Lion Battery Technologies R e s e a r c h o n P G M s i n L i t - - PowerPoint PPT Presentation

PLG: NYSE AMERICAN | PTM: TSX

Lion Battery Technologies

R e s e a r c h

• n P G M s

i n L i t h i u m B a t t e r i e s

PLG: NYSE AMERICAN | PTM: TSX

Disclosure

Technical and Scientific Information This presentation has been prepared by Platinum Group Metals Ltd. (“Platinum Group”

• r

the “Company”). Information included in this presentation regarding the Company’s mineral properties has been compiled by R. Michael Jones, P.Eng, the President and Chief Executive Officer of the Company, and a non-independent Qualified Person for purposes

• f

National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”), based

• n

independent information filed by the Company with the Canadian securities regulators and the U.S. Securities and Exchange Commission (“SEC”). R. Michael Jones, the QP who has compiled the technical info for the presentation, has approved the written disclosure regarding technical and scientific information in this presentation. For more detailed information regarding the Company and its mineral properties, you should refer to the Company’s independent technical reports and other filings with the Canadian securities regulators and the SEC, which are available at www.sedar.com and www.sec.gov, respectively. Scientific and technical information contained herein is derived from the Company’s technical reports. Information contained herein related to the Waterberg Definitive Feasibility Study and associated Reserve and Resource Update can be found in the October 4, 2019 technical report entitled, “Waterberg Project Definitive Feasibility Study and Mineral Resource Update.” www.sedar.com and www.sec.gov.. Reference is made to such reports for more detailed information with respect to the Company’s properties, including details of quality and grade

• f

each mineral resource estimate, details of the key assumptions, methods and parameters used in the mineral resource estimates and a general discussion of the extent to which the mineral resource estimates and the

• ther estimates and projections included in the

reports may be materially affected by any known environmental, permitting, legal, taxation, socio- political, marketing, or other relevant issues. Cautionary Note to United States Investors Estimates of mineralization and other technical information included

• r

referenced in this presentation have been prepared in accordance with NI 43-101. The definitions of proven and probable reserves used in NI 43-101 differ from the definitions in SEC Industry Guide 7. Under SEC Industry Guide 7 standards, a "final" or "bankable" feasibility study is required to report reserves, the three-year historical average price is used in any reserve or cash-flow analysis to designate reserves and the primary environmental analysis or the report must be filed with the appropriate governmental authority. As a result, the reserves reported by the Company in accordance with NI 43-101 may not qualify as "reserves" under SEC standards. In addition, the terms "mineral resource", "measured mineral resource", "indicated mineral resource" and "inferred mineral resource" are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves; "inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian securities laws, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases. Additionally, disclosure

• f

"contained

• unces" in a resource is permitted disclosure

under Canadian securities laws; however, the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in place tonnage and grade without reference to unit measurements. Accordingly, information contained or referenced in this presentation containing descriptions of the Company's mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Platinum Group Metals

1

PLG: NYSE AMERICAN | PTM: TSX

Forward Looking Statements

This presentation contains forward-looking information within the meaning of Canadian securities laws and forward-looking statements within the meaning of U.S. securities laws (collectively “forward-looking statements”). Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, plans, postulate and similar expressions, or are those, which, by their nature, refer to future events. All statements that are not statements

• f

historical fact are forward-looking statements. Forward-looking statements in this press release include, without limitation, statements regarding the projections and assumptions relating to the DFS, including, without limitation NPV, IRR, costs, mine life, payback periods, margins, exchange rates, inflation, recoveries, grades, potential production

• f

the Waterberg Project and other operational and economic projections with respect to the Waterberg Project; Waterberg Project’s potential to be a bulk mineable, low cost, dominantly palladium mine producing platinum and palladium based on a fully mechanized mine plan; the Waterberg Project’s potential to be one of the largest and lowest cash cost underground platinum group metals mines globally; the projected receipt of the Mining Right in Q1 2020, first production in late 2023 and steady state production by 2027; the expected creation of 1,100 new highly skilled jobs; the potential for future drilling to convert mineral resources into reserves, extending mine life; and the potential for underground mining of the North Mine to lower future capital costs. Mineral resource and reserve estimates are also forward-looking statements because such estimates involve estimates of mineralization that may be encountered in the future if a production decision is made, as well as estimates of future costs and values. Although the Company believes the forward-looking statements in this press release are reasonable, it can give no assurance that the expectations and assumptions in such statements will prove to be

• correct. The Company cautions investors that any

forward-looking statements by the Company are not guarantees of future results or performance and that actual results may differ materially from those in forward-looking statements as a result

• f

various factors, including the Company’s inability to generate sufficient cash flow or raise sufficient additional capital to make payment on its indebtedness, and to comply with the terms

• f

such indebtedness; additional financing requirements; the Company’s credit facility (the “Sprott Facility”) with Sprott Resource Private Lending II (Collector), LP (“Sprott”) and the other lenders party thereto is, and any new indebtedness may be, secured and the Company has pledged its shares of Platinum Group Metals (RSA) Proprietary Limited (“PTM RSA”), and PTM RSA has pledged its shares

• f

Waterberg JV Resources (Pty) Limited (“Waterberg JV Co.”) to Sprott, under the Sprott Facility, which potentially could result in the loss

• f

the Company’s interest in PTM RSA and the Waterberg Project in the event of a default under the Sprott Facility

• r any new secured indebtedness; the Company’s

history

• f

losses and negative cash flow; the Company’s ability to continue as a going concern; the Company’s properties may not be brought into a state

• f commercial production; uncertainty of estimated

production, development plans and cost estimates for the Waterberg Project; discrepancies between actual and estimated mineral reserves and mineral resources, between actual and estimated development and

• perating

costs, between actual and estimated metallurgical recoveries and between estimated and actual production; fluctuations in the relative values of the U.S. Dollar, the Rand and the Canadian Dollar; volatility in metals prices; the failure of the Company or the other shareholders to fund their pro rata share of funding obligations for the Waterberg Project; any disputes or disagreements with the other shareholders

• f Waterberg JV Co., Mnombo Wethu Consultants (Pty)
• Ltd. or Maseve; the ability of the Company to retain its

key management employees and skilled and experienced personnel; conflicts of interest; litigation or

• ther administrative proceedings brought against the

Company; actual or alleged breaches of governance processes or instances of fraud, bribery or corruption; the Company may become subject to the U.S. Investment Company Act; exploration, development and mining risks and the inherently dangerous nature of the mining industry, and the risk

• f

inadequate insurance or inability to obtain insurance to cover these risks and other risks and uncertainties; property and mineral title risks including defective title to mineral claims or property; changes in national and local government legislation, taxation, controls, regulations and political or economic developments in Canada and South Africa; equipment shortages and the ability of the Company to acquire necessary access rights and infrastructure for its mineral properties; environmental regulations and the ability to obtain and maintain necessary permits, including environmental authorizations and water use licences; extreme competition in the mineral exploration industry; delays in obtaining, or a failure to obtain, permits necessary for current or future operations or failures to comply with the terms of such permits; risks of doing business in South Africa, including but not limited to, labour, economic and political instability and potential changes to and failures to comply with legislation; the Company’s common shares may be delisted from the NYSE American or the TSX if it cannot maintain compliance with the applicable listing requirements; and

• ther risk factors described in the Company’s most

recent Form 20-F annual report, annual information form and other filings with the U.S Securities and Exchange Commission (“SEC”) and Canadian securities regulators, which may be viewed at www.sec.gov and www.sedar.com, respectively. Proposed changes in the mineral law in South Africa if implemented as proposed would have a material adverse effect

• n

the Company’s business and potential interest in projects. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or

• bligation to update any forward- looking statement,

whether as a result of new information, future events or results or otherwise.

Platinum Group Metals

2

PLG: NYSE AMERICAN | PTM: TSX

Overview of Platinum Group Metals Ltd.

• Research and development using PGMs in

a cutting-edge lithium battery.

• Supported by Anglo Platinum, world’s

largest PGM producer, partner Florida International University (FIU).

• Focused on Lithium Air and Lithium Sulfur

chemistry with 5X to 10X the power to weight advantage.

• Large-scale low cost mine development in

South Africa. Feasibility completed.

• 19.5 Million ounces of PGMS in RESERVES
• Rare Palladium dominant deposit with 45+

year Mine Life.

• Construction decision in early 2020 with

potential $165M investment from Implats. I n J o i n t V e n t u r e w i t h M a j o r P G M P r o d u c e r s

3

Platinum Group Metals

PLG: NYSE AMERICAN | PTM: TSX

C h a n g i n g t h e E V T h r e a t t o a n O p p o r t u n i t y

PGMs are proven catalysts that play an important role in chemical reactions. FIU discovered and filed a patent on using PGM’s in a particular way in a battery. Lion Battery Technologies has signed an exclusive licence on that innovation and innovations developed together with FIU The research is in its early stages and may have application for Lithium Air, Lithium Sulphur and other types of Batteries

T h e a u t o m o t i v e i n d u s t r y i s 8 0 % + o f P d d e m a n d 3 0 % + o f P l a t i n u m d e m a n d . A r o l e f o r P G M s i n b a t t e r i e s w o u l d b e a g a m e c h a n g e r f o r t h e P G M m a r k e t .

Lion Battery Technologies

Market Development Opportunity PGMs in Lithium Batteries

4

PLG: NYSE AMERICAN | PTM: TSX

Research on PGMs in Lithium Batteries

S c i e n t i f i c r e s e a r c h f o l l o w i n g a p a t e n t - p e n d i n g i n n o v a t i o n u s i n g P G M s i n a l i t h i u m b a t t e r y

Anglo Platinum, the leading PGM company in the world, and Platinum Group Metals Ltd. have jointly founded Lion Battery Technologies Inc., to research the use of PGMs in a lithium battery. Lion Battery Technologies Inc. is supported by Anglo Platinum and Platinum Group Metals Ltd. for up to US $4M with exclusive rights to all technology developed. A partnership has been signed to support dedicated research at Florida International University (the 4th largest USA university by enrollment)

Lion Battery Technologies

5

PLG: NYSE AMERICAN | PTM: TSX

Technology Benefits

Using Palladium/Platinum catalysts in the cathode to improve the rate capability and reduce the charge over-potential Using Palladium/Platinum inside Carbon for Stabilization of the electrolyte Custom designed electrolytes –for use in many types of Batteries Published Papers Demonstrate expertise in all these areas

Lion Battery Technologies

T h e r o l e o f P G M s i s a n i n n o v a t i v e a p p r o a c h t o b a t t e r i e s :

6

PLG: NYSE AMERICAN | PTM: TSX

1 https://evannex.com/blogs/news/tesla-s-battery-pack-is-both-mysterious-and-alluring-work-in-progress 2 https://www.bloomberg.com/news/articles/2019-06-05/gm-plans-to-sell-electric-cars-to-joe-sixpack-and-make-

money

3 https://interestingengineering.com/tesla-puts-price-on-model-3-battery-module-replacement-around-5000-7000

Li-Oxygen + PGMs Potential

C o m p a r i s o n t o Te s l a M o d e l 3 B a t t e r y M o d u l e s

Lion Battery Technologies

7

T e s l a M o d e l 3 L i - O ₂ M a x i m u m S c e n a r i o # 1 S c e n a r i o # 2 E n e r g y 75 kWh¹ 75 kWh W e i g h t 371 kg¹ 43 kg 100 kg 150 kg C e l l ( 2 1 7 0 ) 4,416 cells¹ 1,000 cells 2,330 cells 3,500 cells C o n f i g u r a t i o n 3.7 V/cell 2.7 V/cell 2.7 V/cell 2.7 V/cell C h e m i s t r y NCA Li-O₂ S p e c i f i c e n e r g y / c e l l 202 Wh/kg 1,700 Wh/kg 750 Wh/kg 500 Wh/kg C o s t p e r k W h $150 per kWh² $21.2 per kWh $50 per kWh $75 per kWh C o s t p e r k g $31 per kg $37 per kg $37 per kg $37 per kg C o s t o f 7 5 k W h m o d u l e $7,000 – 11,250²,³ $1,590 $3,760 $5,590 G r a m s o f P d $0 12 g 30 g 44 g C o s t o f P d $0 $600 $1,500 $2,200 % C o s t o f P d 0% 37.7% C y c l e l i f e 500+ cycles 500 cycles (target) 500 cycles (target) 500 cycles (target)

PLG: NYSE AMERICAN | PTM: TSX

Thank you

8 3 8 – 1 1 0 0 M e l v i l l e S t r e e t Va n c o u v e r , B C V 6 E 4 A 6 p l a t i n u m g r o u p m e t a l s . n e t 6 0 4 - 8 9 9 - 5 4 5 0 i n f o @ p l a t i n u m g r o u p m e t a l s . n e t