High Purity Quartz Limited

Transaction Summary

Company Overview

The world’s most critical mineral linked to renewable energy and semiconductor thematic.
Ultra-high purity quartz sand and powder is the fundamental building block for all digital technology and solar PV renewable energy.

Ultra-high purity sand and powder market is driven by growth in the manufacture of all solar PV cells, fibre optic cables and semiconductors embedded in all high demand growth consumer applications including Smartphones, Electric Vehicles, 5G networks and associated digital platforms.

“The world’s most critical mineral”

Ultra high purity quartz sand and powder is a critical and essential mineral used in the manufacture of Solar PV crucibles for fabrication of solar grade silicon wafers and semiconductor crucibles for fab of semi grade silicon wafers.

High growth opportunities have been driven by renewable energy generation, chip demand for all digital hardware and other specialty applications including fibre optic cables, electronic encapsulants, quartzware applications such as lighting and pharma/lab glass.

The major industrial manufacture markets are China for solar PV and US, Japan, Korea and Taiwan for semiconductor chips.

All end-use consumer applications depend on a secure supply of ultra-high purity quartz sand and powders, these are:

• All smart electronic devices including phones, TVs, laptops, modern sensors
• All digital platforms such as Facebook, Amazon, Alphabet, Netflix, Google
• All fibre optic cables including for use in 5G networks
• Electric Vehicles (all new vehicles generally) depend on digital tech to operate
• All solar PV cells and modules and related renewable power generation
• The consumer demand has created growth markets subject to risk of supply dominated by the USA.

Investment Highlights

Critical mineral leveraged to the growing Solar PV, EV, fibre optics, and semiconductor and renewables thematic

Drilled quartz JORC Measured and Indicated resource in Queensland, Australia

Qualifying resources with the right chemistry are extremely scarce globally

Strong management and advisory team and expert project partners

Low volume, high value markets with existing USA-based resource dominance impacting supply security in APAC manufacture markets

Estimated lowest costs of production relative to main competitors

Early pre-production sales from simple quarry and haulage of lump product to the sales point

Valuation growth enabled by processing plant build and volume expansion backed by long-life asset and multiple exploration assets

Listing planned within 18 months

Interest from larger strategic entities involved in solar PV and semiconductor manufacture after this round and test results.

Full project NPV > A$900m post tax, 10% discount rate.