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Page 1: IBC Advanced Alloys - Proactiveinvestors UK · IBC Advanced Alloys Be H TSX-V:IB Page: ‘Global Beryllium Demand to Reach 465 Metric Tons by 2015” Global Industry Analysts, Inc

IBC Advanced Alloys

A Vertically Integrated Beryllium and Advanced Alloys CompanyApril 2011Corporate Presentation TSX-V:IB

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• Some statements contained in this presentation or in documents referred to in it are or maybe forward-looking statements. Actual results may differ from those pressed in such statements, depending on a variety of factors.

• Any forward-looking information contained in this presentation has been prepared on the basis of a number of assumptions which may prove to be incorrect, and accordingly, actual results may vary.

• Past performance of the Company cannot be relied on as a guide to future performance. This presentation does not constitute, or form part of or contain any invitation or offer to any person to underwrite, subscribe for, otherwise acquire, or dispose of any shares in IBC Advanced Alloys Corp., or advise persons to do so in any jurisdiction, nor shall it, or any part of it, form the basis or be relied on in any connection with or act as a inducement to enter into any contract or commitment therefore. No reliance may be placed for any purpose whatsoever on the information or opinions contained in this document or on its completeness and no liability whatsoever is accepted for any loss howsoever arising from any use of this document or its contents otherwise in connection therewith.

Legal Disclaimer

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Resources – R&D – Manufacturing• Established 2007 to capitalize on rare metals opportunity• Vertically integrated from mine to market• Strategic supply partnership with Kazatomprom(1)

• Copper alloys and Aluminum alloys leaders• Manufacturing in MA, IN, PA, MO• Proprietary beryllium alloy technology• R & D in nuclear fuel, lithium hydride batteries and wind turbine plasma coating• 2010 revenues $14m and 2011 revenue estimated $20m(2)

Opportunity:• Acquire market share

• $2 b global market (Be, Be alloys & nonferrous alloys)(3)

• Fractured market / two major suppliers• Acquisition and consolidation

• Grow the overall market• Stimulate Be demand with new products R&D and market growth• Manufacture high margin profitable applications• Prove and develop resources

At a Glance

Opportunity exists to grow

current market share and

dramatically increase Be market size

(1) On March 24, 2010, IBC signed a binding three-year supply agreement whereby Kazatomprom’s wholly owned subsidiary, Ulba Metallurgical Plant, will supply beryllium and beryllium alloys to IBC on agreed terms

(2) Management estimate based on historical performance(3) Management estimate

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At a Glance

Inception: 2007

Revenues: 2010- $14m (A) 2011-$20m (E)

Shares Outstanding: 191,698,821

(Fully Diluted) 250,256,308

Options: $.015 to $0.20 – 13,615,000

$.050 to $0.83 – 869,000

Total – 14,484,000

Warrants: (financing) 39,061,723

(broker) 4,761,764

3 month average vol: (to Mar. 31, 2011) 498,964

3 Month Range: 0.13 – 0.195

Market Cap: $31M

Head Office: Vancouver, BC

Operations: Wilmington, MA

Franklin, IN

Royersford, PA

New Madrid, MO

Trading: TSX-V: IB

Share Ownership:

Firebird Master Fund 30%

Insider Ownership 2.4%

Financings:

March 2010 $10.35M

May 2009 $1.25M

March 2008 $7M

July 2007 $10M

May 2007 $1.1M

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IBC Advanced Alloys

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BerylliumIBC

Advanced Alloys

Opportunity

At a Glance

At A Glance

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What is Beryllium? Beryllium

Be

Rare

Stronger than Steel

2nd Lightest Metal

X-Ray Transpartent

Melting Point 1278°

Non Magnetic and Non Sparking

Beryllium is a rare metal with unique characteristics.

It is used as a pure metal or as an alloy with copper and aluminum.

Bertrandite and beryl pegmatite are the two most common beryllium ores.

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Where is Be Used? Beryllium

Pure Beryllium: Government and Strategic

• Nuclear

• Aerospace

• Defense

Beryllium Alloy: Commercial and Industrial

• Telecom

• Computing

• Electronics

• Medical

• Oil & Gas

• Automotive

• Aerospace

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‘Global Beryllium Demand to Reach 465 Metric Tons by 2015” Global Industry Analysts, Inc. 2010

Growing Be supply/demandImbalance favors suppliers• Only three primary sources

globally (BW, Ulba, US gov’t)

• No spot market

• Dramatic price rise (44%) between 2006 and 2008 (up to $500kg)

• High price has prevented wider use of Be

• One source (US Govt. stockpile) decreased availability 2008 / 2009

Beryllium Market Beryllium

WORLD BERYLLIUM CONSUMPTION (METRIC TONS)

Source: Beryllium – A Global Strategic Business Report, Global Industry Analysts, Inc.

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IBC Divisions IBC

R&DMineral Properties Manufacturing

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IBC Value Chain IBC

RESOURCES

Mineral Properties

DISTRIBUTIONUtah

ColoradoBrazil

Kazatomprom(Ulba)

Customers:HondaToshiba

NGKUS National Labs

HoneywellGeneral Dynamics

Raytheon

Processing Manufacturing Distribution

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•Product Dev•Market Dev•R&D

•Nuclear fuels•LiBe Hydrides•Plasma coatings

Copper Alloys

Aluminum Alloys

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Management & Directors IBC

Anthony DuttonDirector, President & CEOFinance & Strategic Advisory Background

Denis BradyDirectorPrevious owner of Nonferrous Products. Manufacturing Expertise

Dal S. Brynelsen Director, President and CEO of VangoldResources Ltd., Corporate Finance

Ian SlaterDirector CA and past Managing Partner of Ernst & Young’s Canadian mining practice

Lee R. RiceDirector / VP ExplorationRegistered professional engineer, geologist and 43-101 qualified

Jim MaloneVice President Nuclear FuelsChair, IBC Nuclear Fuels Advisory BoardFormer VP Nuclear Fuels for Exelon Corp.

Douglas VeitchVice President of Business DevelopmentFormerly with Brush Wellman

Mark Wolma President of IBC NonferrousPreviously VP Operations Scherer Industrial Group

Rajeev JainVice President of SalesFormerly at Hussey Copper

Simon J. AndersonChief Financial Officer Chartered Accountant with public and private company experience as director / officer

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Plant Locations IBC

Freedom Alloys

NonferrousBeralcast

Manufacturing headquartersIndiana

48,800 sq. ft.Owned 12 acre property

Manufacturing headquarters MassachusettsPrototypingBeing relocated

Two facilities:Pennsylvania and MissouriOwned/Leased 42,500 sq. ft.

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Expand Be market and attract market share• Expand sales and marketing team / aggressively pursue new business• Increase business growth through existing customer base• Develop new markets and offer competitive products

Continue manufacturing consolidation• Move Beralcast to larger facility (est. April 2011)• Increase margins• Improve production efficiencies• Seize highly accretive acquisition opportunities

Develop exploration resources• Prove up resource base to NI 43-101• Acquire other world class beryllium ore bodies

Continual investment in beryllium R&D• Nuclear fuels / wind power / new products• Objective to increase demand for Be resource

Business Strategy IBC

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• Close customer relationships– Best lead times in the industry

• Dependable sources of raw material– Long term strategic relationship with Kazatomprom

– Approved buyer from DOD

• Proprietary technology

• Processing and metallurgical expertise

• Specialized market

• Unique structure (vertically integrated)

IBC’s Competitive Advantage IBC

Close customer relationships

Dependable sources of raw material

Proprietary technology & patents

Processing & metallurgical expertise

Specialized market

Unique structure

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• Beralcast is a Be alloy with superior capabilities to other metals

Superior Patented Product IBC

Satellites

Military Aerospace

Commercial Aerospace

Automated Assembly

Computers

Recreation

High Performance Automotive

HIGHER

HIGHER LOWER

LOWER

PERFORMANCE SENSITIVE

PRIC

E SE

NSI

TIV

E

Stiffness to weight (108 inches)

Tailored alloys to meet

performance cost objectives

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Potential of the Beryllium Market IBC

Opportunities for growth

Potential applications:

• Nuclear fuel

• Wind turbine components

• Golf club shafts

• Engine blocks

• Disc drives

• Wheel rims

Huge market potential to for materials substitution

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Customer Base Provides Strong Foundation for Growth

Metals & Industrial Supplies

US Navy Defense Contractors

Aerospace Defense Contractors

Oil & Gas Industries

Supplier to the Nuclear Power Industry

Technology, Energy & Media Company

• Leverage increased business with existing customers• Marketing program to reach new customers• Recent expansion has expanded capacity

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Growth Drivers OPPORTUNITY

Acquisitions & Joint

Ventures

Future

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Alternative Energy

Aerospace

New R&D

Materials Performance

New Technologies

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Exploration – Mineral Properties OPPORTUNITY

Brazil, Minas Gerais State

• 2,432 Acres

• Well mineralized region with historical beryl production

• World’s largest pegmatite provinces

• 3 year research licenses with 3 year renewal

• Research license allows mapping, soil sampling, definition drill and trenching

Colorado, Lake George

• 10,680 Acres

• Includes Boomer Mine

• Second largest historical beryllium mine in US

• Staked additional 517 beryllium mining claims totaling 10,000 acres

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Juab County, Utah – Spor Mountain:• 371 claims over 7,630 Acres

• Adjacent to the world’s biggest beryllium deposit and mine – operated by Brush Wellman

• USGS confirmed Beryllium mineralization

• IBC properties located on extension of geologic system currently being mined

• Significant potential in excess of SporMountain mine

• Exploration program targeted for 2010 leading to NI 43-101

Exploration – Mineral Properties OPPORTUNITY

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Nuclear Fuels Advisory Board:Dr. Alvin Solomon - Professor Emeritus, PurdueJoel Gingold - Retired VP, GM and Director of Stoller NF James Malone – IBC VP Nuclear Fuels, Former Senior VP NF, Exelon Corp.

Nuclear fuels research with Purdue and Texas A&M Universities

Nuclear Fuel development MOU with GNF (GE Electric) Provisional Patents Filed

Expected Benefits:

• Increased MWdays per tonne

– Utility cost savings

• Lengthened fuel cycle

– Less waste

– Less uranium required

• Lower core temperature lower temperature gradient

– Increased reactor safety

Nuclear Fuel – R&D Partnership OPPORTUNITY

Nuclear fuels market currently $25 billion, projected $35

billion by 2020(1)

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IBC represents an excellent investment opportunity• Profitable and growing manufacturing operations;

• Widening rare metal portfolio with new applications;

• Global presence and strong growth fundamentals;

• Additional consolidation potential;

• Strong management and board of directors;

• Value added opportunities through R&D and synergies;

• Significant barriers to entry;

• Attractive valuation to peers.

IBC Conclusion

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IBC Advanced Alloys

IBC Advanced Alloys

Thank You


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