第一磷酸盐投资者手册

CSE:PHOS

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FSE:KD0InvestorPresentationSeptember14,2023PhosphatefortheLithiumIronPhosphate(LFP)BatteryIndustryLegal

DisclaimerGENERALTheinformationcontainedinthispresentationhasbeenpreparedbyFirstPhosphateCorp.(the“Company”,“we”,“us”,or“our”)andcontainsconfidentialinformationpertainingto,amongotherthings,thebusiness,assets,operations,capital,managementandprospectsoftheCompany.Thispresentationisbeingprovidedtoyousolelyforyourinformationandmaynotbereproduced,inwholeorinpart,inanyformorforwardedorfurtherdisseminatedtoanyotherperson.

Anyforwarding,distributionorreproductionofthispresentationinwholeorinpartisunauthorized.Byacceptingandreviewingthispresentation,youacknowledgeandagree(i)tomaintaintheconfidentialityofthispresentation,andtheinformationcontainedherein,(ii)toprotectsuchinformationinthesamemanneryouprotectyourownconfidentialinformation,whichshallbeatleastareasonablestandardofcare,and(iii)tonotutilizeanyoftheinformationcontainedhereinexcepttoassistwithyourevaluationofapotentialdirectorindirectinvestmentintheCompany.Theinformationcontainedinthispresentation(a)isprovidedasatthedatehereofandissubjecttochangewithoutnotice,(b)doesnotpurporttocontainalltheinformationthatmaybenecessaryordesirabletofullyandaccuratelyevaluateadirectororindirectinvestmentintheCompany,and(c)isnottobeconsideredasarecommendationbytheCompanyoranyotherpersononbehalfoftheCompanythatanypersonmakeadirectororindirectinvestmentintheCompanyinconnectionwiththispresentation.

Aninvestmentinthesecuritiesisspeculativeandinvolvesanumberofrisksthatshouldbeconsideredbyaprospectiveinvestor.Whereanyopinionorbeliefisexpressedinthispresentation,itisbasedontheassumptionsandlimitationsmentionedhereinandisanexpressionofpresentopinionorbeliefonly.

Nowarrantiesorrepresentationscanbemadeastotheorigin,validity,accuracy,completeness,currencyorreliabilityoftheinformation.Prospectiveinvestorsshouldcarefullyconsider,amongotherthings,theriskfactorsdescribedbelowunder“Forward-LookingInformation”inthispresentationbeforeinvestingdirectlyorindirectlyintheCompanyandpurchasingthesecuritiesdescribedherein.TheinformationcontainedinthispresentationisnotdirectedtopersonsorentitiesresidentintheUnitedStatesanddoesnotconstituteanoffertobuy,

sell,issueorsubscribefor,

orthesolicitationofanoffertobuy,

sellorissue,orsubscribeforanysecuritiesintheUnitedStatesorinanyjurisdictioninwhichsuchoffer,solicitationorsalewouldbeunlawfulortoanypersontowhomitisunlawfultomakesuchanofferorsolicitation.Allinformationanddataprovidedinthispresentationisstrictlyprivateandconfidential.Nopersonisauthorizedtocopyorre-distributeanymaterialsinthispresentationwithouttheexpresspermissionoftheCompany.NosalesofthesecuritiesoftheCompanyoranyentityrelatedtheretoshallbemadeuntiltheCompanyorsuchrelatedentityandthepotentialinvestorenterintoasubscriptionagreementforsuchsecurities(the

“SubscriptionAgreement”),andanysuchsalesshallbesubjecttothetermsandprovisionsthereofinallrespects.IntheeventofanyinconsistencybetweenthispresentationandtheSubscription

Agreement,theSubscriptionAgreementshallgovern.Thispresentationconstitutesan“offering

memorandum”underapplicablesecuritieslawsunderapplicablesecuritieslaws(includingpursuanttotheSecuritiesAct

(Ontario)andOntarioSecuritiesCommissionRule45-501(OntarioProspectusandRegistrationExemptions).See“StatutoryRightsofRescission”attheendofthispresentationforfurtherinformationonapplicablerulesforprospectiveinvestorsfromtheprovincesofOntario,Alberta,BritishColumbia,Saskatchewan,Manitoba,NewBrunswick,NovaScotia,PrinceEdwardIslandandNewfoundlandandLabrador.ProspectiveinvestorsshouldbeawarethatthepurchaseofanysecuritiesoftheCompanymayhavetaxconsequencesbothinCanadaandtheUnitedStates.

Assuch,thispresentationshouldnotbeconstruedaslegal,financialortaxadvicetoanyprospectiveinvestor,andeachprospectiveinvestorshouldconsultitsowntaxadvisorconcerninganypotentialinvesteddescribedherein.MARKETAND

INDUSTRYDATAThispresentationincludesmarketandindustrydataandforecaststhatwereobtainedfromthird-partysources,industrypublicationsandpubliclyavailableinformation.

Third-partysourcesgenerallystatethattheinformationcontainedthereinhasbeenobtainedfromsourcesbelievedtobereliable,buttherecanbenoassuranceastotheaccuracyorcompletenessofincludedinformation.

Althoughwebelieveittobereliable,wehavenotindependentlyverifiedanyofthedatafromthird-partysourcesreferredtointhispresentation,oranalyzedorverifiedtheunderlyingstudiesorsurveysrelieduponorreferredtobysuchsources,orascertainedtheunderlyingeconomicassumptionsrelieduponbysuchsources.

TheCompanydoesnotmakeanyrepresentationastotheaccuracyofsuchinformation.FORWARD-LOOKING

STATEMENTSCertainstatementsinthispresentationare“forward-looking

statements”.

Anystatementsthatexpressorinvolvediscussionswithrespecttopredictions,expectations,beliefs,plans,projections,objectives,assumptionsorfutureeventsorperformance(often,butnotalwaysusingwordsorphrasessuchas“expect”,“seek”,“endeavour”,“anticipate”,“plan”,“estimate”,“believe”,“intend”,orstatingthatcertainactions,eventsorresultsmay,could,would,mightorwilloccurorbetaken,orachieved)arenotstatementsofhistoricalfactandmaybe“forward-lookingstatements”.Forward-lookinginformationinthispresentation,whichincludes,butisnotlimitedto,informationrelatingto(i)theboardofdirectorsandadvisoryboardoftheCompany,(ii)informationrelatingtoanticipatedrevenues,cashflowandcashposition,capitalandfinancialoutlookandleveragerations,andanticipatedsynergiesoftheCompany,(iii)theCompany’stechnologicalandminingcapabilities,(iv)informationrelatingtotheCompany’sbusinessstrategies,plansandobjectives,(v)theCompany’soperatingcosts,(vi)theCompany’scapitalexpenditures,(vii)expectationsrelatingtofutureminingandprojectdevelopment.Theseforward-lookingstatementsaresubjecttorisksanduncertaintiesthatcouldcauseactualresultsoreventstodiffermateriallyfromthoseexpressedorimpliedbytheforward-lookinginformation.Suchrisksanduncertaintiesinclude,butarenotlimitedto,(i)risksanduncertaintiesrelatedtotheproject,includingtheexpectedcompletionoftheproject,receiptofallrequiredapprovalandlicenses,establishingandmaintainingpartnerships;(ii)risksrelatedtotheCompany’sassumptionsonanticipatedrevenues,cashflowandcashposition,capitalandfinancialoutlookandleveragerations,andanticipatedsynergiesoftheCompany;(iii)risksassociatedwiththeCompany’sbusinessstrategies,plansandobjectivesandtheirachievements,ifatall;(iv)risksrelatedtoanticipatedgrowthrates,cashflowandstabilityofdrillingprograms;(v)risksandrequirementsrelatedtotheCompany’sabilitytosecureadditionalcapitaltocontinuetodevelopbusinessandrealizeonobjectives;(vii)relianceonthecapabilitiesandexperienceofkeyexecutivesandstrategicpartners;(viii)uncertaintiesrelatingtoCOVID-19pandemic;(ix)Negativeshiftsinpublicopinionandperceptionofthemineralsindustry;(x)increasingcompetitionintheindustry;(xi)politicalandregulatoryrisksandotherrisksassociatedwithchangesintaxandregulatoryregimes,general,economic,marketandbusinessconditions;(xii)risksrelatingtopartnershipsandagreementswiththirdpartiesandindustrypartners;(xiii)failureofequipmentorprocessestooperateasanticipated;(xiv)riskofshortagesoforpriceincreasesinkeyinputs,suppliersandskilledlabor;(xv)actualresultsofcurrentexplorationactivities;(xvi)conclusionsofeconomicevaluations;and(xvii)futurepricesofphosphateandlithiumironphosphate.

Theremaybeotherfactorsandrisksthatcauseactions,eventsorresultsnottobeasanticipated,estimatedorintended.Theserisks,uncertaintiesandassumptionscouldadverselyaffecttheoutcomeoftheplansandeventsdescribedherein.Inaddition,eveniftheoutcomeoftheplansandeventsdescribedhereinareconsistentwiththeforward-lookingstatementscontainedinthispresentation,thoseresultsordevelopmentsmaynotbeindicativeofresultsordevelopmentsinsubsequentperiods.Forward-lookingstatementscontainedinthispresentationarebasedonthebeliefsandexpectationsoftheCompany’smanagement,whichtheCompanybelievesarereasonableasofthecurrentdate,andaresubjecttosignificantbusiness,social,economic,political,regulatory,competitiveandotherrisks,uncertainties,contingenciesandotherfactors.ManyassumptionsarebasedonfactorsandeventsthatarenotwithinthecontroloftheCompanyandactualfutureresultsmaydiffermateriallyfromcurrentexpectations.

You

shouldnotplaceunduerelianceontheseforward-lookingstatements.Exceptasrequiredbyapplicablelaw,

theCompanyassumesnoobligationtoupdateorreviseanyforward-lookingstatementsinthispresentationtoreflectneweventsorcircumstances.FUTURE

ORIENTED

FINANCIALINFORMATIONThispresentationmaycontainfutureorientedfinancialinformation(“FOFI”)withinthemeaningofapplicableCanadiansecuritieslawsandapplicableUnitedStatessecuritieslaws,aboutprospectiveresultsofoperations,prospectivefinancialperformance,financialpositionorcashflowsandspecificallywithrespecttoprofitandloss,quarterlyrevenuesandnetincomefromsales,allofwhicharebasedonassumptionsaboutfutureeconomicconditions,coursesofaction,andmanagement’sassessmentoftherelevantinformationcurrentlyavailable,whichFOFIisnotpresentedintheformatofahistoricalbalancesheet,incomestatementorcashflowstatement.

TheFOFIhasbeenpreparedbymanagementoftheCompanytoprovideanoutlookoftheCompany’sactivitiesandresults,andhasbeenpreparedbasedonanumberofassumptionsincludingtheassumptionsdiscussedaboveundertheheading“Forward-Looking

Statements”andassumptionswithrespecttothecostsandexpenditurestobeincurredbytheCompany,capitalexpendituresandoperatingcosts,taxationratesfortheCompanyandgeneralandadministrativeexpenses.Managementdoesnothave,ormaynothavehadattherelevantdate,firmcommitmentsforallofthecosts,expenditures,pricesorotherfinancialassumptionswhichmayhavebeenusedtopreparetheFOFIorassurancethatsuchoperatingresultswillbeachievedand,accordingly,thecompletefinancialeffectsofallofthosecosts,expenditures,pricesandoperatingresultsarenot,ormaynothavebeenattherelevantdateoftheFOFI,objectivelydeterminable.Importantly,theFOFIcontainedinthispresentationare,ormaybe,baseduponcertainadditionalassumptionsthatmanagementbelievestobereasonablebasedontheinformationcurrentlyavailabletomanagement,including,butnotlimitedto,assumptionsabout:(i)thefuturecostsassociatedwiththeproject,(ii)thefuturepricingofphosphateandlithiumironphosphate,(ii)thefuturemarketdemandandtrendswithinthejurisdictionsinwhichtheCompanymayfromtimetotimeconductitsbusiness,(iii)theCompany’songoingminingandoperatingcostestimates,and(iv)theCompany’snetproceedsfromtheprivateplacement.TheFOFIorfinancialoutlookcontainedinthispresentationdonotpurporttopresenttheCompany’sfinancialconditioninaccordancewithInternationalFinancialReportingStandardsasissuedbytheInternational

AccountingStandardsBoard,andtherecanbenoassurancethattheassumptionsmadeinpreparingtheFOFIwillproveaccurate.

TheactualresultsofoperationsoftheCompanyandtheresultingfinancialresultswilllikelyvaryfromtheamountssetforthintheanalysispresentedinanysuchdocument,andsuchvariationmaybematerial(includingduetotheoccurrenceofunforeseeneventsoccurringsubsequenttothepreparationoftheFOFI).theCompanyanditsmanagementbelievethattheFOFIhasbeenpreparedonareasonablebasis,reflectingmanagement’sbestestimatesandjudgmentsasattheapplicabledate.

TheFOFIandfinancialoutlookscontainedinthispresentationhavebeenapprovedbymanagementasofJuly20,2022.However,becausethisinformationishighlysubjectiveandsubjecttonumerousrisksincludingtherisksdiscussedaboveundertheheading“Forward-Looking

Statements”,FOFIorfinancialoutlookwithinthispresentationshouldnotbereliedonasnecessarilyindicativeoffutureresults.ReadersarecautionednottoplaceunduerelianceontheFOFIorfinancialoutlookcontainedinthispresentationandshouldnotuseFOFIandfinancialoutlookcontainedinthispresentationforthepurposesotherthanthoseforwhichitisdisclosedhere.

ExceptasrequiredbyapplicableCanadiansecuritieslaws,theCompanydoesnotintend,anddoesnotassumeanyobligation,toupdatesuchFOFI.QUALIFIED

PERSONThescientificandtechnicaldisclosureforFirstPhosphateCorp.includedinthisInvestorPresentationhavebeenreviewedandapprovedbyGillesLaverdière,P.Geo.

Mr.

LaverdièreisGeologistandaQualifiedPersonunderNationalInstrument43-101StandardsofDisclosureofMineralProjects.CSE:PHOS

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FSE:

KD02confidentialFirstPhosphate

(CSE:PHOS)(FSE:KD0)

istheonlypubliclylistedcompanythatisfullydedicatedtoextractingandpurifyingphosphatefortheproductionofcathodeactivematerialfortheLithiumIronPhosphate(“LFP”)batteryindustry.FirstPhosphateholdsatotalof1,500+sq.kmofroyalty-freelandclaimsintheSaguenay-Lac-St-Jean

RegionofQuebec,Canadaconsistingofrare

anorthositeigneousphosphaterockthatgenerallyyieldshighpurityphosphatematerialdevoidhighconcentrationsofharmfulelements.FirstPhosphateplanstoemployaprudentpartnershipmodeltoverticallyintegratefromminesourcedirectlyintothesupplychainsofmajorNorthAmericanLFPbatteryproducersthatrequirebatterygradeLFPcathodeactivematerialemanatingfromaconsistentandsecuresupplysource.CSE:PHOS

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FSE:

KD03c

oconnfifiddeenntitailal3It

all

Starts

with

the

Highest

Purity

Source

of

Phosphate95%oftheWorld’s

PhosphateisfoundinheavymetalladenSedimentaryRock.Only4%oftheWorld’s

PhosphateisfoundinCleanIgneousCarbonatiteRock.Only1%oftheWorld’s

PhosphateisfoundinEvenCleanerIgneousAnorthositefoundmostlyonlyinQuebec,Canada.✔

Upto90%offeedstockcanbeconvertedtopurifiedphosphoricacid(PPA)

forLFPbattery✔

AllowsstrictfocusonLFPbatterytechnologyclientdownstream✔

Minesizeis8-10xsmaller✔

Capexfocusedonvalueadded✔

AllowsforfullcirculareconomySource:Food

andAgricultureOrganizationoftheTheUnitedNationsCSE:PHOS

|

FSE:

KD04confidentialReasons

to

Own

First

Phosphate1.GeographicAdvantage2.TheRightTypeofPhosphate3.DrivenbyEVBatteryMarketWorld’s

cleanestsourceofphosphaterockfromigneousanorthositePhosphatewithcharacteristicstogofromminetoLFPcathodeactivematerialFlagshippropertywithexplorationupside2(>1500km

ofroyalty-freeclaims)●

Quebec,CanadaisafriendlyminingjurisdictionandelectricvehiclehubforNorthAmerica●

Devoidofharmfulelements,lowsulphur●

ProcessusingcleanQuebecHydro●

Traceable,

ethical,responsible,securesupplysource●

ProduceslargeamountsofLFPbatterygradepurifiedphosphoricacid●

AbilitytosupplyacrossNorthAmericafromSaguenay-Lac-St-Jean●

Stronggovernmentsupportfor●

Environmentallyclean,circularadvancedminingandrefinementmethods.industry●

MeetsInflationReductionActSolventlessphosphateextractionRequirementsCSE:PHOS

|

FSE:

KD05confidentialWhy

theLFPBattery?LFPbatteriesuselithiumironphosphate(LiFePO4)asthecathodeactivematerial.LFPBatteryLFPbatteriesoperatesimilarlytootherlithium-ionbatteries.

Theyhavetheadvantageofbeingnon-toxic,havingsuperiorfiresafety,

longercyclelifeandlowercost.May9,2022–

Ford

EVBatterieswillSwitchOvertoLithiumPhosphateSoonApril21,2022-

AlmosthalfofallTeslas

builtinQ1hadtheLFPBatteryPackMarch10,2022-

RivianwillFollowTesla

andChangetoLFPBatteryTechnologyOct31,2021-

Mercedes-BenztoLaunchLFP-Pow6eredBEVsfrom2024Oct7,2021-

HyundaiMotorDevelopingEVswithLFPBatteryforGlobalMarketAug3,2021-

Ford,

VW,

Tesla

LeanintoLFPBatteryTechnology

forEVsSource:CSE:PHOS

|

FSE:

KD06confidentialLFP

is

for

Real

!●

Tesla

confirmedthatnearlyhalfofallitsvehiclesarealreadyusinglithiumiron-phosphate(LFP)batteries.●

ElonMusk:

"thevast

majorityoftheheavyliftingforelectrificationwillbeiron-basedcells."●

“By2030-2035,lithiumironphosphatebatterieswilldominate”(IndustryWeekQuotingJimFarley,

CEOFordMotorCo)InsideEVs:

/news/581261/tesla-lfp-battery-nearly-half-deliveriesReuters:

/business/autos-transportation/tesla-use-iron-based-batteries-semi-electric-trucks-affordable-electric-car-2023-04-06IndustryWeek:

/leadership/companies-executives/article/21267022/fords-farley-ev-cost-parity-will-come-after-2030CSE:PHOS

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FSE:

KD07confidentialLFP

Batteries

are

now

on

the

Street

or

Planned

in

North

AmericaRivianR1TRivianR1SSUVFord

F-150LightningFord

MustangMach-ETesla

Model3Tesla

ModelYTesla

Model2Tesla

SemiLightTrucksAutoweek:

/news/green-cars/a43007746/ford-ev-lfp-battery-techReuters:

/business/autos-transportation/tesla-use-iron-based-batteries-semi-electric-trucks-affordable-electric-car-2023-04-06electrek:

https://electrek.co/2022/04/22/tesla-using-cobalt-free-lfp-batteries-in-half-new-cars-producedTheDrive:

/news/rivian-battery-switch-could-increase-production-but-lower-rangeInsideEVs:

/news/684137/2024-mercedes-benz-esprinter-starts-74181-usd-113-kwh-batteryMercedes-BenzeSprinterCSE:PHOS

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FSE:

KD08confidentialLFP

is

Becoming

the

Battery

Chemistry

of

Mass

Market

Adoption•

Nontoxic

(cobalt,manganeseandnickelfree)•

Superiorfiresafety

(muchlessheatproduced)•

Welldefinedperformance

(lowercapacityloss,structurallymorestable)•

Environmentallyfriendlyandrecyclable

(noharmfulmetals)•

Lowestcostbatteryonthemarket

(inputmaterialpricing)•

Longerlongerlife,lowerdegradation

(millionsofmilesinsomecases)•

Highercharge/dischargeefficiency

(nobatterymemory)•

Consistentdischargevoltage

(lesspowerlosswhenbatterylow)•

Longershelflife

(storesitselfbetter)•

Versatileforvariousstorageapplications

(smallandlargescale)Sources:/1/lfp-batteries-pros-and-cons-elon-shifts-some-teslas-lfpSource:fi/news/lithium-iron-phosphate-battery-market-111600251.ht/news/a-closer-look-at-lithium-iron-phosphate-batteries-teslas-new-choice-of-battery/advantages-and-disadvantages-of-lifepo4-batteryCSE:PHOS

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FSE:

KD09confidentialLFP

Batteries

also

Deployed

in

Larger

Applications

-

Even

More

Phosphate!CommercialTransportationMay29,2022:

CATLBatteriestoBeUsedbyEurope'sTopElectricBusMakerSolaris/news/588650/catl-batteries-electric-buses-solarisMay23,2022:

LFPbatteryIncreasinglyAppliedtoElectricBuses,EnergyStorageSystems/news/a20220520PD202/auto-components-battery.htmlLargeScaleEnergyStorageMar30,2022:

ReportSuggestsLithiumIronPhosphatecouldPlayKeyRoleinEnergyStorage/report-suggests-lithium-iron-phosphate-could-play-key-role-in-energy-storageJan27,2022:

TeslaHintsatTransitionofAllEnergyStoragetoLFPBatteries/newsSource:Tesla's

Q12022FinancialResultsCSE:PHOS

|

FSE:

KD010confidentialEstimated

Demand

for

LFP

Cathode

Active

Material(EVs

Alone)$

LFP

Cam

Business

-

North

AmericaLFP

Cam

Demand

-

North

AmericaSource:

DeauVisionSrlSource:

DeauVisionSrlLFP

Cathode

ActiveMaterialIndustryProjections

($USD

Billions)1

Tonne

LFP

Cam=~USD$25,000FirstPhosphateistargeting90,000tonnesofLFP

Cathode

ActiveMaterialProductionby2032ineventualpartnershipwithleadingprovidersofLFP

CAMtechnology

(10%MarketShareofpotentialUSD$22BillionIndustry)00911CSE:PHOS

|

FSE:

KD0confidentialLFP

Battery

is

a

Versatile

TechnologyLFP

is

alot

morethanjustelectricvehicles.TherewillbenoshortageofbuyersforLFP

cathodeactivematerialespeciallyasrawmaterialsuppliesinallbatterychemistriesbecometighterandtighter.Onelimitationwillbethesupplyofpurifiedphosphoricacid(PPA).Source

:

Grandview

Custom

Research

202300912CSE:PHOS

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FSE:

KD0confidentialLFP

Battery

Segment

by

2040InChina,theworld’slargestEVmarket,LFP

batterieshavebecomethedominantchemistryoverNMCbatteries.

LFP

nowaccountsfor66%oftotalbatteryoutputinChinaasofthefirsthalfof2023

(Fastmarkets;July19,2023:/insights/lfp-batteries-extend-dominance-over-ncm-batteries-china)LFP

Global

Growth

Forecast$49.9$TheGlobalLithiumIronPhosphateBatteryMarketisprojectedtogrowfromUSD10billionin2021toUSD50billionby2028.Source:

/lithium-ion-li-ion-phosphate-batteries-market-102152Source:

BenchmarkMineralIntelligence2022|Q22022ForecastCSE:PHOS

|

FSE:

KD013confidentialThe

First

Phosphate

Opportunity

in

North

AmericaGlobalLFPBatteryMarketisProjectedtoGrowfromSeriousNorthAmericanShortageofBatteryGradePhosphateUSD$10billionin2021toUSD$50billionby2028●

NorthAmericanphosphateisdepleting●

Existingreservesatcapacityforfertilizer●

Existingsedimentaryminescannoteconomicallyproducelargeamountsofpurifiedphosphoricacid(PPA)

inresponsiblemannerasrequiredforthebatteryindustry●

LFPbatteryrepresentscloseto50%ofallEVBatteries●

Over90%ofLFPbatteriesarecurrentlymadeinChina●

USInflationReductionActNorthAmericanEVcontent:40%in2023.

Increasinggraduallyto80%in2026FirstPhosphateistheBuildingBlockforaNorthAmericanLFPBatteryEcosystem(Saguenay-Lac-St-JeanLFPBatteryValley)FirstPhosphateKeyAdvantages●

HighpurityphosphateextractioninSaguenay-Lac-St-Jean,Quebec,Canada(hometotheworld’spurestigneousphosphate)●

Value-added

phosphatepurificationandLFPcathodeactivematerialproductionanticipatedatPort

ofSaguenay,

Quebec●

Functioninfullresponsiblemannerandwithlowcarbonfootprint.●

Majorpartnersandprovenproviders●

Manageableminesizenearinfrastructure.CapExaimedatvalue-add●

LFPbatteryrelatedsecondaryrecoveries(iron,ironsulphate,titanium)●

Insitumanagementofmostmaterialinputs●

Rare

opportunitytogofromminetoLFPcathodeactivematerialinprudentpartnershipbasedfashionCSE:PHOS

|

FSE:

KD014confidentialPurified

Phosphoric

Acid

is

a

Capacity-Constrained

Specialty

ProductPhosphatebearingrock

iscrushedandprocessedtoobtainConcentratedPhosphateRock

(25%-41%puritylevel).SedimentaryRock

(25%-34%).

IgneousRock

(38%-41%).ConcentratedPhosphateRock

isthenprocessedintomediumpurityMerchantGradePhosphoricAcid(MGA)forfertilizerandAnimalfeed.MerchantGradePhosphoricAcid(MGA)

isthenprocessedintoPurifiedPhosphoricAcid(PPA)PurifiedPhosphoricAcid(PPA)

hasawiderangingnumberoffoodandindustrialapplications.Thereareonly4mainsuppliersofPPAintheWesternWorldallofwhichareintegratedintotheirownfoodorindustrialproductionorwhicharealmostallfullyoff-taken.

ThereislittleexcessPPAleftforLFPproduction.Source:

(Prud'Homme,2010,fromSchroderet.al.,

2010)Yet,wewillrequire2x-3xtheamountofPPAcurrentlyavailableinNorthAmericaby2030inordertoaccommodateLFPbatterydemand.89%:

MerchantGradeAcid(MGA)8%:

PurifiedPhosphoricAcid(PPA)IndustrialApplicationsIndustrialPharmaWaterFireSafetyFoodElectronics

LFPBatteryFertilizerAnimalFeedsCSE:PHOS

|

FSE:

KD015confidentialNorth

American

Phosphoric

Acid

Supply

is

in

DeclinePPA-WhereNorthAmericaNeedstoGotoMeetEVDemandAloneUnitedStatesPhosphoricAcidProduction(MGA&PPA)Source:

StatisticaSource:

DeauVisionSrl“What

a

shock

-

a

closer

look

at

the

LFP

supply

chain

indicates

to

us

that

there

may

very

well

be

raw

material

supply

chain

issues

to

come

for

LFP.”Source:

BMRFeb2022009CSE:PHOS

|

FSE:

KD016confidentialGlobal

Purified

Phosphoric

Acid

Supply

is

Going

to

be

a

Big

IssueCRUGroupreportsconservativelythatnewLFPdemandrequires95-120%increaseincurrentsupplyofPPA

by2045NorthAmericandemandincreasemustbefromdomesticsourcestomeetsupplychainintegrityconcernsandgovernmentfundingdirection.CSE:PHOS

|

FSE:

KD017confidentialFirst

Phosphate

in

the

LFP

Battery

EcosystemAdvancedRefinementLFP

CathodeActiveMaterialBatteryCellsandPacksExtractionConcentrationUpstream

(own)Midstream

(in

partnership)Downstream(clients)ConcentrateAdvancedLFP

GradePhosphateLFP

CathodeActiveMaterialMiningPurityProductionRefinementProduceLFPProduceLFPgradeHomologatedirectly

Listentotheneeds

EncourageendofCrush,separate,OpenpitminingoperationcathodeactivematerialwithglobalPhase

4partnerspurifiedphosphoricacidtogetherwithPhase

3intobatterycellsand

ofelectricvehiclelifecycleconcentratetoobtain3recoveries:Phase

2batterypacksofmanufacturersand

recyclingofbatteryPhas