Talga Group (TLG) investor relations material

Strategic market positioning and project progress

• Focus shifted to high-performance lithium-ion battery anodes for premium markets such as AI, robotics, aerospace, and defense, leveraging proprietary technology and a fully integrated supply chain.

• Secured all key mine and refinery permits, defined ore reserves, and initiated commercial deliveries of natural graphite anode material, marking a significant milestone in project validation.

• Multiple non-binding LOIs with major Japanese and global customers are progressing toward binding agreements, supporting the financial investment decision (FID) process.

• Tripled output and doubled sales volumes from the EVA plant, with expanding customer base in Japan, the U.S., and Europe.

• Ongoing FEED study updates and engineering optimizations are addressing inflationary pressures and supporting phased ramp-up plans.

Financing, partnerships, and expansion options

• Actively pursuing non-dilutive project-level equity, government grants, and strategic partnerships to minimize equity gap and secure project funding.

• Exploring expansion and downstream opportunities in France and the U.S. due to changing subsidy landscapes and customer proximity, while maintaining Sweden as the core development site.

• Engaged with U.S. government agencies and considering a duplicate anode plant in the U.S. if sufficient support is available.

• Bilateral partnerships between Sweden, Japan, France, and the U.S. are being developed for direct investment and supply chain integration.

Market dynamics and supply chain resilience

• Global battery supply chains are shifting due to geopolitical tensions, export controls, and the need for FEOC-free materials, with synthetic graphite prices rising and natural graphite regaining competitiveness.

• Japan and Europe face supply constraints from China, increasing demand for alternative sources and accelerating qualification processes for new suppliers.

• Graphite remains the dominant anode material, with alternative chemistries like sodium and silicon projected to have minimal market share by 2030-2035.