Electra Battery Materials Corp · TSXV:ELBM
Electra Battery Materials — Q3 2022 Earnings Presentation
28 slides from Electra Battery Materials's earnings presentation, Nov 10, 2022
Slide 1: Q3 Results & Progress
Q3 Results & Progress ONSHORING THE EV SUPPLY CHAIN Electra Q3 Earnings Call Presentation November 10, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements All statements in this presentation other than statements of historical fact constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, and “forward-looking information” under similar Canadian legislati
Slide 3: Today's presenters
Today’s presenters Trent Mell Mark Trevisiol Craig Cunningham CEO VP Project CFO Development NASDAQ: ELBM | TSX.V: ELBM 3
Slide 4: Q3 highlights
Q3 highlights 3-year supply agreement with LG Energy Solution Continued progress with commissioning of refinery Preparation for black mass recycling demonstration plant Confirmation of new cobalt mineralization zone in Idaho Cobalt Belt Release of nickel sulfate scoping study Benefits agreement sign
Slide 5: Supply agreement with LG Energy Solution
Supply agreement with LG Energy Solution o 3-year strategic supply agreement o 7,000 tonnes of battery grade cobalt o From 2023 through 2025 o Represents 60% of refinery output during term o Value of agreement is approximately $400M* o Agreement will generate $70M in revenue* Marks Electra’s first c
Slide 6: NASDAQ: ELBM | TSX.V: ELBM
NASDAQ: ELBM | TSX.V: ELBM 6
Slide 7: Progress at refinery continues
Progress at refinery continues 90% of all brownfield 90% of brownfield equipment recommissioned equipment 90% of all procurement completed recommissioned 90% of detailed engineering completed 75% of solvent extraction plant constructed Zero lost time incidents Owners’ team now at 27 personnel Develo
Slide 8: Equipment recommissioning
Equipment recommissioning Opportunity to focus on operational readiness NASDAQ: ELBM | TSX.V: ELBM 8
Slide 9: Solvent extraction plant in Q2
Solvent extraction plan Solvent extraction plant in Q2 Opportunity to focus on operational readiness NASDAQ: ELBM | TSX.V: ELBM 9
Slide 10: Solvent extraction plant in Q3
Solvent extraction plant in Q3 NASDAQ: ELBM | TSX.V: ELBM 10
Slide 11: Cell installation
Cell installation NASDAQ: ELBM | TSX.V: ELBM 11
Slide 12: Guidance for cobalt sulfate refinery
Guidance for cobalt sulfate refinery 2023 Project costs anticipated at US$76-$80M Contained cobalt 1,800 - 2,100 tonnes Project completion expected in spring 2023 production Revenue to be capitalized against costs until EBITDA1 C$9.5 - $10.5M commercialization is reached Production ramp up to 5,000
Slide 13: Black mass recycling update
Black mass recycling update
Slide 14: Launch anticipated in coming weeks
Launch anticipated in coming weeks o Process up to 75 tonnes in a batch mode o Blend material at refinery o Apply hydrometallurgical process previously tested o Recovery of high value metals for resale anticipated ⇢ Nickel, cobalt, lithium, copper, and graphite o Critical success factors of demonstr
Slide 15: High level black mass process flow
High level black mass process flow Black Mass Reagent Reagents Reagents 20% Solids Impurity 2 S/L Separation Impurity 1 Leaching Removal + Mix Tank (filter press) Removal Mix Product (mix Tank tank) Reagent Reagent Reagent Residue (filter press) to Tailings PRODUCT PRODUCT PRODUCT Process recovers n
Slide 16: Repulping system re-commissioned
Solvent extraction plan Repulping system re-commissioned Opportunity to focus on operational readiness NASDAQ: ELBM | TSX.V: ELBM 16
Slide 17: Material handling equipment commissioned
Solvent extraction plan Material handling equipment commissioned Opportunity to focus on operational readiness NASDAQ: ELBM | TSX.V: ELBM 17
Slide 18: Q3 Financial Highlights
t Te asa jp tlectra | Q3 Financial Highlights
Slide 19: Q3 financial results
Q3 financial results Cash Position o Balance sheet changes driven by $18.8M in refinery investments $45.0 $41.8 o Other costs included $1.3M for exploration and development at $40.0 Iron Creek and $1.6M in interest payments $35.0 $30.0 o Cash position is exclusive of $6.7 million of government fundi
Slide 20: Financing initiative launched
Financing initiative launched o US$5.5M marketed offering of units o Each units to include 1 share and 1 warrant to purchase 1 share o Proceeds to be fund commissioning of cobalt sulfate refinery o Close expected on our about November 15 o Other funding options are under consideration Balance sheet
Slide 21: Exploration update
Exploration update
Slide 22: New target zone identified at Ruby
New target zone identified at Ruby o Defined strong and open-ended anomaly o Located 1.5 km southeast of Iron Creek o Drilling intercepted:: ⇢ 6.4 m @ 0.21% Co in IC22-02 from 307.5 to 313.9 m ⇢ 0.64 m @ 0.87% Co in IC22-03A from 364.3 to 364.9 m o Assay results support undertaking additional drilli
Slide 23: Idaho Cobalt Belt
Idaho Cobalt Belt Ram/ICP Blackbird Salmon o America’s best opportunity to onshore cobalt Iron Creek supply and reduce reliance on China 28 o High grade deposits amenable to underground mining with a minimal environmental footprint o 53Mlbs of Cu and 14 Mlbs of Co produced 10 km 93 historically Chal
Slide 24: Outlook & near-term milestones
Outlook & near- term milestones
Slide 25: Market outlook
Market outlook US$7,500 EV tax credit o Inflation Reduction Act provides favorable backdrop 27.1% CAGR in EV o Outlook for cobalt and nickel prices is positive sales through 2026 o Annual EV sales expected to grow to 27M by 2030 o Market developments driving customer demand Trends point to onshoring
Slide 26: Near-term milestones
Near-term milestones o Fall – Recycling demonstration plant o Fall – Sustainability Report o Spring 2023 – Commissioning of cobalt refinery o Summer 2023 – Cash flow from cobalt sales o Summer 2023 – Exploration program at Ruby o H2 2023 – Bécancour prefeasibility study Multiple catalysts for value
Slide 27: Questions?
Questions?
Slide 28: Electra Battery Materials
Electra Battery Materials NASDAQ: ELBM TSX-V: ELBM Joe Racanelli, VP Investor Relations info@ElectraBMC.com 416.900.3891
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