A MULTI PHASE RECLAMATION PROJECT WITH

COMMODITY RECOVERY:
Recovering Value from a Chemical Processing
Waste
by Wastes Ecotech Srl (WET), Tarnaveni, Mures County, Romania

Commodities
45% vol
Target reduction
Mures MgO
County
Waste
Material Cr2O3 Final
1.95m m3 Waste
Bucharest
Material
3,5m t CaCl2
NH3

CONFIDENTIALITY AND DISCLAIMER STATEMENTS

This document is strictly confidential and may be legally privileged. It is intended solely to be received by the person(s) or organisation(s) to whom it is addressed. If you are not the
intended recipient of this document retaining, using, disseminating, distributing, copying or taking any actions in reliance upon any information or documents contained in it is strictly
prohibited and will constitute a breach of confidentiality. If you have received this document(s) in error, please immediately inform the owner : Wastes Ecotech Srl –
office@wastesecotech.ro and delete it.

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 1 History of Site / Current Ownership

 Former State Owned Fine Chemical (multiple) production site – operating from
1916 – 2006
 1916 – 1922 - Gases & explosives
 1922-1948 - Nitrates & fertilisers
 1939- 1948 - Ceramics, Gold, Silver, Copper and Lead refining
 1950 – 1975 - Bichromate 1 (built 1959-1955) & closed 1978
 1968 – 1986 – Zinc Oxides, Barium salts, Formic & Hydrofluoric acid, Creolite,
Freon 11 & 12
 1971 - 2006 - Bichromate 2 (built 1971 – 1972)
 WSF built at the same time
 Located in Mures County, central Romania.
 Assets purchased (130ha site) via public auction in Oct 2012.
 3 years spent uniting the 110 land parcels – separation into new plots ongoing
 All plant has been demolished. Clean up of demolition wastes ongoing.
 100% private ownership & unencumbered.
 No Royalties apply to the Project Phase 1.

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 2 Background Dichromate Process
 Chromite ore is roasted
 4FeCr2O4 + 8Na2CO3 + 7O2 → 8Na2CrO4 + 2Fe2O3 +
8CO2
 Lime is also added to ensure the products do not
agglomerate
 However, at Bicapa a local Mg rich dolomite was
utilised
 Soluble chromium salts are then mobilised and further
refined by either:
 2Na2CrO4 + 2CO2 + H2O → Na2Cr2O7 + 2NaHCO3
 or
 2Na2CrO4 + H2SO4 + 2O2 → Na2Cr2O7 + Na2SO4 + H2O
 Wastes are in the form of insoluble components such as
iron, aluminium, calcium, magnesium and silicon oxides
or hydroxides

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 3 The Asset

 Target Asset for this project : 1.95m m3 of Sodium Dichromate Waste Tailings
(“COPR”) - Chromium Ore Processing Residue – stored in 2 purpose built Waste
Storage Facilities (WSF) 18.7 ha (510 x 320m & ave. height @ 12m)
 COPR contains Hexavalent Chrome (Cr6+) hence the asset has a environmental
liability (on an RO/EU watch list) > previously resulted in caution from others
when wanting to deal with the site.
 Options for the site are :
 Cap WSF (Do “nothing” approach) > risk remains > costs estimated at EUR
20m
 Reprocessing, Reclaim and Monetise (WET option).

BENEFITS : from this novel approach of remediation through reprocessing.

• Monetisation of the remaining minerals.
• Eliminates the contaminant materials – inert waste returned to WSF
• Reduces the volume by 48% & mass by 76%
• Providing a fully EU compliant revamped WSF (dangerous wastes)
• Provides long term employment for up to 360 direct FTE’s

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 4 Short Project Introduction

Environmental Remediation Project

 Project consists of a 2 phase approach :

 Phase 1 (years 1-9) >

 Environmental remediation of cca. 3.5m tonnes (1.95m m3) of COPR on fully
owned company property.
 Project involves reprocessing the stored wastes and extracting the minerals
as Chrome Oxide Green, Fused Magnesia, Calcium Chloride and Liquid
Ammonia (as a by-product).
 Phase 1 has followed the JORC reporting method which will result in a JORC
2012 format report expected end April 2019.
 Based on 100% debt finance…i.e. for the exercise no new equity has been
assumed
 Environmental topic resolved via reprocessing of waste, conversion of
Chrome 6 > Chrome 3 and renovation of the Waste Storage Facility over
Phase 1 project life.
 Strong local and federal government support for the project.

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 5 Short Project Introduction

 Phase 2 (years 10-20)

 Continue processing locally sourced micronized dolomite into the existing

plant (minor mods req’d) post reprocessing to produce FM or MgO (only).
 All required plant will be in place from Phase 1 – assumed FM output of 3,85
t/hr on a 24/7 & 330 day yr. basis.
 Project Plan assumes additional 11 year processing life but 20 + year plant
life is possible.
 Additional Phase 2 EBIT of cca. 250m USD for the period with flat product
pricing but inflation adjusted OPEX.
 Continued employment for 85% of staff.
 Keep paid for assets working.

NB – Pinch analysis and detailed design still to be done on Project Phase 1&2
hence costs are not as yet optimised.

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 6 Short Project Introduction

 Approach and Status

 WET followed the JORC Reporting path to obtain a Certified JORC 2012
Report based on Estimated Resource, Probable Reserve.
 Inferred JORC obtained in 2014
 Current work aimed at upgrade to Estimated – Bankable Feasibility
Study

 Drilled 50 x 50m grid (72 holes) and at 1m intervals (902 samples to ACME
Vancouver for assaying).
 3D modelled the resource.
 Pilot work done over past 5 years on simple pilot plant on site
 BFD for plant design including 3D layout completed.
 Excavation (“Mining”) planning done – to month by month level.
 TEM (Techno Economic Model) done.
 Urbanism Certificate in place.
 EIA submittal will be done end March 2019

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 7 Drill hole locations - WSF
A B

WSF
Nr 3

Project Summary - Key Financials

WSF
Nr 2

WSF
Nr 1

WSF denotes
Waste Storage Facility
(Batal in Romanian)
Project includes : Exploratory drill holes
WSF 2&3 - 18.7 ha only. Not in model

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 8 Project Site Plan - WSF & Plant
N
Process
Admin Site

Logistics
Sites

Coffer
Dam line

Tabel 1 - C ladiri T abel 4 - C onstructii Industriale

WET Dam
site WSF 2&3
Tabel 2 - D rum uri de incinta, exterioare si parcari

WSF 1 Clear zones =

Tabel 3 - P latform e betonate, piatra sparta si spatii tehnologice
WET property
(eg)

Beneficiar: Plansa
S .C . G E O C O N S E X P E R T P R O IE C T S .R .L N r.
B U C U R E S TI SC WASTES ECOTECHSRL F aza
Ing.V lad R adulescu BUCURESTI SF

N um ele Sem natura S cara Proiect de inchidere dupa post utilizare la nivel de studiu de fezabilitate
1:2000 (SF) pentru batalurile de deseuri nr. 1, 2, 3 si a batalului rezultat dupa
P roiectat Ing. A ndronache I. procesare - Bicapa - Tarnaveni

08/03/2019 Wastes Ecotech Srl – Project Presentation Update Dec 2018 – v6 D esenat Ing. A ndronache I.
V erificat Ing. V lad R adulescu

A probat Ing. Luca D aniela

D ata
04.2018
Fila
1/2
9
PLAN DE AMPLASARE
VARIANTA V_6
REVIZIE APRILIE 2018

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 9 Project Site Plan - WSF & Plant
N

Haul
road
CONVEYOR LENGHTS
C1=29.5 m
C2=59.5 m
C3=103.5 m
C4=107.8 m
C5=55.4 m
C6=103.5 m
C7=107.8 m
C8=136.4 m
C9=103.5 m
C10=107.8 m
HAUL ROADS
A=2292 m2 A=327 m
B=2350 m2 B=336 m
C=2180 m2 C=311 m

0 15.10.2018 FOR REWIEW C.C. D.R. I.P. D.R.

Name Signed Name Signed Name Signed Name Signed
REV. DATE/DATA DESCRIPTION Nume Semnat Nume Semnat Nume Semnat Nume Semnat
DES/DESENAT BY/PROIECTAT CHK'D/VERIFICAT APP'D/APROBAT

WASTES ECOTECH S.R.L.

WET MINING PLAN
FINAL WASTE MATERIAL(FWM)

DWG'S LEGAL OWNER/PROPIETAR LEGAL DESEN SCALE/SCARA DWG. NUMBER/NUMAR DESEN SHEET/FILA REV.
ALCONEX METROLOGY & SERVICES S.R.L. 1:1000 WET-1604-MIN-001 1/1 0

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 10 Trenching locations – post DPT work

T1-5 ARE TRENCHES FROM JAN 22 2019

T2
T1
T5

T3

T4

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 11 Trenching Exercise
Trench – 4,7 m Original Angle of repose

T3 T2

Disturbed Angle of repose

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 12 Pre-Excavation Works – Haul Road A

For the JCB JS160 assuming a cycle time of 40 seconds and a

bucket size of 0.85m3.
Assuming 85% utilisation of a 9 hour shift and that the
excavator can move waste for 90% of the time, 10% to allow
for repositionable movements, then the JS160 can move (0.85
x 3600 x 90% / 40) m3/hr or 69 m3/hr. And 527 m3 in a shift.
The Hydrema 922F has a payload capacity of 12m3, therefore
need 5.7 trucks per hour and 10min 30sec turnaround time.

JCB JS160

JCB 457 Hydrema

922F

COPR

Working Face Long Term Face

35o 10m Haul 26o
Road

Clay Basal Layer

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 13 Pre-Excavation Works – Haul Road A

Hitachi ZX670 LRE has a cycle time of 40 seconds, from

YouTube video
Assuming 85% utilisation of a 9 hour shift and that the
excavator can move waste for 90% of the time, 10% to allow
for repositionable movements, then the ZX670 can move (3
x 3600 x 90% / 40) m3/hr or 243 m3/hr. And 1,859 m3 in a
Rented shift.
LRE The Hydrema 922F has a payload capacity of 12m3,
therefore need 20.3 trucks per hour and 3min turnaround
time. JCB 457 Hydrema
922F

COPR 35o
Face
Working Face Long Term Face
35o 10m Haul 26o
Road

Clay Basal Layer

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 14 Pre-Excavation Works – Haul Road A

With both units working simultaneously

and assuming a split between the JS160
and the ZX670 of 5% and 95%,
respectively, the excavation would
require 25 shifts

Rented
LRE

Hydrema
JCB 457 922F

COPR 35o
Face
Working Face
Long Term Face
35o
10m Haul 26o
Road

Clay Basal Layer

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 15 Pre-Excavation Works – Haul Road A

The JCB JS160 would also be used to clean the northern

perimeter dyke

JCB JS160
Hydrema
JCB 457
922F
Working Face
35o

Level of N Perimeter Level of N Perimeter

Dyke Working Face Dyke
10m Haul 35o
Road
Clay Basal Layer

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 16 Basal Layer Effectiveness

Cr2O3 (wt%)
0 5 10 15
0%
F01
10% F02
F03
20% F04
F05
30% F06
F07
F08
40%
F09
Depth (%)

F10
50%

60%
Clay base is effective
70% barrier
80%

90%

100%

Cr is mobilised within
the WSF

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 17 Basal Layer Effectiveness

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 18 Mining Progress

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 19 WSF Images

Original Clay Dyke Overfill Dyke (COPR)

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 20 WSF Images

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 21 WSF Images

6m

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 22 Key Project info
 Key Financial Info - Impact on EBIT (Phase 1 only)

600

550

500

450
EBIT USD Million

400

350

300

250

200

150

100
-20% -15% -10% -5% 0% 5% 10% 15% 20%
Percent Variation

CAPEX OPEX Revenue MgO Cr2O3 CaCl2 NH4

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 23 Key Project info

 Project Summary – Key Tech Points

 Simple form of exploitation using Long Reach Excavators, Wheeled Loaders and low ground
pressure dump trucks . “ Mining” study completed by Belevion (RO) Srl with review by SRK
UK Ltd.
 Automated return of Final Waste Material post processing via Portal Reclaimer, Conveyors
& Tracked Stacker in WSF.

 Moveable Road matting to be used

where humidity may impede vehicle
movement

 HEPA Air Filters to be retrofitted to

equipment in the work front (HSE)

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 24 Key Project info

 Project Summary – Key Tech Points

 All possible measures to be taken for site / environmental safety are planned. Dry misting water to
suppress dust, remote monitoring stations, Phonic protections where needed. LGP type vehicles

 Labour required 292 FTE Direct Plant, 28 FTE External contractors, 27 FTE Exploitation Contractors
(“mining” planned to be outsourced) employed over a 10 year operating period. Expected 2:1
additional employment ratio for other support parties (further 714 FTE external supplier support).
> Project will provide employment for Circa 1000 people (direct / indirect) when in full operation.

 Environmental cost est. of USD32M over Life of Project (LOP) + post closure monitoring period (30
years). Post closure costs allowed for in TEM Phase 1.

 Logistics, Admin and parts of the site post decontamination will be repurposed post closure.

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 25 Key Project info

 Project Summary – Salient talking Points

 No mining required (all material above “ground” hence simple loader/truck exploitation)
hence certified by ANMR (Romanian Mineral Resource Authority) as not under the RO
mining law (no royalties).
 WET process tech eliminates current environmental concerns (Cr6+) while producing
multiple product streams. Appealing option by Local EPA / authorities vs std remediation.
Full EIA submittal in June 2018, initial stage EIA visa received.
 The Project has strong local / state authority support due to WET continued forward
momentum and EU pressure on RO to clean up historical sites. Its profile benefits the
level of support not normally seen on such projects.
 Site utilities, road, rail and water infrastructure (WET owns a dam on the River) in place or
at boundary
 Provides significant long term employment
 Presents itself as a model method for elimination of dangerous wastes.
 Model is repeatable on other sites – but we have learnt some clear (and costly) lessons
along the way.

 EU needs to look harder at support methods to such projects.

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 26 Key Project info

 Block Flow Diagram – prior to

introduction of Fused Magnesia (FM)
step. Presently being updated and
initial development underway in a
PFD.
 Plant has multi product potential on
Cr, MgO & Ca product streams with
simple changes.
 WET will look to submit for an
applications Patent based around
the the Cr module upgrade.
 Data pack includes significant pre-
feasibility engineering done
 Significant Plant unit relocation
possible post completion of the .

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 27 Full BFD Overview
21.2.62

19.1.23

18.1.20

11.1.17

Water to 11.2.30 5.2.14

recirculation 1.1.1
Water
Feed
5.1.25 5.2.64 5.2.64 5.1.26 River Tarnava Mica
20.2.60 1.1.1 1.1.2 1.1.2
11.1.15

WSF REGENERANT SOL. TEHNICAL GRADE PROCESS GRADE

0101 HYDRATION 0502 0505 0501
PREPARATION WATER WATER

1.2.2 1.2.1 5.1.7 7.1.12 19.1.21 5.2.65 16.2.48 5.1.27

Filtrate Wet cake
SOW - P01

HCl (aq) 3% 11.1.16 11.1.17 H2O

NH4 OH (aq) 6% 11.1.15 1.2.2 1.2.1 2.1.3 CO2
2.1.4 Demineralized grade water
8.2.26 2.1.4 H2O
6.2.17 HCl 35% (l) 5.2.67 5.2.67
5.1.28 5.2.66

ACTIVATION SOL. DEMINERALIZED

0211 IEX 3 0302 CARBONATION 0503 0510 GRADE WATER
PREPARATION

11.2.33 11.2.32 11.2.31 11.2.30 2.2.4 2.2.3 7.1.13 19.1.22 11.1.16 5.2.65
Water to Wet cake Filtrate
recirculation

11.2.32
5.2.68 5.2.68
5.2.16
7.2.22 10.1.5
3.2.7 CO2 5.1.8
19.2.58 12.2.64 NH3 10.1.5 H2O 3.2.8
12.2.34 H2O 3.2.8 H2O
5.2.15 5.1.29 NH4 Cl (s)

NH4Cl (aq)
0212 CONCENTRATION 0310 WASHING 2 0303 PRECIPITATION 1 0504
PREPARATION

12.2.35 10.2.6 10.2.5 3.2.10 3.2.9 7.2.21 17.1.19 19.2.57

Wet cake Filtrate Filtrate Wet cake
CO2 13.2.36 13.1.18 H2C2O4
H2O 13.2.37

4.1.6 H2O 4.1.6

0213 MIXING 5.1.30 H2C2O4 (s)

13.2.38 N2
14.2.40
INITIATOR
14.2.39 CO2 0304 WASHING 1 0511
SOL. PREPARATION
14.2.41 NH3
14.2.42 H2O 4.2.12 4.2.11
Filtrate Wet cake 13.1.18 5.2.69
3.2.10
0214 VACUUM HEATING
10.2.5
14.2.43
H2O 15.2.45 15.2.44 CO2 HCl (aq) 3% 5.1.8 5.1.9 H2O 5.1.9
NH4OH (aq) 6% 5.1.7

0215 CALCINATION 3
0305 IEX 1
15.2.46
5.2.16 5.2.15 5.2.14 5.2.13

FINISHED PRODUCT FP2

Cr2O3 4.2.11
SOW - P02
6.1.10 CO2
6.1.11
10.2.6 6.1.11 H2O

16.2.47 CO2
0306 RECARBONATION
16.2.48 H2O

6.2.18 6.2.17
Filtrate Wet cake (Waste RC) 16.2.48
0416 CALCINATION 2

16.2.49 HCl (aq) 3% 7.1.13 11.2.31

Calcinated cake
7.1.12 NH4OH (aq) 6%

7.1.14 H2O 7.1.14

NH4Cl (aq) 17.1.19 17.2.50 NH3 0307 IEX 2 0509 W.W.T.

7.2.22 7.2.21 7.2.19 5.2.13 7.2.19 19.2.55

0417 LEACHING - NH4 Cl

7.2.20

17.2.52 17.2.51
Wet cake Filtrate
2.1.3
8.2.23 CO2
8.2.24
8.2.24 H2O

H2O 18.1.20 0308 PRECIPITATION 2 0506 CO2 STORAGE

8.2.26 8.2.25 5.1.32

Filtrate Wet cake
0418 WASHING 3 6.1.10

8.2.23
18.2.54 18.2.53
Filtrate Final Waste 9.2.27 CO2 9.2.27
9.2.28
H2O 19.1.23 9.2.28 H2O
HCl (aq) 3% 3.2.7
19.1.22
NH4 OH (aq) 6% 19.1.21 17.2.51

0309 CALCINATION 1 0506 CO2 RECOVERY

9.2.29 5.2.71
Calcinated cake
16.2.47
0419 IEX 4
5.2.72 CO2
13.2.37
19.2.58 19.2.57 19.2.56 19.2.55

PRODUS FINIT FP1 BY - PRODUCT BP1 CARBONATED

MgO LIQUID NH3 WATERS
SOW - P03
Lime 20.1.24 20.2.59 NH3 5.1.31 5.1.27
12.2.64
12.2.34

14.2.40
0420 PURIFICATION CaCl2
14.2.39
20.2.61 20.2.60
Filtrate Wet cake
14.2.41

14.2.42
H2O 21.2.62

17.2.50
5.2.73 5.2.73

20.2.59
0421 CONCENTRATION 5.1.33 Quick Lime (s)

21.2.63
QUICK LIME
0508 NH3 RECOVERY 0507
PREPARATION
18.2.53 5.2.70

FINISHED PRODUCT FP3/3 (FP3/2; FP3/1) BY - PRODUCT BP2

CaCl2 Anhydrous FWS AMMONIA WATERS
(CaCl2 x 2 H2O; CaCl2 x 6 H2O) (NH4 OH)

SOW - P04 5.1.25

20.1.24
SOW - P05

11 09-2018 FOR REWIEW - - I.Peleanu I.Peleanu D.Runciman

NAME / NAME / NAME / NAME /
DATE / DESCRIPTION / NUME NUME NUME NUME
REV.
DATA DESCRIERE DRAFTED / ENGINEERED / CHECKED / APPROVED /
LEGEND: Process Utilities Legend: Notes: DESENAT PROIECTAT VERIFICAT APROBAT
Plants Legend: 0501 - Preparation of Process Grade Water Continuous Processes Line " "
P01 - Crushing/Milling & Hydration 0502 - Preparation of NH4OH (aq) Regenerant Solution Discontinuous Processes Line (batch type) " "
P02 - Fabrication of Cr2O3 0503 - Preparation of HCl (aq) Activation Solution Discontinuous Processes Line (batch type) " "
P03 - Fabrication of MgO 0504 - Preparation of NH4Cl (aq) Reagent Solution Discontinuous Processes Line (batch type) " "
P04 - Fabrication of CaCl2 Anhydrous 0505 - Preparation of Tehnical Grade Water Abbreviations:
WASTES ECOTECH S.R.L.
(CaCl2 x 2H2O; CaCl2 x 6H2O) 0506 - Recovery & Storage of CO2 (as gaseous CO2) ''WSF'' - Waste Storage Facility
P05 - Process Utilities 0507 - Preparation of Lime Solution
0508 - Recovery & Storage of NH3 (as liquid NH 3)
''FWS'' - Final Waste Storage
''IEX'' - Ion Exchange
BLOCK FLOW DIAGRAM
0509 - Waste Water Treatment (W.W.T.) ''FP1'' - Finished Product 1 WET WSF - REPROCESSING PLANT
0510 - Preparation of Demineralized Grade Water ''FP2'' - Finished Product 2
0511 - Preparation of H2C2O4 (aq) Initiator Solution ''FP3'' - Finished Product 3
''BP1'' - By Product 1 DWG'S LEGAL OWNER/PROPIETAR LEGAL DESEN SCALE/SCARA DWG. NUMBER/NUMAR DESEN SHEET/FILA REV.
''BP2'' - By Product 2
WASTES ECOTECH S.R.L. 1:1 WET-1604-WRP-BFD-01_E 1/10 11

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 28 Preliminary TEM Assessment

Key Financial Elements Key Elements of TEM

 Phase 1 EBIT = 422m USD • 100% debt finance basis for TEM
 Phase 2 EBIT = 250m USD • Discount rate of 7%
 CAPEX = 148m USD • Assumed Int. rate of 9.92% on finance
 Phase 1 IRR = 32% (7% above USD LIBOR)
 OPEX not yet optimised • 15 year repayment of CAPEX
 Assumes 100% debt finance • NO State Aid factored in
 Possibility / probability of State Aid • 30 year post completion funding
& EU funding allowed for.
 • Full 4 months working capital assumed
• 330 days / year operation (90%
 EMPLOYMENT for circa 360 FTE efficiency assumed)

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 29 Project Status

 Upside Potential / Risks

Strong probability to access •Delays (highly unlikely) on

significant (30-50m EUR) State Aid permitting – WET in advanced
due to Project nature, size and state already and project has high
Upside Potential

location (employment). profile.

Access to EU Funding pool for Upward pressure on local

environmental projects (est 22m economy causes price / wage

Risks & Mitigation

EUR of works to be done) growth – WET allowed 2%
compounding inflation (not usual
Optimization will lower CAPEX & in JORC reports).
OPEX and improve returns
Staffing availability locally. WET
Additional / other Mineral recovery has assumed high automation
made possible (Ga/Fe)

08/03/2019 Wastes Ecotech Srl – Project Presentation Update Mar 2019 – v7 30

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