Euro Manganese (OTCPK:EUMN.D) Update / Briefing Transcript

Euro Manganese Investor Briefing Summary Company Overview - Company: Euro Manganese (OTCPK:EUMN.D) - Project: Chvaletice Manganese project located in the Czech Republic - Significance: The only sizable manganese deposit in Europe, with an integrated processing facility on-site, which is crucial for supply chain security and ESG benefits [4][5][6] Industry Context - High-Purity Manganese: Essential for electric vehicle (EV) batteries, improving battery efficiency, and reducing costs. Currently, over 90% of high-purity manganese is processed in China, posing supply chain risks [4][5] - Market Dynamics: The demand for manganese in batteries is expected to grow significantly, driven by the transition to EVs and energy storage systems [4][19][23] Key Developments - Permitting Milestones: - Environmental Impact Assessment approval obtained in March 2024 - Permit to extract minerals from the deposit secured, with no time constraints [6] - Strategic Project Designation: Recognized under the EU Critical Raw Materials Act, facilitating faster permitting and funding options [6] - Demonstration Plant: Successfully commissioned, producing both high-purity manganese metal and manganese sulfate, validating the feasibility study [7][8] Market Insights - Manganese Usage: - 90% of manganese mined is used in steelmaking; only 1% in rechargeable batteries, indicating a niche but dynamic market [13][14] - The shift towards manganese-rich batteries (e.g., LMFP) is expected to increase manganese demand significantly [30][31] - Battery Market Growth: - Anticipated growth in battery demand from 1.7 terawatt-hours in 2025 to approximately 7 terawatt-hours by 2035, primarily driven by EVs [24][25] - Manganese is becoming a preferred alternative to cobalt due to cost stability and lower price volatility [28][29] Competitive Positioning - Supply Chain Security: Euro Manganese's location in the EU provides a stable environment and reduces dependency on Chinese processing [4][55] - Optionality in Production: The ability to produce both manganese metal and sulfate allows flexibility in responding to market demands [56] - Cost Optimization: Ongoing optimization programs aim to reduce operational and capital expenditures while increasing production efficiency [56][57] Future Outlook - Market Trends: - The increasing adoption of sodium-ion batteries, which require significant amounts of manganese, could open new markets for Euro Manganese [38][39] - The European battery ecosystem is evolving, with potential self-sufficiency in battery production by 2030 [41] - Investment Opportunity: Euro Manganese is positioned as a first mover in the European market, with growing recognition of manganese's role in battery technology [58][59] Conclusion - Euro Manganese is strategically positioned to capitalize on the growing demand for high-purity manganese in the evolving battery materials landscape, with significant milestones achieved and a clear path towards optimizing production and expanding market reach [55][56][58]