Nio Strategic Metals Inc. (NIO) Earnings Call Transcript & Summary

[Foreign Language] The next item on the agenda is the appointment of the auditors. We have submitted a resolution to the circular recommending the appointment of Audacie as auditor of the company until the next Annual Meeting of Shareholders or until successors are appointed and their compensation is determined by the Board of Directors. The result of the votes received prior to this meeting are as follows: For, 100%; abstention, 0. I declare this resolution carried. [Foreign Language] The results [indiscernible] of the vote are as follows: 100% of the votes received were cast in favor of the renewed option plan. [Foreign Language] On October 2014, the company announced it has amended the stock option plan. The review of the plan was conducted in connection with the listing of the company's shares on the TSX Venture Exchange. A summary of the plan is described in the company's circular. We have submitted a resolution to the circular confirming that the company's stock option as amended in October of 2014 and is thereby approved and confirmed and that any director or officer of the company and each of them be authorized in the name and on behalf of the company to execute and deliver such documents or instruments or to take such action as such director or officer may be determined necessary or desirable in order to give effect to this resolution and other matters authorized therein. [Foreign Language] The formal business of the meeting has been concluded. Bruno Dumais and myself will be addressing the shareholders regarding major events of April 2024. I would like to sincerely thank the directors for their outstanding contribution during the year.

Bear with me a minute. We'll move now towards the presentation. [Foreign Language] Cautionary notes, making sure everybody understands the fact that whatever is being expressed is being, let's say, we've got to be [indiscernible] about whatever is being expressed here, and that's for the sake of both parties. [Foreign Language] Agenda really is rather simple but addresses most of the key specific items as far as the corporation is concerned. Item #1 will be about the year 2024. Then I'll speak about our business, our properties and our positioning. [Foreign Language] As far as 2024 was concerned, we've got to remember the fact that niobium has been recognized as a key critical material. That is key. That's something we hear every second day as far as the newspapers are concerned. And the good thing is that's exactly what the Oka site may offer to the Canadian citizens. We engage consultants in order to initiate discussions with the Mohawk community. That is key. We've got to learn from the past. That's a key important item, and we need to, let's say, making sure everybody at the table knows about the benefits, the changes, but also establish trust between parties. Flow-through shares issuance to assess rare earth elements. It happened at the very last day of the year, but also that is key in order to, let's say, increase our portfolio, but also expand options as far as the Oka site as available because that's a preliminary report. We know there are rare earths underneath. Now is the time to assess how much there is and should there be an economical value to it, has no longer debt sitting on its balance sheet, which is fantastic and allows us to probably execute as far as the upcoming years are concerned. [indiscernible] research project basically aiming to two objectives. One considers metallurgy and the other one considers the wastewater or the mining wastewater, making sure now these are properly handled up to par, meet every standard as the site is concerned. Support government initiatives. That's something we started -- we want to get or gain their support and also added skilled Board members. They will be Alexandre Triquet and Sylvain Ménard are huge assets as far as this corporation is considering their past realizations, and they'll be here to challenge us, but also to support us as far as the execution of the plan is concerned. Our positioning, we want to -- these items are key as far as the business is concerned because we want to be seen as leaders, leaders into the mining operations because we want to, let's say, assess and make sure we always consider the key driving forces such as the environment and the community. So basically, we want to be strong as far as supporting Canada's initiative to secure critical mineral supply. We also want to establish strong ties with the community. One of the key items will be about -- all about safe and sustainable green mining regarding water, air, soil and everything that touches the environment and that could be -- we want to make sure there will be no negative consequences as far as the environment is concerned. ESG implementation. ESG stands for environmental, social and governance. This is key nowadays, and we want to also be recognized as a leader in this regard. Continued research and product improvements. That will be key. Having something available is one thing, being able to create or implement innovation as far as side [ best ] would be fantastic. It allows also to create jobs, very well-paid jobs for the future. We got to make -- we got to consider as well the fact that there's a huge demand from North American and European customers for second source suppliers because basically, most of the supplier right now are being owned by China companies. And what they're looking for is a reliable supplier that meets the highest standards. And we also have a solid cash position. [Foreign Language] Basically, it can be summarized into two specific objectives: supplying niobium for transportation, such as airplanes, electric vehicles, energy specialized equipment as well as becoming the North American reference in green mining of critical minerals. There's one aspect interesting as far as niobium is concerned or there's a lot and especially now towards the specialized application. It can be used for construction, vehicles, but also from a medical standpoint, [ proteases ] or, let's say, for electrical vehicle, the batteries. The demand has increased. The pricing has increased, and the processes are improving. And this is the #1 condition in order to keep on growing regarding this company, making sure the process will be the best in class. [Foreign Language] Regarding the other project. [indiscernible] project, obviously. We've got the fact that critical minerals has been -- is now at a critical time from a negotiation standpoint, especially regarding discussions between Canada and U.S. The site or the mining design we're working on has to be environmentally safe. It considers water supply infrastructure, proven sustainable and safe green mining underground processes. It has to be -- it needs to consider partnering with the community and being symbiosis with the Oka's [indiscernible] recognition. By the end of the day, it has to become a state-of-the-art project setting standards in mining of critical minerals. We also have another property called Fafnir located nearby [ Monoe ]. It [indiscernible] 85 claims and it's still located onto the Granville [ area ]. Initial samples were taken, and they show high niobium content as well as other critical minerals. But we've got to keep on assessing what's underneath, if there are economical value of those, and that's something we're assessing as we speak as far as from an exploration standpoint. [Foreign Language] Great Whale iron project, 27 claims. Renewal costs of the claims were assessed to be very high and risky considering the lack of infrastructure. We're currently assessing our strategic options as far as this site is concerned. For those of you reading newspapers, you will see articles as far as critical minerals are concerned. What you can see right now are, let's say, are examples of -- not any of those in regard to the Canadian -- make reference to the Canadian aspects of negotiations right now. But they do present benefits from niobium as far as the upcoming year are concerned and how key that will be for the upcoming years. And we'll be more than happy to share these with shareholders. [Foreign Language] I just want to mention about the fact that at the Oka site, there's a possibility for a larger number of resources on site. There were a few showings from the studies we conducted last year over the last 2 years, mostly, and we want to know more about the rare earth. Those are still at the preliminary stages, but that's something we want to explore and see the economical feasibility of those. This pretty much concludes the presentation as far as I'm concerned. And I would welcome questions should there be any. You can use the chat box in order to express any questions or comments about the presentation.

[Foreign Language] Question number one is all about the current customers and future customers. Obviously, right now, the company is not in operation, so there are no existing customers. But it doesn't prevent us from enabling the sales and marketing aspects of it and entering into discussions as far as offtake agreements with key customers. We aren't in a position to adding Express as we speak. But as you pointed out, we are on top of it. We want to -- we are entertaining discussions with these key players. And as soon as we know more as far as the [indiscernible] to disclose as far as these customers are concerned. As a follow-up question, do we consider Europe? The answer to that is yes, obviously. The European customers are key. They're looking, as I said, for a second source, and that will be -- it will be very, very key as far as sales and marketing efforts are concerned. Of course, we start with both North American and Canada customers, but European customers are very, very -- are keen as far as this project is concerned. [Foreign Language] Any other questions? Prior to terminate the meeting. Okay. So having said that, Hubert, back to you.

Well, we don't really have much to add, but evidently the presentation gave you all the [Audio Gap] of the company from A to Z. We have a very heavy schedule ahead of us. We have hired several consultants and several agencies and several lobbyists to help us achieve our goal of getting both social acceptance and of course, to have the permit to exploit the resource that we have there. So we have basically put together as many people as we can in order to achieve that objective. I don't really have anything further to add. [Foreign Language]

[Foreign Language] Thank you all. Have a great day.