Announcement PDF Building a Global Manganese Business Supplying low-carbon sustainable manganese ore and EV battery grade HPMSM to global markets Sharewise Investor Webinar - December 2024 ASX : E25 OTCQX : ELMTF Disclaimer This presentation (Presentation) contains only a brief overview of Element 25 Limited and its associated entities (Element 25 or E25) and their respective activities and operations. The contents of this presentation, including matters relating to the geology of Element 25's projects, may rely on various assumptions and subjective interpretations which it is not possible to detail in this presentation and which have not been subject to any independent verification. This presentation contains multiple forward-looking statements. Known and unknown risks and uncertainties, and factors outside of Element 25’s control, may cause the actual results, performance and achievements of Element 25 to differ materially from those expressed or implied in this presentation. To the maximum extent permitted by law, Element 25 does not warrant the accuracy, currency or completeness of the information in this presentation, nor the future performance of Element 25, and will not be responsible for any loss or damage arising from the use of the information. The information contained in this presentation is not a substitute for detailed investigation or analysis of any particular issue. Current and potential investors and shareholders should seek independent advice before making any investment decision in regard to Element 25 or its activities. The information contained in this Presentation is not investment, tax, legal, accounting, financial or other advice and does not, and will not, form any part of any contract or commitment for any purpose including the acquisition of new shares in E25. It does not account for your particular needs and circumstances, including your investment objectives, financial situation, tax or other position. Any investment decision in relation to an equity raising or the Company should be made solely on the basis of your own independent enquiries. Element 25 Introduction Share Register: Expanding the 100% owned Butcherbird Manganese Mine in Western Australia to produce high-quality manganese oxide concentrate. Other Stellantis Developing a USA-based refinery to supply ethical battery-grade High Purity Manganese Sulphate Monohydrate (HPMSM) products. Offtake and funding agreements in place with our partners General Motors and Stellantis to supply HPMSM for Electric Vehicle batteries. Board & Management ATM Facility Company Leadership BOARD OF DIRECTORS Experienced, Multi-disciplinary Board & Management John Ribbons Chairman CPA Justin Brown Managing Director Geologist Fanie van Jaarsveld Non-Executive Director Analytical Chemist Sam Lancuba Non-Executive Director Chemical Engineer Sias Jordaan VP Marketing & Logistics Accountant Ian Huitson Study Manager Mining Engineer PROJECT DEVELOPMENT AND OPERATIONS TEAM Michael Jordon Chief Financial Officer CPA Neil Graham VP Battery Materials Chemical Engineer Gideon van Wyk GM Manganese Ore Bus. Mechanical Engineer Leon Lima Technology Manager Chemical Engineer The Butcherbird Manganese Project Butcherbird Manganese Project • World-class manganese resource. • Located in a Tier-1 jurisdiction with strong ESG regulation. • Over 270 million tonnes in resources with potential to expand (2024 resource update1). • Long mine-life with further upside by converting Inferred Resources • Very clean metallurgically – no toxic contaminants. • Produces a low carbon, high-quality manganese concentrate ideal for manganese alloys and high-purity manganese sulphate monohydrate (HPMSM)2. 1Reference: Company ASX Release Dated 29 October 2024 2Reference: Company ASX Release Dated 21 February 2023 Butcherbird Manganese Mine - Resources & Reserves 1 Ore Reserve Category Tonnes (Mt) Mn (%) Contained Mn (Mt) • High conversion of measured and Proved 14.4 11.5 1.65 indicated resources to reserve. Probable 36.2 9.8 3.56 Total 50.6 10.3 5.22 • Current Reserve: • mineral resource; and • Mineral Resource Excludes additional Measured and Indicated tonnes from latest model. 2 Resource Category Only utilises approximately 20% of global • Reserve upgrade pending completion of Tonnes (Mt) Mn (%) Measured 14 11.3 • Excellent potential for future expansion Indicated 116 10.1 with known mineralization outside Inferred 144 9.8 resource areas. Total 274 10.0 1 Reference: Company ASX Release Dated 27 September 2024 (Annual Report) 2 Reference: Company ASX Release Dated 29 October 2024 (Mineral Resource Estimate Update) pit optimization and mine design. • Global resource not closed off. Company strategic vision for growth Butcherbird Expansion Louisiana HPMSM Expand Globally 1.1Mt/a Manganese Ore1 USA EV Critical Raw Materials2 HPMSM Expansion - EU & Asia Build and commission a full large-scale processing facility at the 100% owned Butcherbird Manganese Mine in WA. Construct the first US HPMSM processing facility (Louisiana), producing 65,000 tonnes per annum of battery-grade HPMSM with GM and Stellantis Multiple HPMSM modules globally to deliver sustainable HPMSM supply to global EV markets targeting Europe and Asia. 1-Year Plan 3-Year Plan 10-Year Plan Best in class, low carbon3, ethically produced, scalable HPMSM for electric vehicle batteries: Sustainably Supplying Global EV Markets 1 Reference: Company ASX Release Dated 23 January 2024 2 Reference: Company ASX Release Dated 12 April 2023 3 Reference: Company ASX Release Dated 22 February 2023 A Year of Milestones Butcherbird Expansion Project Louisiana HPMSM Project Key Milestones Lake Johnstone Lithium Update Reference: ASX Release 28 Nov 2023 Regroup & Scania to Launch Autonomous Fleet at Butcherbird Reference: ASX Release 19 June 2024 US$57M Louisiana Incentives US$166M DoE Grant Selection Reference: ASX Release 19 Dec 2023 Reference: ASX Release 24 Sep 2024 Louisiana Air Permit Reference: ASX Release 20 May 2024 Butcherbird Infill Drilling Reference: ASX Release 19 June 2024 Butcherbird Expansion FS Reference: ASX Release 23 Jan 2024 Butcherbird Resource Upgrade Reference: ASX Release 29 Oct 2024 NAIF Strategic Assessment Reference: ASX Release 8 Apr 2024 Louisiana Site Selected Reference: ASX Release 8 May 2024 E25 and Nissan Chemical Sign MoU to Evaluate HPMSM in Japan Reference: ASX Release 3 Sep 2024 Large, long-life manganese ore mine in Western Australia E52/2350 M52/1074 Global Resource 274Mt @ 10.0% Mn1 Granted Mining Lease and permitting largely completed during pilot plant stage minor amendments pending approval for expansion Measured Indicated Simple Logistics: Existing road and port infrastructure 1Reference: Company ASX Release dated 29 October 2024 Large JORC Resource: Provides the basis for long mine life high NPV (Pre 2024 Update) Indicated (Post 2024 Update)1 Simple Geology: low-cost, low-impact operations Classification Tonnes (Mt) Mn (%) Contained Mn (Mt) Resource1 274 10.0 27.4 Reserve2 49.0 10.2 5.0 RESOURCE GROWTH POTENTIAL • Large resource offers long term operating potential. • Mineralisation outside existing resource provides upside. • Ore suitable for ferroalloys, battery grade HPMSM and EMM. ENVIRONMENTALLY BENIGN OPERATION 1 Reference: Company ASX Release Dated 29 October 2024 (Mineral Resource Estimate Update) 2 Reference: Company ASX Release Dated 27 September 2024 (Annual Report) • Ore from surface. • Low strip-ratio. • No explosives required. • No dewatering required. • One reagent – water. • Very low levels of contaminants. Butcherbird Manganese Mine Expansion • New processing facility will optimise and scale the process. • Scale and improved efficiencies to lower costs and increase profits. • CO2 emission intensity and ESG outcomes will be improved by: • PROCESS WATER PRODUCT LOADING Integration of renewable energy (targeting year 3 of operations). • Equipment selection criteria for energy efficiency. • Investigating autonomous 4. DMS PLANT 3. LOG WASHER mining fleet to improve safety and efficiency1. • Transition to EV mining fleet (targeting Year 2 of operations). 2. SCREEN 1. CRUSHER 1Reference: Company ASX Release Dated 7 October 2024 Butcherbird Manganese Mine Expansion CRUSHER/SCREEN Dense Media (DMS) Processing Circuit Dry Screen Crushing Circuit Logwasher DMS PLANT Administration Engineering design modifications targeting improved throughput, uptime, recovery and grade. Mineral Sizer Improved clay handling & reliability Screen Design Improved clay handling DMS Drum Improved recoveries and grade Measured Performance: Commodity: Coal Test date: 28 May 2010 Mine: BHP Douglas colliery Feed rate: 416tph ProductSTOCKS Stockpiles PRODUCT Butcherbird Expansion – Scale Strengthens the Business Economies of scale from the expanded operation will move the Butcherbird production costs lower on the global cost curve and strengthen the business through all price cycles. Mn ore cost curve (CIF China, US$/t) July 2024 Estimated E25 Butcherbird Expansion cif Cost Reference: Fastmarkets, Project Blue 2024 Reference: ASX Release dated 23 January 2024 E25 HPMSM Strategy Vertically-integrated global HPMSM supply WA Manganese Ore Supply: Low Cost E25 Ore Australian manganese ore concentrates Mineral Sizer Log Washer DMS Circuit as feedstock for HPMSM production to supply US EV markets. Surplus ore will supply Vertically integrated critical battery raw material supply chain. existing ferroalloy customers. Mn Concentrate Truck Ship to Smelters Louisiana HPMSM Refinery: Purification Louisiana manganese refinery will Leach utilise the Australian ore as feedstock to produce high purity low carbon IRA compliant battery grade manganese Renewable Energy Hydro/Wind/Solar Battery Grade Manganese Sulphate Truck EV Batteries sulfate. Global Refining Capacity in the Longer Term EU EU & UK policy shifts are competing with the IRA for investment in battery and related plants MoU signed with Nissan Chemical Corporation to jointly develop HPMSM capacity in Japan JP KR • Design one, build many approach to development. • E25 manganese concentrate is a very stable, easily transported feedstock. 1 • Allows location optionality for the processing facility. • Multiple potential sites being explored. Reference: Company ASX Release Dated 23 January 2024 First HPMSM Facility: Louisiana USA - IRA is driving capital flows into US electrification infrastructure. E25 is partnering with Stellantis & GM to onshore refining capacity and capability AU Butcherbird Manganese Mine: 1.1 million tonnes per annum of manganese concentrate production is planned at the Butcherbird Project in Western Australia1. US Improved, Cost-Competitive Cleaner Process Technology The Element 25 Process makes significant changes & improvements: Reagents/Cost Carbon Emissions Element 25 Process • • • • • More efficient (fast kinetics, reduced energy) Minimises reagent requirements Reduced carbon intensity Lower volumes of waste residues Non-toxic residues may be able to be repurposed. Reference: Company ASX Release Dated 16 February 2023 Waste Residue Current Outdated Technologies mean: • Large volumes of waste residues. • Toxic Reagents like fluorine. • Inefficient. • Higher Cost. • Outdated processing technology. ESG - LCA demonstrates a low-carbon, ethical process • LCA covers Scope 1, 2 and 3 emissions from mining through E25 Process Reduces Global Warming Potential Relative to Incumbent Producers to the proposed USA-based HPMSM processing plant. E25 HPMSM to produce ~1.7kg of CO2 for every 1kg of HPMSM: o ~ 67% lower than competitors in China. o up to 47% lower than competitors outside China. o ~26% lower than next lowest project’s optimised case. • E25 process is not yet fully optimised for carbon reduction. • E25 to explore renewable energy and other potential carbon reduction strategies to further reduce CO2. 5.2 3.2 2.3 1.7 ELEMENT 25 EURO MANGANESE (RENEWABLE) Element 25 HPMSM Process Industry leading carbon intensity Reference: Company ASX Release Dated 16 February 2023 4.8 PUBLISHED PEER COMPARISONS Kg CO2 eq. per kg (Scope 1+2+3) • Reference: Company ASX Release dated 16 February 2023 GIYANI METALS EURO MANGANESE (GRID) CHINESE PLANTS (CURRENT) ESG Benchmarking • Digbee ESG benchmarking process completed for 2024. • Opportunities identified for action over following period. • Executive incentive KPIs now linked to ESG outcomes. • Internal reporting processes being developed to improve ESG credentials and preparedness for compliance reporting. The Importance of Manganese Electric Vehicle (EV) uptake keeps accelerating… Mn Reference: https://thedriven.io/2024/11/13/global-ev-sales-heading-for-record-16-7-million-sales-in-2024-despite-reports-of-slowdown/ - 22 - Transition to Higher Manganese Cathodes Manganese Rich Cathode chemistries help to solve supply, ESG and supply security challenges High-manganese represents the optimum cost-benefit ratio. Volkswagen, March 2021 Li-Mn-rich technology shown as "cost" solution in electrification roadmap. BMW, November 2021 Tesla is working on new manganese battery cell. Tesla, March 2022 Reference: Umicore Capital Markets Day 2022 Reference: Benchmark Mineral Intelligence, South 32 Limited Transition to Higher Manganese Cathodes LMFP, LMNO and NMX cathode chemistries offer improved safety, higher energy density, reduced cost per KWh and greater supply chain flexibility. High Manganese Cathode Material offers a number of advantages: Reduced nickel and very low to no cobalt content. Reference: Umicore 2023 Louisiana Battery Grade HPMSM DoE Grant - Part of US Government Drive for Domestic Manufacturing DoE Grant Selection • E25’s planned HPMSM facility in Louisiana selected for award negotiations for US$166 million grant from the U.S. DoE. • Louisiana HPMSM Project selected under DoE’s MESC Battery Materials Processing Grant Program. • E25 and DoE expect to finalise a binding funding agreement for the grant as soon as practicable. • The DoE's funding commitment is in addition to U$115M financing commitments from GM and Stellantis. Reference: https://www.energy.gov/sites/default/files/2024-11/Supply_Chain_Readiness_Level_%28SCRL%29_Analysis_%28Nov-2024%29_2.pdf DoE MESC Grant - Supporting Local Raw Material Supply Local Supply Chain • Process and supply chain developed to maximise U.S. industry involvement. Mn Ore US$166M Reductant Leach • Working with partners GM and Stellantis to supply low carbon HPMSM for EV batteries. Acid • All reagents sourced locally from established suppliers. Neutralisation • Site located close located adjacent to acid recycling facility. Grant Purification Crystallisation • Solid residues as co-products will be placed into local industries targeting zero waste. • Low carbon, circular economy approach. Comminution Co-Product Processing Logistics MAIN PRODUCT HPMSM Fertiliser Gypsum SiRon DoE Grant Award Underpins Project Capital Stack • DoE US$166M grant selection provides cornerstone funding to support project success1. • Louisiana HPMSM Project selected under DoE’s MESC Battery Materials Processing Grant Program. • E25 and DoE grant team working to finalise binding documentation ASAP. • Grant support is in addition to U$115M financing commitments from GM and Stellantis. • Discussions in train with prospective financiers to close out remaining capital funding requirement. Final funding piece ~15% of capital requirement. Process underway. Grant award secures 50% of capital requirement up to US$166M 1 Reference : Company ASX Release Dated 24 September 2024 Upcoming Planned Investment Catalysts Planned newsflow: • Updated Reserve Statement to confirm extension to the mine life based on increased Measured and Indicated Resources. • Updated Feasibility Study to support the revised Reserve Statement and refined capital and operating costs and financial metrics. • Signing of the DoE grant contracts to secure $166M in DoE grant funding for the Louisiana Project. • Finalise project financing from third lender to complement firm funding from DoE grant, GM Loan, and Stellantis Pre-Payment. • Finalise key commercial contracts for both the Butcherbird Expansion and Louisiana HPMSM Projects. • Commence of construction! References: • ASX Company Release dated 24 September 2024 • ASX Company Release dated 18 September 2023 *Subject to project and2024 permitting • successful ASX Company Release financing dated 29 October Questions? Contact Details Justin Brown Managing Director Email: admin@e25.com.au Phone: +61 (8) 6375 2525 Media Inquiries: Nathan Ryan Email: nathan.ryan@nwrcommunications.com.au Phone: +61 (0) 420 582 887 ASX : E25 OTCQX : ELMTF Competent Person’s Statement The information in this report that relates to Exploration Results and Exploration Targets is based on information compiled by Mr Justin Brown who is a member of the Australasian Institute of Mining and Metallurgy. At the time that the Exploration Results and Exploration Targets were compiled, Mr Brown was an employee of Element 25 Limited. Mr Brown is a geologist and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Brown consents to the inclusion of this information in the form and context in which it appears in this report. The information in this report that relates to the Yanneri Ridge and Coodamudgi Mineral Resources is based on, and fairly represents, information and supporting documentation prepared by Mr. Dean O’Keefe, who acts as Consultant Geologist for Element 25 and is a full-time employee of MEC Mining. Mr. O’Keefe is a Member of the Australasian Institute of Mining and Metallurgy and has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code). Mr. O’Keefe consents to the inclusion in this report of the Mineral Resources estimates and supporting information in the form and context in which it appears. The information in this report that relates to the Mundawindi and Ritchies Find Mineral Resources is based on and fairly represents information and supporting documentation prepared by Mr Greg Jones, who acts as Consultant Geologist for Element 25 and is a full-time employee of IHC Robbins. Mr. Jones is a Member of the Australasian Institute of Mining and Metallurgy and has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code). Mr. Jones consents to the inclusion in this report of the Mineral Resources estimates and supporting information in the form and context in which it appears. The information in this report that relates to the Bindi Bindi, Budgie Hill, Cadgies Flat and Ilgarrarie Ridge Mineral Resources is based on, and fairly represents information and supporting documentation prepared by Mr Mark Glassock who is a member of the Australasian Institute of Mining and Metallurgy. At the time that the Mineral Resources were compiled, Mr Glassock was a consultant to Element 25 Limited. Mr Glassock is a geologist and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Glassock consents to the inclusion of this information in the form and context in which it appears in this report. Element 25 confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcements, and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcements continue to apply and have not materially changed. Please note with regard to exploration targets, the potential quantity and grade is conceptual in nature, that there has been insufficient exploration to define a Mineral Resource and that it is uncertain if further exploration will result in the determination of a Mineral Resource. For further information on Element 25 Limited and its Projects please visit its website at www.element25.com.au which contains copies of all continuous disclosure documents to ASX, Competent Persons’ Statements and Corporate Governance Statement and Policies. This release has been approved by the Element 25 Limited Board of Directors. References: • ASX Company Release dated 29 October 2024