Ini4al Metallurgical Test Work results^
IF THICKER ECO22RC_048 : 23m @ 6.78% Ni^
Composite collected:
! From 3 x DDH in Dec 2021, before: and/or
! Geology interpreta,on complete; and
! Baker MRE completed BETTER GRADE
! 40% of sample originated outside the MRE
Head grade of sample: also means
! 2.81% Ni, 0.27% Cu, 0.057% Co, 16.4% Fe, 20.6% MgO, HIGHER DENSITY
7.29% S, 18 ppm As (mass weighted)
! Length weighted average was 2.55% Ni, 0.22% Cu,
0.05% Co
Each an individual driver
Rougher/Cleaner op4miza4on (P80 53 µm):
of more Ni metal
! Ni 86% recovery with a concentrate grade of 16.9%;
! Cu 95.5% - 1.88% Cu; TYPICALLY HIGHER
! Co 85.3% - 0.35% Co; RECOVERY
! As 95 ppm;
! Fe:MgO ra,o 16.8 to 1;
! S 36.8%. BEST PLACED TO
DISCUSS OFF TAKE
TERMS
^refer slide 21 for relevant ASX announcement
BAKER
Paydirt Nickel Conference 2021
West Idough
Open Pit
(~300m distance)
LM8 1st pass RC
post IPO
July-Oct 22 LEGEND – DRILL HISTORY
Diamond hole (WMC)
1m @ 7.4% Ni 1 pass RC (LM8)
st
DHTEM
survey high
conductance GDA94/MGA Zone 51
plate
0 metres 100 metres 200
BAKER
12 months later
4m @ 4.02% Ni West Idough
10.1m @ 7.76% Ni Open Pit
15m @ 9.8% Ni (~300m distance)
23m @ 6.78% Ni
19m @ 6.01% Ni LEGEND - DOMAINS
First-4me MRE Main Base of Flow
June 22 A B 2.8m @ 4.12% Ni Re-mobilised Shear
D
C
F
E
568kt @ 2.8% Ni G H &
(15,800t Ni) I 6.0m @ 10.95% Ni Other colours – base of flow
J
K L LEGEND – DRILL HISTORY
M N
O P Diamond hole (WMC)
Q 2m @ 8.25% Ni 1 pass RC (LM8)
R
st
LM8 infill/ 5m @ 4.15% Ni
extend S T 2021 RC campaign (LM8)
~20m x 20m 6.9m @ 4.33% Ni 2022 RC/DDH campaign (LM8)
July-Sept 22 3m @ 6.38% Ni GDA94/MGA Zone 51
2.55m @ 6.71% Ni
2021 Explora4on
New drill intercepts NOT in current Target Outline
Mineral Resource
0 metres 100 metres 200
Silver Lake Hanging Wall “Gap”
Opportunity looks
familiar
" ~600m x 200m
scale
" Drilled on broad
100m spacing
" Modest widths, low
– modest grade
" Narrow, very high
grade massive
sulphides present
Foster : Permit / Dewater / Re-entry / Drill / Discover
725m deep Foster shat
Example of dewatering gear at
St Ives early 2000s
Lake Lefroy
discharge point
refer Slide 20 for full breakdown of Mineral Resource
Corporate Overview
• Corporate Overview
Liam Twigger Ashley McDonald Corporate structure (ASX: LM8)
Non-Execu4ve Chair Non-Execu4ve Director
Deputy Chair Argonaut, NEC SolGold GFI nominee, Sen Vice President, close on 4 October 2022
experienced M&A, legal, commercial
$0.84
Board Ian Junk Shares on issue Share price $164m
195.0m
Non-Execu4ve Director
Market cap
Mining engineer - WMC, key role at
ASX: MCR, PAN as Donegal Resources,
successful private businessman
Jessamyn Lyons 6.62m $32.9m nil
Deborah Lord Non- Company Secretary Debt
Execu4ve Director Principal Everest Corporate. CoSec Op,ons Cash (30 June 2022)
Geologist – WMC, Placer, SRK, BHP, Dreadnought Resources, Midas,
VRM. UWA CET Board, VALMIN Chair Ragnar and Echo IQ
64,300t ~$131m
Ni metal
Ed Ainscough Helen Anderson JORC 2012 Resource EV 6.4% Board &
Management
Managing Director Manager - ESG
Geologist, execu,ve, 25yr+ SHEC execu,ve, opera,ons
opera,onal, commercial and corporate experience with ~$2,036/t Ni Over 1,200 34% St Ives
Execu,ve Aaron Wehrle Hayden Bartrop EV/Resource t Ni 23.2% 16/6/24 &
WMC, GFI, KCGM and NCM
background – WMC/GFI
holders
escrow
5/10/23
CFO / CoSec (starts Jan 2023)
Geology & Explora4on Manager
Geologist – deep local mine &
commercial, BD and CoSec roles at
explora,on experience with 15yr+ experience, senior Coverage
WMC/GFI Gold Road Resources Limited and Euroz Hartleys ($1.80)
Barrick Australia Pacific Argonaut ($1.25) Top 20 76.8%
Foster ($1.50) Share Register
totals may not sum due to rounding
Investment highlights ASX:LM8
Growth in forward facing commodity
4 historical Ni mines Long mining history Globally significant
nickel camp
7 known Ni
channels Excellent local Kambalda assets
infrastructure & have unrivalled
Aggressive drill services record of longevity
campaigns
Unparalleled Mining Address Capital light World-class Ni province Under-explored
Making discoveries assets that missed
the last boom
Increasing mineral Two nearby
resources concentrators only Primed to capitalise
25km & 125km by on current nickel
Expanding asset road price highs
base
Making our own history, in the heart of
Kambalda
1960s/70s
2022
Driller, Jack Lunnon (far right) overlooking Lake
Lefroy from north side of Red Hill: with local
and WMC dignitaries at site of KD1, discovery
hole for nickel at Kambalda
(image source ABC Goldfields-Esperance: story dated 1st Feb
2016)
Blue Spec Drilling’s Graeme Baker, RC
driller who first intersected high grade
Suite 5/11 Ventnor Avenue nickel mineralisa,on at East Cooee and
West Perth, WA 6005 a_er whom the Baker Shoot is named.
www.lunnonmetals.com.au
[email protected]
Real Assets, in the heart of Kambalda
Important No4ce and Disclaimer
Competent Person Statements
The informa,on in this Presenta,on that relates to geology, nickel and gold mineralisa,on, Mineral Resources and Explora,on Results is based on, and fairly represents informa,on compiled and reviewed by Mr Aaron
Wehrle, a Competent Person who is a Member of the Australasian Ins,tute of Mining and Metallurgy (AusIMM). Mr. Wehrle is a full-,me employee of Lunnon, a shareholder and holder of employee op,ons. Mr Wehrle has
sufficient experience that is relevant to the style of mineralisa,on and type of deposit under considera,on and to the ac,vity that he is undertaking to qualify as Competent Person as defined in the 2012 Edi,on of the
Australasian Code for Repor,ng of Explora,on Results, Mineral Resources and Ore Reserves. Mr Wehrle consents to the inclusion in the report of the maMers based on their informa,on in the form and context in which it
appears.
The informa,on in this announcement that relates to the mining, metallurgical and environmental modifying factors or assump,ons as they may apply to the Mineral Resource Es,ma,on are based on, and fairly represent,
informa,on and suppor,ng documenta,on prepared by Mr. Aaron Wehrle and Mr. Edmund Ainscough, who are both Members of the Australasian Ins,tute of Mining and Metallurgy (AusIMM), full ,me employees of
Lunnon Metals Ltd, shareholders and holders of employee op,ons; both have sufficient experience that is relevant to the style of mineralisa,on, type of deposit under considera,on, the ac,vity that they are undertaking
and the relevant factors in the par,cular loca,on of the Baker Shoot and KNP generally, to qualify as Competent Persons as defined in the 2012 Edi,on of the Australasian Code for Repor,ng of Explora,on Results, Mineral
Resources and Ore Reserves. Both Mr. Wehrle and Mr. Ainscough consent to the inclusion in this announcement of the maMers based on their informa,on in the form and context in which it appears.
The informa,on on slide 14 that relates to the results from the ini,al nickel metallurgy test work and in the per,nent announcement dated 1 Sept 2022, is based on, and fairly represents, informa,on and suppor,ng
documenta,on prepared by Mr. Barry ClouM, who is a Member of the Australasian Ins,tute of Mining and Metallurgy (AusIMM). Mr. ClouM is an external and independent consultant to Lunnon Metals Ltd, and has sufficient
experience that is relevant to the ac,vity that he is undertaking to qualify as Competent Person as defined in the 2012 Edi,on of the Australasian Code for Repor,ng of Explora,on Results, Mineral Resources and Ore
Reserves. Mr. ClouM consents to the inclusion in this announcement of the maMers based on his informa,on in the form and context in which it appears.
Mineral Resources repor4ng - this presenta,on contains references to Lunnon’s Mineral Resources shown in a detailed breakdown below as at 14 June 2022.
Indicated Inferred Total
Cut-off
(Ni %) Tonnes Ni (%) Ni Tonnes Tonnes Ni (%) Ni Tonnes Tonnes Ni (%) Ni Tonnes
85H 1.0 387,000 3.3 12,800 300,000 1.3 3,800 687,000 2.4 16,600
South 1.0 223,000 4.7 10,500 116,000 4.8 5,500 340,000 4.7 16,000
Warren 1.0 136,000 2.7 3,700 75,000 3.7 2,700 211,000 3.1 6,400
N75C 1.0 270,700 2.6 6,900 142,000 1.9 2,600 412,700 2.3 9,500
Baker 1.0 295,000 2.8 8,100 273,000 2.8 7,700 568,000 2.8 15,800
totals may not
sum due to rounding
Total 1,311,700 3.2 42,000 906,000 2.5 22,300 2,218,700 2.9 64,300
Important No4ce and Disclaimer
External references
This presenta,on contains references to third party reports and other publicly available data. These are:
Slides 8 & 9:
- Stolz, N., 2012 Seismic Methods for Hard Rock Mineral Explora,on; Geoscience Australia, Group Leader, Minerals and Natural Hazards Division, 34th IGC Brisbane, 2012
- Williams, P., Whi~ord, M., Kepic, A., and Urosevic, M., 2012, Recent experiences concerning the use of high defini,on seismic reflec,on applied to Koma,i,c Nickel Deposits, Western Australia, 74th
EAGE Conference & Exhibi,on, Copenhagen, Denmark, Extended Abstract
Slide 8 - Growing A Great Australian Mining Company, Diggers & Dealers, 2011, Chris Bonwick, Managing Director, Independence Group (ASX:IGO) (29 Jul 2011)
Explora4on results repor4ng
This presenta,on contains references to Lunnon's explora,on results and previous announcements. The informa,on in this presenta,on that relates to previous explora,on results has been
extracted from the following Lunnon ASX announcements, where full details including collar co-ordinates, significant assay tables and JORC Table 1, Sec,ons 1 & 2, (and where required Sec,on 3)
can be found:
East Trough Returns 2.0m @ 5.07% Ni (28 September 2021) WA Government EIS Hole Commences at Kenilworth (31 Mar 2022)
East Cooee Records More High Grade Nickel (1 October 2021) Warren Wedges Con,nue to Impress (4 April 2022)
More Nickel at East Cooee Hanging-Wall (19 Oct 2021) Acquisi,on of New Nickel Rights Transforms Lunnon Metals (12 Apr 2022)
East Cooee - Explora,on Update (Amended) (12 Nov 2021) N75C Demonstrates Upside of Historical Core Programme (22 Apr 2022)
RC Drilling Hits High Grade Nickel at Warren (19 Nov 2021) Warren Con,nues to Deliver High Grades at Kambalda (16 May 2022)
Re-assays Record Excellent Results for N75C (26 Nov 2021) Progress Update for Baker and Kenilworth (27 May 2022)
Nickel Sulphides Keep Coming at Warren (2 Dec 2021) Baker First-Time Mineral Resource Tops 15,000t Nickel Metal (14 Jun 2022)
East Cooee Drilling Hits Massive Nickel Sulphides over 6m (3 Dec 2021) More Nickel Hits at Warren (05 Jul 2022)
Logging Confirms Disseminated Nickel Sulphides at Foster (6 Dec 2021) Baker Infill - Rising to the Top (11 Jul 2022)
KNP Programme Update, Warren Returns 8.72m @ 3.54% Nickel (4 Jan 2022) Baker Fires Up - Ni Grades Over 14% in Best Hole to Date (18 Jul 2022)
Foster Mine Update - N75C Delivers 7.7m @ 2.92% Nickel (6 Jan 2022) Thick, High Grade Nickel Con,nues at Baker (02 Aug 2022)
Baker Delights - 7m @ 9.22% Nickel (17 Jan 2022) Diggers & Dealers 2022 Company Presenta,on (03 Aug 2022)
Baker - 2.7m @ 10.72% Ni and 10m @ 6.82% Ni (20 Jan 2022) Northern Lines at Baker Con,nue to Deliver (22 Aug 2022)
Mul,ple High Grade Nickel Hits at Baker (7 Feb 2022) Baker RC Programme Results Complete (29 Aug 2022)
Warren Update - Nickel Sulphides in Down Plunge Drilling (15 Feb 2022) Baker Ini,al Metallurgical Tests Complete (1 Sept 2022)
Warren Wedge Another Winner (7 Mar 2022) Baker Diamond Hole Delivers 6.0m @ 10.95% Ni (28 Sep 2022)
Copies of these announcements are available at www.asx.com.au or hMps://lunnonmetals.com.au/asx-announcements/. Lunnon confirms that it is not aware of any new informa,on or data
that materially affects the informa,on included in those announcements and, in rela,on to the es,mates of Lunnon’s mineral resources and explora,on results, that all material assump,ons
and technical parameters underpinning the es,mates in the announcement con,nue to apply and have not materially changed. Lunnon confirms that the form and context in which the
Competent Person's findings are presented have not been materially modified from those announcements.
Looking forward.
Mining green.
Blackstone Minerals
Australian Nickel Conference
th
6 October 2022
ASX:BSX
INVESTMENT SUMMARY
Vertically integrated mining and refining business model
using hydro-electric power
Globally relevant nickel sulfide mineral resource and
probable reserve
Base case Ta Khoa Refinery (TKR) designed
to produce >80ktpa NCM 811 Precursor
Partnership based model involving debt
and equity participation
Blackstone strategy being
delivered into rising
macroeconomic environment
ASX:BSX 2
TA KHOA IN A NUTSHELL
UPSTREAM PROJECT (TKN) DOWNSTREAM PROJECT (TKR)
Upstream NCM 811
Exploration Mining Processing Downstream Precursor product for
Plant Refinery Lithium-Ion batteries
ASX:BSX 3
Blackstone Minerals
Looking forward.
Mining green. Upstream
Downstream
Hanoi
Integrated producer of low-emission nickel
! Integrated mining and re?ining (pCAM output) Laos Upstream (90%)
DFS underway
•
Hydro-electric power from the grid
1 ! 485kt of nickel sulphide resources 1 • Reserve: 48.7Mt @ 0.43% Ni
!
Resource: 130Mt @ 0.44% NiEQ (inc. reserve)
•
Exceptional LCA (9.8kg CO /kg NCM811)
!
2
•
Open pit (low strip (2.9:1)) and underground
• By-products (Cu, Co, Mn)
• Hydro power (grid)
Nickel market entering structural de?icit Downstream (100%)
2
! Battery nickel demand to grow 260% by 2040 Thailand • DFS underway
Nickel market to be in supply decicit by 2028
2
!
2 ! De?icit for battery grade Ni by 2024 • Production of pCAM
2
Incorporates 3 party feed
rd
•
Bifurcation of market expected along ESG lines
!
• >40ktpa of NiEq.
Other interests
Cambodia • Gold Bridge (100%)
Vietnam is a burgeoning EV hub
• Nico (~15%)
! Vietnam is an established mining jurisdiction Ho Chi Minh City • Corazon (~17%)
Over 200 active mines (public and private)
3 ! Burgeoning hub of technology and EVs • Flying nickel (~7%)
Codrus (46% escrowed)
!
•
3
! Growth in FDI from $1.3B in 2000 to $15.3B in 2020
Vietnam
Note 1: refer to ASX announcement 23 December “Ta Khoa Mineral Resource Update”
Note 2: Benchmark Minerals, Q1 2022
Note 3: World Bank (2022)
Vietnam Ta Khoa Nickel Project
Open for business
Existing concentrator
Increasingly attractive FDI candidate
• FDI of $15.8B in 2020 – increased from $1.3B in 2000
1
1 • World Bank ease of doing business (70); Indonesia (73), Brazil (124)
1
• Over 200 operating mines
Cost competitive
2
• Vietnam’s labor costs are half of China’s at US$2.99 per hour
2
2 • Regulated electricity pricing; USD 6.3 cents – USD 10.75 cents per kWh
• One of the lowest cost countries for delivery of capital projects
3
Leader in renewable energy
2
• National grid is 30 per cent hydro and 24 per cent solar
3 • Higher exposure to hydroelectricity exists in Northern Vietnam
• Power source accounts for 27% of GHG in a typical EV
Ban Phuc is a brown?ield project
• Asia Mineral Resources operated successfully between 2013 – 2016
4 • Put into care and maintenance given 2016 prices ($9k/t)
• Attractive corporate tax incentives available to TKP
Note 1: World Bank (2022)
Note 2: US trade office (2022)
Note 3: Arcadis, Interna>onal Construc>on Cost Index (2021)
TA KHOA REFINERY (TKR)
Blackstone has received strong provincial government support
Blackstone has signed an MOU with Vietnam’s Son La Province – Cooperative Framework for the Development of the Ta Khoa Project
A trade-off study was
completed to assess the
Years of % Corporate op>mal loca>on for the
Operation Tax Rate Ta Khoa Refinery
0 - 4 % 0%
5 - 13 % 5%
14 - 15 % 10%
> 15 % 20%
Blackstone’s preferred
loca>on for the TKR is in
the Son La Province,
within the Gia Phu
Industrial Cluster
Blackstone is focused
on being part of a fully
integrated EV supply
chain in Vietnam Significant corporate
tax incen>ves are
available to the Ta
Khoa Refinery
ASX:BSX 6 BSX 6
ASX:
VINGROUP – VIETNAM’S LARGEST CONGLOMERATE
Track Record of Developing New Businesses Into Market Leaders VinFast Factory,
Dinh Vu, Hai
Phong, Vietnam
1.5% 42K $32B
of nominal employees, the combined market
Vietnamese largest private cap (USD)
GDP Vietnamese Employer
Electric Vehicle OEM aiming to drive the Offers battery products for
global smart electric vehicle revolution electric vehicles
ASX:BSX 7
NET ZERO ADVANTAGE GREEN NICKEL™
Blackstone Minerals has the opportunity
to build a net zero operation from day one
PRESSURE
VERTICALLY CORPORATE
SULFIDE INTEGRATED RENEWABLE OXIDATION FOSSIL FUEL COMMITMENT
NICKEL POWER LEACH REPLACEMENT
VALUE CHAIN TO ESG
FLOWSHEET
GREEN NICKEL™
ASX:BSX 8 BSX 8
ASX:
Nickel market outlook
Supply / demand outlook Life cycle analysis (‘LCA’) by supply source
Decicit exacerbated for battery grade nickel Bifurcation of demand expected along ESG lines
Nickel supply v demand (2022 – 2040, Mt) NCM811 GHG (Scope 1,2 & 3) comparison (kg CO eq per kg)
2
8
7
6
Recycling
5
MHP
4 58.4
Metal
3
FeNi
2 9.8
22.2
1 NPI 15.7
0
2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 TKNP Australia Indonesia (HPAL) Indonesia (RKEF)
Total Demand Non-battery Demand Mining Concentrator Transport (con)
Demand (non-battery)
Demand (total)
3rd party con. MHP NCM811
Source: Benchmark Minerals, Q1 2022 Source: Minviro, September 2022
ASX : BSX 9
Resource
Nickel sulphide district
Mineralised district
1
! Ban Phuc: 123 Mt at 0.43% NiEQ (523kt NiEQ )
1 ! Ban Phuc: 102Mt at 0.44% NiEQ is indicated
1
District: 130Mt at 0.44% NiEQ (571kt NiEQ )
!
Exploration targets
! Several targets within Blackstone tenure
2 ! Exploration supported by Government partnership
Exploration to recommence post DFS geotech drilling
!
Parallel mining of DSS and MSV
! Low life of mine strip ratio (2.9:1.0 , waste:ore)
3 ! DSS located near surface, open pit depth of 470m
Supplemented by MSV (King Snake, Ban Chang)
!
2,500m
Note 1: refer to ASX announcement 23 December “Ta Khoa Mineral Resource Update”
ASX : BSX 10
EXCELLENT PROGRESS ON PILOT PLANT TESTING
Samples being generated on site to support two phases of pilot plant testing
Ban Phuc Crushing Circuit
Underground Development at Ban Phuc Ban Phuc Flotation Circuit POX Autoclave in Australia
1. Phase 1 – Samples sent to ALS in Australia
2. Phase 2 – Samples to be upgraded into NCM Precursor in Vietnam
ASX:BSX 11
Project overview
Recinery designed for multiple feed sources
Mine - TKN Concentrator - TKN Recinery - TKR pCAM plant - TKR
Ban Phuc nickel DSS mine TKN concentrator
Ban Chang and King Snake MSV mines Interests (NiCo, Flying Ni, Corazon)
Regional exploration 3 party concentrate
rd
Ni intermediates (MHP, Ni Matte)
Within BSX portfolio
Black mass (recycling)
Components of feedstock supply strategy
Advanced M&A targets
ASX : BSX 12
Project comparison
Leading cost and ESG positioning
Nickel (sulphate) cost curve Life cycle analysis by area
First to second quartile positioning for TKP Opportunities to reduce LCA to 6.3kg of CO /t NCM 811
2
X axis: costs (all-in, inc. susex) ($/t) 2022$, y axis: supply (kt) NCM811 GHG (kg CO eq per kg of NCM811)
2
25,000
20,000 2.4
0.7
15,000 0.4
9.8
10,000
TKP 6.3
5,000
-
- 200 400 600 800 Base Hydro PPA Cobalt Hydrogen co- Adjusted
hydrixide product case
Source: Tracigura trading division (“Nickel Market Outlook July 2022”) and BSX Source: Minviro, September 2022
ASX : BSX 13
VERSATILE BUSINESS MODEL
Flowsheet is amenable to a range of intermediate and battery grade products
The TKR design will enable the production of multiple products, including NCM 811 which attracts a strong premium to metal prices.
Illustration of Nickel Product Payability vs Metal Spot Price
Blackstone will be able to process and upgrade a
150%
number of products, including nickel concentrate
and mixed hydroxide precipitate (MHP)
140%
130%
120%
Hydrometallurgical downstream process enables
110% Blackstone to accept low-cost nickel concentrates
undesirable to the traditional pyrometallurgical
100%
downstream process route
90%
80%
Blackstone will be able to blend different
70% feedstocks to optimise operational and cost
performances, and capture significant premiums
60%
Nickel Concentrate MHP Nickel Metal Nickel Sulfate NCM 811 on the sale of NCM precursor products
Precursor
Source: SMM (Shanghai Metals Market), Benchmark Mineral Intelligence
ASX:BSX 14
NEXT 12 MONTHS FOR BLACKSTONE
Refine and Increase
Integrated Accuracy of Project
Ta Khoa Parameters Determine Optimal
Project Financing Structure
Valuation Ta Khoa Project
Definitive Feasibility Final Investment
Upstream PFS Studies Decision
Technical Focus on Fully Strategic
De-risking Integrated Mine to EV Investments
Consumer Supply Chain & 3PF
Pilot Plant Testing
MHP/ NCM811 Finalise Refinery Review of
Precursor Sample Partnership concentrate feed
Structure opportunities
ASX:BSX 15 BSX 15
ASX:
CONTACT US
T: +61 8 9425 5217
F: +61 8 6500 9982
E: [email protected]
www.blackstoneminerals.com.au
Level 5, 600 Murray Street, West
Perth, WA, 6005
TSX FM
RAVENSTHORPE
FEEDING THE BATTERY MARKET
Australian Nickel Conference – October 2022
CAUTIONARY STATEMENT ON
FORWARD-LOOKING INFORMATION
Certain statements and information herein, including all statements that are not historical facts, contain forward-looking statements and forward-looking information within the meaning of
applicable securities laws. The forward-looking statements include estimates, forecasts and statements as to the Company’s expectations of production and sales volumes, and
expected timing of completion of project development at Enterprise and post-completion construction activity at Cobre Panama and are subject to the impact of ore grades on future
production, the potential of production disruptions, potential production, operational, labour or marketing disruptions as a result of the COVID-19 global pandemic, capital expenditure and
mine production costs, the outcome of mine permitting, other required permitting, the outcome of legal proceedings which involve the Company, information with respect to the future
price of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, estimated mineral reserves and mineral resources, First Quantum’s exploration and development program,
estimated future expenses, exploration and development capital requirements, the Company’s hedging policy, and goals and strategies; plans, targets and commitments regarding
climate change-related physical and transition risks and opportunities (including intended actions to address such risks and opportunities), greenhouse gas emissions, energy efficiency
and carbon intensity, use of renewable energy sources, design, development and operation of the Company’s projects and future reporting regarding climate change and environmental
matters; the Company’s expectations regarding increased demand for copper; the Company’s project pipeline and development and growth plans. Often, but not always, forward-looking
statements or information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”,
“anticipates” or “does not anticipate” “believes”, “targets” or “intends” or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”,
“might” or “will” be taken, occur or be achieved.
With respect to forward-looking statements and information contained herein, the Company has made numerous assumptions including among other things, assumptions about
continuing production at all operating facilities, the price of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, anticipated costs and expenditures, the success of
Company’s actions and plans to reduce greenhouse gas emissions and carbon intensity of its operations and the ability to achieve the Company’s goals. Forward-looking statements and
information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or
information. These factors include, but are not limited to, future production volumes and costs, the temporary or permanent closure of uneconomic operations, costs for inputs such as oil,
power and sulphur, political stability in Panama, Zambia, Peru, Mauritania, Finland, Spain, Turkey, Argentina and Australia, adverse weather conditions in Panama, Zambia, Finland,
Spain, Turkey, Mauritania, and Australia, labour disruptions, potential social and environmental challenges (including the impact of climate change), power supply, mechanical failures,
water supply, procurement and delivery of parts and supplies to the operations, the production of off-spec material and events generally impacting global economic, political and social
stability. For mineral resource and mineral reserve figures appearing or referred to herein, varying cut-off grades have been used depending on the mine, method of extraction and type
of ore contained in the orebody.
See the Company’s Annual Information Form for additional information on risks, uncertainties and other factors relating to the forward-looking statements and information. Although the
Company has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in the forward-looking statements or information,
there may be other factors that cause actual results, performances, achievements or events not as anticipated, estimated or intended. Also, many of these factors are beyond First
Quantum’s control. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to reissue or update
forward-looking statements or information as a result of new information or events after the date hereof except as may be required by law. All forward-looking statements made and
information contained herein are qualified by this cautionary statement.
United States dollars, except where noted otherwise
2
Ravensthorpe Nickel Operation (RNO)
Major Australian Critical to our focus on metals supporting electrification of global
transport sector
laterite nickel operation.
Energy transition is a significant opportunity for First Quantum as
significant amounts of nickel required for batteries and copper are
required for charging networks
Acquired by First
Robust forecasts remain for nickel price (US$22,000/t) in near term and
Quantum Minerals ongoing growth in Asian and North American battery sectors*
in 2010. Annual approx. production target for RNO of 27,000 to 30,000 tpa nickel
in MHP
Exports to global markets via Esperance Port
Approx. 650 employees and contract workforce - residential workforce
(Hopetoun), surrounding communities and FIFO
Newly opened Shoemaker-Levy orebody and facilities extends life
to 2040+
3
*Wood McKenzie ‘Commodity Market Report 31 August 2022’
Shoemaker-Levy: Multi-decade Resource
4
Product for EV Batteries
Mixed Hydroxide Product (MHP)
= Nickel (24%) + Cobalt (0.9%)
Produced via high-pressure acid leach
(HPAL) process = suitable for batteries
Primary customers were in China battery
market – expanding
to South Korea, India, Japan & Europe
30% of RNO acquired by South Korea’s
POSCO during 2021
POSCO’s strategic interest includes long-term
offtake agreement for 7,500 tpa MHP from 2024
100% of RNO product now supplied into the
battery market supply chain
Growing customer interest in RNO product
because of company and site ESG credentials
- compared to other HPAL sources
5
ESG Benefits - HPAL/Leaching Sources
Customers interested in ensuring nickel from low-risk NICKEL PRODUCTION FROM HPAL/LEACHING (2020E)
jurisdictions within ESG-focused supply chains
Australia is the key low-risk jurisdiction for HPAL nickel [CELLRANGE],
[VALUE] [CELLRANGE],
Western Australia provides stable and well-developed [CELLRANGE], [VALUE]
economic, social and legal / regulatory operating [VALUE]
environment = better governance outcomes
High-risk locations are associated with poorer ESG [CELLRANGE], [CELLRANGE],
outcomes, ie deep sea tailings, coal fired power [VALUE] [VALUE]
sources and significant regulatory, workforce and
community issues [CELLRANGE], Low Risk Jurisdiction
[VALUE]
RNO is a proven processing plant, with established High Risk Jurisdiction
regional infrastructure, skilled workforce, and robust [CELLRANGE],
safety and environmental management [CELLRANGE], [VALUE]
[VALUE]
Source: Wood Mackenzie, projection for 2024 / 2025
6
ESG Benefits – Small Co Footprint
2
First Quantum global commitment to reducing GHG CARBON EMISSIONS PER TONNE NICKEL
PRODUCED
emissions
RNO has one of lowest emissions for nickel,
particularly HPAL
Key factor is integrated plant design
• Primary power is a by-product of acid Tonnes CO 2 per tonnes of Ni Eq
production, equivalent to a ‘battery’ on-site
• Water (including desalination) and
tailings are fully contained on site
• RNO operates as a self-sufficient RNO: 5.78
“island” within the region
Ore transported 10km by electric-powered overland
conveyor – reduces diesel-powered haul truck fleet
Source: Skam Associates
7
ESG Benefits – Low Risk Tailings
One of few MHP producers with no high-risk
tailings storage or disposal
FQM tailings storage facilities (TSFs) designed
under guidelines from:
• Australian National Committee on Large Dams
(ANCOLD)
• International Council on Metals and Mining
(ICMM)
• Canada Dam Association (CDA)
RNO conforms with FQM’s global commitments for
TSFs, including planning for extreme events,
continuous monitoring and independent audits
Significant proportion of new MHP production from
projects proposing either deep sea tailings
disposal or higher risk dam designs
8
ESG - Future Developments
FQM global commitment to GHG reductions and
renewables also progressing at RNO
Investigating additional potential to further reduce
RNO’s carbon footprint
Wind farm potential to address 10 – 12 MW annual
generation shortfall resulting from variable acid
demand
Diversifying customer base to ensure both longevity
and greater penetration of battery metals markets and
battery supply chain
Aligning with Western Australian Government goal to
develop capacity in battery minerals production
Investigating opportunities for additional value adding /
downstream processing – battery cathode precursor
materials
Looking to secure supplemental feedstocks to support
growth, longevity and downstream activities
9
TSX FM
First Quantum Minerals Ltd.
[email protected]
416-361-6400
1-888-688-6577
TSX FM
ENTERPRISE
NEW GLOBAL NICKEL SUPPLY
Australian Nickel Conference – October 2022
CAUTIONARY STATEMENT ON
FORWARD-LOOKING INFORMATION
Certain statements and information herein, including all statements that are not historical facts, contain forward-looking statements and forward-looking information within the meaning of
applicable securities laws. The forward-looking statements include estimates, forecasts and statements as to the Company’s expectations of production and sales volumes, and
expected timing of completion of project development at Enterprise and post-completion construction activity at Cobre Panama and are subject to the impact of ore grades on future
production, the potential of production disruptions, potential production, operational, labour or marketing disruptions as a result of the COVID-19 global pandemic, capital expenditure and
mine production costs, the outcome of mine permitting, other required permitting, the outcome of legal proceedings which involve the Company, information with respect to the future
price of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, estimated mineral reserves and mineral resources, First Quantum’s exploration and development program,
estimated future expenses, exploration and development capital requirements, the Company’s hedging policy, and goals and strategies; plans, targets and commitments regarding
climate change-related physical and transition risks and opportunities (including intended actions to address such risks and opportunities), greenhouse gas emissions, energy efficiency
and carbon intensity, use of renewable energy sources, design, development and operation of the Company’s projects and future reporting regarding climate change and environmental
matters; the Company’s expectations regarding increased demand for copper; the Company’s project pipeline and development and growth plans. Often, but not always, forward-looking
statements or information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”,
“anticipates” or “does not anticipate” “believes”, “targets” or “intends” or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”,
“might” or “will” be taken, occur or be achieved.
With respect to forward-looking statements and information contained herein, the Company has made numerous assumptions including among other things, assumptions about
continuing production at all operating facilities, the price of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, anticipated costs and expenditures, the success of
Company’s actions and plans to reduce greenhouse gas emissions and carbon intensity of its operations and the ability to achieve the Company’s goals. Forward-looking statements and
information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or
information. These factors include, but are not limited to, future production volumes and costs, the temporary or permanent closure of uneconomic operations, costs for inputs such as oil,
power and sulphur, political stability in Panama, Zambia, Peru, Mauritania, Finland, Spain, Turkey, Argentina and Australia, adverse weather conditions in Panama, Zambia, Finland,
Spain, Turkey, Mauritania, and Australia, labour disruptions, potential social and environmental challenges (including the impact of climate change), power supply, mechanical failures,
water supply, procurement and delivery of parts and supplies to the operations, the production of off-spec material and events generally impacting global economic, political and social
stability. For mineral resource and mineral reserve figures appearing or referred to herein, varying cut-off grades have been used depending on the mine, method of extraction and type
of ore contained in the orebody.
See the Company’s Annual Information Form for additional information on risks, uncertainties and other factors relating to the forward-looking statements and information. Although the
Company has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in the forward-looking statements or information,
there may be other factors that cause actual results, performances, achievements or events not as anticipated, estimated or intended. Also, many of these factors are beyond First
Quantum’s control. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to reissue or update
forward-looking statements or information as a result of new information or events after the date hereof except as may be required by law. All forward-looking statements made and
information contained herein are qualified by this cautionary statement.
United States dollars, except where noted otherwise
2
Enterprise Nickel Project
Enterprise is a new Stand-alone orebody with a proximity to Sentinel
(12km away) that encourages leverage of common
high-grade sulphide infrastructure, plant, equipment and experienced workforce
deposit in Zambia. Measured and indicated resource of 38 million tonnes,
containing 390,000 tonnes of nickel to establish a significant
operation
Located near First Quantum Minerals is an important part of Zambian
community and economy since 1996:
First Quantum Minerals
major copper operation • Workforce - 96% local
Suppliers - 86% spend on Zambian companies
•
at Sentinel. • Bio-diversity – 100x mining footprint:
- West Lunga (11,750 km2)
- Bushingwe (312 km2)
- Lualaba (1,107 km2)
• 8,000+ participants in conservation farming
program in 2020 / 2021
• Major education and health programmes for
employees, families and communities
3
Deposit & Operations
Enterprise processing circuit mainly constructed SENTINEL AND ENTERPRISE SITE LAYOUT
in 2014 as part of Sentinel development
Board approval May 2022, capital expenditure
$100 million for production
Presidential opening ceremony in July 2022
Annual mining 4 mtpa of ore, with ore hauled
12 km to Sentinel
Producing >30 ktpa contained nickel in
concentrate
Current guidance is 5 – 10 ktpa nickel
production in 2023
4
Work Completed
STOCKPILE AREA MILL
STARTER PIT FLOATATION CIRCUIT 5
Concentrate Marketing
Nickel concentrate transported by truck to Walvis Bay, Concentrate expected to be attractive as 14 – 16%
Namibia and exported by ocean freight: grade is high relative to other nickel producers
• Likely offtakers are nickel smelters in Canada, • High sulphur grades and low deleterious elements
Europe or China make concentrate saleable product
Sulphide deposit provides low GHG emissions path • Flotation circuit modifications in progress to further
into EV batteries lift concentrate grade.
GRADES OF PRODUCING SULPHIDE MINES THAT EXPORT CONCENTRATE (%NI)
6
FQM GHG Reductions - Aided by Innovation and Technology
World leader in technologies utilising electrical High proportion renewable power in
power in mining and hauling. Estimated annual Zambia
savings of ~100,000 t CO e through
2
• Trolley Assist • Current Zesco supply 80% hydropower
• In-pit Crushing and Conveying • Two projects to increase to 100%
• Electrical Drilling renewable in short term
• Electric Shovels • FQM partnership with Chariot Ltd and
Total Eren
ESTIMATED ANNUAL AVOIDED CO e EMISSIONS FROM MINING EFFICIENCIES
2
45
40
35
30
K Tonnes 25
20
15
10
5
0
Electric Shovel In pit crushing and Electric drilling Trolley Assist
conveying
CO2e Conventional
CO2e Savings
CO e Efficiencies
CO e Conventional CO2e Efficiencies CO e Savings
2
2
2
Source: First Quantum Environment, Safety and Social Data Report 2020
7
FQM – Nickel Producer
FQM – Nickel Production Top Global Producers 2025
COMPANY PRODUCTION
ENTERPRISE RAVENSTHORPE
(KT)* (%)*
First Quantum
Processing Rate Processing Rate Tsingshan Group 239 6% guidance for
Enterprise: 4Mtpa Sulphide Circuit Nornickel 229 6% 30-40 ktpa
RNO: 10 Mtpa ore (HPAL) (Enterprise and
Eramet 213 5% Ravensthorpe)
Production Guidance Production Guidance Vale 166 4% in 2023
2022E: - 2022E: 25 – 30kt Ni Increasing to
PT Aneka Tambang 149 4% 40-50 ktpa
2023E: 5-10kt Ni 2023E: 25 – 30kt Ni
Glencore 123 3% in 2024
2024E: 15-20kt Ni 2024E: 25 – 30kt Ni
Jinchuan 114 3%
Measured & Indicated Resources Inferred & Indicated Resources Anglo American plc 64 2%
Enterprise: 37.7Mt @1.03% Ni RNO: 225Mt @ 0.56% Ni, 0.03% Co BHP Group 58 1%
First Quantum Minerals 57 1%
Inferred Resources * Wood Mackenzie, SPO data Jun 2022, for 2024/2025 projections.
Enterprise: 9.3Mt @ 0.71% Ni
8
First Quantum Minerals ESG At A Glance
9
TSX FM
First Quantum Minerals Ltd.
[email protected]
416-361-6400
1-888-688-6577
Unlocking a new Western Australian
Nickel-Sulphide District.
Australian Nickel Conference
Pan Pacific Hotel
Perth WA
October 2022
ASX:NIM
Disclaimer
NATURE OF THIS DOCUMENT
FORWARD LOOKING STATEMENTS
This presentation has been prepared by NIMY Resources Limited ACN 155 855 986 (Company). The information is based Statements and material contained in this presentation, particularly those regarding possible or assumed future
on publicly available information, internally developed data and other sources. By receiving this presentation, you performance, production levels or rates, commodity prices, resources or potential growth of the Company, industry growth or
acknowledge and represent to the Company that you have read, understood and accepted the terms of this disclaimer. other trend projects are, or may be, forward looking statements. Such statements relate to future events and expectations
It is the responsibility of all recipients of this presentation to obtain all necessary approvals to receive this presentation and and, as such, involve known and unknown risks and uncertainties and are based on the assumptions, estimates, analysis
receipt of this presentation will be taken by the Company to constitute a representation and warranty that all relevant and opinions of management made in light of its experience and its perception of trends, current conditions and expected
approvals have been obtained. developments, as well as other factors that management of the Company believes to be relevant.
This presentation is a visual aid and is not intended to be read as a stand alone document. The material contains selected Although management believes that the assumptions made by the Company and the expectations represented by such
and abbreviated summary information about the Company and its subsidiaries and their activities current as at the date of information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate.
this presentation. The material is of general background and does not purport to be complete. The Company is not Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual
responsible for providing updated information and assumes no responsibility to do so. results, performance or achievements of the Company to be materially different from any anticipated future results,
performance or achievements expressed or implied by such forward-looking information. Such factors include, among
NOT AN OFFER others, the actual market price of commodities, the actual results of current exploration, the actual results of future
This presentation is for information purposes only and does not purport to be all inclusive or to contain all information about exploration, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the
the Company or any of the assets, current or future, of the Company. This presentation does not comprise a prospectus, Company's publicly filed documents. Readers should not place undue reliance on forward-looking information. The
product disclosure statement or other offering document under Australian law (and will not be lodged with ASIC) or any Company does not undertake to update any forward-looking information, except in accordance with applicable securities
other law. laws.
This presentation also does not constitute or form part of any invitation, offer for sale or subscription or any solicitation for
any offer to buy or subscribe for any securities in any jurisdiction nor shall they or any part of them form the basis of or be DISCLAIMER
relied upon in connection therewith or act as any inducement to enter into any contract or commitment with respect to No representation or warranty, express or implied, is made by the Company that the material contained in this presentation
securities. will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of the Company, its
This presentation does not constitute an offer to sell, or a solicitation of an offer to buy, any securities in the United States. directors, officers, employees, advisers and agents expressly disclaims any responsibility for the accuracy, fairness,
This presentation and its contents must not be distributed, transmitted or viewed by any person in the United States or any sufficiency or completeness of the material contained in this presentation, or any opinions or beliefs contained in this
jurisdiction where the distribution, transmission or viewing of this document would be unlawful under the securities or other presentation, and excludes all liability whatsoever (including in negligence) for any loss or damage which may be suffered
laws of that or any other jurisdiction. by any person as a consequence of any information in this presentation or any error or omission there from. To the
maximum extent permitted by the law, the Company disclaims any obligation to update or keep current the information
NOT INVESTMENT ADVICE contained in this presentation or to correct any inaccuracy or omission which may become apparent, or to furnish any
To the maximum extend permitted by law, the information contained in this presentation is given without any liability person with any further information. Any opinions expressed in the presentation are subject to change without notice.
whatsoever being accepted by the Company or any of its related bodies corporate or their respective directors, officers,
partners, employees, advisors and agents. This presentation is not investment or financial product advice (nor tax, COMPETENT PERSON STATEMENT
accounting or legal advice) and its contents are not intended to be used for the basis of making an investment decision. No The information contained in this report that pertain to Exploration Results, is based upon information compiled by
representation or warranty, express or implied, is made as to the accuracy, completeness or thoroughness of the Mr Fergus Jockel, a full-time employee of Fergus Jockel Geological Services Pty Ltd. Mr Jockel is a Member of the
information, whether as to the past or future. Australasian Institute of Mining and Metallurgy (1987) and has suf cient experience in the activity which he is
Recipients of this presentation should carefully consider whether the company is an appropriate investment for them in light undertaking to qualify as a Competent Person as defined in the December 2012 edition of the “Australasian Code for
of their personal circumstances, including their financial and taxation position. This presentation does not take into account Reporting of Exploration Results, Mineral Resources and Ore Reserves” (the JORC Code). Mr Jockel consents to the
the individual investment objectives, financial situation and particular needs of each recipient of this presentation. Therefore inclusion in the report of the matters based upon his information in the form and context in which it appears.
recipients of this presentation may wish to seek independent financial and taxation advice before making any decision in
respect of this presentation. Neither the Company nor any of its related bodies corporate is licensed to provide financial MONETARY VALUES
product advice in respect of the Company’s securities or any other financial products. Unless otherwise stated, all dollar values are in Australian Dollars (A$). The information in this presentation remains subject
to change without notice.
ASX:NIM | nimy.com.au
2
Corporate & Capital Structure
CHAIRMAN – SIMON LILL
CONSULTING GEOLOGIST
Simon has over 25 years experience in stockbroking,
capital raising, Corporate management for a range of FERGUS JOCKEL
small to medium and start-up companies, both in the
manufacturing and resources industries, and has Fergus has over 30 years' experience in mineral exploration
specialised in that time in company restructuring and resource development. He has been involved in
commodities, including gold, base metals, rare earths,
activities. Simon is the Chairman of De Grey Mining.
uranium, coal, nickel, phosphate, lithium and magnetite, in
EXECUTIVE DIRECTOR – LUKE HAMPSON
a number of geological environments. Whilst working in
Australia he was involved in several gold discoveries in the
Luke has over 30 years in the mining industry and has Eastern and Murchison Goldfields in Western Australia, the
led management teams working throughout the Asia Scuddles Cu-Zn-Ag deposit and the Maroochydore copper
Pacific region. Luke specialises in project asset deposit.
management having 19 years experience at WesTrac
Pty Ltd, 3 years at Rio Tinto Iron Ore and 11 years
Managing Director of Cloonmore Mining and Energy.
TECHNICAL ADVISORS – SNOWDEN OPTIRO
EXECUTIVE DIRECTOR – CHRISTIAN PRICE
IAN GLACKEN
Christian is a Mining Engineer and Mineral Economist
with over 19 years of experience, in operation, Ian has extensive experience in nickel sulphide and nickel
technical and senior leadership roles in operating, laterite deposits. Ian has over 35-years’ experience as a
development and exploration Australia most recently Mine Geologist, resource estimator and consultant and has
COO & CEO of ASX:REZ explorer and developer of compiled a number of Technical Reports and is suf ciently
projects in Western Australia and Queensland.
qualified to act as CP
COMPANY SECRETARY – HENKO VOS
KAHAN CERJOV
Mr Vos is a member of the Australian Institute of Kahan has 31 years’ experience as a exploration, mine,
Company Directors, the Governance Institute of resource development and resource estimation geologist,
Australia and Chartered Accountants Australia and worked at Leinster Nickel Operations for nine years, and has
New Zealand. He holds similar secretarial roles in consulted to a variety of nickel sulphide and laterite
various other listed public companies in both the projects.
industrial and resource sectors.
ASX:NIM | nimy.com.au
3