Rainbow Rare Earths Ltd. · LSE:RBW
Rainbow Rare Earths — Investor Presentation (March 2022)
29 slides from Rainbow Rare Earths's investor presentation, March 2022
Slide 1: A Strategic Source of NdPr for a Growing Market
RAINBOW RARE EARTHS A STRATEGIC SOURCE OF NdPr FOR A GROWING MARKET MARCH 2022
Slide 2: Disclaimer
DISCLAIMER These Presentation Materials are for information purposes only and must not be used or relied upon for the purpose of making any investment decision or engaging in any investment activity and should not be construed as, an offer for sale or subscription of, or solicitation of any offer to
Slide 3: The Middle East has oil; China has rare earths
“THE MIDDLE EAST HAS OIL; CHINA HAS RARE EARTHS.” Deng Xiaoping, credited as the father of modern-day China, 1992
Slide 4: Market Overview: Rare Earths, the Critical Building Blocks
MARKET OVERVIEW RARE EARTHS: THE CRITICAL BUILDING BLOCKS Market Overview IN THE GREEN REVOLUTION 4 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 5: NdPr Constitute 90%+ of Global Rare Earths Value
NDPR CONSTITUTE 90%+ OF GLOBAL RARE EARTHS VALUE NEODYMIUM AND PRASEODYMIUM (NDPR) ARE CRITICAL ELEMENTS IN PERMANENT MAGNETS USED FOR MOTORS AND TURBINES Permanent magnet production accounted for 91% of the total value of TREO consumption in 2019 Market Overview Source: Adamus Intelligence 5 Rainbo
Slide 6: Global Trends Accelerating NdPr Demand
GLOBAL TRENDS ACCELERATING NdPr DEMAND TO DRIVE THE GREEN REVOLUTION KEY GLOBAL MEGATRENDS ARE DRIVING STRONG AND DIVERSIFIED DEMAND FOR NdPr IN PERMANENT MAGNETS ANTICIPATED GLOBAL REO MAGNET DEMAND GROWTH 160,000 • LOW CARBON TRANSITION: environmental protection and climate 141Kt by 2030 change dr
Slide 7: Significant Projected NdPr Supply Constraints
SIGNIFICANT PROJECTED NdPr SUPPLY CONSTRAINTS NEW SOURCES WILL BE REQUIRED TO MEET PROJECTED DEMAND GROWTH SECURING AN ETHICAL AND SUSTAINABLE SUPPLY CHAIN FOR STRATEGIC MATERIALS NdPr OXIDE – FORECAST SUPPLY – DEMAND BALANCE • China currently dominates global RE production - both in terms of 160,00
Slide 8: Rainbow Project Economics: Supported at Current NdPr Prices
RAINBOW PROJECT ECONOMICS: SUPPORTED AT CURRENT NdPr PRICES ACTUAL RARE EARTH BASKET PRICES FOR PHALABORWA AND GAKARA HAVE SIGNIFICANTLY OUSTRIPPED FORECAST PRICE RISES IN 2021 TO DATE ...forecasters suggest the current price strength will be supported by ongoing demand growth in the medium term Wit
Slide 9: Phalaborwa Project
PROJECT OVERVIEW PHALABORWA PROJECT Phalaborwa Project 9 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 10: Significant NdPr Production to Power the Green Revolution
SIGNIFICANT NDPR PRODUCTION TO POWER THE GREEN REVOLUTION PHALABORWA – EXCITING, NEAR-TERM GROWTH OPPORTUNITY 38.3MT OF GYPSUM IN TWO STACKS FROM 50+ YEARS PHOSPHATE JORC COMPLIANT INFERRED MINERAL RESOURCE ESTIMATE HARD ROCK MINING IN SOUTH AFRICA Contribution of TREO by oxide Grade • JORC Complian
Slide 11: Assay Results Confirm High Value Project
ASSAY RESULTS CONFIRM HIGH VALUE PROJECT MUCH HIGHER GRADE THAN TYPICAL IONIC CLAY RARE EARTH PROJECTS Project Style Owner TREO4 NdPr5 Uranium6 Thorium7 % ppm ppm ppm Dy Gypsum 11% Phalaborwa1 Rainbow Rare Earths 0.431% 1,257 2 48 stacks Tb Round Top2 Ionic Clay US Rare Earths/TMRC 0.063% 39 45 179
Slide 12: Simple Processing and High Value Carbonate Product
PHALABORWA SIMPLE PROCESSING AND HIGH VALUE CARBONATE PRODUCT EXPECTED TO DRIVE STRONG PROJECT ECONOMICS • Historical processing, including initial flotation and concentration by Foskor Typical unit processes Typical rare earths project Phalaborwa followed by processing in Sasol’s PhosAcid plant, ha
Slide 13: Opportunity to Deliver Separated Magnet Rare Earth Oxides
PHALABORWA OPPORTUNITY TO DELIVER SEPARATED MAGNET RARE EARTH OXIDES THROUGH RECENTLY LICENCED TECHNOLOGY • RARE EARTHS SEPARATION TECHNOLOGY LICENCE: Rainbow has exclusive rights to K-Tech rare earths separation technology across the SADC region of Africa for use in phosphogypsum projects such as P
Slide 14: An Environmentally Friendly Source of NdPr
PHALABORWA – AN ENVIRONMENTALLY FRIENDLY SOURCE OF NdPr CLEANING UP EXISTING ENVIRONMENTAL LIABILITIES EXISTING ENVIRONMENTAL ISSUES þ The 38Mt Phalaborwa gypsum stacks from >50 years of phosphoric acid production currently represent an environmental liability for the historic owners of the site þ T
Slide 15: Ongoing Testwork Continues to De-risk Project
PHALABORWA ONGOING TESTWORK CONTINUES TO DE-RISK PROJECT AHEAD OF DELIVERY OF TECHNICAL STUDY On signing the Phalaborwa earn-in agreement a number of risks were identified, typical for rare earth elements contained in PhosAcid production residue, that required test work and optimisation to deliver a
Slide 16: An Ideal Location for a New Operation
PHALABORWA AN IDEAL LOCATION FOR A NEW OPERATION • Brownfield site near established Site boundary mining town • Agreed location for new deposition of clean treated gypsum in a ‘green’ stack Phalaborwa Project • Space for new processing Existing plant area infrastructure within existing project footp
Slide 17: Excellent Local Infrastructure
PHALABORWA EXCELLENT LOCAL INFRASTRUCTURE SASOL’S PILOT PLANT REMAINS ON SITE WITH ASSOCIATED INFRASTRUCTURE OF PHOSPHORIC ACID PLANT, INCLUDING: • High voltage switchyard (providing access to Eskom grid power) • Equipped machine shops Phalaborwa Project • Workshops • Laboratory buildings • Administ
Slide 18: Gakara Project
PROJECT OVERVIEW GAKARA PROJECT Gakara Project 18 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 19: High-Grade Rare Earth Mineral Concentrate Production
HIGH-GRADE RARE EARTH MINERAL CONCENTRATE PRODUCTION FROM LARGE MINERALISED SYSTEM IN BURUNDI TRIAL OPERATIONS HAVE DEMONSTRATED AMENABILITY TO SIMPLE MINING AND PROCESSING TO PRODUCE HIGH GRADE MINERAL CONCENTRATE • 39km2 mining permit located just south of Bujumbura, Burundi (East Africa) hosting
Slide 20: Rainbow Adopts a Sustainable Approach
RAINBOW ADOPTS A SUSTAINABLE APPROACH ENGAGING WITH LOCAL COMMUNITY AT GAKARA TO ENSURE BENEFITS FOR ALL STAKEHOLDERS ZERO HARM POLICY: Committed to ensuring that staff, contractors and visitors remain healthy and safe from harm: þ 1 million+ hours achieved without an LTI þ Covid-19 protocols in pla
Slide 21: Progressing Mining at Gakara to Mechanical Methods
PROGRESSING MINING AT GAKARA TO MECHANICAL METHODS TRIAL MINING HAS PROGRESSED FROM SMALL-SCALE MANUAL …TO BULK MECHANICAL WASTE MINING AND SELECTIVE MECHANICAL FOCUSSED OPERATION… MINING METHOD • A second new mining fleet has been operating at site improving efficiency PRE-2020 LATEST OPERATIONS Ga
Slide 22: JORC Exploration Target from Across the Licence
JORC EXPLORATION TARGET FROM ACROSS THE LICENCE Gakara Project 22 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 23: Summary
SUMMARY RAINBOW: A STRATEGIC SOURCE OF RARE EARTH Summary MINERALS FOR A GROWING MARKET 23 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 24: A Strategic Source of Rare Earth Minerals for a Growing Market
RAINBOW A STRATEGIC SOURCE OF RARE EARTH MINERALS FOR A GROWING MARKET Rainbow Rare Earths is uniquely positioned to benefit from the expected growth in the demand for Rare Earths to power the Green Revolution • Rainbow has both project and country risk diversification from two potentially world-cla
Slide 25: Thank You
RAINBOW RARE EARTHS THANK YOU Contact us: GEORGE BENNETT PETE GARDNER CEO CFO SA Mobile: +27 82 652 UK Mobile: +44 771 779 4251 Office Number: + 27 11 996 3500 Skype: petegardner73 Skype: George.bennett72 Email: peteg@rainbowrareearths.com Email: georgeb@Rainbowrareearths.com
Slide 26: Appendices
APPENDICES Appendices 26 Rainbow Rare Earths Limited Corporate Presentation - March 2022
Slide 27: Our Executive Management
OUR EXECUTIVE MANAGEMENT GEORGE BENNETT DAVE DODD CEO TECHNICAL DIRECTOR • 25 years in finance and management, including as partner in stockbroking/advisory • 45 years of extractive metallurgy experience firms in SA • Metallurgical Project Consultant • Former CEO of Shanta Gold Ltd, successfully lis
Slide 28: Our Board – Non-Executive Directors
OUR BOARD – NON-EXECUTIVE DIRECTORS ADONIS POUROULIS J PETER PHAM NON-EXECUTIVE CHAIRMAN NON-EXECUTIVE DIRECTOR • Mining engineer: an entrepreneur whose expertise lies in the discovery, exploration • Scholar and practitioner of International Affairs with more than 20 years of and development of natu
Slide 29: Key Shareholder Information
KEY SHAREHOLDER INFORMATION BOARD SHAREHOLDINGS Shareholder Holding Ticker Market Market cap Share price Shares in Brokers issue Adonis Pouroulis* 14.6% RBW.L LSE £80.0m 15.6p 523m SP ANGEL George Bennett* 6.6% Appendices SHARE PRICE (GBP) Shawn McCormick* 1.8% Alexander Lowrie 1.2% Atul Bali 0.7% J
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