Sharing our Success! TSX.V: CVX Investment Presentation March 2018 - - PowerPoint PPT Presentation

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Sharing our Success! TSX.V: CVX Investment Presentation March 2018 - - PowerPoint PPT Presentation

Sharing our Success! TSX.V: CVX Investment Presentation March 2018 Forward Looking Statements This presentation contains certain statements that may be deemed "forward-looking statements". All statements in this document, other than


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Sharing our Success!

TSX.V: CVX Investment Presentation March 2018

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CVX:TSX.V

Forward Looking Statements

This presentation contains certain statements that may be deemed "forward-looking statements". All statements in this document, other than statements of historical fact, that address events or developments that CEMATRIX (“the Company”) expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward- looking statements. Factors that could cause the actual results to differ materially from those in forward looking statements include, failure to successfully negotiate or subsequently close such transactions, inability to obtain required shareholder or regulatory approvals, uncertainty with respect to findings under exploration programs and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward looking statements are based on the beliefs, estimates and

  • pinions of the Company's management on the date the statements are made. The Company undertakes no obligation

to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

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CVX:TSX.V

  • 3-

CEMATRIX – The Premier North American Supplier of Cellular Concrete

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CVX:TSX.V

Testimonial

“We saved

  • ver

5000 man hours compared to conventional backfilling techniques, as well as accelerating

  • ur

pavement schedule by seven weeks”

KBR/A&V Testimonial

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CVX:TSX.V

CEMATRIX HIGHLIGHTS

2018 – Just signed LOI to acquire a profitable cellular concrete leader in the U.S.

2017 – Game Changing Lafarge Mktg. & Regional Expansion Agreements

2018 – Forecast for CEMATRIX only is $14 million in sales - $1.3 million EBITDA 2018 – Combined Forecast $30 million in sales - > $3.0 million EBITDA 2018 – Combined Project pipeline exceeds $190 million – 99.9%+ infrastructure

2018 – Pipeline includes potential projects in excess of $10 million each

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CVX:TSX.V

Three Key Benefits of The CEMATRIX/ MixOnSite Acquisition

  • Experienced key sales,

technical and

  • perational staff
  • MOS has 3 Dry Mix

Units and 4 Wet Mix Units

  • Combined 1,000,000 m3
  • f capacity
  • Equipment
  • Foaming Agents
  • Material Mix Designs
  • Sand Mix Grouting
  • Underwater Cellular

Concrete Placement

  • Experience in most

U.S. States where cellular concrete used

  • Strong NE and

Midwest US Presence

  • Repeat Customers

Experienced Personnel and Equipment Shared Technologies Strong U.S. Market Presence

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CVX:TSX.V

Combined 2018 Project Summary

Sales – CDN $’s Amount $

Contracted for 2018 $21.2 MM Verbally awarded for 2018 7.2 MM Other likely for 2018 1.9 MM Total forecasted for 2018 $30.3 MM Sales Pipeline * $190.0 MM

*

Cumulative total of non-contracted projects being considered by the engineering world for the use of cellular concrete in 2018 - 2019.

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Joint Marketing and Regional Expansion Agreements Journey to a 100,000 Tonne Customer of Lafarge

CEMATRIX/Lafarge Partnership

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“Lafarge is furthering its development of solutions for the infrastructure segment. By

  • fficially

partnering with CEMATRIX, Lafarge has an additional offer for its customers who require the innovative construction benefits provided by cellular concrete.”

Barry Martin - Vice President Sales & Logistics at Lafarge North America

CEMATRIX/Lafarge Partnership

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  • 10-

On The Street

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Sale and Onsite Placement Of Cellular Concrete

11

The Business

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What Is Cellular Concrete?

Portland cement based “No Aggregates” Aggregates replaced with “Air Bubbles”

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How Is It Made?

Mobile Batch Plants

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Who Are Our Primary Customers?

ENGINEERS and P3 Groups Who design materials into projects

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What Is The Size Of The Market?

IMMEASURABLE

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Three Separate Billion Dollar Markets

  • Road and Runways
  • MSE Panel Backfill
  • Bridge Abutment

Backfill

  • Tunnel Grouting
  • Pipeline Bedding
  • Buried Utilities
  • Service Roads
  • MSE/Retaining Walls
  • Facility Under-slab
  • Pipe-racks & Modules
  • Fire lines & Other

Utilities

  • Tank Bases
  • Buildings
  • Parking structures
  • Roof Decks
  • Shallow Utilities
  • Nuclear

Infrastructure

  • Mine Infrastructure
  • Mine Backfill

Infrastructure Including Tunnels

Industrial and Oil and gas

Commercial and Mining

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Supporting Our Infrastructure

T S X . V : C V X

Tunnel Grouting Utility Insulation Road Base MSE Panel & Retaining Wall Backfill Foundation Support Bridge Embankment Void Fill

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Supporting Our Industrial Sector

Road Base Pipe-rack & Module Insulation Tank Bases Fire-line & Utility Insulation Pipeline Embedment Foundation Insulation & Support

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CEMATRIX/INSEAD estimates a yearly Canadian CC market of $40 M Plus

Source: Cematrix * $40 Million is an estimate of the area which is in focus for this project ** Provincial estimates exclude large single projects

GVA - $2.6 Mill Calgary - $2.4 Mill Edmonton – $6.03 Mill Winnipeg - $2 Mill GTA - $8.6 Mill Ottawa - $1.1 Mill Montreal - $2.4 Mill Quebec City - $.331 Mill

$4.3 Mill $14.35 Mill $11.2 Mill $5.5 Mill $5.1 Mill

**$20 Mill Potential Project**

$40.5 Million*

**$8 Mill Potential Project**

An additional $45+ Million of larger projects and US work was excluded

Focus of Operations and Sales

CEMATRIX estimates are based on business development discussions and RFP’s which have been sent. There are no estimates for Atlantic Canada Larger projects have been excluded and highlighted separately due to ability to service if they took place in the next year

CEMATRIX Cellular Concrete Market Estimates| Assumptions

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New York - $101 Mill L.A- $42.8 Mill Houston - $23.6 Mill Philadelphia - $16 Mill San Antonio - $15.1 Mill Phoenix - $16.1 Mill San Diego - $14.2 Mill Dallas - $13.4 Mill San Jose – $10.6 Mill San Francisco - $7.1 Mill

$68.2 Million $74.2 Million

Chicago - $28.9 Mill

Colorado - $107,425

INSEAD also indicated the estimated US market

  • pportunity is significant
  • Source: Cematrix, Philip Parker INSEAD

Macro Trends | Overview

With a large amount of annual infrastructure spending the NE US creates significant demand.

  • Oil and Gas projects in the SW are

proving to be the most cost competitive in North America.

  • Storage in Oklahoma, Texas and

Louisiana has been stretched for some time and is expanding daily.

  • Any expansion would require

greenfield operations and at least 3 year development cycle to build connections and sales pipeline.

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Airport Runways & Aprons

Up to 50,000 m3 or more per project

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Road Reconstruction

Up to 50,000 m3 or more per project

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Bridge Abutment Backfill

Up to 50,000 m3 or more per project

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MSE Backfill

Up to 50,000 m3 or more per project

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Refinery Projects

Up to 50,000 m3 or more per project

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Oil Sands Facilities

Up to 50,000 m3 or more per project

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Tunnel Grouting

Up to 50,000 m3 or more per project

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50,000 m3 of Cellular Concrete specified on one project, 100,000 m3 being specified

  • n another

West Coast Bridges

Over 175,000 m3 or more of Lightweight Fill being considered

South Eastern U.S.

150,000 m3 of Cellular Concrete being considered

Central North American Bridges

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Capitalization

Capitali lizatio ion Amount

Shares Outstanding: 34,4 ,475,9 ,994 Shares Is Issued at Closing: 3,3 ,343,4 ,421 Conversion of f Convertible Notes: 10,6 ,698,9 ,947

* post MOU transaction – pre financing

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Sales Growth – CEMATRIX Only and Combined

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Why CEMATRIX

Significant upside in large untapped growing market across North America;

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Why CEMATRIX

Significant upside in large untapped growing market across North America;

Journey to 100,000 tonnes with Lafarge, the largest world cement supplier;

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Why CEMATRIX

Significant upside in large untapped growing market across North America; Journey to 100,000 tonnes with Lafarge, the largest world cement supplier;

State of the Art Equipment, Foaming Agent and other Proprietary Technologies;

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CVX:TSX.V

Why CEMATRIX

Significant upside in large untapped growing market across North America; Journey to 100,000 tonnes with Lafarge, the largest world cement supplier; State of the Art Equipment, Foaming Agent and other Proprietary Technologies;

Leader in Canadian and now U.S. market, technologies, quality control and safety;

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CVX:TSX.V

Why CEMATRIX

Significant upside in large untapped growing market across North America; Journey to 100,000 tonnes with Lafarge, the largest world cement supplier; State of the Art Equipment, Foaming Agent and other Proprietary Technologies; Leader in Canadian and now U.S. market, technologies, quality control and safety;

Leader in R&D to support future growth in MSE Backfill and Road Applications;

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CVX:TSX.V

Why CEMATRIX

Significant upside in large untapped growing market across North America and the world; Journey to 100,000 tonnes with Lafarge, the largest world cement supplier; State of the Art Equipment, Foaming Agent and other Proprietary Technologies; Leader in Canadian and now U.S. market, technologies, quality control and safety; Leader in R&D to support future growth in MSE Backfill and Road Applications;

Strong proven management/ sales/engineering/operating team.

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CEMATRIX Corporate Head Office 5440 – 53rd Street SE Calgary, AB 403.219.0484 www.cematrix.com info@cematrix.com The Howard Group Investor Relations Contact 350, 318 – 11th Ave SE Calgary, AB 1.888.221.0915 www.howardgroupinc.com jeff@howardgroupinc.com