(LICY) 2023 Q2 法說會逐字稿

Good day, everyone. My name is Todd, and I will be your conference operator today. At this time, I would like to welcome everyone to the Second Quarter 2023 Li-Cycle Holdings Earnings Call and Webcast. (Operator Instructions) I will now turn the call over to Nahla Azmy, Head of Investor Relations. Please go ahead.

今天是個好日子。我叫托德，今天我將擔任你們的會議操作員。現在，我歡迎大家參加 Li-Cycle Holdings 2023 年第二季度收益電話會議和網絡廣播。 （操作員指示）我現在將把電話轉給投資者關係主管 Nahla Azmy。請繼續。

Thank you. Good morning, and thank you, everyone, for joining us today for Li-Cycle's review of our business and financial results ended June 30, 2023. We will start today with formal remarks from Ajay Kochhar, Co-Founder, President and Chief Executive Officer; Tim Johnston, Co-Founder and Executive Chairman; and Debbie Simpson, Chief Financial Officer. We will then follow with the Q&A session. Ahead of this call, Li-Cycle issued a press release and a presentation, which can be found on the Investor Relations section of our website at investors.li-cycle.com.

謝謝。早上好，謝謝大家今天參加我們對 Li-Cycle 截至 2023 年 6 月 30 日的業務和財務業績的回顧。今天我們將首先聽取聯合創始人、總裁兼首席執行官 Ajay Kochhar 的正式講話;蒂姆·約翰斯頓，聯合創始人兼執行主席；和首席財務官黛比·辛普森。然後我們將進行問答環節。在此次電話會議之前，Li-Cycle 發布了一份新聞稿和演示文稿，您可以在我們網站 Investors.li-cycle.com 的投資者關係部分找到這些內容。

On this call, management will be making statements based on current expectations, plans, estimates and assumptions, which are subject to significant risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of Li-Cycle. Actual results could differ materially from our forward-looking statements.

在這次電話會議上，管理層將根據當前的預期、計劃、估計和假設發表聲明，這些聲明受到重大風險和不確定性的影響，其中大多數難以預測，而且許多風險和不確定性超出了Li-Cycle 的控制範圍。實際結果可能與我們的前瞻性陳述存在重大差異。

If any of our key assumptions are incorrect, including because of factors discussed in today's press release, during this conference call and in our past reports and filings with the U.S. Securities and Exchange Commission and the Ontario Securities Commission in Canada.

如果我們的任何關鍵假設不正確，包括由於今天的新聞稿、本次電話會議以及我們過去向美國證券交易委員會和加拿大安大略證券委員會提交的報告和文件中討論的因素。

These documents can be found on our website at investors.li-cycle.com. We do not undertake any duty to update any forward-looking statements, whether written or oral, made during this call or from time to time to reflect new information, future events or otherwise, except as required.

這些文件可以在我們的網站 Investors.li-cycle.com 上找到。除非有要求，否則我們不承擔更新本次電話會議期間或不時做出的任何前瞻性聲明（無論是書面還是口頭）的義務，以反映新信息、未來事件或其他情況。

With that, I'm pleased to turn the call to Ajay.

至此，我很高興將電話轉給 Ajay。

Thank you, Nahla, and good morning, everyone. I'm excited to discuss the progress our team has made during the second quarter as we continue to advance the implementation of our Spoke & Hub network strategy. Li-Cycle continues to capitalize on strong secular trends and supportive government policy. Our plans to grow our network will position Li-Cycle to become the top global recycling producer of lithium carbonate and key battery-grade materials, establishing Li-Cycle in a leading role in the electrification ecosystem.

謝謝你，Nahla，大家早上好。我很高興能夠討論我們的團隊在第二季度取得的進展，因為我們將繼續推進 Spoke & Hub 網絡戰略的實施。 Li-Cycle 繼續利用強勁的長期趨勢和政府支持政策。我們發展網絡的計劃將使 Li-Cycle 成為全球頂級的碳酸鋰和關鍵電池級材料回收生產商，從而確立 Li-Cycle 在電氣化生態系統中的主導作用。

Beginning with Slide 3, I would like to cover some of the key highlights of our progress, which we'll discuss in greater detail on this call. On the commercial front, we signed a memorandum of understanding to collaborate and explore lithium-ion battery recycling solutions with EVE Energy, one of the world's largest lithium-ion battery cell manufacturers.

從幻燈片 3 開始，我想介紹我們進展的一些關鍵亮點，我們將在本次電話會議上更詳細地討論這些亮點。在商業方面，我們與全球最大的鋰離子電池製造商之一的億緯鋰能簽署了一份諒解備忘錄，合作探索鋰離子電池回收解決方案。

From an operational perspective, we continue to build strong momentum for our Spoke & Hub business. At our Rochester Hub in North America, we significantly advanced construction with continued expectation of the start of commissioning in late 2023.

從運營角度來看，我們繼續為輻條和輪轂業務打造強勁勢頭。在北美羅徹斯特樞紐，我們大幅推進了施工進度，預計將於 2023 年底開始調試。

For the development of the Portovesme Hub, our first in Europe, we progressed the work on the Definitive Feasibility Study with Glencore and expected to be completed by mid-2024. And our first European Spoke began operations with the startup of line 1 in August with line 2 expected to follow in late 2023.

為了開發我們在歐洲的第一個 Portovesme Hub，我們與嘉能可 (Glencore) 推進了最終可行性研究工作，預計將於 2024 年中期完成。我們的第一條歐洲 Spoke 於 8 月啟動運營 1 號線，預計 2 號線將於 2023 年底啟動。

Finally, on the financial front. We're also pleased to report that we are at the final stages of completing our process with the DOE Loan Programs Office or LPO and expect to close the $375 million loan in September 2023.

最後，在財務方面。我們還很高興地報告，我們正處於與能源部貸款計劃辦公室 (LPO) 完成流程的最後階段，預計將於 2023 年 9 月完成 3.75 億美元的貸款。

Turning to Slide 4. I'll discuss Li-Cycle's global Spoke & Hub portfolio and our continued progress in executing on our global network growth strategy. As illustrated on the left of this slide, with significant gigafactory capacity projected to come online, we expect to see meaningful demand growth for recycling of all forms of lithium-ion batteries in both North America and Europe.

轉向幻燈片 4。我將討論 Li-Cycle 的全球輻條和輪轂產品組合以及我們在執行全球網絡增長戰略方面的持續進展。如本幻燈片左側所示，隨著超級工廠產能預計將大幅增加，我們預計北美和歐洲對各種形式的鋰離子電池回收的需求將出現有意義的增長。

Aligning with key battery supply chain customers, we're expanding our global commercial footprint by strategically localizing our network close to demand centers and customers. [Based on this] current portfolio, we expect to achieve pre-processing capacity in excess of 100,000 tonnes of lithium-ion battery covalent and post-processing capacity of 85,000 to 105,000 tonnes of black mass per year.

與主要電池供應鏈客戶保持一致，我們通過戰略性地將我們的網絡本地化靠近需求中心和客戶來擴大我們的全球商業足跡。 [基於此]目前的產品組合，我們預計每年將實現超過 100,000 噸鋰離子電池共價電池的預處理能力和 85,000 至 105,000 噸黑色物質的後處理能力。

Importantly, and to put it into context, once the Rochester and Portovesme Hubs are in full operation, these facilities will have total lithium carbonate production capacity of up to 25,000 tonnes per year. With this first-mover advantage, Li-Cycle is uniquely positioned to become a leading global and sustainable producer of lithium carbonate and other key battery-grade materials.

重要的是，綜合考慮，一旦羅切斯特和波托韋斯梅中心全面投入運營，這些設施的碳酸鋰總產能將高達每年 25,000 噸。憑藉這一先發優勢，Li-Cycle 擁有獨特的優勢，成為全球領先的可持續碳酸鋰和其他關鍵電池級材料生產商。

Turning to Slide 5 for a discussion on the EVE MOU and Hungary Spoke site selection. EVE is one of the world's largest lithium-ion battery cell manufacturers with global facilities and customers that include major OEMs such as BMW and Bosch.

請參閱幻燈片 5，討論 EVE 諒解備忘錄和匈牙利 Spoke 選址。 EVE是全球最大的鋰離子電池製造商之一，在全球擁有工廠和客戶，其中包括寶馬和博世等主要原始設備製造商。

In July, we entered into an MOU for a global sustainable recycling solutions for EVE's lithium-ion battery materials. Consistent with our Spokes' strategy, capital investments are underpinned by multiyear commercial contracting combined with accelerating local market demand.

7月，我們簽署了一份諒解備忘錄，為EVE的鋰離子電池材料提供全球可持續回收解決方案。與我們的 Spokes 戰略一致，資本投資以多年商業合同和不斷增長的當地市場需求為基礎。

Accordingly, we're excited to be exploring site selection in Hungary with expected scope, scale and timing to be completed by early 2024. EVE with its recently announced plans to build its first European battery manufacturing facility in Hungary will serve as an anchor customer. Additionally, we expect to add OEM customers in the region, given Hungary is projected to be one of the largest battery cell manufacturing markets in Europe by the end of the decade.

因此，我們很高興能夠在匈牙利探索選址，預計範圍、規模和時間安排將於 2024 年初完成。EVE 最近宣布計劃在匈牙利建立其第一家歐洲電池製造工廠，將作為主要客戶。此外，鑑於匈牙利預計到本十年末將成為歐洲最大的電池製造市場之一，我們預計將在該地區增加 OEM 客戶。

Let me now turn it over to Tim for a more detailed update on our Spoke & Hub network.

現在讓我將其轉交給 Tim，了解有關我們的 Spoke & Hub 網絡的更詳細的更新。

Thanks, Ajay. Turning to Slide 6. We are thrilled to share an updated aerial view of the Rochester Hub. This image illustrates a significant construction progress that has been made since our first quarter call in May. Our continued execution on the Rochester Hub project is a testament to the talent, expertise and commitment of the Li-Cycle team. I'll provide a more detailed perspective on the next few slides.

謝謝，阿傑。轉向幻燈片 6。我們很高興分享羅切斯特樞紐的最新鳥瞰圖。這張圖片展示了自 5 月份第一季度電話會議以來取得的重大施工進展。我們對羅徹斯特中心項目的持續執行證明了 Li-Cycle 團隊的才華、專業知識和承諾。我將在接下來的幾張幻燈片中提供更詳細的觀點。

Turning to Slide 7. We are nearing completion of our major process buildings for nickel, cobalt and manganese. Within the cobalt building, mechanical equipment has now started to be set. The warehouse building, which was completed in May, has received the Certificate of Occupancy. Our operations team have moved into the building, and we are prepping the storage area to start receiving black mass as part of our inventory build plan.

轉向幻燈片 7。我們的鎳、鈷和錳主要工藝大樓即將竣工。鈷大樓內，機械設備現已開始安裝。倉庫大樓於5月竣工，已獲得入住證書。我們的運營團隊已搬進大樓，我們正在準備存儲區域，以開始接收黑色物質，作為我們庫存建設計劃的一部分。

Turning to Slide 8 to discuss our major construction achievements. As displayed in the photos going clockwise, we are pouring concrete foundations for tanks, installing the main pipe rack, which is a critical activity for the plant commissioning as it is the main artery of the plant, building the finished products building where we will bag key end products before moving them to the warehouse for transport to customers. And finally, and importantly, the lithium building foundations are now well underway.

轉向幻燈片8討論我們的主要建設成果。如圖順時針方向，我們正在澆築儲罐混凝土基礎，安裝主管架，這是工廠調試的關鍵活動，因為它是工廠的大動脈，正在建造成品樓，我們將在其中進行裝袋關鍵最終產品，然後將其轉移到倉庫運輸給客戶。最後，也是重要的是，鋰建築基礎目前正在順利進行。

Turning to Slide 9 to cover the procurement of our long lead process equipment and bulk materials. To recap, early on, we indicated that a key aspect of our construction strategy was to accelerate the procurement of long lead equipment and construction materials such that they would arrive on site well ahead of when they were needed. Ultimately, this has proven to be a significant advantage in terms of our ability to execute on major construction milestones and maintain our project schedule.

轉向幻燈片 9，介紹我們的長周期工藝設備和散裝材料的採購。回顧一下，我們早些時候表示，我們施工戰略的一個關鍵方面是加快採購長周期設備和建築材料，以便它們能夠在需要時提前到達現場。最終，事實證明，這對於我們執行主要建設里程碑和維持項目進度的能力而言是一個顯著的優勢。

Displayed on this slide going clockwise, our solvent extraction equipment and crystallizers are now on-site at the Rochester Hub. Additional key equipment and bulk materials are also on-site and ready for installation. And finally, you see an impressive image of the largest piece of equipment being installed. Critical for the hub operations, the crystallizer is part of the sodium sulfate production process critical for the recovery of lithium carbonate.

在此幻燈片上按順時針方向顯示，我們的溶劑萃取設備和結晶器現已位於羅徹斯特中心現場。其他關鍵設備和散裝材料也在現場並準備安裝。最後，您會看到正在安裝的最大設備的令人印象深刻的圖像。結晶器對於樞紐運營至關重要，是硫酸鈉生產過程的一部分，對於碳酸鋰的回收至關重要。

Turning to Slide 10 for closing comments on the Rochester Hub. With detailed engineering and procurement activities near complete, our main near-term priority is the continued ramping up of the construction labor to support the remaining inflation activities.

請參閱幻燈片 10，了解羅切斯特中心的結束評論。隨著詳細的工程和採購活動接近完成，我們近期的主要優先事項是繼續增加建築勞動力以支持剩餘的通脹活動。

As we stated on prior calls, we are focused on actively managing the construction labor in order to continue to execute relative to the construction budget of $560 million. With expected annual production of 7,500 to 8,500 tonnes of lithium carbonate, 42,000 to 48,000 tonnes of nickel sulfate and 6,500 to 7,500 tonnes of cobalt sulfate, the Rochester Hub will be a leading source of battery-grade materials in North America.

正如我們在之前的電話會議中所說，我們的重點是積極管理建築勞動力，以便繼續執行 5.6 億美元的建築預算。羅切斯特中心預計年產量為7,500至8,500噸碳酸鋰、42,000至48,000噸硫酸鎳和6,500至7,500噸硫酸鈷，將成為北美電池級材料的主要來源。

Turning to Slide 11, I'll provide an update on the Portovesme Hub. Together with our partner, Glencore, we are repurposing part of Glencore's existing hydrometallurgical site in Portovesme, Italy. Once operational, this facility is expected to be one of the largest producers of battery-grade lithium carbonate in Europe.

轉到幻燈片 11，我將提供有關 Portovesme Hub 的更新。我們與我們的合作夥伴嘉能可一起，重新利用嘉能可位於意大利波托韋斯梅的現有濕法冶金廠的一部分。一旦投入運營，該工廠預計將成為歐洲最大的電池級碳酸鋰生產商之一。

We are actively progressing the scope on the DFS, which is anticipated to be completed by mid-2024. Portovesme site is a strong fit with Li-Cycle's proprietary black mass refining process for the recovery of lithium and battery-grade materials. There are a number of benefits for executing this project at this site, including the use of existing infrastructure and equipment that can be repurposed for black mass processing, optimization of an existing workforce with experience in metallurgical operations and access to logistics infrastructure that will facilitate the movement of large volumes of black mass and end products.

我們正在積極推進 DFS 的範圍，預計將於 2024 年中期完成。 Portovesme 工廠非常適合 Li-Cycle 用於回收鋰和電池級材料的專有黑色物質精煉工藝。在該地點執行該項目有很多好處，包括使用可重新用於黑色大規模處理的現有基礎設施和設備、優化具有冶金操作經驗的現有勞動力以及使用物流基礎設施，以促進大量黑色物質和最終產品的移動。

As shown on the left of the slide, I'll touch briefly on the proposed process at the Portovesme Hub site. We have an expedited flow sheet that requires fewer processing steps to produce lithium carbonate and a mixed metal product of nickel and cobalt.

如幻燈片左側所示，我將簡要介紹 Portovesme Hub 站點上提議的流程。我們有一個快速的流程，需要更少的加工步驟來生產碳酸鋰以及鎳和鈷的混合金屬產品。

At a high level, at the beginning of the process, we start with black mass leaching to dissolve metals into solution. Following impurity removal for iron and aluminum, the next step is the removal of manganese followed by the production of a mixed hydroxide product, or MHP, containing nickel and cobalt. The final key step involves the recovery of battery-grade lithium carbonate.

在高水平上，在過程開始時，我們從黑色物質浸出開始，將金屬溶解到溶液中。去除鐵和鋁的雜質後，下一步是去除錳，然後生產含有鎳和鈷的混合氫氧化物產品（MHP）。最後的關鍵步驟涉及電池級碳酸鋰的回收。

This flow sheet differs from our processing approach at the Rochester Hub, where we'll produce battery-grade nickel and cobalt products, i.e., nickel and cobalt sulfates, which attract a higher value for battery manufacturing. The MHP process for the Portovesme Hub allows an accelerated path to production and provides additional flexibility for use within Glencore's existing refining assets or precursor producers for battery manufacturing.

該流程不同於我們在羅徹斯特中心的加工方法，在那裡我們將生產電池級鎳和鈷產品，即硫酸鎳和硫酸鈷，這為電池製造帶來了更高的價值。 Portovesme Hub 的 MHP 工藝可加快生產速度，並為嘉能可現有煉油資產或電池製造前體生產商提供額外的靈活性。

The Portovesme Hub is expected to have an annual processing capacity of up to 70,000 tonnes of black mass, producing up to 15,000 tonnes of lithium carbonate, 18,000 tonnes of nickel and 2,250 tonnes of cobalt contained in MHP. To reiterate, once both the Rochester and Portovesme Hubs are fully operational, these facilities will have a total combined lithium carbonate production capacity of up to 25,000 tonnes per year, making us a top global and sustainable producer of lithium carbonate and other key battery-grade materials.

Portovesme Hub預計年處理能力高達70,000噸黑色物質，生產MHP中最多15,000噸碳酸鋰、18,000噸鎳和2,250噸鈷。重申一下，一旦羅切斯特和波托韋斯梅中心全面投入運營，這些設施的碳酸鋰總產能將高達每年 25,000 噸，使我們成為全球頂級的可持續碳酸鋰和其他關鍵電池級生產商材料。

Turning to Slide 12 for an update on our European Spoke. In early August, we announced the startup of line 1 at our Germany Spoke. This Spoke utilizes Li-Cycle's patented and environmentally friendly Generation 3 technology to directly process all forms of lithium-ion battery materials, including full electric vehicle battery packs without the need for discharging, dismantling or thermal processing.

請參閱幻燈片 12，了解歐洲輻條的最新情況。 8月初，我們在德國Spoke宣布1號線啟動。這款Spoke採用Li-Cycle的專利環保第三代技術，可直接加工所有形式的鋰離子電池材料，包括全電動汽車電池組，無需放電、拆解或熱處理。

Once all lines are complete, the Spoke will be one of the largest pre-processing facilities in Europe and the largest within Li-Cycle's network, having an annual total processing capacity of 30,000 tonnes. As a reminder, Germany represents the largest market for both battery manufacturing scrap and end-of-life lithium-ion batteries in Europe. Supported by multiple commercial contracts with battery and EV manufacturers, we are targeting commissioning of line 2 in late 2023.

所有生產線竣工後，Spoke 將成為歐洲最大的預處理設施之一，也是 Li-Cycle 網絡中最大的預處理設施，年總處理能力達 30,000 噸。提醒一下，德國是歐洲最大的電池製造廢料和報廢鋰離子電池市場。在與電池和電動汽車製造商簽訂的多項商業合同的支持下，我們的目標是在 2023 年末投產 2 號線。

I would like now to hand it over to Debbie for a financial review.

我現在想把它交給黛比進行財務審查。

Thank you, Tim. Turning to Slide 13 for a discussion on our second quarter results. As seen on the top left of the chart, we produced 1,719 tonnes of black mass, more than double the level achieved in the prior year driven by the start-up of operations at our Arizona and Alabama Spokes and the update (inaudible) New York Spoke.

謝謝你，蒂姆。請參閱幻燈片 13，討論我們第二季度的業績。如圖表左上方所示，我們生產了 1,719 噸黑色物質，是上一年在亞利桑那州和阿拉巴馬州輪輻業務啟動以及紐約更新（聽不清）的推動下實現的水平的兩倍多輻。

Sales of black mass were 2,093 tonnes, 2.5x more than the 832 tonnes in the prior year.

黑色物質的銷量為 2,093 噸，比上一年的 832 噸增加了 2.5 倍。

Moving to revenue for the period. As a reminder, our revenues are influenced by market prices of metals contained in our products, notably cobalt and nickel, with no value attributed to lithium content at this time as we continue to sell black mass as an intermediate product.

轉向該期間的收入。提醒一下，我們的收入受到我們產品中所含金屬（特別是鈷和鎳）市場價格的影響，目前鋰含量沒有任何價值，因為我們繼續銷售黑料作為中間產品。

Revenue from product sales and recycling services before noncash fair market value adjustments increased to $5.5 million from $4.7 million in the prior year. While we deliver higher product sales volume from our expanding [base] of operations, these results were impacted by a decline in metal prices, namely cobalt and nickel.

非現金公平市場價值調整前的產品銷售和回收服務收入從上一年的 470 萬美元增至 550 萬美元。雖然我們通過擴大業務[基地]實現了更高的產品銷量，但這些結果受到金屬價格（即鈷和鎳）下跌的影響。

Total revenue was $3.6 million compared to $0 in the prior year. Total revenue included an unfavorable noncash fair market value adjustment of $1.9 million in the quarter compared to $4.7 million in the prior year period, which took the total sales value for second quarter 2022 to $0.

總收入為 360 萬美元，而上一年的總收入為 0 美元。總收入包括本季度 190 萬美元的不利非現金公平市場價值調整，而去年同期為 470 萬美元，這使得 2022 年第二季度的總銷售額降至 0 美元。

The main purpose of our black mass production is to utilize it as a feedstock for our Hubs, which produce lithium, cobalt and nickel products, unlocking significant incremental value. As such, the sale of black mass is an interim strategy in the lead-up to the start of operations at our hubs. The operationalization of our Rochester Hub will represent a significant inflection point in Li-Cycle's revenue and financial profile.

我們黑色大規模生產的主要目的是利用它作為我們的中心的原料，生產鋰、鈷和鎳產品，釋放巨大的增量價值。因此，銷售黑色彌撒是我們中心開始運營之前的一項臨時策略。羅徹斯特中心的運營將成為 Li-Cycle 收入和財務狀況的一個重要轉折點。

Turning to Slide 14 for an update on our progress on the DOE loan. We continue to build on our track record of timing strategic and competitive financing in support of our network expansion plans.

請參閱幻燈片 14，了解我們在能源部貸款方面的最新進展。我們繼續鞏固我們在時機戰略和競爭性融資方面的記錄，以支持我們的網絡擴張計劃。

As you know, in late February, we announced a conditional loan commitment of $375 million from the Department of Energy, further validating our position as a domestic supplier of battery-grade materials in the U.S. The loan will be for a term of 12 years and will be based on the applicable 10-year treasury rate with no spread.

如您所知，2月底，我們宣布從能源部獲得3.75億美元的有條件貸款承諾，進一步驗證了我們作為美國國內電池級材料供應商的地位。該貸款期限為12年，將基於適用的10年期國債利率，無利差。

As Ajay noted earlier, we made great strides and advanced the loan documentation to final stages, depicted here at Stage 5 in the DOE LPO process. We are excited to share that our loan agreement is now working its way through the DOE's intra-agency process. We're expecting to close the transaction in September 2023.

正如 Ajay 之前指出的，我們取得了巨大進步，並將貸款文件推進到了最後階段，如 DOE LPO 流程的第 5 階段所示。我們很高興地告訴大家，我們的貸款協議現已通過能源部的機構內流程。我們預計將於 2023 年 9 月完成交易。

Turning to Slide 15 for an update on our cash flow and a review of the strength of our balance sheet. During the second quarter, we invested $78 million in our network growth, focused on the Rochester Hub ending the period with nearly $290 million of cash on hand. Adding the loan commitment of $375 million from the Department of Energy will take our current pro forma cash balance to more than $660 million.

請參閱幻燈片 15，了解我們現金流的最新情況以及對資產負債表實力的審查。第二季度，我們投資了 7800 萬美元用於網絡增長，重點關注羅切斯特樞紐，該季度末手頭現金接近 2.9 億美元。加上能源部 3.75 億美元的貸款承諾，我們目前的預計現金餘額將超過 6.6 億美元。

Turning to Slide 16 to reaffirm our 2023 business outlook metrics. For our production of black mass, with our year-to-date results, we are well on track for our targeted annual production pacing with market and customer needs. To reiterate, we are looking to optimize their future black mass production to meet fleet stock needs for the start-up of our Rochester Hub, unlocking future value of lithium carbonate and other battery-grade materials. As a result, we intend to start building black mass inventory in the second half of 2023.

轉向幻燈片 16，重申我們的 2023 年業務前景指標。對於我們的黑色物質生產，根據我們今年迄今為止的結果，我們完全按照市場和客戶需求實現目標年度生產節奏。重申一下，我們正在尋求優化他們未來的黑色大規模生產，以滿足羅徹斯特中心啟動時的車隊庫存需求，釋放碳酸鋰和其他電池級材料的未來價值。因此，我們打算在 2023 年下半年開始建立黑色大規模庫存。

Regarding capital investment, we expect to allocate a total of $285 million to $345 million for the development of the Spoke & Hub network. Due to the timing of construction of the Rochester Hub, this will be more heavily weighted to the second half of 2023. And finally, we are working closely with the DOE LPO team for a targeted close of $375 million loan this September.

在資本投資方面，我們預計將分配總計2.85億至3.45億美元用於Spoke & Hub網絡的開發。由於羅徹斯特中心的建設時間安排，這一任務將在 2023 年下半年進行。最後，我們正在與能源部 LPO 團隊密切合作，目標是在今年 9 月完成 3.75 億美元的貸款。

Turning to Slide 17 for closing. We remain focused on continued optimization of our Spoke & Hub strategy, prudently aligning with commercial demand. We remain focused on continued execution completing the Rochester Hub with commissioning commencing late 2023, growing our global Spoke & Hub network specifically exploring a new Spoke site in Hungary and progressing the Portovesme Hub, setting us up to be a leading global and sustainable lithium carbonate producer with capacity of up to 25,000 tonnes per year, expanding and diversifying commercial relationships with key global battery supply chain participants such as with EVE Energy and increasing financial flexibility for our network growth plans with the DOE loan expected to close this September.

轉到幻燈片 17 結束。我們仍然專注於持續優化我們的輻條和輪轂策略，審慎地與商業需求保持一致。我們仍然專注於繼續執行，完成羅徹斯特中心並於2023 年底開始調試，發展我們的全球Spoke & Hub 網絡，特別是探索匈牙利的新Spoke 站點並推進Portovesme 中心，使我們成為全球領先的可持續碳酸鋰生產商每年產能高達25,000 噸，擴大與EVE Energy 等全球主要電池供應鏈參與者的商業關係並使其多樣化，並通過預計將於今年9 月結束的能源部貸款提高我們網絡增長計劃的財務靈活性。

That concludes our formal remarks. Operator, we are ready to take questions.

我們的正式發言到此結束。接線員，我們準備好回答問題。

(Operator Instructions) And we'll take our first question from Brian Dobson with Chardan Capital Markets.

（操作員說明）我們將回答 Chardan Capital Markets 的 Brian Dobson 提出的第一個問題。

So as we near the completion of the Rochester Hub facility, do you think you could give us a little bit of color on what that build up ramp for earnings will look like once the facility opens its doors to process black mass?

因此，當我們即將完成羅徹斯特中心設施時，您是否可以給我們一些關於一旦該設施打開大門處理黑色物質後收入增長會是什麼樣子的信息？

Yes. So I think there's a couple of phases here, and we've communicated a couple of these things. So the first is commissioning. So also good news today and as we continue is reiterating the start of commissioning end of this year.

是的。所以我認為這裡有幾個階段，我們已經溝通了其中的一些事情。所以首先是調試。今天也是個好消息，我們繼續重申今年年底開始調試。

And certainly, as we get through that and close to that, that's going to be an important topic, both the commissioning phase and the ramp-up phase. So suffice to say more to come. I will say that it is something that we can -- could chat about.

當然，當我們完成並接近這一點時，這將成為一個重要的話題，無論是調試階段還是啟動階段。以後再說更多就夠了。我想說，這是我們可以討論的事情。

There are industry benchmarks for the style of facilities for metallurgical facilities. Just one thing to keep in mind is, obviously, we're resource recovery recycling facility, leveraging a lot of those off-the-shelf unit operations. We extensively piloted, but obviously at a much smaller scale [versus say] mining. So a lot of those benchmarks are for mining projects. That's only caution associated with taking it [verbatim]. But in any term, there are these benchmarks that you can look at to get a sense of directionally the ramp-up style. So happy to chat about that more, just as a general reference.

冶金設施的設施風格有行業基準。要記住的一件事是，顯然，我們是資源回收再循環設施，利用大量現成的單元操作。我們進行了廣泛的試點，但顯然規模要小得多（相對於採礦）。因此，許多基準都是針對採礦項目的。這只是與[逐字記錄]相關的謹慎。但無論如何，您都可以查看這些基準，以了解定向提升風格。很高興能更多地討論這一點，只是作為一般參考。

Yes, very good. And then as you're thinking about Italy, certainly in Rochester, you [will have] positive local and national government support about developing a facility in the region. How is your relationship with local authorities in Italy, and do you see similar support?

是的，很好。然後，當您想到意大利時，當然是在羅切斯特，您將獲得當地和國家政府對在該地區開發設施的積極支持。您與意大利地方當局的關係如何？您是否看到類似的支持？

Yes. At a high level, yes, I mean, this is in collaboration with Glencore. So they've also been operating in Sardinia location and Portovesme for a long time. And public -- for the background, they were on a track to transition the site, and this is a great transition. It's really turning an old asset -- recycling an old asset into a new one, parts of it into our hub, our next hub, which is going to be in Europe.

是的。從高層次來看，是的，我的意思是，這是與嘉能可合作的。因此，他們在撒丁島和波托韋斯梅也經營了很長時間。而公眾——就背景而言，他們正處於過渡網站的軌道上，這是一個偉大的過渡。這實際上是在轉變舊資產——將舊資產回收為新資產，將其中的一部分放入我們的中心，我們的下一個中心將在歐洲。

And that strikes a couple of key high notes for both locally and also broadly for Europe. One locally, and this is important, they have a very skilled workforce that exists there, and this is an opportunity to transition that workforce. And that's the metallurgical workforce. So it's not very often that you get that opportunity. And for us, it's [obviously] much more efficient, faster, capital efficient, more operational efficient. That's the local view.

這對當地乃至整個歐洲來說都引起了一些關鍵的高度關注。一個是本地的，這一點很重要，他們在那裡擁有一支非常熟練的勞動力，這是一個轉變勞動力的機會。這就是冶金勞動力。所以你很少能得到這樣的機會。對於我們來說，它[顯然]更加高效、更快、資本效率更高、運營效率更高。這是當地的看法。

And then from a broader European view, what's very strategic here and we were very intentional with this statement around us being on track to produce up to 25,000 tonnes per year of lithium carbonate. I don't think folks have really taken that in, in terms of our significance over time.

然後從更廣泛的歐洲角度來看，這裡非常具有戰略意義，我們非常有意地發表這一聲明，每年生產高達 25,000 噸碳酸鋰。我認為人們並沒有真正理解這一點，因為我們隨著時間的推移而具有重要意義。

And so that angle domestically and broadly for Europe, this is very strategic right down the fairway from the angle of the European battery regulation from the angle of minimum recycled content and really being first to market there with larger scale resource recovery for black mass to produce refined end products. So yes, (inaudible), but that's the color behind it.

因此，從國內和更廣泛的歐洲角度來看，從歐洲電池監管的角度來看，從最低迴收含量的角度來看，這是非常具有戰略意義的，並且真正率先在市場上進行更大規模的資源回收，以用於黑色物質的生產精煉的最終產品。所以是的，（聽不清），但這就是它背後的顏色。

We'll take our next question from Ben Kallo with Baird.

我們將回答 Ben Kallo 和 Baird 提出的下一個問題。

Congratulations on the progress. Maybe if you could just talk about -- I know you said in your prepared remarks, but the differences in the hub and why you're making those differences. I heard time to market, but anything else from Europe to Rochester?

祝賀取得的進展。也許你可以談談——我知道你在準備好的發言中說過，但中心的差異以及你為什麼要做出這些差異。我聽說了上市時間，但是從歐洲到羅切斯特還有什麼其他消息嗎？

And then just how do we think about how many Spokes you want to match with the hub because you guys have balanced a lot or built a lot, made a lot of progress on the Spoke part. So I'm just wondering if that's more to come after Hungary or how we should think about that?

然後我們如何考慮您想要與輪轂匹配多少輻條，因為你們已經平衡了很多或構建了很多，在輻條部分取得了很多進展。所以我只是想知道匈牙利之後是否還會有更多的事情發生，或者我們應該如何考慮這一點？

Yes, for sure. Ben, yes, so on the first part around the flow sheet and the way to think about this, we wanted to sort of introduce this to explain. It's interesting, and I'll back up a little bit for our Rochester plant. So Rochester, of course, is going to be producing lithium carbonate, nickel sulfate, cobalt sulfate. And the core difference here is really around the nickel and the cobalt.

是肯定的。本，是的，所以在圍繞流程圖的第一部分以及思考這個問題的方式上，我們想對此進行介紹和解釋。這很有趣，我會為我們的羅切斯特工廠做一些支持。因此，羅切斯特當然將生產碳酸鋰、硫酸鎳、硫酸鈷。這裡的核心區別實際上是圍繞鎳和鈷。

So at Rochester, we're going to sulfates, which go into precursor, certainly right back to battery manufacturing industry. And they garner higher value, as you can imagine, because it's added form of the product for, say, even the metal.

因此，在羅切斯特，我們將使用硫酸鹽，它會成為前體，當然會直接回到電池製造業。正如您可以想像的那樣，它們獲得了更高的價值，因為它是產品的附加形式，甚至是金屬。

We actually have looked at this other path. There's just common intermediate, which we've shown here on Page 11, which is called mixed hydroxide precipitate, MHP. So it's a common product from primary, meaning mining and refining.

我們實際上已經研究了另一條道路。只有一種常見的中間體，我們已在第 11 頁上展示過，它被稱為混合氫氧化物沉澱 (MHP)。因此，它是初級產品（即採礦和精煉）的常見產品。

And why we didn't go that path to Rochester is actually in North America, there's no real captive refining asset to take that product. So technically, economically made a lot more sense for us to go the path of the sulfates at Rochester.

為什麼我們沒有走那條去羅切斯特的路，實際上是在北美，沒有真正的自有煉油資產來獲取該產品。因此，從技術上和經濟上來說，我們在羅切斯特走硫酸鹽之路更有意義。

In the case of Europe, Glencore actually has a refining facility in Norway, [Nikkelverk]. So that facility can take in intermediates and then refine it further. So it's a bit of a case-by-case choice.

就歐洲而言，嘉能可實際上在挪威設有煉油廠[Nikkelverk]。這樣該設施就可以吸收中間體，然後進一步精煉。所以這有點具體情況的選擇。

In this case, that's a very efficient path, both in terms of the speed, but also building off one of the point on that is, lastly, is we actually piloted both this flow sheet that you see for Portovesme and the flow sheet for Rochester extensively getting back 5 years ago. So effectively, we're just leveraging the work that we've already done and the collaboration with Glencore. So that's the first part around the hub (inaudible).

在這種情況下，這是一條非常有效的路徑，無論是在速度方面，還是在最後一點上，我們實際上都試點了您在 Portovesme 看到的流程圖和羅切斯特的流程圖廣泛地追溯到5年前。因此，我們只是有效地利用我們已經完成的工作以及與嘉能可的合作。這是圍繞中心的第一部分（聽不清）。

And then on the Spoke side, yes, you saw today that we indicated and announced that we are looking at site selection for a Spoke in Hungary. Hungary is a rising star in terms of the profile of battery manufacturing in Europe. It has been actually for a while. That's on the back of also our collaboration with EVE with the top 5, 10 lithium-ion battery manufacturer.

然後在 Spoke 方面，是的，您今天看到我們表示並宣布我們正在考慮在匈牙利選擇 Spoke 的選址。匈牙利是歐洲電池製造領域的後起之秀。實際上已經有一段時間了。這也是我們與 EVE 與前 5、10 名鋰離子電池製造商合作的基礎。

In terms of growth from there and [how these folks] look to model that and [their Senate], I'd say a good road map is, for example, what we've done in Germany. So our moat here is really looking to first and foremost, I nearly double up lines where we already have a presence because you can imagine it's going to be much more capital efficient, faster, operationally efficient, right, from a people perspective.

就從那裡開始的增長以及[這些人如何]尋求建模和[他們的參議院]而言，我想說一個好的路線圖是，例如，我們在德國所做的。因此，我們這裡的護城河確實首先考慮的是，我幾乎將我們已經存在的線路加倍，因為你可以想像，從人的角度來看，它將更加資本效率、更快、運營效率更高。

That would be probably a first approach for some of our existing sites. But then second and alongside that, it's where we have the need to be closer to our customers, and that's the Spoke model, obviously. Then we'll look at new additional sites as well, for example, like Hungary. It's been both as you think about how we're going to continue to expand and lockstep with customers.

對於我們現有的一些網站來說，這可能是第一種方法。但其次，我們需要更貼近客戶，這顯然就是 Spoke 模型。然後我們還將關注新的其他站點，例如匈牙利。當你思考我們將如何繼續擴張並與客戶保持同步時，這都是如此。

And if I could just add one more. Just how do we think about the building up of black mass inventory just going forward since you're getting close to commissioning in Rochester? How should we think about that affecting sales and...

如果我能再添加一個就好了。自從你們即將在羅切斯特試運行以來，我們如何看待即將建立的黑人大規模庫存？我們應該如何考慮影響銷售和......

For sure. And I'll start, and then Debbie can add on as needed. So yes, we're going to say that we're on track to start that inventory build in the second half year. And obviously we've also reiterated the start of commissioning of the hub towards the end of this year. So those really go together, right, end of the day. And vis-a-vis how it affects our profile on sales and what's to come, I'll turn it over to Debbie.

一定。我將開始，然後黛比可以根據需要添加。所以，是的，我們會說我們有望在下半年開始增加庫存。顯然，我們還重申了該中心將於今年年底開始調試。所以這些確實是在一起的，對吧，最終。至於它如何影響我們的銷售形像以及未來的發展，我會將其交給黛比。

So Ben, it's something we are super keen to get underway. And it's just a question of timing. Our warehouse is ready. So we've got [speed to step down] the inventory. And it's just a case of working through our business plan, but you should expect that somewhere in this back half that we would begin to set down some inventory in preparation for the commissioning and ramp up of the hub.

Ben，這是我們非常渴望開始的事情。這只是一個時間問題。我們的倉庫已經準備好了。所以我們已經[加快了減少]庫存的速度。這只是完成我們的業務計劃的一個例子，但你應該預料到，在後半段的某個地方，我們將開始設置一些庫存，為中心的調試和提升做好準備。

So what you can see once we do that is we will still continue to report around our black mass production, which will be a good indication of (inaudible) how we're operating in our Spoke network. But clearly, that will have some kind of impact as we start the ramp up of inventory through our revenue line as we won't be selling it anymore. But -- and we won't go 100% right out of the gate. It will be a gradual buildup of this inventory. So there will be a mix of inventory build in revenue.

因此，一旦我們這樣做，您可以看到我們仍將繼續報告我們的黑色大規模生產，這將很好地表明（聽不清）我們在 Spoke 網絡中的運營方式。但顯然，當我們開始通過我們的收入線增加庫存時，這將會產生某種影響，因為我們將不再銷售它。但是——我們不會 100% 立即採取行動。該庫存將逐步增加。因此，庫存的增加會帶來收入的混合。

There are implications for the revenue line. But just as a reminder, it makes great economic sense for us because right now, we do not capture any lithium value in selling this black mass product. So better to set it down in inventory with the opportunity to capture that value once we've got the hub operating.

這對收入線有影響。但提醒一下，這對我們來說具有很大的經濟意義，因為目前我們在銷售這種黑色大眾產品時並未獲得任何鋰價值。因此，最好將其放入庫存中，以便在中心運行後有機會獲取該價值。

We'll take our next question from Matthew O'Keefe with Cantor Fitzgerald.

我們將回答馬修·奧基夫和坎托·菲茨杰拉德提出的下一個問題。

Just a question for me on the DOE loan, just start with that. The -- what kind of covenants are around that? And when you do get that -- specifically when you do get that approved, will it be applicable to your build-out in Europe? Or would it have to be only in domestic build-out in the United States?

我想問一個關於能源部貸款的問題，就從這個開始吧。圍繞這方面有什麼樣的契約？當你真的得到批准時——特別是當你得到批准時，它會適用於你在歐洲的擴建嗎？還是只能在美國國內進行擴建？

I'll start and then Debbie can add on as needed. So yes, so (inaudible) proceeds. So it does have to be for the build-out in actually our U.S. business. So -- and the key to process there is actually the hub.

我先開始，然後黛比可以根據需要添加。所以是的，所以（聽不清）繼續。因此，這確實必須是為了擴大我們的美國業務。所以——處理的關鍵實際上是集線器。

Now a bit of a dynamic there at a high level is the eligible cost in this program is really the capital cost. And obviously, folks are tracking with spends a lot of that capital costs and more to come. So the way it's going to work is we can actually draw against (inaudible) eligible cost. And then there's more to come. We can continue to draw essentially against that.

現在，高層的一個動態是，該計劃中的合格成本實際上是資本成本。顯然，人們正在跟踪花費大量資本成本以及未來更多。因此，它的運作方式是我們實際上可以提取（聽不清）合格成本。然後還會有更多的事情發生。我們可以繼續從本質上反對這一點。

And then that can go towards as you can imagine as we get through the next bit, of course, there's noncapital cost here, right? So there's ramp-up of working capital, et cetera. So that's where that can be used for, but it's being drawn against eligible [aka] capital cost.

然後，當我們完成下一步時，這可以朝著你可以想像的方向發展，當然，這裡有非資本成本，對吧？因此，營運資金的增加等等。這就是可以使用的地方，但它是根據合格的[又名]資本成本來提取的。

But what that does for us is obviously at (inaudible) level, that would have been money that we would use from a (inaudible) level to fund that build up the U.S. level, so it opens up (inaudible) go do. The next thing and obviously, we've alluded in the next thing, it's really around Europe and our site. Debbie can also add anything (inaudible) covenants or in general.

但這對我們的作用顯然是在（聽不清）水平上，我們將使用（聽不清）水平的資金來資助建立美國水平，所以它打開了（聽不清）去做。接下來的事情，顯然，我們已經在接下來的事情中提到過，它實際上是在歐洲和我們的網站周圍。黛比還可以添加任何（聽不清）契約或一般性契約。

Yes. So I think our preference would be to get this [one] fully closed, and then we can talk about the structuring versus now before we've finalized the documentation, albeit that from our perspective, we've pretty much signed up on all the documentation.

是的。因此，我認為我們的首選是讓這個[一個]完全關閉，然後我們可以在最終確定文檔之前討論結構與現在的情況，儘管從我們的角度來看，我們幾乎已經簽署了所有協議文檔。

But I think if you're looking for a guide, you can really think along a typical project financing structure. Those are the types of covenants that -- the goal with that type of structure that you can expect in this arrangement, albeit it is with the U.S. government.

但我認為，如果您正在尋找指南，您確實可以沿著典型的項目融資結構進行思考。這些是您在這種安排中可以期待的那種類型的契約的目標，儘管它是與美國政府簽訂的。

And the one beautiful thing that's very different from that, I don't know, commercial bank project financing structure is that it's priced to U.S. Treasuries, and there's no spreads. So with a degree of flexibility, it has a long life for paying back, which gives us a lot of flexibility.

我不知道，與商業銀行項目融資結構非常不同的一件美妙的事情是，它以美國國債定價，並且沒有利差。因此，具有一定的靈活性，它的償還期很長，這給了我們很大的靈活性。

And then the other piece that I think we've mentioned this before, but I would share right now is it is secured around those assets that we're building, right? So it is secured against that hub assets but not the entire company.

然後，我想我們之前已經提到過這一點，但我現在要分享的是，它是圍繞我們正在構建的那些資產進行保護的，對吧？因此，它是針對該中心資產而不是整個公司進行擔保的。

Right. Okay. I just wonder -- that's great because it just does seem like it provides you with a great deal of flexibility. I guess that's the takeaway on this. And the mechanics around it, you've explained. I appreciate that.

正確的。好的。我只是想知道——這很棒，因為它看起來確實為您提供了很大的靈活性。我想這就是這件事的要點。以及它周圍的機制，你已經解釋過了。我很感激。

If I could just ask one more question on the technical side. We've seen an uptick in LFP battery chemistry going into EVs. There's the LFP plants being built up and down the U.S. Are you guys can accept LFP, correct?

如果我能再問一個技術方面的問題就好了。我們已經看到磷酸鐵鋰電池化學成分在電動汽車中的應用有所增加。美國各地都在建LFP工廠，你們能接受LFP嗎？

Correct, Matt, yes.

正確，馬特，是的。

Yes. Okay. So that doesn't really affect any -- I guess there's plenty of nickel-based batteries as well to satisfy for the -- at least for the next decade?

是的。好的。所以這並沒有真正影響任何——我猜還有大量的鎳基電池可以滿足——至少在未來十年？

Yes. So for sure, this is something very close to our hearts. So we say, as you said, and I just mentioned briefly, we accept lithium-ion phosphate batteries, LFP batteries commercially. So I'll walk through it on the way in and the way out.

是的。所以可以肯定的是，這是我們非常關心的事情。所以我們說，正如你所說，我剛才簡要提到，我們接受鋰離子磷酸鹽電池、磷酸鐵鋰電池的商業化。所以我會在進出的路上走過它。

So on the way in from our Spoke, you can imagine they're mechanical processing facilities, so they're agnostic to the chemistry. And as for a hub, of course, we have nickel and cobalt, manganese production capability, but also looking some hubs in the Rochester (inaudible) LFP. And we're looking at a similar thing for our Portovesme Hub.

因此，在從我們的輻條進入的途中，您可以想像它們是機械加工設施，因此它們對化學成分是不可知的。至於輪轂，當然，我們擁有鎳、鈷、錳的生產能力，但也在羅切斯特（聽不清）LFP 中尋找一些輪轂。我們正在為 Portovesme Hub 尋找類似的東西。

One other aspect there on the way out is the whole discussion around lithium carbonate versus lithium hydroxide. So we (inaudible) the path of producing lithium carbonate, which was a technical and risk-adjusted choice, not adding too much complexity, but going to lithium hydroxide off the bat.

退出的另一個方面是圍繞碳酸鋰與氫氧化鋰的整個討論。因此，我們（聽不清）生產碳酸鋰的道路，這是一個技術和風險調整後的選擇，不會增加太多的複雜性，而是立即轉向氫氧化鋰。

But if there were to be -- and we do continue to see growth in LFP in North America and Europe, then that's good, too, from the angle of lithium carbonate demand. (inaudible) as we look at the gigafactories that are online, coming online and the pipeline for North America and Europe, it is still dominated by higher nickel chemistries.

但如果有的話——而且我們確實繼續看到北美和歐洲的磷酸鐵鋰增長，那麼從碳酸鋰需求的角度來看，這也是件好事。 （聽不清）當我們觀察正在上線、即將上線的超級工廠以及北美和歐洲的管道時，它仍然以高鎳化學品為主。

So we see LFP coming in, but it's gradual. And even when we sensitize that to a very aggressive case, there is still quite a bit of high nickel chemistry. So that's from the aspect of our customers and the feed for our hubs, we don't see that as a concern. But our key (inaudible) is going to continue to be able to take (inaudible) battery chemistry.

所以我們看到 LFP 進來，但這是漸進的。即使我們對非常具有攻擊性的情況敏感，仍然存在相當多的高鎳化學物質。因此，從我們的客戶和我們中心的信息流的角度來看，我們不認為這是一個問題。但我們的關鍵（聽不清）將繼續能夠採用（聽不清）電池化學。

(Operator Instructions) We'll take our next question from Jeff Osborne with TD Cowen.

（操作員說明）我們將接受 Jeff Osborne 和 TD Cowen 提出的下一個問題。

A couple of questions on my side. Debbie, I was wondering if you could just opine on the operating expense level. It seems like it's crept up, and I was thinking it would be a bit more flattish. If you could just talk about what the outlook is for the second half of the year as you move into commissioning would be helpful.

我這邊有幾個問題。黛比，我想知道你是否可以就運營費用水平發表意見。看起來它已經爬起來了，我想它會更平坦一些。如果您能談談下半年進入調試階段的前景，將會有所幫助。

Jeff, no problem. Yes. I'm not really sure that I follow your math on it creeping up. It is a little bit complicated in the income statement. And what you really need to do is back out some noncash expenses. I think Q1 and Q2 of this year are a good indicator for the balance of the year for 2023, and you should expect it to be on or around that same level.

傑夫，沒問題。是的。我不太確定我是否遵循你的數學計算來計算它的增長。損益表中的情況有點複雜。你真正需要做的是回扣一些非現金支出。我認為今年第一季度和第二季度是 2023 年年度餘額的一個很好的指標，您應該預期它會處於或接近同一水平。

Got it. And then for Ajay, maybe on the Italy facility with the different scope, which you touched on, if we were stuck in an elevator and you were trying to pitch me this ahead of the feasibility study, is there sort of a rule of thumb in terms of time to market, you could do it X percent faster and then what the financial ramifications are in terms of EBITDA per tonne as well as CapEx per tonne just in terms of the difference in scope? It would be helpful if you could just articulate that with a bit more precision.

知道了。然後對於阿賈伊來說，也許在你提到的具有不同範圍的意大利工廠，如果我們被困在電梯裡，而你試圖在可行性研究之前向我推銷這一點，是否有某種經驗法則就上市時間而言，您可以加快X%，那麼僅就範圍差異而言，每噸EBITDA 以及每噸資本支出的財務影響是什麼？如果您能更精確地闡明這一點，將會很有幫助。

Sure. And of course (inaudible) probably a good time to elaborate on that. I'd say, look, the bottom line is faster, it's a more streamlined flow sheet. Of course, the (inaudible) making a higher value nickel cobalt sulfate, but at the same time, (inaudible) nickel and cobalt to give a bit of sense the rough revenue range.

當然。當然（聽不清）可能是詳細說明這一點的好時機。我想說，看，底線更快，這是一個更精簡的流程圖。當然，（聽不清）製造了更高價值的硫酸鎳鈷，但與此同時，（聽不清）鎳和鈷給粗略的收入範圍帶來了一些意義。

MHP, by the way, is a pretty common intermediate. It has indices actually from numerous reporting agencies to give a sense of the payables on the nickel and cobalt. Just keep in mind, again, it's not exactly the same as mining product.

順便說一句，MHP 是一種非常常見的中間體。它實際上有來自許多報告機構的指數，可以讓您了解鎳和鈷的應付賬款。請再次記住，它與採礦產品並不完全相同。

So bottom line, it's faster, it's tailored for Europe in terms of the collaboration with Glencore as I talked about around the refining facility in Norway. And then the capital intensity, we expect a lower capital intensity versus Rochester. So that's qualitatively (inaudible) will be able to be enabled on the back of the full DFS results, which we're looking forward to sharing.

所以最重要的是，它更快，它是針對歐洲與嘉能可的合作而量身定制的，正如我談到的挪威煉油廠。然後是資本密集度，我們預計與羅切斯特相比，資本密集度較低。因此，這將能夠在完整的 DFS 結果的支持下實現（聽不清），我們期待著分享。

Got it. And then I didn't see any reference to the production tax credit in the presentation there. Have you been able to confirm that you'll be eligible for the 10% PTC and what the expectation is the timing of that?

知道了。然後我在演示文稿中沒有看到任何有關生產稅收抵免的提及。您是否能夠確認您有資格獲得 10% PTC 以及預期的時間安排是什麼？

Yes. So we do continue to think based on engagement that we are eligible for the 10% PTC. It does seem like the guidance that continues to get pushed out a bit. The latest that we have on that is likely to fall to understand specific guidance, but based on our engagement today, yes, we do look to be eligible for the 10% PTC.

是的。因此，我們確實繼續根據參與度認為我們有資格獲得 10% PTC。看起來該指導方針確實繼續被推遲了一點。我們掌握的最新消息可能無法理解具體指導，但根據我們今天的參與情況，是的，我們確實有資格獲得 10% PTC。

At this time, it appears we have no further questions. I'll now turn the call back to Ajay Kochhar for any additional or closing remarks.

目前看來我們沒有其他問題了。現在我將把電話轉回阿賈伊·科赫哈 (Ajay Kochhar)，請其發表補充或結束語。

Thank you, Todd. So looking back, it's actually down the (inaudible) anniversary since Li-Cycle became a public company. And during that time, we delivered on our strategic plan to become the leading innovative and sustainable pure-play lithium-ion battery materials recycler and supplier of key battery-grade materials.

謝謝你，托德。回顧過去，實際上已經是 Li-Cycle 成為上市公司以來的（聽不清）週年紀念日了。在此期間，我們實現了成為領先的創新和可持續的純鋰離子電池材料回收商和關鍵電池級材料供應商的戰略計劃。

By closing loop from the domestic supply chain in North America and Europe, we're enabling the electrification ecosystem. And to recap our significant achievements, which validate our first-mover business model, we have built an unparalleled global integrated pre and post processing network or Spoke & Hub network that positions Li-Cycle to be a leading supplier of battery-grade materials, including lithium carbonate.

通過關閉北美和歐洲國內供應鏈的循環，我們正在實現電氣化生態系統。為了回顧我們的重大成就，驗證我們的先發商業模式，我們建立了無與倫比的全球集成前處理和後處理網絡或 Spoke & Hub 網絡，使 Li-Cycle 成為電池級材料的領先供應商，包括碳酸鋰。

We've entered into strategic long-term commercial arrangements with leading global players in the battery supply chain, including Glencore, TrakSYS, KION, VinES, EVE, LG in addition to other OEMs. And since being public, we've achieved competitive financing totaling $725 million with strategic partners and government support, including [Coke], LG, Glencore and the DOE.

我們已與電池供應鏈中的全球領先企業達成戰略性長期商業安排，其中包括 Glencore、TrakSYS、KION、VinES、EVE、LG 以及其他 OEM。自上市以來，我們在戰略合作夥伴和政府支持下，已經獲得了總計 7.25 億美元的競爭性融資，其中包括 [Coke]、LG、Glencore 和 DOE。

So in summary, we're extremely proud of our team with industry-leading expertise, continued successful execution and focus on driving significant value for our shareholders. And we look forward to demonstrating further progress in the coming quarters that puts Li-Cycle on a path to become a top global producer of key battery-grade materials with a leading sustainable technology and strategic partnerships. So thanks for your time, interest and support for Li-Cycle.

總而言之，我們對我們的團隊感到非常自豪，他們擁有行業領先的專業知識、持續成功的執行力並專注於為股東創造巨大價值。我們期待在未來幾個季度取得進一步進展，使 Li-Cycle 走上成為全球頂級關鍵電池級材料生產商的道路，擁有領先的可持續技術和戰略合作夥伴關係。感謝您對 Li-Cycle 的關注、關注和支持。

This does conclude today's Li-Cycle Second Quarter 2023 Earnings Call and Webcast. You may disconnect your line at this time, and have a wonderful day.

今天的 Li-Cycle 2023 年第二季度收益電話會議和網絡廣播到此結束。此時您可以斷開線路，度過美好的一天。