Slide 1: Second Quarter of the 2025 Financial Year
TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF SECOND QUARTER OF THE 2025 FINANCIAL YEAR WEBCAST PRESENTATION – OCTOBER 31, 2024 (MONTRÉAL) A RARE SOLUTION TO DECARBONIZE STEELMAKING
Slide 2: Disclaimer
DISCLAIMER TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF This presentation (the "Presentation") contains information about Champion Iron Limited ("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
Slide 3: Conference Call Participants
CONFERENCE CALL PARTICIPANTS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF DAVID CATAFORD ALEXANDRE BELLEAU DONALD TREMBLAY MICHAEL MARCOTTE Chief Executive Officer Chief Operating Officer Chief Financial Officer Senior Vice-President Corporate Development and Capital Markets 3
Slide 4: FY2025 Second Quarter Highlights
FY2025 SECOND QUARTER HIGHLIGHTS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF 3,170,100 WMT $77.5/DMT $351.0M $183.8M CONCENTRATE PRODUCED TOTAL CASH COST1 REVENUES CASH & CASH EQUIVALENTS 3,265,700 DMT $101.4/DMT $74.5M $531.7M CONCENTRATE SOLD ALL-IN SUSTAINING COST1 EBITDA1 SHORT-TERM AND LONG-TERM DEBT2 7
Slide 5: Community, Governance and Sustainability
COMMUNITY, GOVERNANCE AND SUSTAINABILITY TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Ongoing support as a major sponsor of the Innu Nikamu Festival, the largest First Nations music festival in Québec, promoting the Innu culture and language → Launched the Kapatakan program: a two-day immersion for employee
Slide 6: Operational & Financial Results
OPERATIONAL & FINANCIAL RESULTS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF
Slide 7: Solidifying Operations
SOLIDIFYING OPERATIONS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Quarterly production of 3.2M wmt, impacted by scheduled semi- BLOOM LAKE RECENT SALES HISTORY annual maintenance at both plants and the preventive evacuation (M DMT/FINANCIAL PERIOD) of Bloom Lake in response to nearby forest fires in July,
Slide 8: Operations Overview
OPERATIONS OVERVIEW TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF IRON ORE CONCENTRATE ORE MINED AND HAULED → Record level of material mined and hauled during the quarter, benefiting PRODUCED (M WMT) (M WMT) from improved mining equipment availability and productivity 4 12 → Higher quarterly stripping activiti
Slide 9: Industry Overview
INDUSTRY OVERVIEW TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → The P65 iron ore index decreased by 9.4% from the previous quarter, impacted by weakening steel demand globally, primarily driven by sluggish construction activity in China, and elevated iron ore supply from Brazil and Australia. Iron ore prices
Slide 10: Provisional Price Adjustment
PROVISIONAL PRICE ADJUSTMENT TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Realized an average price of US$110.0/t during the quarter for the 1.8M tonnes subject to provisional pricing at the end of Q1/FY25 → Q2/FY25 negative provisional pricing adjustment of US$17.1M represents a negative impact of US$5.2/d
Slide 11: Average Realized Selling Price
AVERAGE REALIZED SELLING PRICE TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Q2/FY25 average gross realized price1 of US$118.9/t, higher than the P65 index average of US$114.2/t during the period → Average gross realized price positively impacted by the 2.3 Mt in transit as at September 30, 2024, which were
Slide 12: Operating Cost Metrics
OPERATING COST METRICS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Mining and processing costs1 of $57.7/dmt produced, an increase of 21% quarter-on-quarter, mainly reflecting the 18% decrease in the volume of iron ore concentrated produced quarter-on-quarter, leading to a lower absorption of fixed costs,
Slide 13: Financial Highlights
FINANCIAL HIGHLIGHTS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Quarterly revenues of $351.0M, EBITDA1 of $74.5M and EPS of $0.04 EBITDA1 ($M) → Financial results negatively impacted quarter-on-quarter by lower volumes of iron $250 ore concentrate sold and lower net realized price $200 → Elevated quarterl
Slide 14: Cash Change Details
CASH CHANGE DETAILS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → Cash1 of $183.8M declined quarter-on-quarter, mainly resulting from the payment in July of the previously declared dividend, elevated seasonal sustaining capital expenditures and the advancement of the Direct Reduction Pellet Feed (DRPF) proje
Slide 15: Robust Balance Sheet and Liquidity Position
ROBUST BALANCE SHEET AND LIQUIDITY POSITION TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF BALANCE SHEET LIQUIDITY POSITION $183.8M Cash and cash equivalents Debt net of cash $70.8M $277.1M Working capital1,2 (including working capital) $531.7M Short-term & Long-term debt3 $575.5M Available loans4 SEVENTH CONSE
Slide 16: Growth Projects
TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF GROWTH PROJECTS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF
Slide 17: Green Steel Supply Chain Solutions
GREEN STEEL SUPPLY CHAIN SOLUTIONS TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF DE-RISKING A VAST PROJECT PORTFOLIO REQUIRED FOR THE GREEN STEEL SUPPLY CHAIN PRODUCTS OPTIMIZATION MINING VOLUME INCREASE KAMI STUDY COMPLETED 9M TPA PROJECT UPGRADE BLOOM LAKE Evaluating strategic partnerships and UP TO 69% FE o
Slide 18: DRPF Project Update
DRPF PROJECT UPDATE TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF DRPF PROJECT TOTAL EXPECTED CAPEX 1 (C$M) → DRPF project, upgrading half of Bloom Lake’s nameplate capacity from 66.2% Fe up to 69% Fe, remains on schedule and on budget, with commissioning expected in H2 2025 → Quarterly and cumulative investme
Slide 19: Positioned to Service a Growing Market
POSITIONED TO SERVICE A GROWING MARKET TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF DRI PRODUCTION INCREASING DESPITE A LACK OF GROWTH IN THE STEEL SECTOR → Supported by several governments, the MONTHLY GLOBAL CRUDE STEEL AND DRI PRODUCTION (K tonnes) accelerating industry transition from Blast 14 Furnaces an
Slide 20: Additional DRI Growth Expected
ADDITIONAL DRI GROWTH EXPECTED TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF → DRI growth is set to continue with significant new DRI projects underway, including several receiving government support Note: Champion Iron Limited, Wood Mackenzie data 20
Slide 21: Commitments to Decarbonize Steelmaking
COMMITMENTS TO DECARBONIZE STEELMAKING TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF CHAMPION ALREADY HOLDS AN INDUSTRY LEADING POSITION REGARDING ITS EMISSION INTENSITY AT 8.95 KG OF CO2 EQUIVALENT PER TONNE OF IRON ORE CONCENTRATE PRODUCED VISION TO REDUCE GHG EMISSIONS OF ITS OPERATIONS THROUGH THREE CHAMPI
Slide 22: Scope 1 & 2 Emissions: A Detailed Plan Enabling Our Target
SCOPE 1 & 2 EMISSIONS: A DETAILED PLAN ENABLING OUR TARGET TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF CHAMPION IDENTIFIED PROJECTS THAT ARE ALIGNED WITH ITS 2030 GHG REDUCTION TARGET HEATING ELECTRIFICATION ENERGY EFFICIENCY - MINE ENERGY EFFICIENCY - PLANT AND HEAT RECOVERY ESTIMATED ANNUAL IMPACT OF INITI
Slide 23: Scope 3 Emissions: A Positive Impact in Steelmaking
SCOPE 3 EMISSIONS: A POSITIVE IMPACT IN STEELMAKING TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF BENEFITING FROM A HIGHER QUALITY PRODUCT, CHAMPION’S SCOPE 3 EMISSIONS ARE SIGNIFICANTLY LOWER THAN INDUSTRY AVERAGE WHY SCOPE 3 SCOPE 3 EMISSIONS CATEGORIES PROCESSING EMISSION INTENSITIES MATTERS? (% of T CO2 eq
Slide 24: Upholding Values for a Sustainable Future
THANK YOU TO OUR STAFF TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF UPHOLDING VALUES FOR A SUSTAINABLE FUTURE TRANSPARENCY RESPECT INGENUITY PRIDE 24
Slide 25: Thank You!
THANK YOU! TSX: CIA ⎪ ASX: CIA ⎪ OTCQX: CIAFF Contact us for more information: Michael Marcotte, Senior Vice-President – Corporate Development and Capital Markets info@championiron.com 514-316-4858