Summary of Lifezone Metals Conference Call Company Overview - **Company**: Lifezone Metals (NYSE:LZM) - **Core Project**: Kabanga Nickel Project in Tanzania, the largest development-ready nickel sulfide project globally, also includes copper and cobalt [3][5] Key Points Industry Context - **Nickel Supply Chain**: Currently dominated by Indonesia, which controls approximately 70% of the nickel supply chain through Chinese companies, posing a strategic risk for the West [5][42] - **Market Dynamics**: Nickel prices are currently low, around $14,000-$15,000 per ton, with many Indonesian companies operating at a loss due to oversupply [15][42] Project Economics - **Kabanga Nickel Project**: - Net asset value of $1.6 billion with an internal rate of return (IRR) of 23% [5] - High-grade nickel deposit at 2% nickel, significantly above many North American projects (0.2%-0.3%) [14][41] - All-in sustaining cost of $7,800 per ton, making it economically viable even at current nickel prices [15] Financing and Partnerships - **Funding Strategy**: - Currently raising $500 million in equity and $800 million in debt financing, with Standard Chartered and SOC Gen involved [8][9] - Engaging with the U.S. International Development Finance Corporation for project financing and political risk insurance [6][7] - **Government Partnership**: The Tanzanian government holds a 16% free carry in the project, fostering a partnership model for better collaboration [18][19] Future Milestones - **Key Announcements**: - Anticipated announcement regarding equity partners in Q2 2026, which is expected to positively impact stock valuation [20][21] - Final investment decision (FID) expected around Q2 2026, with production anticipated to start approximately 2.5 years post-FID, targeting late 2028 [45] Technology and Innovation - **Hydrometallurgy Expertise**: Lifezone Metals holds over 120 global patents in hydrometallurgy, which is more energy-efficient than traditional smelting [4][22] - **Recycling Initiatives**: Partnership with Glencore to recycle catalytic converters, with potential to produce 200,000 ounces of platinum, palladium, and rhodium annually from a $30 million facility [25][26] Strategic Importance - **Non-Indonesian Nickel Source**: Kabanga is positioned as a critical source of nickel and cobalt for Western supply chains, addressing U.S. demand for cobalt [41][43] - **Infrastructure Development**: Tanzania is investing in infrastructure, including rail and power, to support the Kabanga project, enhancing its economic viability [35][36] Labor and Local Impact - **Labor Supply**: The project will draw from Tanzania's established mining industry, with plans to train local workers while bringing in specialists as needed [37][38] Additional Insights - **Market Positioning**: Kabanga is expected to be one of the top 10 nickel mines globally upon production, with a focus on producing nickel sulfate or nickel powder for market demand [40][39] - **Long-term Vision**: Lifezone Metals aims to leverage its hydromet technology across multiple projects, indicating a shift towards becoming a technology-driven company [11][32]

Project Overview - Lifezone Metals owns 84% of the Kabanga Nickel Project, a world-class, high-grade, development-ready nickel-copper-cobalt sulfide deposit[35] - The Kabanga project has proven and probable mineral reserves of 43.9 million tonnes grading 1.98% nickel, 0.27% copper, and 0.15% cobalt[95] - The project is expected to have an 18-year mine life with a steady-state throughput of 3.4 million tonnes per annum[36] - The project's after-tax NPV8% is $1.58 billion and the after-tax IRR is 23.3% at $8.49/lb Ni[36] Financials and Costs - The Kabanga project has a first quartile AISC (All-In Sustaining Cost) of $3.36/lb Ni net of credits[36] - The Life of Mine revenue is projected to be $14.1 billion, with an after-tax free cash flow of $4.6 billion[50] - The project has a high capital efficiency of 1.4x (NPV/pre-production CAPEX)[36] Strategic Importance - Nickel is critical for U S energy requirements and industries, including battery energy storage for AI, stainless steel, aerospace, and defense[18, 20, 22, 23] - Lifezone's Kabanga Project is a strategic critical metals asset, one of the largest and highest-grade development-ready nickel sulfide deposits[28] - The project is fully permitted with execution readiness underway, and political risk insurance and project finance discussions are in progress[32] Recycling Project - Lifezone is pursuing a Platinum, Palladium, and Rhodium (PGM) recycling project in the USA with Glencore[32, 65] - Glencore has invested $1.5 million for 6% of the PGM recycling project, with an option to fund 50% of the project capex[71]

Core Insights - Lifezone Metals Limited is making significant progress on the Kabanga Nickel Project, aiming for a Final Investment Decision (FID) in 2026 [1][2] - The project is recognized as one of the largest and highest-grade nickel sulfide deposits globally, with a robust feasibility study completed in July 2025 [2][4] - The company has successfully raised $75 million in capital to fund pre-FID activities, demonstrating strong financial backing [2][4] Project Development - Early works are underway, including geotechnical drilling and site preparation, to support final designs [4][5] - The project has reported zero health, safety, environmental, or security incidents in the second half of 2025 [4] - Infrastructure coordination is ongoing with local power and logistics providers, ensuring reliable support for the project [4][10] Environmental and Social Governance - Lifezone's local subsidiary, Tembo Nickel, received a Compliance Excellence Award for environmental and regulatory performance [4][11] - Cash compensation payments have been completed for 97% of Project Affected Households, aligning with IFC Performance Standards [4][10] - The Kabanga Environmental and Social Management Plan is awaiting approval, with a focus on community well-being and livelihood restoration [4][10] Financial Strategy - Lifezone is advancing a multi-track financing strategy, engaging with strategic and financial investors for potential project-level investments [6][10] - The bankability review of the Kabanga Feasibility Study has been completed, indicating strong debt capacity due to the project's high-grade nature [10] - The targeted FID for the Kabanga Nickel Project is set for mid-2026, with financial close of a multi-source funding package anticipated [9][10] Economic Impact - The Kabanga Nickel Project is positioned to become a first-quartile cost producer with an All-In Sustaining Cost (AISC) of $3.36 per pound of nickel [7] - The after-tax Net Present Value (NPV) is estimated at $1.58 billion, with an Internal Rate of Return (IRR) of 23.3% [7] - The project is expected to significantly contribute to Tanzania's economy and the global supply of critical nickel metal [4][10]

Core Points - Lifezone Metals Limited has successfully closed its underwritten registered direct offering, raising approximately $15 million in gross proceeds [1] - The company plans to utilize the net proceeds for exploration of the Kabanga Nickel Project, project staffing, and other general corporate purposes [1]

Core Viewpoint - Lifezone Metals Limited has announced a registered direct offering of ordinary shares and accompanying warrants, indicating a strategic move to raise capital for future operations and growth [1] Group 1: Offering Details - The company is offering 4,411,764 ordinary shares at a price of $3.40 per share [1] - Accompanying the shares, there are warrants to purchase an additional 4,411,764 ordinary shares, with an exercise price of $4.00 per share [1] - The warrants will be exercisable for a period of four years, providing investors with a potential upside [1]

Group 1 - Lifezone Metals (NYSE: LZM) is positioned at the intersection of two significant industry trends: the battery metals revolution and the transition to cleaner metallurgy [1] - The company's primary asset is one of the largest and highest-grade undeveloped nickel sulphide deposits globally [1]

Financial Performance - Lifezone's income for the six months ended June 30, 2025, was $2.25 million, compared to a loss of $10.94 million for the same period in 2024 [36]. - Lifezone's accumulated losses at June 30, 2025, were $451.8 million, slightly down from $454.5 million at December 31, 2024 [36]. - For the six months ended June 30, 2025, total revenue was $325,451, a significant increase from $49,650 in the same period of 2024, representing a growth of 553% [89]. - The group reported an income of $2,065,048 for the six months ended June 30, 2025, compared to a loss of $10,941,387 in the same period of 2024 [118]. - Lifezone's net income for the six months ended June 30, 2025, was $2,705,578, a significant improvement from a net loss of $10,699,490 in the same period of 2024 [188]. - Basic earnings per share for the six months ended June 30, 2025, was $0.03, while diluted earnings per share was $(0.08) [188]. Cash and Liquidity - As of June 30, 2025, Lifezone had consolidated cash and cash equivalents of $12.5 million, a decrease of $16.8 million from $29.3 million as of December 31, 2024 [37]. - Lifezone's cash and cash equivalents decreased to $12,512,058 as of June 30, 2025, from $29,283,942 at the end of 2024 [97]. - Lifezone expects to fund its capital requirements and ongoing operations through current cash reserves, equity, mezzanine, debt funding, or monetizing the offtake from the Kabanga Nickel Project [195][204]. Debt and Financing - A $60 million senior secured bridge loan facility agreement was entered into on August 8, 2025, to support the advancement of the Kabanga Nickel Project [40]. - Lifezone's total liabilities as of June 30, 2025, were $67,301,686, with significant obligations due in the next two years [197]. - The bridge loan has a maturity date of July 31, 2027, with a possible six-month extension and an interest rate of 9.25% per annum [210]. - Lifezone completed a $50 million non-brokered private placement of unsecured convertible debentures on March 27, 2024, to fund the Kabanga Nickel Project [137]. - The effective interest rate on the convertible debentures is 33.8%, with the amortization of the host debt instrument included in finance costs [147]. Project Development - The Feasibility Study for the Kabanga Nickel Project was released on July 18, 2025, focusing on a 3.4 million tonnes per annum mechanized underground mine and supporting infrastructure [24]. - Lifezone capitalized exploration and evaluation costs based on the reasonable prospect of developing the Kabanga Nickel Project into a profitable operation [113]. - Lifezone acquired BHP's 17% equity interest in KNL, resulting in 100% ownership of KNL and full control of the Kabanga Nickel Project's offtake [209]. - Exploration and evaluation assets for the Kabanga Nickel Project reached $114,685,640 as of June 30, 2025, with additions of $9,854,252 during the period [112]. Operational Highlights - Lifezone invested $2 million into Lifezone Recycling US, LLC in May 2025 to complete a pilot testwork program and feasibility study for PGM recycling [30]. - The feasibility study for the hydromet PGM recycling facility is expected to be completed in the second half of 2025 [30]. - Lifezone's intellectual property includes six patent families related to enhancements in the Hydromet Technology process for metal production [110]. Tax and Regulatory Matters - Lifezone has provided $3,434,062 due to a court ruling related to a historical withholding tax assessment in Tanzania, with potential additional liability of up to $4,663,387 if additional interest charges are not waived [205]. - The company is engaged in discussions with the TRA regarding an out-of-court settlement for disputed tax matters, with expectations of waiving additional interest charges [132]. - Lifezone's effective tax rate is 0% as no taxable income was recognized for the current and prior periods [118]. Shareholder Information - The Liddell family holds approximately 30% of all outstanding Lifezone Metals shares as of June 30, 2025, indicating significant influence over the company [152]. - Lifezone granted 2,600,000 RSUs on July 1, 2024, with 933,333 RSUs vesting immediately and the remaining 1,666,667 subject to market price performance conditions of $14.50 and $16.00 per share [180]. - The total share-based payment expense related to RSU awards for the six months ended June 30, 2025, was $nil, compared to $32,457 for the same period in 2024 [182]. Management and Governance - Lifezone Metals is classified as a Foreign Private Issuer (FPI) under U.S. securities laws, allowing it to follow home country corporate governance practices [54]. - Lifezone is recognized as an Emerging Growth Company (EGC), which provides exemptions from certain reporting requirements, including auditor attestation under Section 404 of the Sarbanes-Oxley Act [59]. - The company is required to reassess its FPI status annually, which could lead to compliance with more extensive U.S. domestic issuer requirements if it loses this status [57].

Summary of Lifezone Metals (LZM) Update - July 21, 2025 Company and Industry - **Company**: Lifezone Metals (LZM) - **Industry**: Nickel Mining Key Points and Arguments Strategic Developments - Lifezone Metals announced a significant milestone with the first public economic study of the Kibanga nickel project, declaring 52.2 million tons of proven and probable reserves grading 1.98% nickel [5][6] - The company has consolidated 100% ownership of Kabanga Nickel Limited after acquiring BHP's 17% stake, allowing full control over product development and timelines [6][10] Financial Metrics - The feasibility study indicates an after-tax NPV of $1.58 billion with a pre-production CapEx of $942 million and an IRR of 23.3%, with a payback period of 4.5 years [6][22] - The all-in sustaining cost is $3.36 per pound of nickel, positioning Kabanga in the first quartile of global nickel producers [6][21] Project Economics - The project is expected to generate $14.1 billion in life-of-mine revenue and $4.6 billion in after-tax free cash flow [22] - The capital intensity ratio is estimated at $18,800 per ton of annual nickel production, indicating a low overall capital intensity [19] Funding Strategy - Lifezone has initiated alternative financing processes, engaging with tier-one international investment banks for funding options [12][14] - The company is focused on a mix of debt and equity financing, with a projected split of approximately 60% debt and 40% equity [42] Environmental and Social Governance (ESG) - Lifezone is committed to high ESG standards, with a resettlement action plan aligned with IFC performance standards, having already compensated 96% of affected landowners [25][53] - The company aims to minimize its environmental footprint while ensuring community engagement throughout the project [24][25] Government Relations - Lifezone has maintained close communication with the Tanzanian government, ensuring alignment and support for the Kibanga project [27][28] - The government is fully informed and supportive of the project's transition and development [28] Future Outlook - The company is targeting a final investment decision (FID) in 2026, with ongoing preparations for execution readiness and advanced permitting [26][47] - Lifezone is optimistic about the project's potential, emphasizing its strategic importance as a new source of critical metals, particularly nickel, copper, and cobalt [31][32] Market Position - The project is seen as a competitive alternative to Indonesian nickel sources, attracting interest from various stakeholders, including top mining companies and export credit agencies [45][46] - Lifezone is positioned to leverage its strong economic study to negotiate favorable terms with potential partners and investors [84] Additional Important Information - The feasibility study utilized long-term consensus pricing for nickel, copper, and cobalt, ensuring robust economic modeling [51][52] - The company has received positive feedback from shareholders regarding its strategic direction and project developments [29][30]

Lifezone Metals Overview - Lifezone Metals partners with BHP to develop the Kabanga Nickel Project in Tanzania, one of the largest and highest-grade undeveloped nickel sulfide deposits[17] - The company partners with Glencore to recycle platinum, palladium, and rhodium in the United States, enabling a circular economy for precious metals[18] - Lifezone Metals' Hydromet Technology offers a more sustainable, efficient, and cost-effective approach to metal refining and recycling compared to smelting and refining[23] - The company is supported by industry-leading partners, investors, and governments, including Cinctive, BlackRock, GMO, US DFC, Japan's JOGMEC, and the Government of Tanzania[19] Kabanga Nickel Project - BHP has invested $100 million to-date into Lifezone and Kabanga[52] - Tanzania is a 16% owner of the Kabanga Nickel Project and Kahama Hydromet Refinery[37] - The Kabanga Nickel Project has more than 620 kilometers of drilling completed[37] - Lifezone Metals attributable Mineral Resources at North Zone are 24.7 million tonnes Measured and Indicated grading 3.19% nickel-equivalent and 5.8 million tonnes Inferred grading 3.25% nickel-equivalent[111] - Overall Mineral Resource is 46.8 million tonnes Measured + Indicated grading 2.09% nickel, 0.29% copper and 0.16% cobalt and 11.3 million tonnes Inferred grading 2.08% nickel, 0.28% copper and 0.15% cobalt[113] Financials - As of January 14, 2025, the Market Capitalization (basic) is $524.8 million, with $63.5 million in Cash (as of June 30, 2024) and $50.4 million in Conv Debt & Embedded Derivatives (as of June 30, 2024), resulting in an Enterprise Value of $511.7 million[84]

Project Overview - Kabanga Nickel Project的首次经济研究发布，该项目有近50年的历史[25] - 该项目包括在Kabanga的地下矿山和选矿厂，以及在Kahama的湿法冶金精炼厂[25] - 矿山计划为22年，基于测量、指示和推断的资源[29] - 选矿厂的镍平均回收率为87.3%，铜为95.7%，钴为89.6%[37, 39] - 湿法冶金精炼厂的镍回收率为97.2%，铜为93.0%，钴为97.7%[42] Production and Infrastructure - 矿山年处理量为340万吨[34, 39] - 生产的精矿平均镍品位为17.3%[38, 39] - 计划年产5万吨镍（以硫酸镍六水合物形式），7千吨铜阴极（LME A级，99.99%），4千吨钴（以硫酸钴七水合物形式）[44] - 通过新的标准轨距铁路（SGR）从Isaka到Dar es Salaam运输精矿和最终产品[46, 53] Economics and Future Plans - 项目总收入预计为236.8亿美元[77] - 税后自由现金流为80.3亿美元[77] - 税后净现值（8%）为23.7亿美元[77] - 预计在2025年7月完成可行性研究[25, 81] - 确定了四个高优先级的勘探目标，估计总量为1750万吨至2350万吨，镍当量品位为1.9%至2.1%[25, 62, 64]