Slide 1: Investor Presentation February 2021
INVESTOR PRESENTATION FEBRUARY 2021 ae EE PREMIUM PRODUCT, TIER 1 JURISDICTION, CHAM P| ON IRON LAX HIGH QUALITY INFRASTRUCTURE
Slide 2: Disclaimer
DISCLAIMER CHAMPION IRON 24 This presentation (the “Presentation”} contains information about Champion Iron Limited ("Champion Iron", “Champion” or the "Company", current as at the date hereof or as at such earlier date as may be specified herein. This Presentation does not constitute or form part o
Slide 3: Corporate Overview
CORPORATE OVERVIEW BLOOM LAKE
Slide 4: COVID-19 Response
COVID-19 RESPONSE ◼ ◼ → TSX: CIA ⎪ ASX: CIA
Slide 5: Green Solution
GREEN SOLUTION CHAMPION IRON 24 ™ At 66.3% Fe, Bloom Lake produces one of the : Global iron ore concentrate production , Total Intensity (KgCO,e/t) highest quality iron ore products globally ™ Bloom Lake’s iron ore concentrate is produced with one of the lowest CO; footprints globally Kgl0e/1 a { CH
Slide 6: FY2021 Health & Safety
CHAMPION IRON 24 FY2021 HEALTH & SAFETY ™ Monthly audits to review effectiveness and adoption of implemented measures H |nitiated new simulation programs to optimize emergency response time @ Virtual training completed during period of reduced activities related to COVID-19 M@ Hired a team dedicated
Slide 7: Steel Industry Going Green: DR Pellet Feed in Rising Demand
STEEL INDUSTRY GOING GREEN DR PELLET FEED IN RISING DEMAND ◼ ◼ ◼ ◼
Slide 8: Structural Shift in Iron Ore
STRUCTURAL SHIFT IN IRON ORE ✓ Champion sells based on Platts 65% Fe premium benchmark ◼ ◼ ◼ ◼ ◼
Slide 9: Growing Industry, Lack of Investments
GROWING INDUSTRY LACK OF INVESTMENTS Steel output rising faster than iron ore supply in major hubs → China consumes ~75% of global seaborn iron ore; Australia & Brazil supply ~77% of global seaborn iron ore ◼ ◼ ◼
Slide 10: Corporate Snapshot
CORPORATE SNAPSHOT MARKET STATISTICS AS OF Q3/FY21(C$M) SHAREHOLDERS (CIA-TSX; CIA-ASX)
Slide 11: Investment History
INVESTMENT HISTORY TIMELINE & CUMULATIVE TOTAL INVESTMENT ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ — ◼ — — ◼ — — ◼ — — ◼ —
Slide 12: Bloom Lake Today
BLOOM LAKE TODAY CHAMPION IRON 24 JV Sustainable operations following significant investments made since the restart of Bloom Lake in 2018 @ Achieved highest annual production on record ® Structural changes implemented resulting on significant cost reduction BLOOM LAKE PRODUCTION HISTORY BLOOM LAKE
Slide 13: Competing on Cost Curve
COMPETING ON COST CURVE ◼ ◼ US$/dry tonne 80 60 ◼ 40 20 0 0 100 200 300 400 500 600 700 800 900 1000 1100 1200 1300 1400 Million tonnes (wet) Source: Wood Mackenzie ◼ ◼ P62: Platts TSI IODEX 62% Fe CFR China
Slide 14: Diversified Customer Base
DIVERSIFIED CUSTOMER BASE Product sold to 25 different customers since 1st shipment EUROPE – 4.5% KOREA – 4.5% MIDDLE EAST – 11.5% CHINA – 52% ◼ JAPAN – 26% ◼ INDIA – 1.5% ◼
Slide 15: Bloom Lake Phase I (7.4 Mtpa)
BLOOM LAKE PHASE I (7.4 MTPA) ◼ ◼ ◼ ◼ ◼ →
Slide 16: Operational Highlights
OPERATIONAL HIGHLIGHTS @ Set annual Bloom Lake production record of 7.90M wmt in FY2020 @ Set Bloom Lake quarterly production record of 2.27M wmt in Q2/FY2021 @ Confirmed ability to produce DR pellet feed material (67.8%+ Fe) FISCAL PERIODS Iron ore concentrate produced (M wmt) Iron ore concentrate
Slide 17: Financial Results
FINANCIAL RESULTS CHAMPION IRON 23 EBITDA of $598.5M EBITDA (C$M) HH Adjusted net income of $333.5M $600 ™ Net cash flow from operations $473.5M * $400 icp) = ™@ Proven ability to produce at total cash cost below <US$40/t (FOB) Ss H@ Not encumbered by streams or royalties $200 = 1 M@ Net income impa
Slide 18: Premium Pricing
PREMIUM PRICING CHAMPION IRON 24 PREMIUM REALIZED PRICE (FY2021 TO DATE AS OF DECEMBER 31, 2020) ™ Gross realized price tracking the P65 index average of US$127.6/t over the same period $38.6 $154.9 2 = 6 $127.1 Fy S155 $116.3 s -$19.6 5 é Includes forward adjustments on Includes forward current qua
Slide 19: Labrador Trough = World-Class Opportunity
LABRADOR TROUGH = WORLD-CLASS OPPORTUNITY ◼ ◼ ◼ ◼ ◼ ◼ ◼
Slide 20: Growth Opportunities
GROWTH OPPORTUNITIES CHAMPION IRON 24 PROJECT PIPELINE . 9 AX upd OPERATING UNDER CONSTRUCTION STUDY STAGE DEVELOPMENT FIRE LAKE NORTH MOIRE LAKE BLOOM LAKE BLOOM LAKE 9.3 MTPA* QUINTO PHASE | PHASE Il HARVEY TUTTLE 7.4 MTPA 15 MTPA* KAMI PROJECT O'KEEFE PURDY 7.8 MTPA* POWDERHORN by ara I» » OPERAT
Slide 21: Bloom Lake Phase II Project Robust Economics
BLOOM LAKE PHASE II PROJECT ROBUST ECONOMICS ◼ ◼ ◼ ◼ ◼ ◼ ◼
Slide 22: Phase II – Advanced Project
PHASE II – ADVANCED PROJECT ◼ ◼ ◼
Slide 23: Bloom Lake Area Potential Opportunities
BLOOM LAKE AREA POTENTIAL OPPORTUNITIES ◼ ◼ ◼
Slide 24: Acquisition - Kami Project
ACQUISITION - KAMI PROJECT ◼ ◼ * ◼ ◼ ** *
Slide 25: Regional Opportunities
REGIONAL OPPORTUNITIES ◼ ◼ ** ◼ * ◼ * 599 ◼ * ◼
Slide 26: Strong Financial Position
STRONG FINANCIAL POSITION CHAMPION IRON 2 V On December 23, 2020, increased the Credit Facility from US$200M to US$400M and received an equipment financing commitment letter far US$75M from Caterpillar Financial Services Limited $507.2M Cash & S-T Investments ew Strong financial partners I I I $44.6
Slide 27: Strong Leverage to Commodity Price
STRONG LEVERAGE TO COMMODITY PRICE ◼ ◼ Current price*
Slide 28: Appendix A
APPENDIX A
Slide 29: Environmentally Focused
ENVIRONMENTALLY FOCUSED ◼ ↓ ◼ ◼ ↓ ↓ ◼ ◼ ◼ ◼ New Old
Slide 30: Experienced Team
EXPERIENCED TEAM ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼
Slide 31: Infrastructure and Logistics
INFRASTRUCTURE AND LOGISTICS 1 Mining 2 Crushing 3 Concentrating 4 Rail 5 Port Co Asset Snapshot ◼ Typical blast and shovel ◼ Crushed in near-pit ◼ Upgrading the ~30% Fe ◼ Transported by rail from ◼ Agreement with mining operations crusher and conveyed to 66% Fe loading station at Bloom Government o
Slide 32: Tailings Management
TAILINGS MANAGEMENT ◼ ◼ ◼ ◼ ◼ Water basin required for finer particles to deposit Centerline/Downstream Upstream
Slide 33: Phase II - Feasibility Study
PHASE II - FEASIBILITY STUDY COMBINED PHASE I & II (JUNE 2019)
Slide 34: Bloom Lake Reserves & Resources
BLOOM LAKE RESERVES & RESOURCES
Slide 35: Company Projects Mineral Resources & Reserves
COMPANY PROJECTS MINERAL RESOURCES & RESERVES
Slide 36: Bloom Lake Phase II Positioning as a Global Leader
BLOOM LAKE PHASE II POSITIONING AS A GLOBAL LEADER ◼ ◼ ◼ ◼ ↓ ↑
Slide 37: Bloom Lake Updated Recovery Flowsheet
BLOOM LAKE UPDATED RECOVERY FLOWSHEET > > > > >
Slide 38: Iron Ore Value Chain
IRON ORE VALUE CHAIN SINTER PELLETS >
Slide 39: Bloom Lake Mine Complex
BLOOM LAKE CHAMPION IRON 2 MINE COMPLEX
Slide 40: Multi-User Port
MULTI-USER PORT CHAMPION IRON 2 40
Slide 41: Structural Improvements 2018 Recommissioning
STRUCTURAL IMPROVEMENTS 2018 RECOMMISSIONING
Slide 42: Appendix B: Notes on Historical Estimates
APPENDIX B CHAMPION IRON 24 NOTES ON HISTORICAL ESTIMATES USED IN THE PRESENTATION The historical Consolidated Fire Lake estimates are based on the National Instrument 43-101 technical report entitled "Preliminary Feasibility Study of the West and East Pit Deposits of the Fire Lake North Project” by
Slide 43: Appendix B: Notes on Historical Estimates
APPENDIX B CHAMPION IRON 24 NOTES ON HISTORICAL ESTIMATES USED IN THE PRESENTATION The historical Kami Project reserve estimates are based on the National Instrument 43-101 technical report entitled “Updated Feasibility Study of the Kamistiatusset (Kami) Iron Ore Property, Labrador” prepared for Ald
Slide 44: Champion Iron
CHAMPION IRON 249 Contact us for-more information. Michael Marcotte, VP Invest6r-Relations mmarcotte@championiron.com 514-316-4858 pein pe wT 7