AU GU ST 2017
The information contained herein is provided solely for the reader's general knowledge. The information is not intended to be a comprehensive review of all matters and developments concerning NRG Metals Inc. All information is offered on a "best intentions" basis. No securities commission or other regulatory authority in Canada or any other country or jurisdiction has in any way passed upon this information and no representation or warranty is made by NRG Metals Inc. to that effect. This presentation may include "forward looking statements.” All statements, other than statements of historical fact, included herein, including without limitation, statements regarding exploration results, future plans and objectives of NRG Metals Inc. are forward looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. NRG Metals Inc. does not make any representations, warranties or guarantees, express or implied, regarding the accuracy, completeness, timeliness, noninfringement, or merchantability or fitness for a particular purpose or use of any information contained in presentation. Furthermore, the information in no way should be construed or interpreted as, or as a part of, an offering or solicitation of securities. Investors are advised to discuss all of their stock purchases with a registered securities broker or personal finance professional prior to investing. No obligation, responsibility or liability shall be incurred by NRG Metals Inc. or any of its officers, directors, employees or agents for any loss or damage whatsoever, whether incidental, special, indirect, consequential, punitive, exemplary, or for lost profits in connection with, caused by or arising from any delays, inaccuracies, errors or omissions in or infringement by, or from any use of, or reliance on such information contained in this presentation. The preparation of this presentation was supervised by Mr. William Feyerabend, a Certified Professional Geologist and a member of the American Institute of Professional Geologists, and a Qualified Person as defined under National Instrument 43-101. Mr. Feyerabend approves the scientific and technical disclosure contained in this presentation. 2
COMPANY HIGHLIGHTS • Company management are highly qualified and experienced in the Listed TSX Venture exploration and development of lithium projects symbol: NGZ OTC symbol: • Company objective is to quickly enter the lithium market by developing GPOFF technically uncomplicated, limited environmental footprint projects located in Argentina. Frankfurt symbol: OGPN • Hombre Muerto North Project is located in an area of lithium production and development. • Salar Escondido Project is a drill ready, fully permitted, 29,000 hectare claim block that represents an exploration opportunity to make a significant new lithium discovery. • The market for lithium is expected to grow considerably over the coming decade 3
LITHIUM TEAM Jose De Castro James K. Duff Jose Louis Martin Fernando E. Villarroel C H I E F O P P E R T A I N G E X E C U T I V E D I R E C T O R M A N A G E R O F N E W P R O J E C T M A N A G E R O F F I C E R B U S I N E S S D E V E L O P M E N T N R G M E T A L S A R G E N T I N A N R G M E T A L S A R G E N T I N A L I T H I U M T E A M L E A D E R N R G M E T A L S A R G E N T I N A N R G M E T A L S A R G E N T I N A Mr. Duff has over 40 years of diverse Mr. Villaroel has 12 years of experience in international mining, Dr. Martín served as the Catamarca experience in the mining industry in Mr. de Castro has five years with representative for Galaxy Lithium Argentina with a focus on Lithium including positions as the Chief Argentine lithium producer Geologist at St. Joe Mineral’s Aguilar S.A. from 2010 to 2013 where he process development. From 2009 to OROCOBRE LTD. (ASX:ARE) from mine in Jujuy province, and Chief participated in the development of 2013 he worked with Lithium 2010-2015 as Country Manager and the feasibility study for Galaxy’s Sal Operating Officer of Minera Andes, Americas Corp. (Minera Exar S.A.) as was responsible for the development which owns 49% of the San Jose De Vida project in the Salar de Project Manager which included of the Salar de Olaroz Lithium Project, Hombre Muerto. Dr. Martín has over construction management and gold-silver mine in Santa Cruz, a $ U.S. 300 million operation. He has 35 years of experience in the mining commissioning of the initial pilot Argentina and 100% of the giant Los extensive knowledge of lithium Azules porphyry copper deposit in industry, including exploration, evaporation facilities and laboratory at exploration, development and San Juan, Argentina. Mr. Duff was development operations and the Cauchari Olaroz Lithium Project. operations, having supervised the also formerly the President of South community and governmental He has also acted as a consultant to work program for Orocobre at Salar de relations. Neo Lithium and International Lithium American Operations for Coeur Olaroz, and Salinas Grandes. He has Inc. He holds a degree in Industrial Mining with responsibility for mines also held senior positions FMC Lithium in Chile, Bolivia and Argentina. Engineering and has specialized the operator of South America’s training in Data Modeling & Analysis largest lithium operation in the Hombre for Business and Engineering from Muerto salar. M.I.T. 4
CURRENT MARKET • World production of lithium is dominated by a small number of participants NRG will focus on that account for 90 % of the total market. establishing an Industrial Grade • Production from salar brine accounts for 51% of world production. production operation • Significant operational challenges encountered in producing a Technical Listed TSX Venture Grade lithium product at a remote salar location. symbol: NGZ OTC symbol: GPOFF • World projects have been characterized by low success in timing along with budget and schedule overruns. Frankfurt symbol: OGPN • NRG will focus on identifying, and establishing a project with the intent of producing an industrial grade lithium product. 5
LITHIUM MARKET SUPPLY AND DEMAND WORLD LITHIUM PRODUCTION FROM BRINE World production of lithium is an oligopoly controlled by four companies which produce 89% of supply from all sources. Albemarle produces 18% , SQM produces 21% and FMC produces 10% , all sourced from lithium brine. Tianqi / Albemarle produce 40% of the worlds lithium supply from mineral sources in Australia. New entrants into the marketplace are required to meet future demand Source Global Lithium 2015 6
LITHIUM MARKET SUPPLY AND DEMAND GLOBAL LITHIUM CARBONATE DEMAND Megatrends are driving lithium demand growth. Electric vehicles including cars and buses (a Tesla has 112 pounds of lithium in its battery). Grid storage – potential demand could exceed electric vehicle demand. Lithium ion battery technology key to renewable energy. METRIC TONNES Lithium ion battery market is yet to reach maturity as new applications are continuously being defined. Source Global Lithium 2015 7
HOMBRE MUERTO NORTH LITHIUM PROJECT PROJECT HIGHLIGHTS • 3,297 Hectare claim package comprised of six concessions in Salta Province • Adjacent to Galaxy Resources’ Sal de Vida lithium development project and FMC Corp’s long -time producing Fenix lithium brine operations. • 20 surface samples collected in 2016-2017 range from 48 to 1,064 mg/L Li, averaging 587 mg/L Li , with seven samples over 800 mg/Li. • Magnesium to lithium ratios range from 1.1:1 to 10.2:1, averaging 4.6:1 , which are low by industry standards. • Geophysical data indicates zones of low resistivity, interpreted to be potential lithium-bearing zones that are open at depth. 9
HOMBRE MUERTO NORTH LITHIUM PROJECT SUMMARY • Large amount of public data suggest the claims are located in a high grade portion of the salar. • Company has applied for permits that include exploration test wells, pumping well tests and evaporation test pond construction. • Negotiations underway to expand the land package. 8
SALAR ESCONDIDO PALEO SALAR PROJECT HIGHLIGHTS • Drill ready project located in Catamarca Province , 40km south of Antofagasta de la Sierra. • NRG controls a dominant portion of the basin with a total of 29,192 hectares under option. • Road access direct to claim area, infrastructure support nearby. • Approximately 40km east of the large Antofalla Salar, and a pproximately 100km south of Hombre de Muerto salar, location of the FMC lithium production facility and Sal de Vida lithium deposit owned by Galaxy Resources . • Drill contractor selection currently underway with drilling expected to commence fourth quarter 2017 10
SALAR ESCONDIDO PALEO SALAR 11
SALAR ESCONDIDO PALEO SALAR 0 20KM 12
SALAR ESCONDIDO PALEO SALAR Company has completed a VES survey across two of the claim blocks Surface sampling in fresh water zone returned anomalous Li values up to 50ppm and high carbonate values 13
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