Molo Graphite Project

Transcription

1 Molo Graphite Project Madagascar Summary December 2014 TSX:EGZ OTCQX:ENZR WKN: A1CXW3

2 Investment Thesis Project Summary Late stage, world class project Full feasibility study due in 60 days Mining and environmental permit application in progress Targeting mine construction to commence Q3 2015; Production Q % of production to be medium to jumbo flake; 43.5% to be large to jumbo Madagascar site location well suited to supply Asian flake graphite consumers Production costs competitive with Chinese flake graphite producers 2

3 Africa Molo Graphite Project, Fotadrevo, Madagascar Located in the southern arid region of Madagascar $8 Billion Ambatovy Nickel & Cobalt Project (Sherritt, Sumitomo, KORES) $Billion+ mining projects established in country Mining industry viewed as very positive by government and a key growth engine WTR Mineral Sands $200M (e) Shipping Ports: Tulear & Soalara Sherritt/Glencore Limestone 3 Green Giant Graphite Project Sakoa Coal Project $400M (e) Rio Tinto $1 Billion Mineral Sands Project Shipping Port in Taolagnaro

4 Molo ideally located to key graphite demand markets EU South Korea China Japan India 4 Molo Deposit Madagascar Molo is located within the hub of top purchasing and processing markets for flake graphite.

5 MINE DEVELOPMENT TIMELINE Exploration Through to Production 2011 Q Q Q Q Q Q Q Q Q Q Q3 4 Graphite Discovery Full Scale Pilot Plant Testing Exploration Airborne and ground geophysics 20 DDH (2,842 m) LGIM Application Full scale Production Environmental Baseline Study Resource Delineation 41 DDH (8,459 m) 18 trenches (2,100 m) NI Resource Preliminary Economic Analysis Bankable Feasibility Study Mining Permit Application Environmental Impact Assessment Mine Construction Mine Commissioning Rapid Development of Project In the space of just 5 years, Energizer anticipates the project will have evolved from discovery through to production. Underway Completed 5

6 Molo can compete directly with China China Flake Graphite OPEX $350 to $900/T (Ex Plant) Energizer OPEX $418*/T (Ex Plant) * Based on non optimized PEA results. Latest optimized metallurgical results from Pilot Plant not yet factored in. 6 Source: Energizer/IM 2013 China trip

7 One of the largest known all flake graphite deposits in the world. (NI compliant resource) Resources; above a 2% C cut off million tonnes (Mt) 6.32%, Mt 6.25% C Mt 5.78% C km km 5 10 km Mt combined total 6.13% C, above a 2% C cut off km km Japan Easily expandable to meet additional market demand as required. 7 *Please refer to the Company s technical report entitled Molo Graphite Project, Fotadrevo, Province of Toliara, Madagascar, Preliminary Economic Assessment Technical Report Update dated April 12, 2013 available under the Company s profile at for a discussion in respect of certain key assumptions, parameters and methods in respect to the mineral resource disclosure.

8 Low cost, open pit mining Immediately at Surface No overburden Minimal waste to ore ratio Continuous mineralization throughout Open along strike and at depth 8

9 Robust pilot plant results High % of premium extra large and large flake Up to 97.7% purity achieved with simple flotation 13 T of flake graphite concentrate produced % of Total Grade Mesh Size Concentrate Mass % Carbon (t) 48 jumbo extra large Molo Flake Distribution Molo pilot plant at SGS Canada Inc. 43.5% large/extra large/jumbo flake 80 large mediu m small % medium flake 21.6% small flake 9 Source: Pilot Plant Results SGS Minerals

10 We have the right expertise in place to reach production DRA/Minopex, Africa s leading mine construction and operations company, is already in place to develop the Molo mine and operate it if necessary. 10

11 World Class Port Facility for Shipping World Class port constructed at Fort Dauphin 5 years ago by World Bank Under capacity and ready for use 11

12 Existing Roads Currently Being Upgraded The European Union (EU) is upgrading the main arterial roadway, Route Nationale 13 (RN13), which connects the capital city of Antananarivo to the state of the art deep water port of Ehoala in Fort Dauphin The RN13 is ~30 km from Molo 12

13 Internationally Recognized Government President Hery Rajaonarimampianina elected in January Canadian trained accountant Supports the LGIM Publically endorsed by the African Union, the IMF, the EU, the USA, the World Bank and the UN s own Secretary General, Ban Ki moon On June 26, U.S. President Obama reinstated Madagascar to the African Growth and Opportunity Act (AGOA), as a preferred trading partner in recognition of the nation s return to democratic rule 13

14 Investment Thesis Strong and experienced board V. Peter Harder Political strength; former Deputy Minister of Foreign Affairs (Chairman) Richard Schler Technical and management strength; engineer, former steel company executive John Sanderson Legal strength; senior arbitration lawyer Craig Scherba Geotechnical strength; geologist Robin Borley Technical strength; engineer, mine construction & management experience Quentin Yarie Geotechnical strength; geophysicist Dean Comand Technical strength; Ex VP Ops of Sherritt, engineer, mine construction experience Albert A. Thiess Financial strength; former Senior Partner with Price Waterhouse Coopers Dalton Larson Legal strength; senior arbitration lawyer with project investment expertise 14

15 Capital structure TSX:EGZ Vanadium demand is directly linked to global steel consumption As of November 13, 2014 Issued Shares 303,484,670 Outstanding Options Outstanding Warrants Market Capitalization 33,070,000 (Exercisable between US$ $0.30, expire between July 2016 & July 2019) 43,360,947 (Exercise between US$ $0.35, expire between November 2014 and April 2019) $ 47 million Ownership Management 8% Share Price US$

16 Contact Information Brent A. Nykoliation Senior Vice President, Corporate Development Richard Schler, MBA, Chief Executive Officer Craig Scherba, P.Geo., President and COO 141 Adelaide Street West, Suite 520 Toronto, Ontario, Canada M5H 3L5 telephone: facsimile: TSX:EGZ OTCQX:ENZR WKN: A1CXW3 16