WA1 Resources (WA1) 2025 Conference Transcript

Summary of WA1's Conference Call Company and Industry Overview - Company: WA1 - Industry: Niobium mining and production - Project: Looney Niobium project in Western Australia Key Points and Arguments 1. Importance of Niobium: Niobium is highlighted as one of the best commodities due to its critical role in steelmaking and its high market value of approximately US $30,000 per tonne, primarily in the form of ferro niobium [2][5][11] 2. Global Supply Dynamics: Currently, three mines supply the global niobium market, with two located in Brazil. One Brazilian mine, Aracha, accounts for 74% of the world's non-opium niobium supply [3][4] 3. China's Dependency: China, which represents 37% of global niobium demand, relies heavily on Brazilian imports due to limited domestic supply [4] 4. Market Growth: The consumption of ferro niobium has increased by over 300% in the last twenty years, with a notable 5,000 tonnes increase in the last year despite lower steel production [11] 5. Environmental Impact: Niobium's role in enhancing steel properties contributes to reducing CO2 emissions from steelmaking, which accounts for 11% of global emissions [8] Project Development Insights 1. Resource Estimates: WA1 reported a maiden inferred resource estimate for the Looney project, with a total resource of 220 million tonnes at 1% Nb2O5, reflecting a 10% increase from previous estimates [15] 2. High-Grade Zones: Focus has been narrowed to two high-grade zones within the Looney deposit, with one zone containing 31 million tonnes at 2.3% Nb2O5 [16] 3. Drilling and Testing: Drilling has progressed efficiently, with three rigs operating on site, and flotation test work has confirmed the potential for producing ferro niobium and high-purity niobium oxide [22][23] 4. Community Engagement: WA1 has increased community initiatives, including training for traditional owners and partnerships with local ranger groups for environmental conservation [24] Financial and Strategic Position 1. Funding and Cash Reserves: WA1 has $70 million in cash and has maintained financial discipline, with growing support from North American and Australian institutional investors [24] 2. Permitting and Development Timeline: The company is advancing its permitting processes, which will significantly influence the development timeline of the Looney project [25] Additional Considerations 1. Strategic Importance of Looney: The Looney project is positioned as the world's second-best niobium deposit, with significant potential for high-value, low-risk development [25] 2. Market Positioning: The company aims to optimize resource extraction to ensure the best parts of the deposit are utilized first, enhancing its competitive edge in the niobium market [25]