the new oil a perfect hedge? - plateau energy metals · new vehicle sales by 2040, targets starting...
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The New Oi l – A Per fect Hedge?
J u n e 2 0 1 9
T S X V : P L U | O T C Q B : P L U U F
Cautionary Language
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The particulars contained herein were obtained from sources which we believe reliable but are not guaranteed by us and may be incomplete. The opinions expressed are based upon our analysis and interpretation
and are not to be construed as a solicitation or offer to buy or sell the securities mentioned herein. This presentation includes certain forward-looking statements concerning the future performance of Plateau
Energy Metals’ business, operations and financial performance and condition, as well as management's objectives, strategies, beliefs and intentions as at June 5, 2019. Forward-looking statements are frequently
identified by such words as "may", "will", "plan", "expect", "anticipate", "estimate", "intend" and similar words referring to future events and results. Forward-looking statements are based on the current opinions
and expectations of management. Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to estimated production and mine life; the future price of
lithium and uranium; the estimation of mineral reserves and resources; the realization of mineral resource and reserve estimates; the timing and amount of estimated future production; costs of production; success
of exploration activities; and currency exchange rate fluctuations. Except for statements of historical fact relating to Plateau Energy Metals, certain information contained herein constitutes forward-looking
statements. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development,
fluctuating commodity prices, competitive risks, the availability of financing, variations in grades or recovery rates, the interpretation of drill results, the geology, grade and continuity of mineral deposits and
conclusions of economic evaluations, results of any initial feasibility, pre-feasibility and feasibility studies, and the possibility that any future exploration, development or mining results will not be consistent with
our expectations. mining and development risks, including risks related to accidents, equipment breakdowns, unanticipated difficulties with or interruptions in exploration and development, the potential for delays
in exploration or development activities or the completion of feasibility studies, if any, the uncertainty of profitability based upon the cyclical nature of the industry in which we operate, delays in obtaining
governmental approvals or in the completion of development or construction activities, risks related to environmental regulation and liability, political and regulatory risks associated with mining and exploration,
risks related to the certainty of title to our properties, risks relating to international operations, fluctuating currency exchange rates, changes in project parameters, the possibility of project cost overruns or
unanticipated costs and expenses, labour disputes (including work stoppages and strikes) and other risks of the mining industry, failure of plant, equipment or processes to operate as anticipated, as described in
more detail in the Company's recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and Plateau cautions
against placing undue reliance thereon. Neither Plateau Energy Metals nor its management assume any obligation to revise or update these forward-looking statements. The preliminary economic assessment is
preliminary in nature, it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as
mineral reserves, and there is no certainty that the preliminary economic assessment will be realized.
Qualified Persons
Mr. Ted O’Connor, P.Geo., a Director of Plateau Energy Metals, and a qualified person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, has reviewed and approved the
scientific and technical information contained in this presentation.
FALCHANI LITHIUM PROJECT
Plateau Energy Metals
Electric Revolution
“Air pollution is considered the greatest environment risk to health”
“Air pollution kills 1.1 million in India and more than 3 million people each year”
- World Health Organization4
Plateau Energy Metals
The World is Changing
Source: Benchmark Mineral Intelligence, February 2019 publication (Financing 2030: How Much Money & Material is Needed to Make the EV Supply Chain Happen?)
Canada
Target of 30% penetration of EV
sales by 2030 (Quebec targeting
100% zero emissions by 2050)
BC recently tabled Zero Emissions
Vehicles Act – 100% zero emission
new vehicle sales by 2040, targets
starting 2025 at 10%
USA
No federal target set, 10 states
have set targets for 100% zero
emissions vehicles by 2050
Mexico & Brazil
Target of 30% penetration of
electric vehicle sales by 2030
Israel
Proposal to end ICE sales by 2030
India
Proposal to end ICE sales by 2030
China
Target of 5% penetration of EV sales
by 2020, 20% by 2025
Japan & South Korea
Target of 30% penetration of EV sales
by 2030
Government Policy Continues to Support Electric Vehicle Adoption
UK & France
Proposal to end ICE (internal combustion engines)
by 2040
Norway & Netherlands
Proposal to end ICE sales by 2035
Germany
Proposal to end ICE sales by 2030
Italy
Target of 30% penetration of EV sales by 2030
Europe
Considerations for EU wide ban of ICE by 2030
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Lithium – Adopted Battery Technology
* Source: Visualist Capital (February 2017)
Lithium-ion batteries are essential in current and
future technology as the world becomes greener.
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Lower Battery Costs = Mass AdoptionSince 2010, +80% reduction in cost per kWh, and with 25% of the cost of an electric vehicle (EV) being
the battery, more affordable EVs will hit the market, leading to mass adoption.
* Source: Benchmark Mineral Intelligence
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Lithium – A Growing NeedGrowing Sectors Consumers Demand
Demand for lithium is
growing 20% per year *
* Source: Benchmark Mineral Intelligence 8
Lithium – Be an Early Adopter
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Electric Car Adoption Rates
* Source: Dent Research
FALCHANI LITHIUM PROJECT
Plateau Energy Metals
The New Oil – A Perfect Hedge?
Macusani Uranium Project Early Development Stage
Falchani Lithium ProjectAdvanced Exploration Stage
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Plateau’s Projects in Peru
Falchani Lithium ProjectSixth Largest Hard Rock Lithium Deposit in the World *
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Quality
• Potential for
battery grade
lithium carbonate
99.74% with low
impurities
Development
Potential
• Amenable to
open pit mining
Growth Potential
• Estimated to be 6th
largest Li deposit
globally
• Resource estimate
based on only ~30%
of target area
Excellent
Infrastructure
• Easy transport
• Low cost power
• Labour
• Water
Supply Security
(Peru)
• Geopolitical
stable jurisdiction
• Responsible
mining practices
* Based on the Company’s review of publicly available information as at March 4, 2019
Kick off PEA
Appointed Advisory Board
Resource Update• Expanded resources +90%
Falchani Lithium: Growth Plan
David Laing
Q1 2019
(complete)
Q1 2019
(complete)
Q1 2019
(complete)
Metallurgical Studies Ph II• Completed Phase I studies
• Currently evaluating four conventional
process routes to identify preferred path
Q2 2019
Q2 2019
Techno-economic
trade-off Studies• High-level trade-off studies to
select one or more optimal
processing route(s)
End of H1
2019
Falchani PEA• Targeting PEA at the
end of H1 2019
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Plateau Energy Metals
Appendix
Corporate Overview
Philip Gibbs
CFO
● Toronto ● CMA
● 30+ years financial management
experience
Technical
Consultants
Alex Holmes
CEO & Director
● Vancouver ● Capital Markets
● Project Evolution ● MSc IM
● Prev. VP BD True Gold Mining
Shares outstanding* ~79.5 million
Options ~7.8 M @ C$0.35 – C$1.14
Warrants ~5.0 M @ C$0.90 – C$1.25
Fully diluted ~92.3 million
TSX-V: PLU | OTCQB:PLUUF
Laurence Stefan
President, COO & Director
● Peru ● Geologist
● Exploration & Dev. ● PhD
● Founder since 2007
Ted O’Connor
Prof. Geologist & Director
● Saskatoon ● Geologist
● Uranium Expert
● 20+ years Cameco
Wayne Drier
Director
● Vancouver ● Finance & Ops
● CFO, Ero Copper
Alan Ferry
Chair, Director
● Toronto ● Geologist, Analyst
● Director, Guyana Goldfields
Maryse Belanger
Director
● Vancouver ● Engineer & Ops
● President & COO, Atlantic Gold
Christian Milau
Director
● Vancouver ● Finance & Ops
● CEO, Equinox Gold
Analyst Coverage
Market capitalization ~C$46 million
Recent share price* C$0.58
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* As at June 5, 2019
Value Chain Comparison*
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Macusani Uranium ProjectEarly Development Stage
Strong Project
Economics (1)
• NPV = US$603M
• IRR(8%) = 40.6%
• Payback = 1.8 yrs
• Large, low cost
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Growth
Potential
• Scalable, flexible
mine plan
• Porous volcanic
rock -> rapid
leach, low acid
Control all U3O8
Resources in Peru (2)
• M&I resources =
52.9 Mlbs U3O8(3)
• Inferred resources
= 72.1 Mlbs U3O8(4)
Excellent
Infrastructure
• Easy transport
• Low cost power
• Labour
• Water
Located in
Peru
• Geopolitical
stable jurisdiction
• Responsible
mining practices
(1) Refer to NI 43-101 technical report as filed on SEDAR on Feb 10, 2016; using US$50/lb uranium price
(2) Refer to NI 43-101 technical report as filed on SEDAR on Jun 22, 2015
(3) At an average grade of 248ppm (75ppm U cut off)
(4) At an average grade of 251ppm (75ppm U cut off)
EIA work &
Permitting Clarity Exploration
Resource
Update
Updated PEA &
FS fast track
Macusani Uranium: Growth Plan
Scope and initiate work
programs on tank leach, vat
leach and pre-concentration for
potential optimized development
plan
Optimization
Work
2019+ 2019+H2
2019
H2
2019
H2
2019
Environmental Assessment work
to continue advancing project
Anticipating legal framework for
uranium transport and export to
be solidified
Follow up on extensions to
known deposits, in between
existing deposits and improved
definition on deposits outside
PEA mine plan
Based on exploration and data
interpretation success, evaluate a
resource update in H2 2019
Targeting PEA late 2019
Advance to feasibility - ~18-24m
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Enabl ing the New Energy Paradigm
T S X V : P L U | O T C Q B : P L U U F