NOVONIX Ltd — Interim / Quarterly Report 2019

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Quarterly Activities Report July – September 2019

Accelerating adoption of batteries for a cleaner energy future

Thursday, October 31, 2019

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General disclaimer

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• This document has been prepared by NOVONIX Limited (“the Company” or “NOVONIX”). No representation, expressed or implied, or warranty as to the accuracy or completeness of the information contained herein is made by any party and nothing contained herein shall be relied upon as a promise or representation as to the future. In all cases, recipients should conduct their own investigation and analysis of NOVONIX.

• This presentation, including the information contained in this disclaimer is not a prospectus, disclosure document, product disclosure statement or other offering document under Australian law or under any other law. It is for information purposes only and does not constitute an offer, invitation or recommendation to subscribe for or purchase any security and neither the presentation, disclaimer nor anything contained in them forms the basis of any contract or commitment. This presentation does not take into account your individual investment objectives, financial situation or particular needs. You must not act on the basis of any matter contained in this presentation, but must make your own assessment of the Company.

• All statements in this presentation, other than statements of historical facts, which address the future activities and events or developments that the Company expects to occur, are forward looking statements. Although the Company believes the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward‐looking statements.

• Forward‐looking statements involve and are subject to known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company and/or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward‐looking information. Such factors include, among others, general business, economic, competitive, political and social uncertainties; the actual results of current activities; assumptions in economic valuations which prove to be inaccurate; possible variations product performance and reliability; climate events; political and regulatory changes; delays in obtaining approvals or financing or in the completion of development or construction activities.

• To the maximum extent permitted by law, none of NOVONIX or its related corporations, directors, employees or agents, nor any other person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it. Recipients should make their own enquiries in relation to any investment decisions.

• Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward‐looking information, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward‐looking information contained herein is current as at the date of this presentation and the Company disclaims any obligation to update any forward‐looking information, whether as a result of new information, future events or results otherwise. There can be no assurance that forward‐looking information or statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information or statements. Accordingly, readers should not place undue reliance on forward‐looking statements.

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Contents

• Primary activities

• PUREgraphite activities

• BTS activities

• Corporate activities

• Contact information

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CORPORATE INFORMATION

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Primary activities

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NOVONIX is an international battery materials and technology company

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• Manufacturer of battery anode material (PUREgraphite)

• Premium high capacity long‐life graphite anode material

• Product launched early in 2019

• Manufacturing plant being commissioned in the USA

• Commercial production to commence in Q4 2019

EXPERIMENTAL MATERIALS

• Supplier of battery technology solutions (BTS)

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• NOVONIX test equipment accelerates R&D from years to weeks

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EXPERIMENTAL MATERIALS
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• Battery testing equipment used by battery & OEM multinationals

• Battery pilot line & lab supporting internal and customer projects

• Based in Canada with sales in 14 countries

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PUREgraphite activities and outlook

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July ‐ September activities

October ‐ December 2019 outlook

• PUREgraphite anode product now qualified for use by two global battery makers with volume and price discussions underway

• Positive feedback from product evaluations by other global battery makers and second stage product evaluation programs agreed

• Construction of the Phase 1 commercial plant continued

• Unplanned delays in delivery and installation of some critical pieces of equipment (previous notified to the market)

• Now forecasting first commercial production to occur in November

• Expecting it will take three to six months to get operations running steady at an optimal level with the current technology being adopted

• Further expansion of capacity beyond 500 tpa will be based on customer demand

• Material evaluation ongoing with potential customers

• Ongoing product customization for customers

• Customer volume and price negotiations

• Preparation for engagement with more customers

• Commissioning of Phase 1 Commercial Plant

• First commercial production milestone

• Optimisation of new processing technologies

• Ongoing planning for scaling the business in 2020

• Ongoing process technology development

• Ongoing product development

• PUREgraphite now integrated/supported by NOVONIX’s expanded battery technology services team in Halifax

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BTS activities and outlook

July ‐ September activities

• Patent application filed for particle aggregation technology for making high performance materials

• Completion and delivery of large customized battery test system for global brand client incorporating concurrent high precision measurement of voltage, current, impedance, swelling and temperature while cycling the cell – possibly a world first

• Commenced multiple cell testing projects with several new customers including global brand names

• Commenced multiple battery materials and cell design programs with several new customers

• Expanded the battery technology and testing services team to meet the rapidly growing customer demand for NOVONIX services

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October ‐ December 2019 outlook

• Continued steady growth of our battery technology and testing services business

• Publishing and presentation of white papers on NOVONIX’s flagship DTA and HPC technologies as part of refreshed marketing program

• Expansion planning for the technology services side of the business for 2020

• Further R&D on recent materials and manufacturing method inventions associated with silicon infused graphite materials, dry processes of dry process for modifying and coating cathode particles

• Ongoing support of the PUREgraphite business in terms of slurry making, electrode making, battery making, battery testing and materials customization and improvement

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Corporate activities and outlook

July ‐ September activities

• Ongoing high‐level support for PUREgraphite business development including a composite board and management working group and customer visits

• Increased top‐level engagements and activations with prospective global customers including leverage of extensive personal networks

• Strategic review of the group with a focus on promising growth opportunities and geographies for PUREgraphite and BTS

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October ‐ December 2019 outlook

• Corporate support with development of off‐take agreements / sales contracts and expansion of business development activity in general

• Corporate guidance and oversight to the establishment of commercial scale production at PUREgraphite in expanded premises

• Detailed planning and preparation for 2020

• Completion of FY2019 financial audit and accounts

• Ongoing statutory and other reporting activities

• Ongoing investor meetings and communications

• No activity or changes to exploration tenements

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Contact Information

Corporate

Group Managing Director Contact: Philip St Baker Email: [email protected] Telephone: +1 970‐376‐4918 Telephone: +61 438‐173‐330

Group Executive Director

Contact: Greg Baynton Email: [email protected] Telephone: +61 414‐970‐566

Group CFO and Co Secretary

Contact: Suzanne Yeates Email: [email protected] Telephone: +61 439‐310‐818

Battery Technology Solutions

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Dartmouth, Nova Scotia, CANADA 177 Bluewater Road, Bedford, NS B4B 1H1, Canada

CEO ‐ NOVONIX BTS

Contact: Dr Chris Burns Email: [email protected] Telephone: +1 902‐449‐9121

CFO ‐ NOVONIX BTS

Contact: Nick Liveris Email: [email protected] Telephone: +1 989‐859‐3213

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PUREgraphite

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Chattanooga, Tennessee, USA 353 Corporate Place, Chattanooga, TN, 37419, USA

CEO ‐ PUREgraphite

Contact: Dr Chris Burns Email: [email protected] Telephone: +1 902‐449‐9121

CFO ‐ PUREgraphite

Contact: Nick Liveris Email: [email protected] Telephone: +1 989‐859‐3213

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