PMET Resources Inc. · TSX:PMET
PMET Resources — Patriot Battery Metals — Technical Presentation (September 2024)
51 slides from PMET Resources's technical presentation, Sep 19, 2024
Slide 1: Shaakichiuwaanaan - North America's Next Lithium Powerhouse
For personal use only Shaakichiuwaanaan - North America’s Next Lithium Powerhouse Site Visit Presentation September 2024
Slide 2: Important Information
IMPORTANT INFORMATION This presentation is dated September18, 2024 and has been prepared by Patriot Battery Metals Inc a staged development approach (and therefore staged funding strategy), which involves a thereby; the accuracy and reliability of estimates, projections, forecasts, studies and asses
Slide 3: Important Information
IMPORTANT INFORMATION QUALIFIED/COMPENTENT PERSONS NON-IFRS AND OTHER FINANCIAL MEASURES interpretation of a consolidated dataset of surface rock sample descriptions and assays, outcrop mapping and descriptions, drill hole logs and core sample assays, geophysical surveys, and remote sensing data. Th
Slide 4: Agenda
For personal use only Agenda 4 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 5: Agenda
PATRIOT SITE VISIT – SEPTEMBER 2024 Agenda For personal use only • Welcome remarks • Ken Brinsden – Market Commentary/PEA Highlights/Team Overview • Darren Smith – Geology • Gregory Barfoot – Infrastructure • Alix Drapack – ESG/Community Relations/Permitting • Natacha Garoute – Finance/IR • Closing
Slide 6: Video Link
For personal use only Video Link 6 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 7: Lithium Market Commentary
For personal use only Lithium Market Commentary 7 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 8: Lithium Market Commentary: Supply Ramping up at a cost
SHAAKICHIUWAANAAN – LITHIUM MARKET COMMENTARY Supply Ramping up at a cost… For personal use only • Supply-side response from the Chinese producers has Zimbabwe – Hard Rock Cost of Production been successful in the last couple of years, however it has come at a significant cost 1,400 • Just one examp
Slide 9: Lithium Market Commentary: Cutting into the Cost Curve
SHAAKICHIUWAANAAN – LITHIUM MARKET COMMENTARY Cutting into the Cost Curve For personal use only • Current pricing is not high enough to incentivise the new Citi’s FY25 all-in cost curve for its ASX coverage production that is required to grow the market significantly. 1,800 Growth Capex • Some of th
Slide 10: Lithium Market Commentary: Demand at a Tipping Point
SHAAKICHIUWAANAAN – LITHIUM MARKET COMMENTARY Demand at a Tipping Point For personal use only • Chinese dominance of New Energy industries is becoming increasingly Battery margins are being squeezed clear, with its leading position in the lithium-ion supply chain growing China sell spot prices and m
Slide 11: North American Downstream Landscape
SHAAKICHIUWAANAAN – LITHIUM MARKET COMMENTARY North American Downstream Landscape For personal use only Gigafactory Cathode Active Material/precursor Cathode Active Material (CAM/pCAM) plants 11 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 12: PEA Highlights
For personal use only PEA Highlights 12 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 13: Patriot's Phased Development Strategy
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS Patriot’s Phased Development Strategy For personal use only Downstream (Opportunity) Stage 2 (Expansion Phase) Future downstream opportunity (Not included in the PEA) Provides increased access to North American Stage 1 ~800ktpa expansion (5.0 Mtpa plant) and Euro
Slide 14: PEA Highlights
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS PEA Highlights For personal use only After-Tax NPV8% Real After-Tax IRR Stage 1 Net Capex Payback Period C$2.9 Billion 34% C$640 Million 2 3.6 Years (US$2.2 Billion) (US$487 Million) Estimated break-even spodumene 1 US$1,375/t (SC5.5 FOB Bécancour) price (SC6) of U
Slide 15: PEA Overview
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS PEA Overview PEA highlights the Shaakichiuwaanaan1 Project as a potential North American lithium raw materials supply base For personal use only Preliminary Hybrid Mine Plan PEA Shows the Phased Funding Strategy Upside Economics Stage 1 open-pit Potential to Develo
Slide 16: Mine Plan
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS Mine Plan Mt For personal use only • Hybrid mine plan which aims to use both open pit 8.0 and underground (UG) mining methods OP Ore Mined OP and UG anticipated to account for 56% and 44% 7.0 of ore mined, respectively • UG benefits relative to open pit only: UG Or
Slide 17: CV5 PEA Pit Design
CV5 PEA Pit Design SHAAKICHIUWAANAAN – PEA HIGHLIGHTS Open-Pit Mining For personal use only • Pit shell optimization resulted in a range of shells for a range of prices, including the base price of US$1,375 per tonne SC5.5 (RF 1). The selected pit shell, for the purpose of guiding the pit design, wa
Slide 18: UG - High-grade Mining Potential
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS UG - High-grade Mining Potential CV5 Side View Highlighting the High-Grade Nova Zone For personal use only • Selectively targeting high-grade mining areas has the potential to reduce costs during periods of lower lithium pricing, improving optionality of the mine
Slide 19: UG - High-grade Mining Potential
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS UG - High-grade Mining Potential For personal use only • The hybrid approach potentially provides significant Example of Nova Zone Stope Tonnes and Li2O% Grade flexibility, allowing access to higher-grade zones as needed, which is essential for maximizing Project v
Slide 20: Processing and Recovery
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS Processing and Recovery For personal use only • Simple DMS-only processing plant • Phased approach could see the installation of a 2.5Mtpa1 processing plant in Stage 1 and another 2.5Mpta processing plant to run in parallel in Stage 2 • The conceptual processing fl
Slide 21: Simple Mineralogy & Metallurgy
SHAAKICHIUWAANAAN – PEA HIGHLIGHTS Simple Minerology & Metallurgy Metallurgical Test Work Recovery (global) Results & Industry For personal use only Based Recovery Estimates for 3 x Size Range DMS Process Plant Both CV5 and CV13 — Potentially Processable at the same Plant • Consistently large spodum
Slide 22: Exploration, Resource Growth and Project Delivery
Exploration, Resource Growth and Project Delivery For personal use only Continue to Drill Exploration/ Community Develop CV5 Development Extend CV5 westward • Surface work on the • Build and enhance Upgraded CV5 mineral to CV13 remaining prospective trend relationships with Chisasibi resource estima
Slide 23: Proven Management Team with a Track Record of Value Creation
PROVEN MANAGEMENT TEAM WITH A TRACK RECORD OF VALUE CREATION Investor Relations For personal use only Ken Brinsden Natacha Alex Eastwood Darren L. Alix Drapack Greg Barfoot Bradley Seward Olivier B.Eng. (Mining), Garoute BEc, LLB Smith P.Eng., MBA, ICD.D M.Eng., MBA Vice President, Caza-Lapointe MAU
Slide 24: Geology
For personal use only Darren Smith – EVP Exploration Geology
Slide 25: Largest Lithium Pegmatite Resource in the Americas
SHAAKICHIUWAANAAN – GEOLOGY Largest Lithium Pegmatite Resource in the Americas For personal use only Lithium Pegmatite Mineral Resource by Grade and Tonnes 1.80% Production Development PMET 1.60% Shaakichiuwaanaan PAK + Spark Grota do Cirilo 1.40% Separation Rapids Bandeira Whabouchi Galaxy Colina G
Slide 26: Exploration Target
SHAAKICHIUWAANAAN – GEOLOGY Exploration Target 1 • Significant Exploration Target outlines the potential for additional tonnage at the Shaakichiuwaanaan Property For personal use only o 146 to 231 Mt at 1.0 to 1.5% Li2O. The potential quantity and grade of the Exploration Target are conceptual in na
Slide 27: Mineral Resource
SHAAKICHIUWAANAAN – GEOLOGY Mineral Resource • The PEA is underpinned by the CV5 Spodumene Pegmatite Oblique view of the CV5 Spodumene Pegmatite Block Model For personal use only component of Shaakichiuwaanaan updated Mineral (classified material unconstrained) (not to scale) Resource Estimate which
Slide 28: Summer-Fall 2024 Exploration
SHAAKICHIUWAANAAN – GEOLOGY Summer-Fall 2024 Exploration • Drilling began in June and is planned to continue through mid Oct – total of ~55,000 m anticipated For personal use only • Continued infill at CV5 to support conversion of Inferred to Indicated classification to underpin Feasibility • Geotec
Slide 29: New High-Grade Vega Zone at CV13
SHAAKICHIUWAANAAN – GEOLOGY New High-Grade Vega Zone at CV13 For personal use only • New high-grade spodumene pegmatite zone discovered at CV13: • 34.4 m at 2.90% Li2O, including 21.9 m at 3.58% Li2O (CV24-470), discovery hole. • 51.7 m at 1.77% Li2O, including 9.7 m at 5.16% Li2O (CV24-525). • 35.3
Slide 30: CV12 Spodumene Pegmatite, Planned 2025 Exploration
SHAAKICHIUWAANAAN – GEOLOGY CV12 Spodumene Pegmatite Planned 2025 Exploration • Approximately 80,000+ m of drilling anticipated For personal use only • Continued delineation of CV5 & CV13 along strike and to depth, & initial testing of proximal corridors • Initial drill testing of other spodumene pe
Slide 31: Infrastructure
For personal use only Greg Barfoot – EVP Projects Development Infrastructure
Slide 32: Existing Infrastructure - Supporting Exploration
SHAAKICHIUWAANAAN – INFRASTRUCTURE Existing Infrastructure - Supporting Exploration For personal use only Shaakichiuwaanaan camp at KM270 on the Trans-Taiga Road Access Road to CV5 The camp is critical infrastructure that reduces travel time to CV5 to just 40 minutes. It includes the following Core
Slide 33: All Weather Road
SHAAKICHIUWAANAAN – INFRASTRUCTURE All Weather Road For personal use only • The All-Season Access Road extends south from KM270 on the Trans-Taiga Road a distance of ~20 km south to the CV5 deposit • The road is a critical investment and will enable significant cost savings on future drilling and ex
Slide 34: Future Infrastructure – Main Site
SHAAKICHIUWAANAAN – INFRASTRUCTURE Future Infrastructure – Main Site For personal use only Located to the North of the Phase 2 open pit the planned site for the Operations Facilities optimizes access to both the open pit and underground operations. 34 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
Slide 35: Future Infrastructure
SHAAKICHIUWAANAAN – INFRASTRUCTURE Future Infrastructure For personal use only • Power – Low-carbon footprint, low-cost and mainly renewable electricity sourced from Hydro-Québec through an application process – The electrical substation will be located at approximately 55 km south of the Hydro-Québ
Slide 36: Permitting/Community Engagement
For personal use only Alix Drapack - EVP ESG Permitting/Community Engagement
Slide 37: Permitting and Community/First Nations Engagement
SHAAKICHIUWAANAAN – PERMITTING AND COMMUNITY/FIRST NATIONS ENGAGEMENT 3 Cree communities and 1 non-indigenous community have a potential interest in the project. For personal use only Grand Council of the Crees Cree Mining Policy (Cree Nation Government): • Support and promote the development • Repr
Slide 38: Cree Engagement
Cree Engagement • Recent site celebrations / ceremony For personal use only and feast • Approximately 40 community members, including the Tallyman and his family • The entire site team • Camp Shaakichiuwaanaan • The name means climbing a hill or a mountain • As chosen by the Tallyman, his family and
Slide 39: Impact Assessment Processes
SHAAKICHIUWAANAAN – PERMITTING AND COMMUNITY/FIRST NATIONS ENGAGEMENT Impact Assessment Processes Provincial Assessment & Review Procedure For personal use only • All mining projects located south of the 55th parallel, in the territory is Territory subject to governed by the James Bay and Northern Q
Slide 40: Baseline Data Collection
SHAAKICHIUWAANAAN – PERMITTING AND COMMUNITY/FIRST NATIONS ENGAGEMENT Baseline Data Collection Based on requirements from the Directives received in April 2024 & on IAA requirements from other projects For personal use only Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q3 2
Slide 41: Mining Approval Process
SHAAKICHIUWAANAAN – PERMITTING AND COMMUNITY/FIRST NATIONS ENGAGEMENT Mining Approval Process For personal use only Project Description Environmental Impact Assessment Report • Baseline Data collection (2 years) Impact Benefit Agreement • Project guidelines • Alternatives Assessment (Commitments to
Slide 42: Finance/IR
For personal use only Natacha Garoute – CFO Finance/IR
Slide 43: Trading Update and Shareholder Register
SHAAKICHIUWAANAAN – FINANCE/IR Trading Update Shareholder Register For personal use only $20.00 9.0 8.0 3%1% 0% 7.0 $15.00 23% 6.0 49% Volume (mm) 5.0 C$/sh $10.00 4.0 24% 3.0 $5.00 2.0 Australia Canada 1.0 United States $0.00 - Europe Dec-22 Dec-23 Jan-23 Jan-24 Apr-23 May-23 Jun-23 Apr-24 May-24 J
Slide 44: Trading Update and Analyst Coverage
SHAAKICHIUWAANAAN – FINANCE/IR Trading Update Analyst Coverage For personal use only Pro-Forma Equity Raise CAD (m) Basic Shares Outstanding 141.1 Dilutive Securities 11.1 Fully Diluted Shares 152.2 Market Cap (as of Sept 17) : $522 Cash (as of June 30th) $102 Potential Cash from FDITM Options & oth
Slide 45: Opportunistic Fund Raises to Minimize Dilution
SHAAKICHIUWAANAAN – FINANCE/IR Opportunistic Fund Raises to Minimize Dilution March 2023: $50M flow August 2023: $109M For personal use only through shares @ $20.00 issue to Albemarle at 9.0 $22.57, a 90% premium $15.29, a 10% premium 8.0 7.0 $15.00 May 2024: $75M flow 6.0 through shares @ $14.54. V
Slide 46: Appendix: Mineral Resource & Peer Comparison
For personal use only Appendix Mineral Resource & Peer Comparison
Slide 47: CV5 and CV13 Mineral Resource Statement
CV5 AND CV13 Mineral Resource Statement For personal use only Li2O Ta2O5 Contained Li2O Contained LCE Pegmatite Classification Tonnes (%) (ppm) (Mt) (Mt) Indicated 80,130,000 1.44 163 1.15 2.85 CV5 & CV13 Inferred 62,470,000 1.31 147 0.82 2.03 • Mineral Resources were prepared in accordance with Nat
Slide 48: CV5 and CV13 Mineral Resource Sensitivity Analysis
CV5 AND CV13 MINERAL RESOURCE * Sensitivity Analysis CV5 Spodumene Pegmatite CV13 Spodumene Pegmatite For personal use only Indicated Inferred Indicated Inferred Cut-off grade Average grade Average grade Average grade Average grade Tonnes ≥ cut- (%) Tonnes ≥ cut-off (Li2O) ≥ cut-off Tonnes ≥ cut-off
Slide 49: Peer Comparison Information – Resources
N O T E S P E E R COMPARISON INFORMATION – RESOURCES Reserves (Mt LCE) Resources (Mt LCE) — Inclusive of Reserves Company Project Stage Information Source(s) Proven Probable Total Reserves Measured Indicated Inferred Total Resources AVZ Minerals Manono (75%) Feasibility 2.6 2.6 5.3 5.4 14.7 13.3 33.
Slide 50: Peer Comparison Information – Production Capacity
N O T E S P E E R COMPARISON INFORMATION – PRODUCTION CAPACITY Name Ticker Project Name Stage Degree of Study Price Assumption (US$/t SC6) Mine Life Information Source - Current Production Capacity Information Source - Planned Expanded Capacity Pilbara Minerals PLS Pilgangoora Production ASX announc
Slide 51: Thank you
For personal use only Thank you PATRIOT BATTERY METALS +1 (604) 279 8709 info@patriotbatterymetals.com patriotbatterymetals.com 51 TSX: PMET ASX: PMT OTCQX: PMETF WB: R9GA PMET
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