Vulcan Energy Resources Ltd. · ASX:VUL
Vulcan Energy Resources — Investor Presentation (January 2025)
29 slides from Vulcan Energy Resources's investor presentation, Jan 31, 2025
Slide 1: Corporate Presentation Q1 2025
For personal use only Corporate Presentation Q1 2025 DETERMINED FOR A BETTER TOMORROW ASX/FSE: VUL
Slide 2: Disclaimer
DISCLAIMER1 Disclaimer, acknowledgement and agreement. Vulcan, to the maximum extent permitted by law, expressly excludes and disclaims all liability (including, without limitation, any liability arising out of fault or negligence on the part of any person) for any direct, indirect, consequential or
Slide 3: New Wave of Lithium Is Building
NEW WAVE OF LITHIUM IS BUILDING Defined by low cost, sustainable production from brines using A-DLE For personal use only As the lithium market matures into its next phase of growth, major global companies like Rio Tinto and ExxonMobil are entering the lithium brine space1 Global lithium market fore
Slide 4: What Makes a Successful Lithium Business?
WHAT MAKES A SUCCESSFUL LITHIUM BUSINESS? Vulcan sets the standard: Key factors for the next wave in lithium 1. Strong tier-one customers: reduces pricing and market risk For personal use only 2. Lithium resource scale: ability to build large, low cost, scalable production 3. Low impurities in the b
Slide 5: Uniquely Positioned
UNIQUELY POSITIONED Vulcan poised to capture the next phase of growth1 ✓ Strong customer relationships: Vulcan has offtake agreements with tier-one European counterparties covering majority of first 10 years of For personal use only production2 ✓ Tier-one asset: 30-year project life, large, scalable
Slide 6: Integrated Renewable Energy & Lithium
INTEGRATED RENEWABLE ENERGY & LITHIUM1 Phase One: Lionheart Integrated renewable energy, lithium salts and lithium hydroxide production from sub- surface brines in the Rhine Valley. Targeting 24,000 tonnes p.a2. LHM production: For personal use only enough for 500,000 electric vehicles every year Ta
Slide 7: Empowering a Carbon Neutral Future
EMPOWERING A CARBON NEUTRAL FUTURE High quality strategic shareholders ASX/FSE Prime Standard / VUL Vulcan values For personal use only Shares on issue / ~217m CLIMATE CHAMPION Market Capitalisation1 / ca. €598m (A$1.01bn)2 DETERMINED Cash3 / €97m (~A$162m) INSPIRING High quality strategic sharehold
Slide 8: Vulcan's Phase One Project: Lionheart
VULCAN'S PHASE ONE PROJECT: LIONHEART Low cost, sustainable integrated lithium and energy production from Europe, for Europe 2 3 For personal use only 4 1 8 1 Vulcan’s 100% owned Insheim Geothermal Power Plant and wells 2 Operating well site and Lithium 3 G-LEP – Option agreement signed to secure si
Slide 9: European Market Structurally Short of Lithium
EUROPEAN MARKET STRUCTURALLY SHORT OF LITHIUM Lithium supply in a structurally short market Global Supply / Demand Balance For personal use only Global supply for LHM looks challenged relative to growth rates in lithium battery production Supply/demand balance even more acute in Europe, which finds
Slide 10: Offtake Advantage: Tier-One Customers
OFFTAKE ADVANTAGE: TIER-ONE CUSTOMERS Fully contracted lithium production drives pricing stability1 Low counterparty risk: high quality European-focused offtake partners For personal use only Long term relationships: all offtake agreements binding, take-or-pay, with agreed pricing mechanisms, 5-10 y
Slide 11: World-Class Lithium District: Lionheart
Industrie-Park Höchst Downstream LHM production Ability to expand to 3 phases WORLD-CLASS LITHIUM DISTRICT: LIONHEART Frankfurt Ability to expand with low cost, sustainable production Global tier-one lithium resource, and largest in For personal use only Europe: 27.7 Mt LCE estimated in 10 of Vulcan
Slide 12: Competitive Advantage: Integrated Business
COMPETITIVE ADVANTAGE: INTEGRATED BUSINESS Main inputs are heat and power Fully integrated renewable energy generation and lithium production For personal use only Simplified two-stage process from lithium-rich brine to battery-ready product Commercially leading adsorption-type lithium production dr
Slide 13: Targeting the Lowest Quartile of the Lithium Cost Curve
VULCAN WILL BE TARGETING THE LOWEST QUARTILE OF THE LITHIUM COST CURVE Powered by low cost, highly efficient A-DLE production that leverages renewable heat Global projected lithium hydroxide C1 cost curve For personal use only Brine Integrated Spodumene - RoW Integrated Mica Integrated Spodumene - A
Slide 14: Optimisation and Qualification: Upstream
OPTIMISATION AND QUALIFICATION: UPSTREAM Europe’s first fully-domestic production of lithium chemicals1 Production of LiCl began in April 2024, using Adsorption-Type DLE For personal use only Up to 95% lithium extraction efficiency, already producing to specification using Vulcan’s proprietary adsor
Slide 15: Optimised Commercially-Leading Technology
Optimised commercially-leading technology For personal use only Adsorption is increasingly being adopted as the preferred form of lithium production, due to cost and product quality advantages, currently accounting for 10% global market share and growing VULSORB® is an optimised, high-performance ad
Slide 16: Optimisation and Qualification: Downstream
OPTIMISATION AND QUALIFICATION: DOWNSTREAM Operations team training and fast-tracking product qualification For personal use only Located in Industrie-Park Höchst, Vulcan’s downstream optimisation plant, CLEOP, will focus on training and optimisation during the construction of the commercial-sized l
Slide 17: EPCM Partner Validation Exercise Completed
EPCM PARTNER VALIDATION EXERCISE COMPLETED Much improved scope definition leading to reduced uncertainty and risk during execution, all with no material change to CAPEX For personal use only EPCM/ integrator: review of scope, cost and schedule, validating the BES, with no material increase in capita
Slide 18: Phase One Financing
PHASE ONE FINANCING1 Structuring Banks Strong support from public and private sector €879m (~A$1.45bn) conditional debt commitment letter signed in December with For personal use only Export Finance Australia and commercial lending group of seven banks European Investment Bank Board approval receive
Slide 19: A Clear Leader in Sustainability
A CLEAR LEADER IN SUSTAINABILITY Phase One targets: For personal use only Produce enough lithium for ca. 500,000 electric vehicles p.a.2 Avoid 10Mt CO2 eq. through decarbonising the lithium supply chain3 Targeting renewable heat for ca. 90,000 people4 Environmental and Social Impact Assessment (ESIA
Slide 20: Focus Areas for Value Creation
FOCUS AREAS FOR VALUE CREATION Phase One creates base for a leading lithium, renewable energy and technology company Lithium Renewable energy Technology For personal use only Division Li Li Ren Li Tech Li 275GWh p.a. of renewable power and 560 Having shown industry-leading 24,000 tonnes p.a. of sust
Slide 21: A Premium Industry-Leading Lithium Product
For personal use only A premium industry-leading lithium product for battery electric vehicles V is for Vulcan. We strive to be climate champions. Li is for high purity, sustainable* and versatile, battery- grade lithium products. O is for zero fossil fuels directly used in our onsite process to pro
Slide 22: Phase + Decarbonising the World's Largest Chemical Site
PHASE + DECARBONISING THE WORLD’S LARGEST CHEMICAL SITE1 A blueprint for Vulcan's future phase developments to support Europe's energy transition Phase One ++ downstream For personal use only Central Lithium Plant planned location Frankfurt 20km • Owner of lithium production • Future heat offtaker c
Slide 23: Key Milestones Achieved in 2024
KEY MILESTONES ACHIEVED IN 2024 Transformational period for Phase One Lionheart Project First LiCl production from upstream optimisation plant For personal use only Start of production at downstream lithium hydroxide optimisation plant Vulcan awarded €100m (A$162m) from the Federal Ministry of Econo
Slide 24: Key Targets for 2025
KEY TARGETS FOR 2025 Focus on maintaining strong momentum Production of battery quality Lithium Hydroxide Monohydrate (LHM) at CLEOP For personal use only Decision(s) on government funding approval processes Commencement of well execution Finalising project financing package1 Awarding/ signing of ma
Slide 25: Highly Experienced Leadership
HIGHLY EXPERIENCED LEADERSHIP Outstanding major project, technical and finance experience at the Executive and Board level Vulcan Executive Leadership Felicity Gooding For personal use only Dr Francis Wedin Cris Moreno Executive Chair, Founder Managing Director & CEO Executive Director and Group Chi
Slide 26: Thank you
For personal use only Thank you @VulcanEnergyRes http://v-er.eu
Slide 27: Appendix 1: Disclaimer
APPENDIX 1: DISCLAIMER No investment or financial product advice. This Presentation, and the information provided in it, does not constitute, and is not intended to constitute, financial product or investment advice, or a recommendation to acquire Vulcan Shares, nor does it constitute, and is not in
Slide 28: Appendix 1: Disclaimer Cont.
APPENDIX 1: DISCLAIMER CONT. Ore Reserves and Mineral Resources Reporting. It is a requirement of the ASX Listing Rules that the reporting of ore reserves and mineral resources in Australia comply with the Joint Ore Reserves Committee's Australasian Code for Reporting of Mineral Resources and Ore Re
Slide 29: Appendix 2: LCA Assumptions
APPENDIX 2:LCA ASSUMPTIONS All foreground data for the ISO compliant Life Cycle Assessment (LCA) is sourced from Vulcan’s 2023 Bridging Engineering Study. The process design is assumed to be fully electrified. No fossil fuels are directly burned on site in the lithium production process. All backgro
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