The Vertically Integrated Primary Vanadium Producer February 2019 Corporate Presentation

The Vertically Integrated Primary Vanadium Producer February 2019 Corporate Presentation

Disclaimer These presentation slides and any other material provided with these slides (the Presentation Materials ) do not comprise an admission document, listing particulars or a prospectus relating to Bushveld Minerals Limited (the Company ) or any subsidiary of the Company, do not constitute an offer or invitation to purchase or subscribe for any securities of the Company and should not be relied on in connection with a decision to purchase or subscribe for any such securities. The Presentation does not constitute a recommendation regarding any decision to sell or purchase securities in the Company. No reliance may be placed for any purpose whatsoever on the information contained in the Presentation Materials or the completeness or accuracy of such information. No representation or warranty, express or implied, is given by or on behalf of the Company or its respective shareholders, directors, officers or employees or any other person as to the accuracy or completeness of the information or opinions contained in the Presentation Materials,and no liability is accepted for any such information or opinions (including in the case of negligence, but excluding any liability for fraud). The Presentation Materials contain forward-looking statements, which relate, inter alia, to the Company s proposed strategy, plans and objectives. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to be materially different from such forward-looking statements. Accordingly, you should not rely on any forward-looking statements and the Company accepts no obligation to disseminate any updates or revisions to such forwardlooking statements. The Presentation Materials should not be distributed, published, reproduced or otherwise made available in whole or in part by recipients to any other person and, in particular, should not be distributed to persons with an address in the Republic of South Africa, the Republic of Ireland, Australia or Japan or in any other country outside the United Kingdom where such distribution may lead to a breach of any legal or regulatory requirement. No securities commission or similar authority in Canada has in any way passed on the merits of the securities offered hereunder and any representation to the contrary is an offence. No document in relation to the Company s securities has been, or will be, lodged with, or registered by, The Australian Securities and Investments Commission, and no registration statement has been, or will be, filed with the Japanese Ministry of Finance in relation to the Company s securities. Accordingly, subject to certain exceptions, the Company s securities may not, directly or indirectly, be offered or sold within Australia, Japan, South Africa or the Republic of Ireland or offered or sold to a resident of Australia, Japan, South Africa or the Republic ofireland. Neither this presentation nor any copy of it may be taken or released or distributed or published, directly or indirectly, in the United States of America (the United States ). The material set out in the presentation materials is for information purposes only and is not intended, and shall not be construed, as an offer for securities for sale in the United States or any other jurisdiction. The Company s securities (the Securities ) have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the US Securities Act ) or with any securities regulatory authority of any state or other jurisdiction of the United States and may not be offered or sold within the United States or to, or for the account or benefit of, any US Person as that term is defined in Regulation under the US Securities Act except pursuant to an exemption from or in a transaction not subject to the registration requirements of the applicable securities legislation. The Company has not been registered and will not register under the United States Investment Company Act of 1940, as amended. The technical information contained within this presentation has been reviewed and approved by Dr Luke Longridge, consulting geologist. Dr Longridge has a PhD in Geology (2012) and over 6 years' experience working on vanadiferous magnetite deposits in the Bushveld Complex. He is a member of the Geological Society of South Africa and is a registered Professional Natural Scientist (Pr Sci.Nat.) in South Africa. Dr Longridge has sufficient experience 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 under the JORC Code (2012). Dr Longridge consents to the inclusion in this presentation of the matters based on his information in the form and context in which it appears. 2

Introducing Bushveld Minerals 800 700 600 Listed on AIM: Ticker: BMN Basic ordinary shares 1 119 057 953 Market Capitalisation US$556 million Warrants nil Options nil Share price: 37GBp 500 400 300 200 100 Share price: 1.8 GBp April 2017: Bushveld Minerals acquires an effective 27% in Vametco December 2017: Bushveld Minerals increase effective interest in Vametco to 59% September 2018: Bushveld Minerals increase effective interest in Vametco to 74% 0 Jan - 17 Mar - 17 May - 17 Jul - 17 Sep - 17 Nov - 17 Jan - 18 Mar - 18 May - 18 Jul - 18 Sep - 18 Nov - 18 Jan - 19 Bushveld Minerals Market Cap (US$'m) Source: Bloomberg, 24 February 2019 ; Link Asset Services, as at 31 January 2019 3

Company Overview A growing, low cost, vertically integrated primary vanadium producer An energy storage project developer and component manufacturer High grade ore for primary vanadium mining & processing Largest primary vanadium resource base in the world Large, low cost vanadium processing Focus on expansion and enhancement of brownfield operation Electrolyte manufacturing Co-location in Vametco process => significantly lowering costs Vanadium Redox Flow Battery (VRFB) Assembly & manufacturing MW scale energy storage project development Deployment models include PPAs, leasing models The Group is targeting a 10,000 mtv production in the medium term Targeting initial 200MWh of electrolyte p.a. Targeting 1,000 MWh opportunities by 2020 1. The Company also holds a 10.04% shareholding in AIM-listing AfriTin Mining Limited and a 100% holding in Lemur Holdings Source: Bushveld Minerals 4

Bushveld Vanadium A growing, low cost, vertically integrated primary vanadium producer High grade ore for primary vanadium mining & processing Largest primary vanadium resource base in the world Large, low cost vanadium processing Focus on expansion and enhancement of brownfield operation The Group is targeting a 10,000 mtv production in the medium term 440 Mt 440 high Mt high grade grade open open cast cast primary primary vanadium vanadium resource base, Including ~55Mt combined reserves resource base, Including ~55Mt combined reserves - -the largest primary vanadium resource the largest primary vanadium resource High High grade grade of 1.5-2.0% of 1.5-2.0% V V 2 O 5 among the highest in the world 2 O 5 among the highest in the world Low cost Low primary cost primary vanadium vanadium processing processing capacity capacity supplying ~3% of global vanadium market supplying ~3% of global vanadium market Scalable Scalable processing processing platform platform with with scope scope for for additional brownfield additional capacity brownfield expansions capacity expansions Targeting Targeting 10,000 10,000 mtv mtv of vanadium of vanadium production production in in the medium the medium term term Source: Bushveld Minerals 5

Bushveld Vanadium 440 Mt high grade open cast primary vanadium resource base, Including ~55Mt combined reserves - the largest primary vanadium resource High grade of 1.5-2.0% V 2 O 5 among the highest in the world A growing, low cost, vertically integrated primary vanadium producer 3 Mokopane Vanadium Low cost primary vanadium processing capacity supplying ~3% of global vanadium market Scalable processing platform with scope for additional brownfield capacity expansions Targeting 10,000 mtv of vanadium production in the medium term 1 Vametco 2 Brits Vanadium Source: Bushveld Minerals 6

Company Overview Vametco Alloys 1. Vametco Low cost primary vanadium mine and processing plant CY2019 production >2,560mtV, guidance to be provided in Q1 2019 operational update 142.4 Mt Resource with average in-magnetite grades of 1.96% V 2 O 5 (26 Mt reserve average in-magnetite grade of 1.96% V 2 O 5 ) Solid cash generation capacity EBITDA >US$100m in CY2018 Scope to grow production through operations optimisation programme A growing, low cost, vertically integrated primary vanadium producer 3 Mokopane Vanadium Bushveld Vametco results (100%) CY18 CY17 CY16 Vanadium produced (mtv) 2,560 2,649 2,856 Vanadium sold (mtv) 2,573 2,721 2,810 FeV LMB price US$/Kg V 81.2 32.6 18.5 USD/ZAR exchange $=ZAR 13.2 13.3 14.7 Revenue US$'m 192.2 79.1 51.7 EBITDA US$'m 107.5 23.9 3.3 1 Vametco 2 Brits Vanadium Production costs US$/kgV 19.7 16.6 12.9 Source: Bushveld Minerals 7

Company Overview Brits Vanadium Project 2. Brits Vanadium Project Outcropping, strike extension of the Vametco mine Drilling confirms V grades similar to Vametco (1.5 2.0% V 2 O 5 in magnetite) Mineral resource estimate expected Q1 2019 A growing, low cost, vertically integrated primary vanadium producer 3 Mokopane Vanadium 2 Brits Vanadium Ore body extends West to East and dips in northerly direction at 20 degrees 1 Vametco 1 Source: Bushveld Minerals 8

Company Overview Mokopane Vanadium Project 3. Mokopane Vanadium Project 298 Mt JORC, outcropping reserve and resource Vanadium in-magnetite grades of 1.75% V 2 O 5 Positive PFS completed January 2016: Expect to be granted a New Order Mining Right A growing, low cost, vertically integrated primary vanadium producer Item Unit Value Development priorities Production Mt/yr 5,500 Three options under 3 Mokopane Vanadium Mineral Resource Mt 298 1 Ore Reserve Mt 28.5 Grade (in-situ) % 1.4% Grade (in-magnetite) % 1.7% Assumed Vanadium Price US$/kg FeV Initial Capital Costs US$ m 298 NPV @ 9% real US$ m 418 33 consideration: Supply ore to China Supply ore to other brownfield plants Develop greenfield integrated mine & processing plant producing 5 500 mtv tpa V 2 O 5 flake product 2 Brits Vanadium IRR real % 25% 1 Vametco 2. The Mokopane Vanadium Project PFS, completed by MSA Group was based on the MML only which is 63Mt even though the overall project resource is 298 Mt Source: Bushveld Minerals 9

Vanadium Fundamentals

Vanadium Price Structural Changes Or Temporary? US$/t Russia s vanadium material disappeared, the market price moved up and thereafter Russia restarted production Advent of grade 3 rebar in China The new standard forced Chinese rebar producers to start using vanadium (grade 3) for high strength rebar applications Problems with production of electrical power and resulting load shedding in South Africa negatively impacted vanadium production leading to the 2008 price spike Highveld Steel & Vanadium stops production Constrained supply, with short term reductions and limited new supply prospects + Robust and growing demand from steel sector with significant upside from energy storage application uses A sustained structural market A sustained structural deficit, with significant price market deficit, with upside significant price upside Source: Metal Bulletin, TTP Squared 11

Concentrated Supply SALT ROAST FLOWSHEET (14% of Global Vanadium Feedstock Production) Vanadium feedstock production by source 12% 74% 14% Three key steps: Salt roasting of magnetite concentrate with sodium salts at ~1,200 o C to form water soluble sodium vanadate material Leaching, filtration, desilication, precipitation followed by reaction to form vanadium pentoxide/trioxide Vanadium pentoxide/trioxide is converted into FeV or NV or other vanadium end products Grade a key barrier to entry Three active primary producers two in SA and one in Brazil Primary driver of economics = VANADIUM Financing remains a challenge even for primary greenfield projects STEEL PLANT CO-PRODUCTION FLOWSHEET (74% of Global Vanadium Feedstock Production) Primary Co-production Secondary Source: Bushveld Minerals analysis Magnetite concentrate is smelted in a blast furnace/eaf TiO 2 is extracted as a slag, while vanadium reports with hot metal Vanadium extracted as a slag through controlled reoxidation of hot metal, which is further processed into pig-iron/ steel Vanadium slag, with elevated vanadium grade, is processed through primary vanadium extraction (salt roast flowsheet) Primary of economics = STEEL & IRON ORE Capex = key barrier to entry is capex 5x as much capex as primary production Concentrated in China and Russia 93% of V production in China, 200% of V production in Russia Process produces a V slag further processed into vanadium through primary V process 12

Concentrated Supply 1 2 High input costs High operating costs Low Fe grade <30% deposits, require concentrating to ~60% Fe Higher input costs than steel plants processing haematite ores Complex steel plant design Inferior Fe grade Additional processing steps to remove Ti and V Three response options: Switch to haematite ores to blend and upgrade magnetite feed Curtail Stop production (e.g. Highveld) 3 No leverage on steel prices Such plants make up small share of steel production too small to influence steel prices Improved margins from cheaper seaborne iron ore not available 4 Environmental constraints Being mostly co-producer steel plants, their environmental footprint is negative In the firing line of the Central Governments crackdown on pollution Significant reduction in V supply and limited scope for new production from coproducers Source: Bushveld Minerals analysis, Roskill, TTP Squared 13

Vanadium Characteristics And Uses Characteristics Applications Fabricability High strength-to-weight ratio Corrosion resistance Weldability Steel Construction steel - rebar Alloys for aerospace industry The steel industry accounts for ~90% of total vanadium consumption Enforcement of standards driving up demand Ability to exist in 4 different oxidation states Water-soluble Resistant to attack by alkalis, hydrochloric acid, sulphuric acid, and salt water Chemicals Long duration utility scale batteries Electrolyte accounted for ~2% of 2017 global vanadium consumption, but could grow up to 44% by 2027 as VRFBs gain momentum Source: Bushveld Minerals analysis, Roskill 14

Vanadium Demand - Steel Sector Demand Drivers Are Robust Strong correlation between economic development and vanadium intensity of use in steel 0.12 0.1 2017 Vanadium use in steel 0.097 The steel sector accounts for ~90% of the vanadium consumption Industrialised economies, such as the USA, typically use more vanadium per tonne of steel than emerging economies such as India and China KgV/MT steel 0.08 0.06 0.04 0.078 0.054 0.053 0.051 0.048 0.038 0.035 As emerging markets develop, the gap will narrow, driving up vanadium intensity of use and thus vanadium demand 0.02 0 North America Europe CIS World Average Japan China Other India Source: Bushveld Minerals analysis, TTP Squared 15

Greater Enforcement In China Of Existing And New Rebar Standards Driving Greater Vanadium Intensity Of Use In Steel 2010 Code for Design of Concrete Structures (GB50010-2010) issued in August 2010 and took effect from 1 July 2011 2011 Update of Code for Construction Quality Acceptance of Concrete Structures (GB 50204 2002) issued in December 2010 and took effect from 1 August 2011 2015-2017 Quenching and tempering techniques used by rebar producers to minimise use of alloying elements, thus blunting impact of codes on vanadium demand 2018 China s new high-strength rebar standard introduced in January 2018, effective November 2018 1,000,000 China Crude Steel and Vanadium 60,000 2010-2014 CAGR 2014-2017 CAGR China Rebar Product Structure 0.45% Steel (kt) 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 Quenching & tempering techniques among steel plants leads to lower V consumption 2010 2011 2012 2013 2014 China crude steel production (LHS) (kt) China vanadium consumption (RHS) (tv) 2015 2016 2017 50,000 40,000 30,000 20,000 10,000 0 Vanadium (tv) 5.2% 3.9% 9.8% 0.8% 1.5% -3.1% China crude steel consumption (LHS) (kt) % of China Rebar Structure 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2005 2007 2009 2011 2013 2015 2017 Gr.1-235MPa Gr.2-335MPa Gr.3-400MPa Gr.4-500MPa Gr.5-600MPa 19.36 % 67.31 % 6.49% 3.77% Source: Bushveld Minerals analysis, TTP Squared 16

Vanadium In Energy Storage Vanadium-Flow Batteries: The Energy Storage Breakthrough We've Needed The potential for the technology to be the second most deployed ESS battery in the world is there Vanadium-flow batteries used in large-scale renewable integration projects are already cost competitive not only against lithium-ion, but also against natural gas turbines Although steel sector anchors demand, global adoption of Vanadium Redox Flow Batteries could see global vanadium demand double by 2027 A revolution [is] coming in vanadium redox flow batteries Robert Friedland, Chairman, Ivanhoe Mines Source: DNV GL Energy Transition Outlook 2018 17

Electrification Of Everything World energy demand by carrier, EJ/year 500 450 400 350 300 250 200 150 The share of electricity in the global energy mix has risen from 10% in 1980 to 20% today It will more than double to 45% by 2050 100 50 0 1980 1985 1990 1995 2000 2005 2010 2015 2020 2025 2030 2035 2040 2045 2050 Coal Oil Natural Gas Biomass Direct Heat Electricity Solar Thermal Source: DNV GL Energy Transition Outlook 2018 18

Growing Demand For Stationary Energy Storage World final electricity demand by sector, PWh / year 60 55 50 45 40 35 30 25 20 15 10 5 Primarily electric vehicles, including cars buses and trains Primarily consumer electronics Stationary, gridconnected (residential, commercial and industrial users) will account for >70% of world final electricity demand Primarily electric vehicles, including cars buses and trains will account for almost 20% -- 1980 1990 2000 2010 2020 2030 2040 2050 Transport Buldings Manufacturing Other Source: Navigant 19

Growing Demand For Stationary Energy Storage Total Energy Storage Market, MWh 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Consumer electronics have dominated energy storage in the past Going forward, however, transportation and stationary energy storage will dominate energy storage, with stationary energy storage the most nascent and rapidly growing Electric Vehicles Consumer Electronics Stationary Storage Source: Navigant 20

Utilities, Commercial And Industrial Sectors To Dominate Stationary Storage Total Energy Storage Market, MWh 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Electric Vehicles Consumer Electronics Stationary Storage Annual Installed Stationary Energy Storage Capacity and Deployment Revenue by Market Segment MWh 120,000 100,000 80,000 60,000 40,000 20,000 0 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Utility-Scale Commercial & Industrial Residential Total Revenue 60 50 40 30 20 10 0 US billion Stationary energy storage demand is growing rapidly (58% p.a.) and will exceed 468GWh by 2027 on a cumulative, installed basis, with annual additions forecast to reach 80GWh by 2025 Utility scale and commercial and industrial applications will account for > 85% of energy storage applications Note: Utility segment includes thermal storage technology Source: Navigant Research 21

Global Energy Storage Usage Moving From Short To Long Duration Compound annual growth rate (CAGR) from 2018 to 2027 % 2027 global forecast MWh Share of 2027market % Generation Capacity T&D Asset Optimization 45.2% 43.4% 61,596 24,588 64.4% 25.8% 90% Long duration energy storage Renewables Ramping/Smoothing Frequency Regulation Volt/VAR Support 35.7% 32.1% 52.1% 7,575 1,703 122 7.9% 1.8% 0.1% 10% Short duration energy storage 0% 20% 40% 60% Source: Navigant 22

Long Duration, Large Scale Storage The Sweet Spot For VRFBs Vanadium Redox Flow Battery Long lifespan cycles: Ability to repeatedly charge / discharge over 35,000 times for a lifespan of over 20 years 100% depth of discharge: Without performance degradation is unique to VRFBs Lowest cost per kwh when fully used at least once daily makes VRFBs today cheaper than Li-ion batteries Safe, with no fire risk from thermal runaway 100% of vanadium is re-usable upon decommissioning of the system Scalable capacity to store large quantities of energy Simple architecture Large vanadium content Non degradation of vanadium implying high residual value Flexibility: Allows capture of the multi-stacked value of energy storage in grid applications Very fast response time of less than 70ms No cross-contamination: Only one battery element, unique among flow batteries Source: IRENA 23

Long Duration, Large Scale Storage The Sweet Spot For VRFBs Key categories to consider VRFB Lithium-ion 1. Technical performance 2. Safety 3. Cost 4. Market acceptance Excellent for long duration energy applications (4 or more hours per day) Lower roundtrip efficiency but longer life and no degradation No risk of fire from thermal runaway Electrolyte spillage is main risk Yet to experience economies of scale High contribution of vanadium is both a risk and an opportunity More nascent technology Challenge from fragmented supply market dominated by start-up companies Excellent for power applications Degradation accelerates with frequent use, temperature and deep discharges Usage limitations imposed by manufacturers Thermal runaway creates risk of fire and smoke that must be managed Restrictions on deployment in some locations Significant cost decreases in recent years due to EV-oriented R&D and capacity growth Cost reductions expected to slow Growing acceptance from deployment in frequency control markets Credibility from large, consolidated cell manufacturers 24

Implications For Vanadium Demand Are Significant mtv 100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 -- 2017 vanadium production of 92,392 mtv 2,826 CAGR 41.9% CAGR 13.2% 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Baseline (Roskill) Vanadium 101 scenario Navigant assumptions BMI assumptions 96,250 mtv 27,500 MWh 82,280 mtv 18,700 MWh CAGR 39.9% 50,875 mtv 9,250 MWh CAGR 33.9% 8,000 mtv 1,454 MWh While the market share While the market share of of VRFBs compared to VRFBs compared to other other energy storage energy storage technologies is a key technologies is a key assumption, the ultimate assumption, the ultimate size and growth rate of size and growth rate of the the stationary energy stationary energy storage storage market has even market has even greater greater impact impact Recent trends to revise Recent trends to revise energy storage forecasts energy storage forecasts upward imply that upward imply that vanadium demand from vanadium demand from VRFBs may be greater VRFBs may be greater than than expected even expected even under under aggressive aggressive forecasts forecasts Within 10 years demand for Within 10 years demand vanadium by energy for vanadium by energy storage could equate to 50- storage could equate to 100% of today s global 50-100% of today s market global market Source: Bloomberg New Energy Finance (BNEF), BMI, Bushveld Energy analysis, Bushveld Minerals analysis, Navigant, Roskill, TTP Squared 25

Vanadium Use In Energy Storage May Exceed Expectations Energy forecasts for new technologies may significantly undervalue actual growth potential Solar PV growth continues to exceed forecasts Annual PV additions: historic data vs IEA WEO predictions in GW of added capacity per year The same phenomenon is occurring with energy storage, where Bloomberg New Energy Finance has more than doubled its 2030 energy storage forecast in two years 300 +115% 250 200 150 100 50 0 2016 forecast 2018 forecast Source: BNEF Energy Outlook 2016, BNEF Energy Outlook 2018, PVMA, World Economic Outlook, www.visualcapitalist.com 26

Vanadium In Energy Storage 1 The VRFB market opportunity is large and has the potential to be 10 times the size of the current vanadium commodity market 2 The robust steel demand anchor for vanadium is critical to support vanadium supply development 3 Bushveld Minerals is uniquely positioned to effectively address VRFB adoption hurdles 4 and in the process support the diversification and strengthening of vanadium demand profile. 5 while capturing a compelling commercial opportunity... 6 and establishing a natural hedge for vanadium production against future vanadium price downswings 27

Thus A Vertically Integrated Business Model Unlocks Significant Value A growing, low cost, vertically integrated primary vanadium producer An energy storage project developer and component manufacturer High grade ore for primary vanadium mining & processing Largest primary vanadium resource base in the world Large, low cost vanadium processing Focus on expansion and enhancement of brownfield operation Electrolyte manufacturing Co-location in Vametco process => significantly lowering costs VRFB assembly & manufacturing MW scale energy storage project development Deployment models include PPAs, leasing models The Group is targeting a 10,000 mtv production in the medium term Targeting initial 200MWh of electrolyte p.a. Targeting 1,000 MWh opportunities by 2020 Leveraging its low-cost scalable primary vanadium production platform to unlock the substantial opportunity in the energy storage market through vertical integration Source: Bushveld Minerals 28

Bushveld Energy Unlocking The Energy Storage Opportunity Bushveld Energy is focused on Bushveld Energy is focused on developing and promoting the role of vanadium in the growing global energy storage market through application in VRFBs developing and promoting the role of vanadium in the growing through application in VRFBs An energy storage project developer and component manufacturer Its long term vision is to become a significant electricity storage a significant electricity storage provider in Africa by 2020, provider in Africa by 2020, meeting the demand for utility scale energy storage in Africa by leveraging South Africa-mined leveraging and beneficiated South vanadium Africa-mined Its long term vision is to become meeting the demand for utility scale energy storage in Africa by and beneficiated vanadium Electrolyte manufacturing Initial 200MWh electrolyte facility in East London, SA Designed to convert vanadium feedstock from Vametco Targeting initial 200MWh of electrolyte p.a. VRFB assembly & manufacturing Partnership or investment with VRFB firms and local partners Medium term focus, once local market for storage is established MW scale energy storage project development & Direct VRFB sales Deployment models include PPAs, leasing models 1st project with Eskom installed Significant success to date in creating the market, especially in South Africa Targeting 1,000 MWh opportunities by 2020 Source: Bushveld Minerals 29

Bushveld Energy Unlocking The Energy Storage Opportunity Bushveld Energy is focused on Bushveld Energy is focused on developing and promoting the role of vanadium in the growing global energy storage market through application in VRFBs developing and promoting the role of vanadium in the growing through application in VRFBs An energy storage project developer and component manufacturer Its long term vision is to become a significant electricity storage a significant electricity storage provider in Africa by 2020, provider in Africa by 2020, meeting the demand for utility scale energy storage in Africa by leveraging South Africa-mined leveraging and beneficiated South vanadium Africa-mined Its long term vision is to become meeting the demand for utility scale energy storage in Africa by and beneficiated vanadium Electrolyte manufacturing Initial 200MWh electrolyte facility in East London, SA Designed to convert vanadium feedstock from Vametco US$10 m capex VRFB assembly & manufacturing Partnership or investment with VRFB firms and local partners Medium term focus, once local market for storage is established Assembly facilities have low capex intensity US$15-20m MW scale energy storage project development & Direct VRFB sales Deployment models include PPAs, leasing models 1st project with Eskom installed Significant success to date in creating the market, especially in South Africa No capex main cost salaries of project development team Source: Bushveld Minerals 30

The Battery Energy Storage Opportunity Is Real And Now Eskom gearing up for big grid-scale battery storage roll-out www.engineeringnews.co.za/.../eskom-gearing-up-for-big-grid-scale-battery-storage-r... Oct 22, 2018 - Speaking at the SA Energy Storage 2018 conference in... a replacement plan for the 100 MW Kiwano concentrated solar power (CSP) project... Missing: announces Must include: announces An energy storage project developer and component manufacturer Eskom launches 1,440MWh battery network in South Africa - Batteries... www.batteriesinternational.com/.../eskom-launches-1440mwh-battery-network-in-sout... Oct 25, 2018-25 October 2018: Eskom, the South African utility, has launched a two-phase 1,440MWh distributed battery storage programme to cover the... World Bank Group Commits $1 Billion for Battery Storage to Ramp Up... https://www.worldbank.org/.../world-bank-group-commits-1-billion-for-battery-stora... Sep 26, 2018 - The $1 billion in World Bank Group financing is expected to mobilize another $4 billion in concessional climate financing and public and private investments. The program aims to finance 17.5 gigawatt hours (GWh) of battery storage by 2025 more than triple the 4-5 GWh currently installed in all developing countries. Powering New Markets for Battery Storage - World Bank Group https://www.worldbank.org/en/news/.../powering-new-markets-for-battery-storage Sep 26, 2018 - A new World Bank Group (WBG) program aims to close that gap. Accelerating Battery Storage for Development is a new, first-of-its-kind global program to accelerate the deployment of battery storage for energy systems in developing and middle-income countries. Electrolyte manufacturing Initial 200MWh electrolyte facility in East London, SA Designed to convert vanadium feedstock from Vametco VRFB assembly & manufacturing Partnership or investment with VRFB firms and local partners Medium term focus, once local market for storage is established MW scale energy storage project development & Direct VRFB sales Deployment models include PPAs, leasing models 1st project with Eskom installed Significant success to date in creating the market, especially in South Africa Targeting initial 200MWh of electrolyte p.a. Targeting 1,000 MWh opportunities by 2020 Source: Bushveld Minerals 31

The Battery Energy Storage Opportunity Is Real And Now 1. South Africa s integrated resource plan has bold opportunities for battery energy storage: 15,000MW of new renewable electricity generation by 2040 An energy storage project developer and component manufacturer 9,000 MW in peaking generation capacity with provision for alternative technologies (such as battery energy storage) to participate Licencing threshold for self-generation increased to 10MW from 1MW opening door for many commercial and industrial energy users to self-generate 2. Continuing Renewable Energy IPP Programme continues to add renewable energy to the grid creating opportunities for battery storage Electrolyte manufacturing Initial 200MWh electrolyte facility in East London, SA Designed to convert vanadium feedstock from Vametco VRFB assembly & manufacturing Partnership or investment with VRFB firms and local partners Medium term focus, once local market for storage is established MW scale energy storage project development & Direct VRFB sales Deployment models include PPAs, leasing models 1st project with Eskom installed Significant success to date in creating the market, especially in South Africa South Africa to launch new 1.8 GW REIPPP round this year pv... https://www.pv-magazine.com/.../south-africa-to-launch-new-1-8-gw-reippp-round-th... Jun 1, 2018 - After signing the 27 outstanding renewable PPAs assigned in previous rounds in April, the South African government believes the new... Targeting initial 200MWh of electrolyte p.a. Targeting 1,000 MWh opportunities by 2020 Source: Bushveld Minerals 32

Bushveld Minerals Investment Proposition 1 2 3 Positive price outlook as a result of sustained structural deficit The largest primary vanadium resource base (439.6Mt combined resource ~2% in-magnetite V 2 O 5 amongst the highest in the world 1 st quartile cost curve position Brownfield infrastructure create scope for low capex and quick scale-up of production capacity 4 5 7 Vertical integration with high quality, low cost production base allows us to be a key player in the multibillion-dollar energy storage industry through VRFBs Management team combines more than 100 years experience Concentrated global supply with South Africa as the largest host of high-grade primary vanadium resources 6 Shareholder Return Committed to delivering attractive returns to shareholders 33

Several Catalysts Along Its Integrated Business During CY2019 A growing, low cost, vertically integrated primary vanadium producer An energy storage project developer and component manufacturer Maiden Mineral Resource Estimate at Brits Vanadium Mining Right for the Mokopane Vanadium Project Commence operations at Mokopane Vametco optimsation programme to maximise V throughput production Brownfield processing capacity expansion Construction of electrolyte manufacturing plant Deployment of V electrolyte rental product Strengthen ties with VRFB OEM Commissioning first VRFB system at Eskom (SA s utility) Secure MW scale mandates The Group is targeting a 10,000 mtv production in the medium term Targeting initial 200MWh of electrolyte p.a. Targeting 1,000 MWh opportunities by 2020 Outline a capital allocation framework and dividend policy in Q1 2019 List on the Johannesburg Stock Exchange by the end of CY19 Source: Bushveld Minerals 34

Bushveld Minerals Corporate Video: https://www.brrmedia.co.uk/broadcasts/5a5626af9ed50c2f9b04679c/bushveld-minerals-an-emergingintegrated-vanadium-producer Vanadium 101 Webinar: https://edge.media-server.com/m6/p/i2wo6bk9 Vanadium 101 Slides: http://www.bushveldminerals.com/wp-content/uploads/2018/05/bushveld-minerals-vanadium-101_final.pdf Energy Storage 101 Webinar: http://webcasting.brrmedia.co.uk/broadcast/5bd2eae5b01efb6b20c2f9eb/5bd348eba21632633b00003d Energy Storage 101 Slides: http://www.bushveldminerals.com/wp-content/uploads/2018/11/energy-storage-vanadium-redox-flow- Batteries-101.pdf 35