstrip, Water resource in the world and Tailings disposal (dry stack) ★ Low deleterious im
Slide 15: ESG Focus
ESG Focus Digbee ESG engaged to ensure best practice Customer Markets A new greener source Higher grade concentrate reduces manufacturing of graphite Hydro Electric Power Low carbon power supply, and transport footprint and energy consumption Reduced community vehicle interaction Mahenge Graph
Slide 16: Graphite Playbook
Graphite MAJORITY OF PRE-CONSTRUCTION INVESTMENT PILOT PLANT QUALIFICATION Playbook CUSTOMERS & OFF-TAKES GOVERNMENT Free-Carried Interest Shareholding Agreement Sequential EPC development that is customer driven DRILLING SOCIAL LICENCE STUDY WORK MINING LICENCE & FINANCING APROVALS WE ARE HERE CONS
Slide 17: Development Timetable
Development The wet season in Tanzania typically runs until late May Timetable Debt process underway, aiming to finalise debt in the next few months1 Aiming to have debt finance in place for Black Rock is targeting 50-60% debt via traditional project finance Module 1 in the next few months.
Slide 18: Advancing Next Steps
Advancing Project milestones: Next Steps Grant of SML to unify existing MLs (already agreed with Govt) Complete early works and Resettlement Action Plan Continue to recruit for key roles, particularly in Tanzania Black Rock expects to complete a number of Offtake milestones: important de-r
Slide 19: Black Rock: The premier graphite exposure
Black Rock: The premier graphite exposure A world-class deposit with a superior development strategy 01 Upstream focus with highly economic mine project 06 Premier location and logistics options 02 Deep evaluation work for Tier 1 scale project 07 Fit-for-purpose project execution plan 03 Leading pro
Slide 20: Contact details
John de Vries Richard Crookes Managing Director and CEO Chairman E: richard.crookes@blackrockmining.com.au T: +61 438 356 590 E: jdv@blackrockmining.com.au Steuart McIntyre A: Level 1, 1 Walker Avenue GM Corporate Development West Perth WA 6005 T: +61 413 555 609 E: sm@blackrockmining.com.au www.bla
Slide 21: Appendix
Appendix
Slide 22: Offtake Agreements
Offtake Mahenge Offtake for Module 1 (83ktpa) Agreements 100.0 90.0 Almost 90% of 80.0 15.0 15.0 15.0 15.0 15.0 Mahenge’s Module 1 70.0 production is under 60.0 15 15 15 binding offtake or 50.0 45 45 option 30 30 30 40.0 30.0 20.0 26.6 26.6 26.6 26.6 26.6 10.0 0.0 Year 1 Year 2 Year 3 Year 4 Year 5
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