Ioneer Limited · ASX:INR
Ioneer — Diggers & Dealers Mining Forum 2019
18 slides from Ioneer's conference presentation, Aug 6, 2019
Slide 1: Rhyolite Ridge: American Source of Lithium & Boron for a Sustainable Future
Rhyolite Ridge American Source of Lithium & Boron for a Sustainable Future Diggers & Dealers Mining Forum Kalgoorlie, Western Australia 6 August 2019 1 ASX: INR
Slide 2: Providing the materials for a sustainable & thriving planet
Providing the materials for a sustainable & thriving planet: • Lithium and boron products integral to many emerging green technologies • USA location close to major markets and provides strong ESG framework • Long-life, scalable project to provide strong profits with small environmental footprint 2
Slide 3: Important notices and disclaimers
Important notices and disclaimers This presentation has been prepared as a summary only and does not contain all information Competent Persons Statement about ioneer Ltd’s (ioneer or the Company) assets and liabilities, financial position and The information in this presentation that relates to Expl
Slide 4: Overview
Overview ioneer is set to deliver a Shares Share Price (30 July 2019) major lithium-boron mine 1.47B A$0.19 in the USA Options (Unlisted) Market Cap 100%-owned Rhyolite Ridge: 47.4M A$280M • +30 year mine life, capable of producing at site: Performance Rights Cash (30 June 2019) • +20,000 tonnes p.a
Slide 5: Rhyolite Ridge Lithium-Boron Project
Rhyolite Ridge Lithium-Boron Project Multi-generational source of lithium and boron Strategically located in a tier one mining jurisdiction - Nevada Definitive Feasibility Study to be completed in late Q3 2019 Production targeted for late 2021 Lithium-boron Measured & Indicated Resource incr
Slide 6: Boron differentiates Rhyolite Ridge
Boron differentiates Rhyolite Ridge Boron makes Rhyolite Ridge different to other sedimentary lithium deposits Two types of sedimentary lithium deposits: Lithium-Boron type and Clay type Lithium-Boron deposits are mineralogically different to clay deposits - this has major implications for ease
Slide 7: Major deposits/districts
Major deposits/districts Eti Maden - Turkey ≈50% of production ≈74% of boron reserves Jadar Rhyolite Ridge Rio Tinto - California ≈30% of production <2% of boron reserves Lithium districts Boron deposits Lithium & Boron deposits Lithium-Boron deposits are rare – only Rhyolite Ridge and Rio Tinto’s J
Slide 8: Lithium & boron – essential for a modern world
Lithium & boron – essential for a modern world Borates ≈4% CAGR LCE ≈18% CAGR Lithium Boron • EVs soon to be preferred vehicle • Steady borates demand growth driven by: • Lithium essential to all types of EV batteries • Urbanisation • Demand consistently underestimated • Energy efficiency • Rapid Li
Slide 9: Boron is essential for a modern world
Boron is essential for a modern world Broad range of essential uses mitigates reliance on single sector USA and China housing markets important drivers of demand Increasing demand from agriculture, solar, specialty glass Demand currently ≈2.1Mtpa of contained boric oxide (B2O3) equivalent
Slide 10: Automakers moving to ensure lithium supply
Automakers moving to ensure lithium supply Early Adoption Rational Switching Budget Switching Environmental and Lower fuel and Lower purchase price social reasons spur maintenance costs encourages mass slow but steady help justify higher adoption by budget- adoption purchase price, conscious individ
Slide 11: Lithium – a critical mineral
Lithium – a critical mineral Limited USA lithium supply USA increasingly reliant on China for lithium-ion battery supply Tesla Battery Gigafactory Target 35 GWh Bipartisan American Mineral Security Act LG Chem introduced to complement Executive Battery Factory Order on critical minerals Target 8
Slide 12: PFS demonstrated robust project economics
PFS demonstrated robust project economics Lithium carbonate = 20kt p.a. Boric acid = 173kt p.a. Annual Revenue Total Capex Annual EBITDA $450M $599M $297M After-tax After-tax NPV IRR Cashflow (7% real): $6.6B $1.8B 28% Operating costs < $2,000/t LCE with boric acid credit places Rhyolite Ridge at
Slide 13: Key partners
Key partners EPCM Evaporation Acid Plant Material Handling Acid Plant Controls Mining Pilot Plant Spent Ore Environment Leaching ASX: INR
Slide 14: Milestones ahead
Milestones Delivering a major lithium-boron mine in the USA ahead Updated Ore Reserves and mine plan Complete pilot operation and provide samples to customers Fluor to complete DFS in late Q3 2019 Strategic partnerships – global investment bank running formal process Targeting construction
Slide 15: Summary
Summary ioneer is set to deliver a One of only two known Lithium-Boron major lithium-boron mine deposits globally in the USA Nevada location: major supplier of critical 100%-owned Rhyolite Ridge: material to North America • +30 year mine life, capable of producing: Dual revenue stream (circa 60/40)
Slide 16: Providing the materials for a sustainable & thriving planet
Providing the materials for a sustainable & thriving planet. 16 ASX: INR
Slide 17: Lithium and boron conversion factors
Lithium and boron conversion factors • Lithium and boron grades are fundamentally presented in parts per million (“ppm”) or percentages of each element in a given The conversion factors presented below are sample or estimate. calculated on the atomic weights and number of atoms of each element in th
Slide 18: June 2019 Mineral Resource Estimate
June 2019 Mineral Resource Estimate (5,000ppm Boron Cut-off) Lithium-Boron (Searlesite) Mineralisation Contained Tonnes Group Classification Tonnage Li B Li2CO3 H3BO3 Li2CO3 Boric Acid mt ppm ppm % % kt kt Measured 27.0 1,900 18,000 1.0 10.3 270 2,770 Upper Zone Indicated 42.0 1,750 17,150 0.9 9.8 4