CABOT CORPORATION EARNINGS TELECONFERENCE FIRST QUARTER - FISCAL 2026 Q1 Fiscal 2026 1 Forward Looking Statements This presentation contains forward-looking statements. All statements that address expectations or projections about the future, including with respect to our expectations for our performance in the second quarter of and fiscal year 2026, including our expectations for performance in our businesses, cash flow generation, our growth in battery materials, for cost savings we will recognize and for ...

Government Funding - The Trump administration is advancing a $13 billion (1300 million) loan to a lithium-ion battery parts maker [1] Policy Review - The loan advancement follows a review of Biden-era programs [1]

Battery Technology & Innovation - A company has invented a lithium metal battery that replaces graphite with pure lithium metal and uses a vanadium cathode, sourced outside of China [2][3][6] - The lithium metal battery achieves 400 watt-hours per kilogram, representing a step change in energy density [6][14] - This battery technology is positioned as the third commercialized battery type, aiming to displace lithium-ion batteries [7] Supply Chain & Manufacturing - The United States currently lacks the capacity to produce rare earths and battery materials at scale, leading to dependence on China for graphite, a key component in lithium-ion batteries [1][2][5] - The company's battery materials are 62% less expensive than those sourced from China [9] - The battery is projected to cost approximately $27 per kilowatt-hour at the materials level [9] - Manufacturing costs are expected to be substantially lower than lithium-ion batteries due to the elimination of formation cycles, which constitute 35% of CapEx in lithium-ion battery facilities [9] Strategic & Governmental Support - The company is building a prototype pilot facility to scale up lithium metal production from brine and integrate it into battery manufacturing [11][12] - There is broad support from the US administration for a domestic battery supply chain, particularly for military applications, given the current stockpile of only 30 days of batteries [13][14] - The Ex-Im Bank has issued a letter of interest to fund the company's first gigawatt-hour production facility [14]