Form 6-K IPERIONX Ltd For: Jul 07
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
Date: July 7, 2022
Commission File Number: 001-41338
(Translation of registrant’s name into English)
129 W Trade Street, Suite 1405
Charlotte, North Carolina
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
The following exhibits are filed as part of this Form 6-K:
Corporate Presentation, dated July 2022
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: July 7, 2022
|/s/ Anastasios Arima|
Name: Anastasios Arima
Title: Chief Executive Officer
A U.S. Critical Materials Company July 2022 IperionX Limited ABN 84 618 935 372
2 Disclaimer Forward Looking Statements Information included in these materials constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward-looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs. Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance, and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation, as well as other uncertainties and risks set out in filings made by the Company from time to time with the Australian Securities Exchange and the U.S. Securities and Exchange Commission (“SEC”). Forward looking statements are based on the Company’s and its management’s assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control. There may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Except as required by applicable law or stock exchange listing rules, the Company does not undertake any obligation to publicly update or revise any of the forward-looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based. Cautionary Statements and Important Information This presentation has been prepared by the Company as a summary only and does not contain all information about assets and liabilities, financial position and performance, profits and losses, prospects, and the rights and liabilities attaching to securities. Any investment in the Company should be considered speculative and there is no guarantee that they will make a return on capital invested, that dividends would be paid, or that there will be an increase in the value of the investment in the future. The Company does not purport to give financial or investment advice. No account has been taken of the objectives, financial situation or needs of any recipient of this presentation. Recipients of this presentation should carefully consider whether the securities issued by the Company are an appropriate investment for them in light of their personal circumstances, including their financial and taxation position. Competent Persons Statements The information in this document that relates to Exploration Results, Mineral Resources, Production Targets, Process Design, Mine Design, Cost Estimates, and Financial Analysis is extracted from IperionX’s ASX Announcement dated June 30, 2022 (“Original ASX Announcement”) which is available to view at IperionX’s website at www.IperionX.com. The Company confirms that a) it is not aware of any new information or data that materially affects the information included in the Original ASX Announcement; b) all material assumptions and technical parameters underpinning the Production Target, and related forecast financial information derived from the Production Target included in the Original ASX Announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this report have not been materially changed from the Original ASX Announcement.
3 Critical metals and their mineral feedstocks are key to U.S. advanced industries Electric Vehicles Renewable Power Consumer Electronics 3D Printing Robotics Space Exploration Aerospace Defense
Source: U.S. Dept. of Commerce Bureau of Industry and Security, Roskill, Joint Program Management Office Picatinny Arsenal 4 Titanium metal is extensively used in U.S. defense applications U.S. Airforce F-35 Lighting V-22 Osprey U.S. Army U.S. Navy Higher strength to weight than steel & aluminum Lighter than steel (~45% lighter) Superior corrosion resistance / longevity M777 Howitzer M1 Abrams SSN774 Virginia Class LPD17 San Antonio Class Current Defense Applications Future Defense Applications Hypersonics Lockheed Martin - SR72 Boeing- X-51A High temperature applications
Source: US Geological Survey. Locations shown are approximate. 5 But the U.S. titanium metal sector is 100% import reliant Titanium Primary Metal Production Capacity, 2020 Titanium sponge capacity tons per annum 10,000 5,000 500
6 Rare earths are a crucial component of high-performance permanent magnets, which underpin the trend of the “electrification of everything” Wind Turbines require Generators Electric Vehicles require Electric Motors Generators & Electric Motors require Permanent Magnets Permanent Magnets Light & Heavy Rare Earths are required by permanent magnet to allow for high temperature, high performance applications 6
Source: Roskill, LME, Metal.com, AgMetalMiner Macquarie Research, Adamas Intelligence, US Geological Survey, Reuters, Public Company Documents. Mined production figures shown. Chinese heavy share assumed to include Myanmar production. 7 The true “rare” earths are the heavies, but are dominated by China Est. >90% Heavy Rare Earths Country Share % of 2020 Global Mined Supply 0% Metal Prices US$/kg 2,154 Light Rare Earths Heavy Rare Earths Light Rare Earths Country Share % of 2020 Global Mined Supply
Zirconium Metal Light Rare Earth Metals) Heavy Rare Earth Metals) 8 We have the solution Future research to focus on applying the breakthrough metal technologies to the critical mineral endowment at the Titan Project Titanium Metal Metal Operations HAMR & Other Metal Technologies Titanium Minerals (Ilmenite & Rutile) Heavy Rare Earth Minerals (Xenotime) Light Rare Earth Minerals (Monazite) Zirconium Minerals (Zircon) Titan Project Mineral Operations
9 Mineral Operations
10 Our Titan Project is the large scale, simple & sustainable answer to U.S. critical mineral supply chains 100% owned by IperionX, our Titan Project covers 11,000+ acres of titanium & rare earth rich heavy mineral sands in west Tennessee Infrastructure rich location in the heartland of the U.S. The largest U.S. titanium and monazite / xenotime JORC code compliant resource Simple, low-cost extraction & processing operations Sustainable operations with active reclamation 10
11 Potential economics demonstrate one of the highest NPV-to-CAPEX ratios of advanced U.S. critical mineral development projects NPV to CAPEX Ratio2 1. June 2022 Scoping Study projections are based on Q1-2022 price projections and cost estimates in U.S. Dolllars. Evaluation was carried out on a 100% equity basis using an 8% discount rate. For further information, see Scoping Study press release dated June 30, 2022. 2. NPV to CAPEX ratio calculated as published NPV divided by published development CAPEX, and is unadjusted for inflation or different assumptions contained within each company’s respective technical documents.Sources: Lithium Americas Thacker Pass Project PFS (link), 5E Advanced Materials Fort Cady Project DFS (link), Piedmont Lithium Carolina Lithium Project BFS (link), Ioneer Rhyolite Ridge Project DFS (link), Talon Metals Tamarack Nickel Project PEA (link) US$117 million Average EBITDA1 US$692 million NPV8%1 40% After-tax IRR1 25 years Initial life of operations Titan Project Scoping Study OutcomesJune 2022
12 McNairy Sand Ore Sustainable Mineral Extraction Gravity Concentration Heavy Mineral Concentrate 90+% of the sand extracted is returned to void for reclamation REE Concentrate Flotation REE Minerals (Monazite / Xenotime) Electrostatic / Magnetic / Gravity Separation Rutile (TiO2) Ilmenite (TiO2) Premium Zircon (ZrO2+HfO2) Zircon Con. (ZrO2+HfO2) No drilling, no blasting and no harmful chemicals Gravity & water used to separate out the “heavy minerals” from the quartz sand, which is then returned for rehabilitation Benign flotation process used to extract REE minerals and only electrical power needed to separate remaining titanium and zircon minerals Simple and conventional extraction and processing
A potential major U.S. source of titanium and rare earths ~24,000,000 ELECTRIC VEHICLES Contained Rare Earths Oxides to support ~60,500 BOEING 787s Contained Titanium minerals to support Over its initial 25-year mine life, the Titan Project is projected to produce: 13 Source: Adamas Intelligence, Boeing, Titan Project Scoping Study.Estimates are based on the in-situ Titanium metal and Neodymium metal contained in of the Titan Project’s cumulative total mineral concentrate production over 25 years of projected mine life, as outlined in the Titan Project Scoping Study. Assumes 1.3kg of NdFeB magnet per electric vehicle and 31wt% Nd content per kg NdFeB magnet. Assumes Boeing 787 contains 15wt% Titanium, or approximately 18 metric tons.
Source: US Geological Survey, Roskill, WoodMackenzie. Locations shown are approximate. 14 Potential to be a significant source of U.S. heavy rare earth minerals Titan Project projected annual average production v. 2020 North American Demand
Titan Project Extraction & Processing RE Concentrate Cracking & Leaching RE Oxide Separation RE Oxides RE Oxide to Metal RE Magnet Alloy RE Magnets Upstream Expected to be shovel ready in calendar Q4-2023 Conventional processing routes Low CAPEX relative to other projects Midstream Cracking & leaching operational today with multibillion dollar replacement value Separation expected in the coming years via conventional processing Downstream Future potential for metallization & magnet alloy manufacturing Low CAPEX using conventional technology Potential to use IperionX HAMR technology MoU signed between IperionX & Energy Fuels (NYSE: UUUU)1 for development of the REE supply chain from U.S. mineral to oxides 1. See ASX announcements dated April 22nd, 2021, and update announcement dated March 8th, 2022 for details. 15 Minerals from the Titan Project can provide a potential U.S. pathway for domestic rare earth processing Existing assets and processes Assets and processes under development Legend
Targeting a shovel ready project for late 2023 Pre-feasibility study significantly progressed with all test work completed for pre-feasibility process flow sheet development Feasibility level bulk sample and first stage separation (removal of <45 micron) material conducted at the Mineral Demonstration Facility and second stage spiral separation having been conducted by Mineral Technologies in Florida Heavy mineral concentrate now shipped to Mineral Technologies Australia and expected to be complete with all test work required for engineering study completion by year-end 2022 – typically the long lead time item in any project 16 MoU for Zircon Offtake with Mario Pilato Maiden Mineral Resource announced MoU for Monazite Offtake with Energy Fuels Titan Project Scoping Study published MoU for Ilmenite & Rutile Offtake with Chemours Acquired Titan Project 2020 2021 2022 2023 H1 2020 H2 2020 H1 2021 H2 2021 H1 2022 H2 2022 H1 2023 H2 2023 Opportunities & Permit Review Pre-Feasibility Study Feasibility Bulk Sample & Test Work Feasibility Study Permitting Shovel Ready / FID
17 Metal Operations
18 The HAMR technology could revolutionize the titanium manufacturing process The patented metal technologies, centered around Hydrogen Assisted Metallothermic Reduction (“HAMR”), were invented by world-renowned metallurgist, Dr. Zak Fang, Professor of Metallurgical Engineering at the University of Utah. IperionX holds an exclusive option to acquire the HAMR technology and other associated technologies. Lower cost Reduced energy consumption Potential for zero carbon 100% recycling potential Mineral / Scrap Titanium Metal Powders Mineral Chlorination Kroll Purified TiCl4 Melting Titanium Sponge Titanium Metal Powders IperionX vs. Current Industry Titanium Ingot Extrusion Atomization Titanium Wire HAMR
Picture Shown: Energy Fuels White Mesa Mill 19 Our partner, Blacksand, has a pilot facility operating in Salt Lake City, Utah – built with funding from the U.S. Department of Energy’s ARPA-E Development of a larger Titanium Demonstration Facility (“TDF”) currently underway with targeted production capacity of 125tpa The TDF will serve a dual purpose of demonstrating scale while allowing for the commencement of powder production for commercial sales We are already producing titanium powder, with near-term plans to expand capacity
Picture Shown: Energy Fuels White Mesa Mill 20 Spherical titanium powders, produced from scrap at our pilot facility, are being 3D-printed into parts and components for customer qualification and testing We are also providing powder and parts for customer prototyping
Source: ARPA-E METALS Program, Feng Gao et al (Journal of Cleaner Production), IperionX Estimates for HAMR. Assumes renewable power sourced for IPX Facility, and 100% scrap feedstock for HAMR spherical powder. Figures shown are targets at 10,000tpa capacity. 21 And aiming to provide for long term sustainability of supply Lower Carbon Emissions 100% Recycled Product Manufacturing of our titanium metal powders today is 100% fed by scrap titanium and in the future we envision an ore-metal supply chain with full recycling of manufacturing scrap and end-of-life products
22 We have potential to disrupt existing stainless steel and aluminum markets Titanium Market 2019 Ingot Production ~283kt 2019 Av. Price ~$15,100/t Stainless Steel Market 2021 Production ~56Mt Q1-2022 Price ~$4,450/t Aluminum Market 2021 Production ~67Mt Q1-2022 Price ~$3,400/t ~$228bn* ~$251bn* ~$4bn* * Estimated Global Market Summary in USD Sources: Roskill, International Stainless Steel Forum, Jefferies Equity Research, LME, Metal Miner. Pricing as of Q1-2022.
23 23 IperionX’s vision is to re-shore a U.S. sustainable critical material supply chain – our near-term milestones will help drive our success Scale-up of our titanium metal powder production capacity Commercial discussions with potential Titanium metal strategic customers Continued work to get the Titan Project “construction ready” Release of the Scoping Study outlining the economics on the Titan Project NASDAQ Listing
Website www.iperionx.com E-mail [email protected] Phone +1-980-213-2290 Headquarters 129 W Trade St, Ste. 1405 Charlotte, NC,. 28202 IPX
25 Appendix: Additional Information on the Titan Project, Sustainability, Community Engagement, and Government Engagement
26 Based on the results of our Scoping Study, the Titan Project is a potential multi-decade asset for a long-term, domestic source of rare earths & titanium Geological formation targeted is the McNairy Sand, a massive formation extending North-South through west Tennessee Projected 25-year initial operational life covers only a small portion of existing landholdings Potential for additional resource discovery and conversion within land controlled by IperionX Potential for additional land leasing or acquisition could add to further resource conversion
Projected titanium metal produced from the Titan Project1 % of 2019 U.S. titanium ingot production Potential to re-shore the domestic titanium metal industry’s feedstock needs Source: US Geological Survey, Roskill, Titan Project Scoping Study announcement dated June 30, 2022 1. Contained titanium metal based on projected ilmenite and rutile production. Assumes 100% recovery from contained Titanium to Titanium Ingot for illustrative purposes. 27
Source: US Geological Survey, Public Company Documents. Locations shown are approximate. 28 While also a major potential source of titanium minerals for the paint & pigment industry U.S. paint & pigment industry is 90+% import dependent on titanium minerals U.S. domestic consumption of TiO2 pigment in 2021 was estimated to be ~1.1 million metric tons Our Scoping Study demonstrates that the Titan Project could produce ~120ktpa of titanium minerals that can be sold into the paint and pigment industry Ukraine was a major source of supply of titanium minerals
29 Low carbon impact extraction with active reclamation Focusing on zero carbon power (as processing requires mainly electrical power) to limit carbon intensity Reclaiming voids actively during extraction meaning only temporary disturbance in any one area at a time Research into improved rehabilitation programs to return land to a better post operations state Native warm season grasses experimental plots for improved rehabilitation Experimental plots investigating carbon sequestration opportunities during rehabilitation Focused on sustainable extraction, processing, reclamation, and rehabilitation
30 IperionX example operation impact (U.S. mine site) We aim to develop one of the most environmentally sustainable mineral operations No drilling, blasting or hazardous chemicals used for extraction Active reclamation Drilling, blasting, grinding and often leaching required Process typically results in tailing ponds or piles Mt Weld, Lynas Corporation (Australian hard rock rare earth mine)
31 Committed to community engagement & education Since the beginning of IperionX, the strategy has been to engage and educate the communities of Benton, Henry & Carroll counties IperionX’s team on the ground has been extremely active and over the last few years has undertaken many community outreach programs, including: Engagement in all major community fairs and programs Advertising in major community newspapers and local radio stations Presenting to key leaders in the community An open door policy where anyone can ask any question Strong community support and relations is a top priority of IperionX Benton County Community Q&A Henry County Fish Fry
32 Mineral Demonstration Facility for customer & community engagement Stage 1 (Operational): Initial hydro-cyclones to remove fine (<45 micron) clays from McNairy Sand ore, successfully used to process feasibility bulk sample Stage 2 (Targeted Calendar Q3 2022): Addition of spiral circuit to allow for gravity separation of heavy minerals from sand and produce a heavy mineral concentrate Stage 3 (Targeted Calendar Q4 2022): Pilot scale flotation & electromagnetic equipment to produce samples of REE minerals, Titanium minerals and Zircon concentrate
33 Engaging with agencies and representatives across all levels of government IperionX is working diligently to develop strong relationships with government stakeholders at the municipal, state, and federal levels Focus is on engaging with relevant individuals, committees, and departments who support the re-shoring of critical material supply chains Federal: TN Senator Bill Hagerty visit to IperionX offices in Tennessee State: Speaking to the Tennessee Agriculture and Natural Resources committee, and meeting with Agriculture Department representatives Municipal: Meeting with the Mayor of McKenzie, TN
34 IperionX is potentially eligible for funding and support from numerous U.S. Government programs Securing a Made in America Supply Chain for Critical Materials February 22nd, 2022 Federal Government to provide major investment funding towards the re-shoring of critical material supply chains to American soil AM (Additive Manufacturing) Forward Program May 6th, 2022 Public-Private program with AM industry leaders to provide low-cost financing and technical advice to support small business growth in 3D printing National Science Foundation’s SBIR Program - $110m in total funding January 11th, 2022 NSF’s program to provide non-dilutive, non-interest-bearing funding to promising early-stage R&D start-ups to help commercialize their technology Department of Energy’s ARPA-E SCALEUP Program - $100m in total funding December 16th, 2021 DOE program to provide non-dilutive, non-interest-bearing funding to novel pilot-scale technologies to commercialize them Department of Energy’s Critical Minerals Extraction Facility - $140m in total funding February 14th, 2022 DOE funding for a rare earth extraction facility, with funding from the Bipartisan Infrastructure Law Department of Defense’s DPA Grant to Lynas - $30m in total funding February 1st, 2021 DOD to provide $30m in non-dilutive funding to Lynas USA LLC to construct a light rare earth separation facility in Texas Department of Defense’s IBAS Grant to Lynas - $120m in funding June 14th, 2022 DOD to provide $120m in non-dilutive funding to Lynas USA LLC to construct a heavy rare earth separation facility Department of Interior’s Critical Minerals Mapping Project June 21st, 2022 DOI to provide funding to 30 states to support geological mapping efforts to identify critical mineralization deposits Department of Commerce’s Investigation into Neodymium Magnet Imports September 24th, 2021 Commerce department to investigate the impacts of Neodymium rare earth magnet import reliance on national security
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