Evolution Energy Minerals Limited · ASX:EV1
Evolution Energy Minerals — Investor Presentation (November 2021)
43 slides from Evolution Energy Minerals's investor presentation, November 2021
Slide 1: Sustainable Graphite for the Global Green Economy
ASX: EV1 SUSTAINABLE GRAPHITE FOR THE GLOBAL GREEN ECONOMY November 2021
Slide 2: Disclaimer
ASX:EV1 DISCLAIMER This presentation (the “Presentation”) has been prepared by Evolution Energy Minerals Limited (“Evolution”). No party other than Mineral Resources Evolution has authorised or caused the issue of this document, or takes responsibility for, or makes any statements, representations o
Slide 3: Corporate Overview
ASX:EV1 CORPORATE OVERVIEW CAPITAL STRUCTURE EV1 SHAREHOLDERS EV1 $10.5M ASX Code Cash at listing 25% 31% $32.4M 161.9m 19% Market Cap (at $0.20 per share) Shares on Issue 25% 42.1M $21.9m Marvel Gold Top 20 (ex MVL/ARCH) ARCH Other shareholders Unlisted Options ($0.25 exercise) Enterprise Value Sha
Slide 4: Board & Management
ASX:EV1 BOARD & MANAGEMENT +40 years graphite market experience Trevor Benson Michael Bourguignon Executive Chairman Executive Director Trevor was the Executive Chairman and CEO for Tanzanian graphite Michael is a project management professional with extensive experience delivering company, Walkabou
Slide 5: Evolution Energy Minerals
ASX:EV1 EVOLUTION ENERGY MINERALS Sustainable graphite solutions for global green economy Chilalo Project (concentrate) Proposed Downstream Business Downstream Opportunities Fully permitted Expandable graphite Feasibility Studies/Partnerships Mining licence, environmental approvals o Evolution using
Slide 6: Our Strategic ESG Partner
ASX:EV1 OUR STRATEGIC ESG PARTNER ARCH Sustainable Resources Fund “ARCH Emerging Markets Partners / ARCH SRF was created CORNERSTONE INVESTOR with a strict ESG focus to work in strategic partnership with A$8M committed to IPO investee companies supporting them financially, technically, on ESG and co
Slide 7: ESG and Sustainability
ASX:EV1 ESG AND SUSTAINABILITY Evolution’s commitment to sustainable graphite supply Environment Social Governance • Pursuit of carbon neutrality for • Significant social investment during • ASX listed – committed to good operations feasibility study phases (refer governance principles ensuring Appe
Slide 8: Chilalo Project
ASX:EV1 CHILALO PROJECT Coarse flake graphite for high-value applications Fully permitted for construction Granted Mining Licence and Environmental Approvals Robust, deliverable DFS A$21M spent to date Globally significant product quality Flake size + performance in value-added applications Value-ad
Slide 9: Large, High-Grade Resource
ASX:EV1 LARGE, HIGH-GRADE RESOURCE Potential for multi-decade mine life EVOLUTION PLANS TO DEFINE ADDITIONAL NEAR-SURFACE DEPOSITS TO GROW THE RESOURCE/RESERVE CONTAINED DOMAIN CLASSIFICATION TONNES (MT) TGC% GRAPHITE (KT) Majority of strike High-grade zone Probable Reserve 9.2 9.9 878 remains undri
Slide 10: DFS Economic Outcomes
ASX:EV1 DFS ECONOMIC OUTCOMES Strong economics to a bankable standard1,2,3 Physicals Unit Life of mine Mine life years 18 Testwork & Total plant feed Mt 8.9 Downstream Partners Annual plant feed ktpa 500 Average head grade %TGC 10.1% Average graphite concentrate production ktpa 50 Steady state expan
Slide 11: Product Quality: Our Flake Size Advantage
ASX:EV1 PRODUCT QUALITY: OUR FLAKE SIZE ADVANTAGE Chilalo coarse flake destined for high-value applications Globally significant DFS-level testwork Pilot plant scale-up Unique Chilalo signature flake size cross-checked by two testwork confirmed suitability for targeted (58% > +80 mesh) separate labs
Slide 12: Product Quality Is Key
ASX:EV1 PRODUCT QUALITY IS KEY Chilalo +99% “green graphite” – the future for purification? ESG focus 1 Unique graphite signature capable 2 of producing +99% LOI through flotation¹ Removes harmful 3 chemicals and intense energy required for purification 1. Graphex ASX Announcement – 7 December 2016
Slide 13: Graphite Industry Overview
ASX:EV1 GRAPHITE INDUSTRY OVERVIEW Supplying traceable strategic critical minerals into the USA, EU and Japan Evolution of demand Evolution of supply – supply shortage & diversification • Exponential growth in Li-ion battery industry (see below) • Potential graphite supply shortage by 2023 (see belo
Slide 14: Unprecedented Battery Market Opportunity
ASX:EV1 UNPRECEDENTED BATTERY MARKET OPPORTUNITY Transition to a global green economy is already underway Graphite forecast to dominate battery mineral demand to 2050 14
Slide 15: Graphite – Key to a Green Future
ASX:EV1 GRAPHITE – KEY TO A GREEN FUTURE Graphite underpins countless applications for renewable energies and cleantech Beyond EV’s Source: US Energy Information Administration As the world transfers from hydrocarbons to renewables, significant battery metals demand is required to capture power from
Slide 16: Regulation Driving Demand
ASX:EV1 REGULATION DRIVING DEMAND EU initiatives leading the way & forcing a change In December 2020, the European Commission announced the EU taxonomy for sustainable activities which Supported by included a number of new measures and initiatives driving a shift in supply chain standards and disclo
Slide 17: Expandable Graphite Strategy
ASX:EV1 EXPANDABLE GRAPHITE STRATEGY Toll-treating Chilalo coarse flake into high-value products Expandable Graphite Processing Plant NATURAL FLAKE GRAPHITE EV1 Proprietary Chemistry PROCESSING Feedstock MIN Purification / Intercalation / EXPANDABLE GRAPHITE Exfoliation-heat EXPANDED GRAPHITE FLOW 9
Slide 18: Micronised Graphite Strategy
ASX:EV1 MICRONISED GRAPHITE STRATEGY Enhancing margins on low-value fine flake Deliverable strategy with vendor test work completed FEEDSTOCK MIN 95% LOI PROCESSING Fine milling micronisation equipment FLOW (-100 or -200 Mesh) STD PURITY MICRONISED FLAKE GRAPHITE POWDER Lab and ISO 9001 Certificatio
Slide 19: Battery Material Studies
ASX:EV1 BATTERY MATERIAL STUDIES • Evolution is in advanced discussions with battery anode technology partners • Potential to fast-track entry into battery anode market “Our cells should be called Nickel- Graphite, because primarily the cathode is nickel and the anode side is graphite with silicon o
Slide 20: Differentiation
ASX:EV1 DIFFERENTIATION Not all graphite is the same PROVEN GRAPHITE PRODUCTS DOWNSTREAM BUSINESS MODEL 1 Testwork successfully completed and ongoing 3 Advanced strategies in expandable and micronized graphite Suitability proven for high value applications Suitability of products confirmed 99% purit
Slide 21: Investment Highlights
ASX:EV1 INVESTMENT HIGHLIGHTS Entry level opportunity into high-quality, advanced asset & strategy CONSTRUCTION READY COMMITMENT TO SUSTAINABILITY Approvals and permits in place ESG best practice and CO2 reduction GENERATIONAL TWO-WAY MARKET HIGH-VALUE PRODUCTS, TRANSITION STRONG MARGINS Transition
Slide 22: Graphite Peer Comparison
ASX:EV1 GRAPHITE PEER COMPARISON Significant discount to graphite peers $700 $600 $500 Market Capitalisation ($m) $400 $300 $200 $100 $- Magnis Energy EcoGraf Limited Renascor Black Rock Mining Walkabout Volt Resources Triton Minerals Evolution Energy Technologies (ASX:EGR) Resources (ASX:BKT) Resou
Slide 23: Appendices
EVOLUTION ENERGY MINERALS
Slide 24: Appendix 1: Chilalo's Social Impact
ASX:EV1 APPENDIX 1: CHILALO’S SOCIAL IMPACT 1. Source of financial contributions: Graphex DFS, ASX announcement 29 January 2020 24
Slide 25: Appendix 2: Detailed Graphite Peer Comparison
ASX:EV1 APPENDIX 2 Detailed graphite peer comparison analysis and references Evolution Energy Company Name Magnis EcoGraf Renascor Walkabout Black Rock Volt Triton Minerals Ticker EV1 MNS EGR RNU WKT BKT VRC TON Market Cap (A$M) 11/11/2021 32* 646 270 240 89 194 74 50 Mineral Resource (Mt) 20 174 31
Slide 26: Appendix 3: Established Tanzanian Capability & Community Support
ASX:EV1 APPENDIX 3: ESTABLISHED TANZANIAN CAPABILITY & COMMUNITY SUPPORT Social license to operate Tanzanian subsidiary has operated in the region for 15 years Sound relationships Experienced country manager (ex-senior government official) with key local stakeholders 5 presidential awards for corpor
Slide 27: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION The Company was only recently incorporated (15 March 2021) and has no operating history and limited historical financial performance. The licenses are at various stages of exploration, and Shareholders should understand that mineral expl
Slide 28: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION Upon completion of the Offer: • Marvel Gold will hold a relevant interest in 50,000,000 Shares of the Company (comprising approximately 31% of the Shares on issue); and Major Shareholders • ARCH will hold a relevant interest in 40,000,00
Slide 29: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION Title and rights to mining and exploration tenements in Tanzania are governed by Tanzanian legislation and are subject to the holder complying with the terms and conditions applicable to those tenements. There is a risk that if the holde
Slide 30: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION The title to tenements held by the Company may also be affected by the provisions of law which provide for the protection of lawful occupiers of the area. According to section 95(1)(b) of the Mining Act, no holder of a mineral right shal
Slide 31: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION Environmental laws in Tanzania are strict. Every activity from exploration through to development and mining require compliance with the regulations for environmental protections by virtue of section 81 of the Environmental Management Ac
Slide 32: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION The operations of the Company may be affected by various operational risks and hazards, including: • inability to develop the Company's assets into an economic business; • failure to locate or identify mineral deposits, over estimation o
Slide 33: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION The Chilalo Project in Tanzania is subject to logistical risk of a long supply line should there be a requirement to import materials and equipment from outside the continent of Africa. The Chilalo Project is located in a remote area of
Slide 34: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS COMPANY RISKS D ES C R I P T ION The Tanzanian Income Tax Act 2004 contains indirect disposal tax provisions which apply where there is a change of more than 50% in the underlying ownership of a Tanzanian entity compared to the ownership in that entity over the past 3 y
Slide 35: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS INDUSTRY RISKS D ES C R I P T ION The exploration costs of the Company as summarised in Section 2.6 and 3.6 are based on certain assumptions with respect to the method and timing of exploration. By their nature, these estimates and assumptions are subject to significant
Slide 36: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS INDUSTRY RISKS D ES C R I P T ION The Company’s ability to undertake mining and exploration activities is dependent upon its ability to source and acquire appropriate mining equipment. Equipment and availability Equipment is not always available and the market for minin
Slide 37: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS INDUSTRY RISKS D ES C R I P T ION The Chilalo Project is located in Tanzania and is subject to the risks associated with operating in foreign countries. There are risks attached to exploration and mining operations in a developing country like Tanzania which are not nec
Slide 38: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS GENERAL RISKS D ES C R I P T ION General economic conditions, introduction of tax reform, new legislation, movements in interest and inflation rates and currency exchange rates may have Economic an adverse effect on the Company's exploration, development and production
Slide 39: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS GENERAL RISKS D ES C R I P T ION Mining activities have inherent risks and hazards. The Company is committed to providing a safe and healthy workplace and environment for its personnel, contractors and visitors. The Company will provide appropriate instructions, equipme
Slide 40: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS GENERAL RISKS D ES C R I P T ION Share market conditions may affect the value of the Company's quoted securities regardless of the Company's operating performance. Share market conditions are affected by many factors such as: • general economic outlook; • introduction o
Slide 41: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS GENERAL RISKS D ES C R I P T ION The Directors are unable to predict the risk of the insolvency or managerial failure by any of the contractors used (or to be used in the future) by the Agents and contractors Company in any of its activities or the insolvency or other m
Slide 42: Appendix 4: Key Risks
ASX:EV1 APPENDIX 4: KEY RISKS GENERAL RISKS D ES C R I P T ION Australian Accounting Standards (AAS) are adopted by the Australian Accounting Standards Board (AASB) and are not within the control of the Company and its Directors. The AASB may, from time to time, introduce new or refined AAS, which m
Slide 43: Contact
Level 1, Emerald House 1202 Hay Street West Perth WA 6005 Australia Telephone: +61 8 9200 4960 Email: info@ev1minerals.com.au
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