ELEMENT 25 LIMITED — Investor Presentation 2021

Feb 7, 2021

Element 25 Limited Investor Update – Growing the Business Growing a world class Zero Carbon Manganese™business

Investor Presentation – February 2021

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Introduction
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Disclaimer

Overview

This presentation contains only a brief overview of Element 25 Limited and its associated entities (“Element 25") and their respective activities and operations. The contents of this presentation, including matters relating to the geology of Element 25's projects, may rely on various assumptions and subjective interpretations which it is not possible to detail in this presentation and which have not been subject to any independent verification.

This presentation contains a number of forward-looking statements. Known and unknown risks and uncertainties, and factors outside of Element 25’s control, may cause the actual results, performance and achievements of Element 25 to differ materially from those expressed or implied in this presentation.

To the maximum extent permitted by law, Element 25 does not warrant the accuracy, currency or completeness of the information in this presentation, nor the future performance of Element 25, and will not be responsible for any loss or damage arising from the use of the information.

The information contained in this presentation is not a substitute for detailed investigation or analysis of any particular issue. Current and potential investors and shareholders should seek independent advice before making any investment decision in regard to Element 25 or its activities.

Developing the world class Butcherbird Manganese Project in Western Australia to produce high quality manganese concentrate and High Purity Manganese ( HPM ) products for traditional and new energy markets.

Financial Information
ASX Ticker	E25
Shares on Issue	133M
Share Price	$1.665
Debt	Nil

• Australia’s largest onshore manganese deposit. • Excellent infrastructure (highway and gas pipeline).

• • >260 Mt of manganese ore in JORC resources[1] . • Simple low-cost mining and processing. • Reserve containing 5.22 Mt of manganese[2] . • No blasting or dewatering required. • 100% owned by Element 25 Limited. • Long mine life. Currently 42 years using only 20% of • Located in WA, ranked #1 for mining investment[3] . the global resource.

• Ethical, proven, sustainably regulated jurisdiction. • Outstanding economics[2]

1Reference: Element 25 Limited ASX release dated 17 April 2019. 2Reference: Company ASX Release dated 3 December 2020. 3Reference: Fraser Institute Annual Survey of Mining Companies, 2019

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Not all manganese is created equal…

E25 Manganese

Serving the Old…

• Manganese ( Mn ) is the fourth most used metal on earth in terms of tonnage.

• Used in steel, specialty alloys and aluminium products.

• Traditionally the market has been dominated by the steel and alkaline battery industries.

• There is no substitute for manganese in steel.

• E25 manganese concentrate and EMM feed this market.

And the New…

• The electrification of the global vehicle fleet requires vast amounts of cathode materials.

• Nickel and cobalt supplies cannot meet the demand for projected NEV growth.

• Batteries are trending toward higher manganese content for safer, more cost-effective solutions.

• E25 high purity manganese will feed these markets.

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.
Great infrastructure endowment, fully permitted
Extensive Exploration Tenure
E52/2350
M52/1074
Granted Mining Lease
Measured & Indicated
Resources are the basis
Simple Logisitcs for the 42-year Base Case
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Very simple geology equals low-cost manganese…

• Ore from surface

• • Above the water table

• • Strip ratio ~0.3:1

• • Free digging (no blasting)

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Stage 1: Project Delivery on time and budget

Mining Lease granted Access agreements finalised Processing water confirmed Engineering design completed Fully funded Fully permitted Construction commenced. Commissioning scheduled for first quarter 2021.

Maiden product shipment imminent.

Low capex Stage 1 provides a springboard for rapid growth…

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Low capex Stage 1 provides a springboard for rapid growth…

• Low capex.

• Rapid startup.

• Establish cashflow.

• Fund High Purity Manganese ( HPM ) from strengthened balance sheet.

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Only ten months from
announcing the PFS to
scheduled commissioning.
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Mn [25] Mn [25] Mn [25]
341,000 t/a $583 million 387%
annual Production over NPV5 pre-tax IRR pre-tax
40 year mine life
Mn [25] Mn [25] Mn [25]
$20.3 million 0 months March 2021
capital cost including payback period commissioning
working capital no debt scheduled
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2Reference: Element 25 Limited ASX releases dated 3 December 2020.

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Stage 2 expansion turbocharging cashflows to fund HPM…

• Incremental capital required.

• Financing being secured now.

• Flowsheet process proven.

• Rapid deployment.

• Fund High Purity Manganese from strengthened balance sheet.

Establish a globally significant low carbon manganese business in record time with minimal dilution.

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Mn [25]
$1.138 billion
NPV5 pre-tax
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Mn[25] 1,023,000 t/a Annual Production over 40 year mine life

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Mn [25] Mn [25]
$20.3 million 6 months
Incremental capital cost Payback period
including working capital Semeru Energy U$5M debt
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Mn [25]
359%
IRR pre-tax
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Mn [25]
February 2022
Commissioning
scheduled
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2Reference: Element 25 Limited ASX releases dated 3 December 2020.

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“Old world” manganese demand continues to grow

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High silica Butcherbird concentrates
are ideally suited to the fastest
Driven by growing market segment,
global silicomanganese.
A steadily &
economic
consistently
growth
growing
market
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New Energy Vehicle (NEV) Demand Growing MUCH Faster…

Li-ion battery market development for electric vehicles

58% by 2040 percentage of new vehicles that will be EV or hybrid

54 million EV passenger sales by 2040

from 2033 decline emissions from road transport

17.6M by 2040 barrels of oil displaced by EVs each day

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“It is reasonably straight forward to do a cathode that is
two-thirds nickel and one-third manganese…”
Elon Musk, Tesla
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Mn
- 10 - Reference: https://www.nature.com/articles/s43246-020-00095-x Reference: Wood Mckenzie
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Reference: https://about.newenergyfinance.com/electric-vehicle-outlook/

If not manganese, then what?

Global mined cobalt output (Kt)

58% by 2040 percentage of new vehicles 54 million that will be EV or hybrid EV passenger sales by 2040

from 2033 decline emissions 17.6M by 2040 from road transport barrels of oil displaced by EVs each day

“It is reasonably straight forward to do a cathode that is two-thirds nickel and one-third manganese…” Elon Musk, Tesla

• Manganese ( Mn ) is the fourth most utilised metal globally.

• It is the cheapest, most abundant of the NMC cathode materials ( N i, M n, C ).

• • Nickel and cobalt have supply constraints, manganese does not.

• For cobalt, there are serious ethical concerns around production methods.

• Manganese is perfectly placed to provide the material needed to satisfy the worlds hunger to electrify.

• Battery makers have manganese rich Mn cathode designs in their roadmaps post 2025.

• Drop-off in supply post 2025.

• • Ethical issues around production.

Class 1 Nickel Supply and Demand Outlook

• Production capacity “flatlining”.

• • Insufficient to meet projected demand.

Reference: Wood Mckenzie

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Zero Carbon Manganese™– a no brainer…

Sustainable Extraction

Supply-chain decarbonization will be a ‘game changer’ for the impact of corporate climate action. Nigel Topping, UNFCCC

Renewable Energy Powered Processing

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Sustainable extraction Renewable energy Low-carbon processing Fuel cell haulage Carbon offsets Zero Carbon Manganese™

New Energy Fuel

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EV Fuel – Zero Carbon High Purity Manganese…

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Battery Grade
Manganese
flowsheet design
well advanced,
optimisation program
initiated…
(99.95% Mn)
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Our Journey…
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Stage 1 Stage 2 $583 million NPV $1.14 billion NPV Under construction PFS study complete commissioning Q1 2021 startup 2022

Stage3 High Purity Mn PFS study anticipated for completion 2021

Stage4 Decarbonise Global benchmark for Zero Carbon Manganese™

9 month plan 1.5 year plan 5 year plan

Cashflow

Low capital cost, rapid start up to establish E25 as a producer while minimising dilution.

Expansion

Improved resource utilisation, reduction in unit operating costs, increased operating cash.

The Prize

Position E25 as a globally dominant producer of high purity, sustainable manganese products.

Zero Carbon Manganese™

Best in class, zero carbon, ethically produced, scalable high purity manganese for global markets.

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Thank you.

For more information, please contact Element 25 Limited: +61 8 6315 1400 admin@e25.com.au www.element25.com.au

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Reserves and Resources
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Maiden Ore Reserve[1]

Category	Tonnes (Mt)	Mn (%)	Contained Mn (Mt)
Proved	14.4	11.5	1.65
Probable	36.2	9.8	3.56
Total	50.6	10.3	5.22

Global Mineral Resource[2]

Category	Tonnes (Mt)	Mn (%)	Si (%)	Fe (%)	Al (%)
Measured	16	11.6	20.6	11.7	5.7
Indicated	41	10.0	20.9	11.0	5.8
Inferred	206	9.8	20.8	11.4	5.9
Total	263	10.0	20.8	11.4	5.9

• 89% conversion of measured and indicated resources to reserve. • Maiden Reserve only exploits approximately 20% of global mineral resource. • Excellent potential for future expansion. • More drilling has potential to add to global resource.

1Reference: Element 25 Limited ASX release dated 19 May 2020.

2Reference: Element 25 Limited ASX releases dated 17 April 2019.

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Competent Person’s Statement
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The information in this presentation that relates to Exploration Results is based on information compiled by Mr Justin Brown who is a full-time employee of the Company and is a member of the Australasian Institute of Mining and Metallurgy. Justin Brown has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Justin Brown consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

All references to Mineral Resources pertain to the ASX release dated 17 April 2019. The Company confirms that all material assumptions, underpinning the estimations continue to apply and have not materially changed.

All references to Mineral Reserves pertain to the ASX release dated 19 May 2020. The Company confirms that all material assumptions, underpinning the estimations continue to apply and have not materially changed.

For further information on Element 25 Limited and its Projects please visit its website at www.element25.com.au which contains copies of all continuous disclosure documents to ASX, Competent Persons’ Statements and Corporate Governance Statement and Policies.

DISCLAIMER

The views expressed herein are not necessarily the views of the Australian Government, and the Australian Government does not accept responsibility for any information or advice contained herein.

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