China Sites Visit Details - Firebird Manganese

Notes from the recent Site Visit to China. Credit to CG.

Interest in the manganese sector and more recently manganese ore pricing, has started to accelerate following the suspension of operations (South 32 qtly indicated 12 months ) at Groote Eylandt Minig Co (GEMCO) unit. Groote Eylandt is one of the world’s largest and lowest cost manganese mines, accounts for 12% of global manganese supply, with annual production in 22/23 of 5.9 Mt and remaining JORC resources of >140 million tonnes of manganese ore. South 32 is the world’s largest producer of Mn and owns 60% of GEMCO, with the remaining 40% owned by Anglo American.

• Site Visit – Key Highlights and Takeaways

1.A comprehensive tour of the Company’s battery grade manganese sulphate Pilot Plant and R&D centre, located in Jinshi, Hunan Province, the Jinshi Port and the Company’s proposed site in the Jinshi High-Tech Industrial Park, where Firebird's processing facilities are set to be established.

1.This was a key part of the trip as it provided the investor group with key insights into the existing critical infrastructure and tier-one facilities within the industrial park and surrounding areas. We were amazed by the size, quality and synergies of the industrial park which reinforces the low cost / CAPEX opportunity Firebird has through establishing operations in China – huge tick of approval from the investor group

2.The Company has already assembled a leading, high-purity manganese sulphate led by manganese sulphate specialist Mr Zhou Qiyun, Chief Operating Officer of Hunan Firebird Battery Technology Co Ltd (Chinese subsidiary of Firebird Metals)

3.Firebird’s Chinese technical team’s expertise reflected in low capital intensity and low operating cost process


2.We spent a large amount of time with key Jinshi Government officials, where the strong levels of support for the Project and Company were clearly demonstrated.

1.The Government’s commitment and drive to establish a long-term relationship with Firebird and ensure the success of the Project, further strengthened Firebird’s already high-level of confidence in its long-term future in China and executing on its vision to become a near-term producer.


3.We were fortunate to visit and tour Firebird’s major shareholder Canmax Technologies, globally leading, 60,000 tonne per annum lithium hydroxide plant in Meishan.

1.An eye-opening visit which provided the investor group with a clear example of what can be built and achieved in China, by working side-by-side with a supportive Government. The Plant and facilities are world class and supported by a driven and highly experienced team who we were lucky enough to spend time with.

• Strong Pipeline of News flow Ahead of FID in Late Q3, Early Q4 2024

1.Feasibility Study – Expected May 24

2.Patent on FRB designed equipment that reduces cost and other commercial applications

3.Finance update on banks & EPC supplier

4.Environmental, Safety & Energy use permitting (3 most important permits)

5.Potential award as the Mn3O4 R&D centre for Hunan Province, this will showcase FRB technical capability across the sector and markets

6.Possible MOU’s for offtake

7.Preliminary design plus preliminary building permits

8.Bank loan approval

9.Final design and full permit

10.Final Investment Decision

End


Overall this is a great summary of the visit. Plenty of price catalysts in the very near future.