Globe Metals & Mining Positioned to Become Major New Niobium Supplier

• Charles Azler has 18+ years of experience in finance and business leadership, with expertise in IPOs, Corporate Finance, strategy, and more.
• He discussed the mining development agreement in Malawi, emphasizing its benefits for investors, stability, and role in the country's future.
• Charles highlighted the significance of niobium oxide in battery technology, its applications in steel production, and its critical mineral status in various countries.
• Globe Metals & Mining aims to enter the niobium market, leveraging modern and efficient mining processes, and is well-positioned in Malawi and Namibia to achieve this goal with support from local communities and sustainable practices.

About Globe Metals & Mining

Globe Metals & Mining Limited has the potential to become the first globally significant niobium producer in 50 years through its Kanyika Niobium Project in Malawi, Africa. Niobium is a critical mineral needed for the production of strong, lightweight steels and lithium-ion batteries. Demand for niobium is expected to surge in the coming years, but supply is highly concentrated with Brazil accounting for over 90% of global production. Globe aims to be a new, reliable and environmentally sustainable niobium supplier to help diversify the market.

The Kanyika Niobium Project is located in Malawi, a stable pro-mining democracy. It is covered by a Mining Development Agreement providing tenure security and is fully permitted with a license to immediately start construction. The project has an estimated 24 year mine life based on a resource of 68.3 million tonnes. Conventional open pit mining and processing will produce niobium concentrate, with further processing planned in Namibia to produce niobium oxide.

A 2021 Definitive Feasibility Study showed the project has an NPV of US$1 billion. Estimated total revenue over the life of mine is US$5.6 billion, with forecast EBITDA of US$3.7 billion over 23 years. This demonstrates the significant margin between niobium production costs and selling prices. Globe recently completed an A$8 million capital raising to advance development. This enables finalization of engineering studies and sample production, with first ore targeted for November 2024.

Rather than using outdated technology, Globe intends to employ a new cleaner and more efficient chlorination process that requires far fewer reagents, delivering major cost savings. The closed-loop system recycles chlorine back into the process and will produce high purity 99% niobium oxide product.

Niobium - Growth Applications

Niobium has two key growth applications central to the global energy transition and reducing carbon emissions:

Firstly, when added to steel as ferroniobium it creates stronger, lighter-weight steel. This enables design improvements and CO2 reductions for buildings, infrastructure and more. Steel with niobium needs 75% less material to achieve the same strength.

Secondly, niobium oxide improves lithium-ion battery performance and charging speed. Research shows niobium doping allows ultra-fast 10 minute charging, while also increasing battery energy density and lifespan. This makes it ideal for electric vehicles and renewable energy storage.

With total niobium oxide demand approximated at 10,000 tonnes in 2022 and leading producer CBMM planning to triple capacity by 2030, demand is surging. Moreover, 25% of CBMM's sales are already in lithium-ion batteries for electric vehicles. Niobium's critical mineral status makes it a priority for the US, EU and Asia. However, supply growth has been severely limited for decades, with no new mines opened in the past 50 years. Brazil holds over 90% of global reserves and output, creating major supply chain risks. Existing producers use outdated, high emission processing methods.

The Kanyika Niobium Project - an investment opportunity:

The Kanyika Niobium Project presents an attractive investment opportunity given the favorable supply/demand fundamentals for niobium. With few new projects in the pipeline globally, Kanyika will help fill a growing supply gap as demand surges for niobium's use in electric vehicle batteries, steel, and other applications.

The project's location in the stable, pro-mining jurisdiction of Malawi provides security and confidence for investors. The Mining Development Agreement with the government also provides assurance that the regulatory environment will remain predictable and positive.

The robust economics demonstrated in the Definitive Feasibility Study highlights the project's significant potential to generate outstanding returns on investment. With over US$5 billion in forecast lifetime revenue and multi-billion dollar NPV, the projected profit margins are impressive.

Globe Metals & Mining's experienced management team provides further confidence in the company's ability to successfully permit, finance, develop and operate a project of this scale. Their technical and operational expertise helps derisk execution.

The intention to utilize modern, efficient mining and processing methods will ensure Kanyika can be a low-cost niobium producer, maximizing profitability. The innovative chlorination approach brings environmental benefits too.

With first production targeted in under two years, the timeline to realize revenue streams is relatively near-term for a mining project. There is potential for shareholder returns within a few years, rather than decades.

Given niobium's critical role in the global energy transition and decarbonization, investor appetite for new, responsibly managed projects like Kanyika is strong. The ESG-focused strategy aligns with investor priorities.

Kanyika offers the right project at the right time in the right location, with the right commodity fundamentals and the right team. For investors seeking exposure to the high-growth niobium space, it is a highly compelling opportunity.

Conclusion

With global niobium demand rapidly increasing for green steel and electric vehicle batteries, but supply heavily concentrated in Brazil, Globe Metals and Mining is in a strong strategic position. The Kanyika Niobium Project in Malawi has the resource size, government support and economic fundamentals to become a globally significant niobium producer for decades to come. With ESG principles ingrained in the development and operating plans, Globe has the opportunity to make Kanyika an exemplar African mining project that generates outstanding long-term returns for investors while providing broad economic and social benefits.