research, development and implementation of efficient ... · as at august 1, 2016 168,418,586...
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Research, Development and Implementation of Efficient Processing Technologies For Specialty and Energy Metals.
August 2016
Statements contained in this presenta0on which are not historical facts are forward-‐looking statements that involve risks, uncertain0es and other factors that could cause actual results to differ materially from those expressed or implied by such forward-‐looking statements. Factors that could cause such differences, without limi0ng the generality of the following, include: risks inherent in explora0on ac0vi0es; vola0lity and sensi0vity to market prices for uranium and rare earths; vola0lity and sensi0vity to capital market fluctua0ons; the impact of explora0on compe00on; the ability to raise funds through private or public equity financings; imprecision in resource and reserve es0mates; environmental and safety risks including increased regulatory burdens; unexpected geological or hydrological condi0ons; a possible deteriora0on in poli0cal support for nuclear energy and rare earth technologies; changes in government regula0ons and policies, including trade laws and policies; demand for nuclear power and rare earth products; failure to obtain necessary permits and approvals from government authori0es; weather and other natural phenomena; and other explora0on, development, opera0ng, financial market and regulatory risks. Although Stans Energy Corp. believes that the assump0ons inherent in the forward-‐looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this release. Stans Energy Corp. disclaims any inten0on or obliga0on to update or revise any forward-‐looking statement, whether as a result of new informa0on, future events or otherwise Cau0onary Note to United States and Other Investors Concerning Es0mates of Measured, Indicated and Inferred Resources: Certain tables may use the terms “Measured”, “Indicated” and “Inferred” Resources. United States investors are advised that while such terms are recognized and required by Canadian regula0ons, however, the United States Securi0es and Exchange Commission does not recognize them. “Inferred Mineral Resources” have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, es0mates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cau0oned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cau0oned not to assume that all or any part of a Mineral Resource is economically or legally mineable.
Disclaimer
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Stock Exchange HRE (TSX-Venture)
Shares Outstanding as at August 1, 2016
168,418,586
Warrants 10,908,100
Options 6,400,000
Total (fully diluted) 185,726,686
Market Cap C$2.5m
Share price (Aug. 10) C$0.015
52 week high/low C$0.035/ C$0.01
Net cash (Q3 2014) C$0.1m
Debt C$781,000
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Financial Summary
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Lithium: Overview Lithium – 1st metal in Group 1 in Periodic table of elements Rare metal Unique properties of Lithium: - Lightest of all metals (density - 535 kg/m3, 2 times lighter than water) - Highest heat capacity among all solid materials - 3.56 KJ/kg - Lithium ionization produces highest electromotive force among all metals
Key Element of Energy Revolution
*Source: International Energy Agency, World Energy Outlook – Special Briefing for COP21
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“Our global Autos research team forecasts electrification of the fleet to hit 25% of auto sales by 2025 vs. 5% in 2015. In battery terms, we estimate this would equate to a robust 42% battery volume CAGR over the next decade, with battery demand from autos reaching ~175GWh and far eclipsing the 40GWh of batteries consumed by consumer electronics today.” GS The Low Carbon Economy, November 30, 2015
“Grid-scale power storage – long a “holy grail” for renewable energy – is gaining momentum as an investable theme. From Tesla’s Gigafactory to investments by utilities and mandates from regulators, a confluence of drivers is accelerating efforts to cost effectively store power for the electric grid”. The Great Battery Race, Framing the next frontier in clean technology – GS Electrical Energy Storage, October 18, 2015
Lithium in:
Cell phone 3 g
Laptop 30 g
Hybrid car 7 kg
Electric Vehicle 25-‐50 kg
Grid storage 500 kg/MWh
(Lithium Carbonate consump0on by applica0on)
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iCar Electric Vehicle Next market for Apple?
Elon Musk (Tesla founder): «All modes of transport will become electric,
with the ironic exception of rockets.»
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2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
5,575 6,292 6,854 7,410 7,750 8,115 8,495 8,895 9,315 9,750 10,210
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Product Lithium carbonate – highly sought after product in near term due to explosive anticipated growth in electric powered vehicles and power storage systems Annual Production – 9 000 t / annum
Resources Mineralization stockpile – NO mining required Volume – 19 mln. tons with average grade below Li2O 0.3%. Life of Ore storage – 13 years Zavitinsky Lithium Project - (open pit) located nearby with average grade above 0.3% Li2O. 20 years of mine life. NO license allocation – License Available
Processing facilities
Pervomaisky Processing Plant – prepared industrial site, currently suspended Only modernization of major equipment required – NO construction works
Infrastructure All necessary infrastructure available, including: local power station with all power lines and substation, heat and water supply, tailings storage facility, railway terminals for raw materials delivery and final product storage and packaging areas
Location Plant is located in Trans-Baikal region, Russia, about 250 km from Chita city Directly connected with Trans-Siberian railway High export potential - Proximity to large consumers of Li products (Japan, S.Korea, China)
Current status
Technical Economic Assessment prepared NI 43 101 compliant report preparation planned Preparation for Russian-standard Technical Documentation development for modernization permitting
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Pervomayskiy Ore Stockpile
Pervomaisky Processing Plant
Zavi0nsky Deposit Open pit
(suspended)
Pervomayskiy Mineral Stockpile ~19M t with ~0.3%Li2O used as cutoff from Zavitinskoe Deposit Processing of stored ore for initial production Pervomayskiy Processing Plant Only plant in former USSR for lithium processing. Current status: Mining suspended in 90s; Processing plant produced concentrates from various local non-Li deposits until 2008. Currently under Care + Maintenance Modernization of equipment required All necessary infrastructure available (rail road, power/water supply, TSF) Zavitinsky deposit: 245 000 t Li2O (~0.6% Li2O) in open pit + underground License Unallocated – currently available
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Only processing area in Russia specifically built and equipped for processing lithium ores. At Pervomaisky Plant ores from Ermakovskoe and Zavitinskoe deposits were processed with production of lithium and beryllium concentrates
All necessary infrastructure for lithium processing is available: - Railway terminal for raw materials delivery and final
products storage and packaging (plant is directly connected to Trans-Siberia railway)
- Tailings storage facility of beryllium flotation - Power, heat water supply and other necessary
infrastructure - Skilled personnel with experience in lithium extraction
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Low-‐grade ore transporta0on
to plant
Ore sor0ng (x-‐ray fluorescence)
Concentrate flota0on
Hydrometallurgy Li2CO3 produc0on
Capacity: 2 000 000 t/a 65% waste material rejected Ore grade after sorting: 0.6% Li2O
Product: flotation concentrate with 2.5% Li2O Flotation circuit modernization required
Product: Lithium Carbonate Installation of hydrometallurgical circuit in existing facility Production: ≈9 000 t/a
Technological Developer – JSC VNIIHT Institute Leading Research and Development Institute of ROSATOM - Russian Federation National Nuclear Corporation for Chemical Technologies VNIIHT carries out a complete cycle of scientific research and development works aimed at creating profitable highly effective technologies for the production of metals (lithium, beryllium, zirconium, hafnium, tantalum, niobium, etc.) for atomic industry and other branches of industry. Institute’s technologies became a production cycle base for largest hydro-metallurgical plants in Russia.
• Technology development ongoing (started in 2014) and Pilot Plant planned for 2017 • Technology development for associated Lithium Hydroxide (LiOH) is being explored due to
market demand
All technologies, equipment design or any other intellectual property developed for the Project will be owned by Stans Energy Corp.
DIDIM Inc. • DIDIM Inc. is Stans in-‐house engineering subsidiary for the development of rare earth and
specialty metals processing and separa0on technologies • DIDIM Inc. is an approved resident company of Skolkovo Founda0on Ini0a0ve
• Through Skolkovo Founda0on, DIDIM Inc. is now applying for its first government grant of RUB 95 million (~ USD $1.5 m) for a specific rare earth separa0on technology
• Grants will be used to develop Intellectual Property (IP) for rare and special metal projects
globally
• IP will be owned by Stans through DIDIM Inc. and will be developed in coopera0on with Russian Ins0tutes and Engineering firms ac0ng as subcontractors
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Arbitra0on vs. Kyrgyz Republic: Timeline
October 2013: Stans Files InternaQonal
ArbitraQon
July 2014: Stans Awarded US$ 118mm
By MCCI in Moscow
2009: Stans Acquires 20 year licence for
Kutessay II
✓ ✓ ✓ ✓ ✓ ✓April 2013: Kyrgyz General Prosecutor Files Claims
to revoke Stans’ 20 yr. Mining License
✓
Nov 2014: Stans arrests 47 mm (TSX: CG) shares
In Ontario Courts
Stans secures liQgaQon from Calunius Capital for future legal costs and general operaQng
expenses
Local Russian courts overturn MCCI award – arrest of CG shares liced
Stans launches US$ 209 mm UNCITRAL arbitraQon in Paris
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• Develop world leading technologies for separa0on of rare and specialty metals
• Secure specialty metal assets for development globally • Pursue collec0on of damages from Interna0onal Arbitra0on
• Shareholder Distribu0on of Arbitra0on Award **There can be no assurance that Stans will be successful in obtaining an order for recogni0on and enforcement of the Award in Ontario
• Con0nue discussions and nego0a0ons with poten0al strategic partners
Corporate Strategy
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Chief Operating Officer & Director; BORIS ARYEV, MSc, P.eng After migrating to Canada in 1983, he worked as a software development consultant with NCR Canada Limited & OPTIMOD Inc. until 1986 and then with Verifact Inc. until 1996. In 1990, Boris became and still is President of Marhope Systems Inc., providing management and consulting services to both public and private sectors. Boris is the founding Director of the Canada-Eurasia-Russia Business Association, founder and chairman of its Mining & Northern Development Committees and co-founder of IEC Minerals Working Group.
Management
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Chairman of the Board; Interim President and CEO RODNEY IRWIN, MA , Honorary Consul of Kyrgyz Republic in Canada From 1972 to 1974, Rodney joined the Department of External Affairs, in Ottawa, then in 1978 through to 1980, he served abroad in New-Delhi, Moscow & Port of Spain. From 1988 to 1990 Rodney served as High Commissioner, then in 1992, was named Ambassador to Yugoslavia. Due to the war with Croatia, he served as Ambassador to Albania, Bulgaria, Slovenia & Croatia. From 1993 to 1996, he was Ambassador to Hungary while retaining his Balkan country accreditations. From 1999 to 2003, he served as Ambassador to the Russian Federation with concurrent accreditation to the Republics of Armenia & Uzbekistan.
Chief Financial Officer; OLGA STEVENS, CPA, Olga is a Certified Public Accountant with over 15 years of progressive experience in the mining industry, having started her career at Ernst and Young managing audits of public companies. Prior to joining Stans Energy Olga spend a number of years with Eurasia Gold Inc., Romios Gold Inc. and Appia Energy
VP Corporate Development; DAVID VINOKUROV David has over 15 years of experience in a variety of financial services and financial sales roles. He is experienced in syndication, sales and marketing various investment vehicles. David attended York University where his studies included Economics and International Relations
Directors
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Director; ALBERT GRENKE Albert is a founder of Stans Energy Corp., and was the Chief Executive Officer of Viol Energy Ltd., the Kyrgyz corporation that provided the personnel and asset base for Stans Energy Corp.’s Kyrgyz operations. Albert is a prominent entrepreneur who has served as Chief Executive Officer and Director of a number of private and public corporations with both domestic and international exposure. Prior to 1987 he had a career in the Ontario and Canadian Governments in a number of senior positions: administration, audit and investigation, treasury and strategic planning. Director; VADIM VESHCHEZEROV Vadim has created and sold a number of companies in the microelectronics and IT industries. He has held various senior advisory positions in the banking industry in Russia. Since 2001 he has been the Investment Director of RUSNANO, a state sponsored investment fund that is charged with developing high technology industries within the Russian Federation.
Director; DR. DOUGLAS H UNDERHILL, CPG, PhD, MSc, BA (Geology), MBA, Qualified Person (QP) From 1993 to 2002, Doug was a Uranium Resource & Production Specialist for International Atomic Energy Agency in Vienna. He has over 40 years of minerals industry experience with nearly 30 of those years dedicated to uranium (including experience in Kazakhstan & Uzbekistan). From 1985 -1993, Doug was a Senior Consultant with Nuclear Assurance Corporation (USA), he was responsible for consulting on Uranium supply strategy and maintaining a worldwide uranium production projects database. Doug represented IAEA in Joint IAEA-NEA Uranium Group. Has an MBA in Strategic Planning & Finance.
Vice - Chairman of the Board; Gordon R Baker, Q.C. In 1972, Gordon was called to the Bar of Ontario, then in 1983, he was appointed to the Queens Counsel. A highly regarded corporate law specialist, Gordon holds extensive experience in business law (mergers, acquisitions, joint ventures, financing & structuring) and has acted as counsel (including as a registered lobbyist) advising on government relations (strategic planning, negotiation, compliance issues).
Advisor; DR. GENNADY SARYCHEV Former Director of the Leading Research Institute of Chemical Technology (VNIIHT) is a former professor of the Moscow Engineering Physics Institute. He is currently rare earth program director for ROSATOM. He has held the position of Director/Department Head of the following institutions: Department of Scientific Research and Development, Department of Scientific Research Work, Department of State Policy on Science, Innovations and Intellectual Property, Department Head of Planning and Construction of Infrastructure Objects for Special Economic Zones. Dr. Sarychev adds invaluable experience to Stans Energy in areas of international cooperation amongst the scientific and business communities.
Advisor; MR. JEAN PAUL TOGNET, Chemical and Nuclear Engineer Mr. Tognet is a French chemist and nuclear engineer who spent his 35 year business career in the Rare Earths sector. He started with ore processing projects specializing in beneficiation and cracking at the Pechiney-St. Gobain Research Center. In 1982, he began to lead the chemical engineering department at the Rhone-Poulenc Rare Earths plant in La Rochelle France. Then, as Industrial and Raw Materials Director from 1992-1999, he managed the development of Rhone Poulenc’s Rare Earth processing plants in France, USA, Japan, and China. After Rhone Poulenc’s name changed to Rhodia (now a branch of Solvay), he continued in global upstream management and finally was charged with the evaluation of new international Rare Earth projects until his retirement in 2005.
Advisor; DR. VALERY KOSYNKIN; Ph.D., Professor Dr. Kosynkin is one of the world’s preeminent chemists and metallurgists for Rare Earth Elements (REEs). Dr. Kosynkin holds a doctorate of philosophy from Moscow State University. His dissertation was on uranium and the development of REEs through processing loparite concentrate. Since 1959, Dr. Kosynkin has been employed by VNIIHT – The Russian Leading Institute of Chemical Technology, initially as a research in uranium technologies, and from 1973 as the Head of Research and Development for REE chemistry and technology. Dr. Kosynkin has overseen the commissioning of REE production and extraction facilities in Russia, Ukraine, Estonia, and Kazakhstan. In addition to his work at VNIIHT, Dr. Kosynkin served as a USSR IAEA representative from 1968-1973. He has lectured on REE metallurgy and chemistry in Russia, China and Korea.
Advisors
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Kashka Rare Earth Processing Plant (KRP)
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Kashka Rare Earth Processing Plant (KRP)
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Kashka Rare Earth Processing Plant (KRP)
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ü Technologies developed in the Ins0tute became the produc0on cycle base for over 20 hydrometallurgical plants
ü Over 150 sorbents, extractants and resins were engineered ü Over 3600 developments were industrially implemented ü Over 2600 inventors cer0ficates and patents were issued ü 7 minerals were discovered ü Over 100 PhDs are employed
Who is VNIIHT?
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VNIIHT Achievements
• VNIIHT’s sixty years of chemical technology experience combined with their capabili0es of execu0ng the complete cycle of rare earths research, development, and produc0on will give Stans Energy a significant advantage rela0ve to its compe0tors.
• VNIIHT will also assist with evalua0on and acquisi0on of other HREE proper0es in areas of the Former Soviet Union (FSU)
Formula for Success
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VNIIHT`s Role
Kutessay III
STANS ENERGY CORP. 8 King St. East, Suite 205 Toronto, ON, M5C 1B5 Tel: 647 426 1865 Fax 647 426 1869 www.stansenergy.com [email protected]
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