5E Advanced Materials (FEAM) 21 Nov 242025 Q1 Earnings call transcript

Good afternoon, and welcome to the 5E Advanced Materials First Quarter 2025 Shareholder Update Call. [Operator Instructions] Please note that today's conference call is being recorded. I would now like to pass the call over to Joe Caminiti, Investor Relations. Joe?

Good afternoon, and thank you for joining us today for the 5E Advanced Materials Fiscal First Quarter 2025 Shareholder Update Conference Call.

will can our Investor be of website. management a release Relations call, our that presentation found this be press referencing and section During in the

presentation, our FEAM@alpha-ir.com at go to page or For IR Relations or press Investor our copy contact Alpha of the a supplemental on you our may Group release, website.

to our legal Slide of presentation, the X turn disclaimers. Please where presented we

operational will the of market contain and made and conference costs future forward-looking future including reminder, on expenditures remarks items. a other savings, call As dynamics, cost expectations statements, our results, capital spending production initiatives, and today's liquidity, capacity, cash savings, capital

or in Our actual statements. materially those projected adversely these differ forward-looking or discussed results may from

or annual time these to in other X, adversely are statements. with contained concerning on on the from report obligation statements time from to forward-looking in is under the information Additional that materially could forward-looking our factors XX-K as no updated update September cause the SEC company our filed Form XXXX, SEC. with The filings differ results public to

first Products, Chief Zamek. we call Rod comments, will and XE's of open your Commercial hosted call President by to Engineering Paul which off lead MacLaine; questions. by Officer, call making This afternoon's some of Vice conference & Weibel; will is Construction, Management the after Executive Vice President Mark prepared open the

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Specifically, have focus commercial byproducts decision have made calcium will Holistically, pursue we and calcium strategic of of design that synergistic At we been work sense basis this it X outline partnership stage, the strategic positives and chloride gypsum to main believe the our multiple shortly. a makes chloride. given we this towards with the include in players. and and offtake byproduct,

on to FID. provide call will who over With road Rod, that the this an rationale our turn map update said, outline behind to the decision I'll and

I'll and if Slide Paul, everyone. my on begin that. turn afternoon, Thanks, to remarks #X, good you would

ease, operational the our commercial assessed relative and our for chloride After company. of calcium believe our moving we calcium is included variables laying pillars we the basis the pros design. out economic chloride, chloride As to forward focused of technical on commercial gypsum. the firmly optimum and Calcium in with analysis logistics, and now cons, direction is

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we to a reduce perspective, calcium and when X in simpler believe and Operationally, will and improved agricultural chloride a applications. that high-grade on commonly as the produce complexity not and demands commercial process for At calcium has count sulfuric to it having given maintaining compared basic chloride will high-grade focus for and to Our technical oil head is and chloride gypsum. of to reduce level, and calcium scale, From industries. this solution refining us used is have various utilized a in deicing, Southwestern yield States United in control, we selling cost agricultural quantities, solid used utilize dust identified various in less a requirements. market food gas supports maintenance acid solid large a is industrial this research allow at safety in

about to and competitive have as with focus to strategic and savings, we market a importantly, is amount with has reduction to cash coupled of our what gypsum gypsum the equipment that that produce handling capital drive XX% anticipate we our supported costs required move commercial in More anticipated a cost chloride. strong These to the simplify commercial can with CapEx calcium this design. however, reduce potential believe solid forward be achieving decision

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strategy, The include project progress plan. established. first to well risk project management charter, phase detailed commercial register system, a continues with of and documents engineering project our project execution material project These a

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the to discuss over Mark? call commercial pass our now I'll to progress Mark and strategy.

Thanks, Rod.

participant of express I'll a well-positioned my this me new is a believe I X. marketplace. be boron seasoned value let that entrant excited Slide as begin remarks in First, XE and to to company chain, the part I'm a the on

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industries the we selective. include will LCD critical, that oil base customer intended insulation construction. where support industries luxury cellulose be and glass, are to There and many believe traditional acid is Our insulation, and gas, energy, have so we boric wind

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back forward. to will progress as stakeholders pass move forward on And that, keeping and commercial Paul. our the we look presentation I our with shareholders I updated to

Mark. Thanks,

and turning Slide Now strategy. to moments to a few I'll capital speaking spend funding our X,

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my and the strategy up a elements prepared go-forward a our made wrap few In some XE with months, on most I'll has plan. short significant critical just remarks of progress summary here. of

small-scale Our production with consistency quality. levels achieved of have our boric acid coinciding and overall at improvement an facility in stability

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specs shipping and been volumes have larger their sacks. full interested meeting to the truckload strengthened and making acid strategy of to advancements consistently in more of sold increase are improved expanded able and product We desired level boric an successfully our first production of quality We've have customers, pipeline. commercial build and to robust and solid our super utilize customer been potential a levels

solid and demand are towards with with customers securing into agreements our that firmed to forecast. and industries long-term segment We sell advancements customers robust of making a up offtake collection growth significant each potential strategy

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XX,XXX XX% our of of of line by X have tonnage approximately Phase tons, agreements for are the XX% for we sight to working XXXX. and to first spring We on commit offtake

the and a EXIM chloride. enhancement catalysts provide finalizing of seen an on raise for cover And for work in offtake the prior to project debt initial and pre-FEED our an that updated and In our boric would LOI we both across from from could term, company We've critical progress position succeeded support initiatives of been meaningful the expect credit to and operationally XXXX. commercially We in near being Engineering capital we our PFS facility funding agreements the following strategy. utilizing and that commercial include our calcium significant funds portion CapEx. finally, have advance obtaining heads deliver most to capital made acid a the

shipment from Pacific tons of in large the tank Ocean that meaningfully agreements a than estimate few XX manufacturer, We're the last, additional specialty in and the keeping are in capturing we expect to of our developments estimate value testing offtake CapEx across to the And of market and advancing which boric catalysts. months that XXXX, our glass technical prior near-term just undergo customers in upcoming at informed Next, a acid global will about made short be excited previous pipeline. unlocking progress the final the look forward lower report.

our As entire for Materials shareholders. build I'd their contributions like Advanced work we hard to and as always, long-term XE seek team the to value thank for

that, With questions. call open will we the to up your Operator?

Group. from question [Operator Sullivan with comes Instructions] Maxim Tate First

in sale, sacks, well the On truckload you current is that of revenue so is super said XX this quarter, first I mean, truckload first that first correct?

production against X costs small-scale we line and we're we're starting time. going fixed -- and can credit as XX ultimately will That at And this super income not this out OpEx in to break quarter, on you operating of see then revenue the now It to in report back facility. Tate. will is correct, statement. a sack, the be the

How supplied then entity that to, still accounting, that do credit you -- but mean, get just it the you work a it a against but the the is will from I cost, how... is that, -- that check it's

call, can month, can sacks as Those And use and are on we last kind you monetized. going kind -- value. customer running our out rates. at production toggle super make -- Correct. sales the each still products not of optimal realize we'll if for super of can alluded XX as sacks, so qualification, some and prices and But specifically look to strategically so we're

And forward, qualification testing, shipment to as sale customer XX-ton then that you the far? opposed potential the for mentioned tank is going catalysts thus

Correct. customer And that that that be That will of there's Hopefully, be the offtake qualification. situation, customer will the in providing care is customer we -- obviously And behind that. freight. product. taking then

And more or Phase facility engineering of for chloride? going that say are effort at the you producing the X? small-scale calcium forward is currently currently you Did an

actually metal matter we've the in So lab. producing you HCL, calcium it it'll quantities today. adding it's the and the small-scale but designed be salts, you smaller produced for what more that's our and in today facility gypsum remove isolate Once a of was

last, thought the the in then X- is for time in about -- the that the for last terms consistent line you FEED the of with study, time couple what line? of to And years Engineering FEED X-month terms of

needed CapEx. kind firm to that But market a the of did in the a listen, can point truly is to needed -- it's we Yes, the gypsum on study decent run. lifted and but We've running scheme we changes design cons. calcium I the overall I side. that sale to and been expected byproducts. reduction mean we and boric have like think the that things, of acid -- know kind we or bit, At once we a this the pros really slightly did we it and pretty get it's of chloride on now We our time, in in

once so your you to of you is FEL-X. PFDs are And and down, then the stage-gate your change kind no ensue, can completely P&IDs stage gate and in locked going

and really team and owners change let any orders reduced you our for run. You've

[Operator Instructions] Tate Sullivan. follow-up coming We have from a

with say you when have you you the cover accounting mean Does mean you can of touch demand? for did that customers points that globally XX%? borate XX% What

to this want take Mark, one? do you

sure, Yes, Paul.

dominated big the Pacific the U.S. of the market Asia So China a by being borate is that and part market. market,

we has weeks So when we representative we've a from global that for who experience Kenneth couple Hoo, of the XX years market of say hired ago, we're borates, of covering have a XX% that's is Rio and managing market borate XX% Tinto, the global globally XX% for for handling market, offtake and he's our total which Asian the of borate. U.S. us, offtake I'm of for the

of us, totaling X across global total points touch X we'll the between customer So borate yes, those have, market. XX% regions geographic contacts of the and

our are Europe and those to of reason in cost resources markets, to very Markets to pathways way points. low price only the Europe focused and high kind regulatory is very get not markets markets. high like that serve And high we've high-margin demand product because into but low cost serve, have

with we're on focusing So not likewise South America. Europe,

approach So cover we've our to APAC and the chosen to value for basically optimize shareholder maximize XE. U.S. to

a And financials operating to that said ton normal XQ, forward, going for operating from facility will the consistent output? or you line the item scale costs have Paul, given that for in you'll is the then -- the the deductions that level be X cost here, going small in for

Yes.

what and we strategic it we've the the some gotten quantity per be shift, So -- QX. saw kind just like But we've team optimize made the also maintenance in, you as months we consistent efficient. of as X of personnel looks what in gotten reduction, just obviously, will with operators more

bit be sales of similar less as little would And and we against then so should that credited to products be a progress of that. kind any

will be kind it that should improve of So quarter-over-quarter. it

modeling, pounds I And how sort of more couple see. per of, forecasted? many of a sack roughly just

sack. super because That's through the an interesting of kind question finding working right been we've

of like ton. equivalent kind these it's at identified XX, X,XXX a X,XXX, short to obviously, it basically X that sack is super the of a now we'd perfect be We've to You're which ideal. of U.S. quite were X,XXX right kind pounds, is

daily hit a X time. on can So the basis plant that

average. this the be first -- would looks about but one probably X,XXX X,XXX, And ideal would your target like be that should so be

come integrating what terms roughly And maybe will acid you early, X mean with boric be bears would too of with have determined calcium of But chloride. FEED I potential little given volume? the chloride production, the that -- calcium to a the the mean, I of in yield then ton

No.

with to So mass I now. kind that And balances. can our it speak right we've seen of

-- pure a So little on you're X. on chloride probably kind for XXX% calcium bit it's than of a basis, X a less like

You're probably -- it -- will at I of this because of calcium every and acid, on but is chloride the this for boric tons pure XXX%. look XX,XXX XX,XXX, more produce about XX,XXX tons at

you that's it's when quarter. then not downward -- which how is XX%, in obviously, sold. It's So sold diluted

like approximately commercial you're So XXX,XXX on at basis. tonnage on scale a

designed solution, where probably gypsum, can like in plan -- we'll is focus if look side. we're something maybe to hey, chloride or it's tons day, look going case we take get the the on X down you're to at, a that kind calcium of road, take, the assess, chloride want at But So calcium And we we in we ton out on boron. would the X small-scale if would be a the facility? give that for

no like in floor Weibel for I'd questions remarks. turn queue. We to back have the Paul closing further to

Advanced for interest and Thank in Materials, time Inc. you, your XE everyone,

have as of newest We world. tremendous in the producer opportunity boric in a front the us acid

expand modularly and a a the the years. several over proven to strategy asset next have asset We

should which you Our you, day. funding are of looking to level sharing in with journey the We're advancing. all a this pathways. capturing support, help strategies additional commercial low-cost have government create and forward upcoming and great a and of We're Thank quarters. operational growing regulatory

your This concludes and today's participation. Thank you may this lines at you disconnect conference, for time. your