Encore Energy Corp. · TSXV:EU
Encore Energy — Investor Presentation (February 2023)
33 slides from Encore Energy's investor presentation, February 2023
Slide 1: Fueling the Future: Domestic Uranium in the USA
Fueling the Future: Domestic Uranium in the USA February 2023 NYSE American:EU | TSX.V:EU encoreuranium.com
Slide 2: Disclaimer
Disclaimer ©2023 enCore Energy Corp., All rights reserved. Unless otherwise noted, “enCore” and all other marks used in this presentation are trademarks of enCore Energy (the “Company”). Any reproduction or dissemination of any feature of this presentation, in whole or in part, or any use of this pr
Slide 3: enCore Energy: Fueling the Future
enCore Energy: Fueling the Future Reliable, responsible domestic uranium production in 2023 South Texas Focus: Rosita, Advanced Assets: US In-Situ Recovery: Uranium Alta Mesa & Kingsville Dome Production Pipeline Extraction process with proven Uranium Processing Plants 93.4 Mlbs in the M&I category,
Slide 4: enCore Energy: Fueling the Future
Uranium Spot Price enCore Energy: 150 FUELING THE FUTURE 100 URANIUM Fully funded uranium production strategy to provide clean, reliable 50 and carbon-free domestic energy 0 enCore’s Goal: 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 To become a 5 million pounds U3O8 producer in 5 years En
Slide 5: enCore corporate summary
NYSE American:EU | TSX.V:EU enCore corporate Market Capitalization (@$2.46USD) $352,085,298 USD summary Shares Issued & Outstanding 143,124,105 Warrants 37,344,947 Options 7,095,904 Fully Diluted 187,564,956 Debt1 $ 60.0 mm USD Note: Uranium Purchase Contract (net value) $ 2.5 mm USD 1. Promissory N
Slide 6: We have a strong board and management
We have a strong board and management NYSE American:EU | TSX.V:EU 6
Slide 7: Board of directors
Board of directors William M. Sheriff, MSc Richard M. Cherry, MSc, P.E. Executive Chairman Independent Director Mr. Sheriff was a pioneer in the uranium renaissance as Mr. Cherry is a veteran executive with over 40-years of experience in the co-founder and Chairman of Energy Metals Corp., which nucl
Slide 8: enCore: production pipeline
enCore: production pipeline GOALS : 3 million pounds U3O8/year production rate by Year 3; 5 million pounds U3O8/year production rate by Year 5 NYSE American:EU | TSX.V:EU 8
Slide 9: In-Situ Recovery (ISR): environmentally superior & economically competitive
In-Situ Recovery (ISR): environmentally superior & economically competitive ISR uses injection wells which add oxygen and carbon dioxide 1 creating a lixiviant solution; uranium dissolves into the solution Recovery wells pump the solution back to the surface to a processing facility 2 Monitoring wel
Slide 10: South Texas
South Texas ▪ A prolific US district for sandstone-hosted ISR production with historic production of ~80 million pounds ▪ Most progressive permitting and production jurisdiction in the US ▪ 47 identified deposits within ~60 million pounds of in-situ mineralization remaining ▪ The USGS estimates the
Slide 11: South Texas operations
South Texas operations 3 Fully licensed, constructed 3.6 million pounds U3O8 per and 100% owned production year combined capacity; 3 year facilities: Rosita, Kingsville production goal of 3 million Dome, Alta Mesa pounds/annually Roita production targeted for 2023 4 uranium sales contract in with sa
Slide 12: Rosita Uranium Processing Plant, South Texas
Rosita Uranium Processing Plant, South Texas ▪ One of enCore’s key assets in advancing production in 2023, the plant is located ~60 miles west of Corpus Christi, Texas and covers over 3,500 acres of mineral rights and plant facilities; ▪ A fully licensed ISR production facility with a production cap
Slide 13: Alta Mesa Uranium Processing Plant: Production planned for Q1 2024
Alta Mesa Uranium Processing Plant: Production planned for Q1 2024 ▪ Key enCore asset to advance production capacity in 2024; ▪ Fully licensed past-producing plant & existing resource located 80 miles from the Rosita Plant and 75 miles from the Kingsville Dome Plant ▪ Total operating capacity of 1.5
Slide 14: Phase 2: Dewey-Burdock project
South Dakota Phase 2: Dewey-Burdock project Edgemont uranium district in southwest South Dakota, approximately 60 miles from Cameco’s Crow Butte mine in Nebraska Mineral rights and surface rights covering approximately 16,960 acres and 12,610 acres, respectively Well served by infrastructure: Sixtee
Slide 15: Preliminary project economics
Dewey-Burdock, South Dakota Preliminary project economics 16 years 2019 PRELIMINARY ECONOMICS ASSESSMENT Mine Life (incl. 2 year ramp-up) ▪ Initial capital costs of US$31.7m Annual Production 1.0 Mlbs/yr is ‘sector leading’ for a project of this size LOM Production 14.3 Mlbs ▪ Pre-tax IRR of 55% at
Slide 16: Phase 3: Gas Hills project
Wyoming Phase 3: Gas Hills project NI 43-101 COMPLIANT ISR URANIUM DEVELOPMENT IN RESOURCE A HISTORIC DISTRICT Located in Fremont and Natrona Counties, WY Estimated Measured and ▪ Wyoming has long history of successful Indicated U3O8 mineral ISR operations and is an Agreement resource: 7,705,610 lbs
Slide 17: Gas Hills ISR project
Wyoming Gas Hills Mine Life 7 years ISR project Annual Production 1.0 Mlbs/yr LOM Production 6.5 Mlbs 2021 PRELIMINARY ECONOMIC ASSSSMENT RESULTS Initial Capital Costs US$26.0M (US$3.99/lb) Potential satellite project to Dewey Burdock ISR Project Cash Operating Costs US$11.52/lb - Plant and well fie
Slide 18: Phase 4: Dominant land position in New Mexico
New Mexico Phase 4: Dominant land position in New Mexico MOST PROPERTIES IDENTIFIED AS AMENABLE TO ISR, CONSISTENT WITH ENCORE’S ‘ISR FIRST’ STRATEGY New Mexico’s Grants Uranium District Over 400 million pounds of has produced ~350 million pounds unmined mineralization has been U3O8, or nearly 40% o
Slide 19: Crownpoint and Hosta Butte project
A view of Laramide’s processing facility site on Section 24 New Mexico Crownpoint and Hosta Butte project A large ISR-amenable project that hosts an estimated 26.6 million pounds Indicated mineral resource (12.68Mt at 0.105% eU3O8) and 6.1 million pounds Inferred mineral Crownpoint and Hosta Butte C
Slide 20: enCore Energy: investment summary
enCore Energy: investment summary Phased Expansion Clean, Reliable Energy Path to Production 3.6 million pounds/yr Funded to planned 2023 Favorable conditions for production potential with production; high grade ISR domestic uranium market ability to increase capacity; resources to fuel the future w
Slide 21: Other assets
Other assets ▪ Investing in new technology: Significant ownership (34%) in Group 11 Technologies, working to revolutionize environmentally-friendly mineral extraction of other metals by combining two proven technologies; in-situ recovery with environmentally-friendly solvents; ▪ Investment in Nuclea
Slide 22: Advancing to become the next leading producer of American Uranium
Advancing to become the next leading producer of American Uranium. enCore Board and Management at Rosita Processing Plant www.encoreuranium.com info@encoreuranium.com 778.383.6746 NYSE American:EU | TSX.V:EU 22
Slide 23: US uranium sector renaissance
US uranium sector renaissance Bi-Partisan Support Domestic Supply Needed Department of Energy Nuclear Fuel 60% of US uranium flows through Russia Strategic Uranium Reserve 2020 Energy Act: funding 3 • Bi-partisan Infrastructure Law 1: and is “no longer a trustworthy source of $6Bn Nuclear Credit Pro
Slide 24: United States Production History
United States Production History Among largest US ISR mines, operating until uranium prices depressed post-Fukushima 21st Century US ISR Production 24 22.0 22 Historic Production (Mlbs U3O8) 20 18 16 14 12 11.1 10 8 6 4.6 4 2.9 2.8 2 1.3 0.7 0.6 0.4 0 Smith Ranch Crow Butte Alta Mesa Lost Creek Will
Slide 25: Global uranium & nuclear environment
Global uranium & nuclear environment Uranium supply in a ~200 nuclear reactors under construction or planned – net deficit position an increase of more than 40% of current operating nuclear fleet.1 “Global realignment away from Russia in the nuclear fuel supply chain…new emphasis on western, and in
Slide 26: Global uranium supply
Global uranium supply Uranium Production U.S. uranium supply to commercial nuclear reators (1950-2017) By Country (2019) Million pounds U3O8 Kazakhastan, 6.1% Canada, and 5.3% 7.3M 80 Australia produce 6.4M Nearly 70% of the 5.6% 70 world’s uranium. 6.7M 60 Kazakhstan 6.5% 42.1% 42.1% 7.7M 50 Canada
Slide 27: Windmills vs nuclear energy
Windmills vs nuclear energy 300m 13-15MW 9MW 200m 7MW 1750 MW nuclear 4MW power plant 2MW 100m 1.2MW 1-12KW 0.5MW 19th C 1990 1995 2000 2005 2010 2015 2025 Sources: Various, Bloomberg New Energy Finance NYSE American:EU | TSX.V:EU 27
Slide 28: 1 nuclear energy plant vs wind power
1 nuclear energy plant vs wind power NYSE American:EU | TSX.V:EU 28
Slide 29: Safe nuclear power
Safe nuclear power Comparative death rates per unit of electricity production Brown coal 32.72 Coal 24.62 Oil 18.43 Biomass 4.63 Gas 2.82 Hydropower 1.3 Wind 0.04 Nuclear 0.03 Solar 0.02 0 5 10 15 20 25 30 Source: Markandya & Wilkinson (2007); Sovacool et al. (2016); UNSCEAR (2008; & 2018) OurWorldI
Slide 30: enCore Energy in the nuclear fuel cycle
enCore Energy in the nuclear fuel cycle NYSE American:EU | TSX.V:EU 30
Slide 31: In-situ Recovery and Central Processing Plant
In-situ Recovery and Central Processing Plant NYSE American:EU | TSX.V:EU 31
Slide 32: Other assets: NI 43-101 mineral resources
NI 43-101 mineral resources Other assets Marquez-Juan Tafoya Project, New Mexico2 Project Million Tons Grade eU3O8% Attributable U3O8 (M lbs.*) Indicated mineral resource (Minimum GxT = 0.60) 7.10 0.127 18.10 Juniper Ridge Project, Wyoming13 Project Million Tons Grade eU3O8% Attributable U3O8 (M lbs
Slide 33: References
enCore Energy References 1. NI-43-101 Technical Report, Crownpoint and Hosta Bute 9. Behre Dolbear & Company (USA) Inc., 2011, Technical Report P. (Terry) McNulty. P.E, D.Sc., T.P McNulty and Associates Uranium Project, McKinley County, New Mexico, USA on the West Largo Project of Uranium Resources
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