Champion Iron Ltd. · ASX:CIA
Champion Iron — Investor Presentation (November 2024)
35 slides from Champion Iron's investor presentation, November 2024
Slide 1: Investors Presentation November 2024
INVESTORS PRESENTATION NOVEMBER 2024 A RARE SOLUTION TO DECARBONIZE STEELMAKING CHAM Pl ON IRON LAX
Slide 2: Disclaimer
DISCLAIMER CHAMPION IRON 2 ‘This presentation the ‘Presentation*Icontains information about Champicn|ronLimited(“Champian" ar the "Company".currentas atthe datehereof or asat such earler date asmaybe speciadherein This Presentation desnat constituteor form partof, and shouldnot be consruedas, anaffr
Slide 3: Corporate Overview
CORPORATE OVERVIEW CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCQX: CIAFF LARGEST PUBLICLY LISTED PURE-PLAY HIGH-GRADE IRON ORE PRODUCER GlOBALLY \°) > end largest hub of high-grade exports globally Pt > 9.1% management ownership and 8.2% ownership by the government of Québec? > Cumulative investments a
Slide 4: A Global Solution for the Transitioning Steel Industry
A GLOBAL SOLUTION FOR THE CHAMPION IRON.Z4 TRANSITIONING STEEL INDUSTRY ———
Slide 5: High Purity Iron Ore: A Solution for Green Steel
HIGH PURITY IRON ORE > A SOLUTION FOR GREEN STEEL CHAMPION IRON 2 THE STEEL INDUSTRY WILL NEED TO ADAPT TO LIMIT EMISSIONS Mining Freight +> Steelmaking increased 1% 2% its share of global Agglomeration 12% emissions in the last 20 Agriculture, forestry and soil management years, now 18% representin
Slide 6: Governments Supporting the Green Steel Transition
GOVERNMENTS SUPPORTING THE GREEN STEEL TRANSITION CHAMPION IRON 2 LOCAL SUPPORT GLOBAL ALIGNMENT TO INCREASE DEMAND FOR GREEN STEEL > In addition to Canada’s federal > At COP28, several G7 countries, pledged to procure green steel for public infrastructure, government, the provinces of Québec which
Slide 7: A Proven Solution to Decarbonize Steelmaking
A PROVEN SOLUTION TO DECARBONIZE STEELMAKING CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX: CIAFF METHOD INPUTS PROCESS CHAMPION’S IMPACT Aes ai BF-BOF Lower grades Sintering iil 66.2% *Bloom Lake’s iron = or Blast Furnace ZA — Fe ore concentrate Basic Oxygen Furnace ee orl —_ bl to. -2.2t c0,e/t Iro
Slide 8: DRI Already a Growing Market
CHAMPION IRON 24 DRI ALREADY A GROWING MARKET TSX: CIA | ASX: CIA | OTCOX: CIAFE DRI PRODUCTION INCREASING DESPITE A LACK OF GROWTH IN THE STEEL SECTOR > Supported by several governments, the MONTHLY GLOBAL CRUDE STEEL AND DRI PRODUCTION ( ) accelerating industry transition from BF-BOF “ tonnes to D
Slide 9: Additional DRI Growth Expected
ADDITIONAL DRI GROWTH EXPECTED CHAMPION IRON 2s DRI GROWTH IS SET TO CONTINUE WITH SIGNIFICANT NEW DRI PROJECTS UNDERWAY, INCLUDING SEVERAL RECEIVING GOVERNMENT SUPPORT Central/North Europe West/South Europe Germany - Wilhelmshaven (Salzgitter) France - Dunkirk (Liberty Steel / ArcelorMittal) German
Slide 10: Few Producers Capable to Produce High-Grade Iron Ore
FEW PRODUCERS CAPABLE TO PRODUCE HIGH-GRADE IRON ORE CHAMPION IRON 2 MARKET LEADING HIGH-PURITY DR QUALITY PRODUCT IN A GROWING MARKET SUMMARY OF IRON AND GANGUE CONTENTS . . . Primarily Brazil, Canada, © (wy) « Primarily Australia ro) y Ukraine and Russia \ L— | = i 1 £ 12% f \ E e 3 10% a ° Bloom
Slide 11: Contaminants Are a Growing Industry Concern
CONTAMINANTS ARE A GROWING INDUSTRY CONCERN CHAMPION IRON 2 WHILE THE STEEL INDUSTRY REQUIRES INCREASINGLY HIGHER PURITY IRON ORE TO DECARBONIZE, QUALITY HAS DECLINED FOR AUSTRALIA’S MAJOR IRON ORE PRODUCERS BIG 3 AUSTRALIAN MINERS PRODUCTION (2015-2025) ' 1% 2015 12% 2025! 8 g ) 8 ; ; 8g Weighted a
Slide 12: MetalloInvest (Russia) Rest of
⎪ ⎪ Spare Port Project / Renewable Distance to # Capacity Portfolio Energy Port (Km) (Mtpa)6 MetalloInvest 1 (Russia) Rest of 2 Canada4 3 S11D Champion 4 Iron 7 5 Simandou2,5 6 Iron Bridge 7 Central Eyre3 8 Minas Rio 9 Samarco LKAB 10 (Sweden) 11 CSN (Brazil) 12 Sino Iron
Slide 13: Low Impact Locally & Scaleable Positive Impact Globally
LOW IMPACT LOCALLY & SCALEABLE POSITIVE IMPACT GLOBALLY CHAMPION IRON 2s > Canadian high-purity iron ore is produced with one of the lowest carbon intensities globally > Acomplete transition of Bloom Lake’s 15 Mtpa nameplate capacity to DRPF quality iron ore could eliminate nearly 9.7Mt of CO;eq/yea
Slide 14: Commitments to Decarbonize Steelmaking
COMMITMENTS TO DECARBONIZE STEELMAKING CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX: CIAFF CHAMPION ALREADY HOLDS AN INDUSTRY LEADING POSITION REGARDING ITS EMISSION INTENSITY AT 8.95 KG OF CO, EQUIVALENT PER TONNE OF IRON ORE CONCENTRATE PRODUCED Annual G1G emissions (t C0, eq) VISION TO REDUCE GHG
Slide 15: Projects Aligned with 2030 GHG Reduction Target
CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX: CIAFF CHAMPION IDENTIFIED PROJECTS THAT ARE ALIGNED WITH ITS 2030 GHG REDUCTION TARGET HEATING ELECTRIFICATION AND HEAT RECOVERY ENERGY EFFICIENCY - MINE ENERGY EFFICIENCY - PLANT ESTIMATED ANNUAL IMPACT OF INITIATIVES DEPLOYMENT IN 2030 =\) FUEL SAVINGS
Slide 16: Scope 3 Emissions: A Positive Impact in Steelmaking
SCOPE 3 EMISSIONS: A POSITIVE IMPACT IN STEELMAKING CHAMPION IRON 2 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 CO;,, per category) PER T
Slide 17: Recent Results
CHAMPION IRON RECENT RESULTS
Slide 18: Record Results and Solidifying Operations
CHAMPION IRON 24 RECORD RESULTS AND SOLIDIFYING OPERATIONS TSX: CIA | ASX: CIA | OTCOX: CIAFE > FY24 production of 14.2M wmt, an increase of 26.6% BLOOM LAKE PRODUCTION HISTORY year-over-year, representing 94.4% of Bloom Lake's (MILLION WMT/YEAR) recently expanded nameplate capacity of 15Mtpa > HI1/
Slide 19: Record Sales and Diversified Customers
CHAMPION IRON 24 RECORD SALES AND DIVERSIFIED CUSTOMERS TSX: CIA | ASX: CIA | OTCOX: CIAFF > Record annual iron ore concentrate sales of 11.6Mdmt in FY24, an increase FY2024 SALES of 9.9% year-over-year t | Year-on-year shipments by region > Increased sales in Europe and successfully achieved first
Slide 20: Optimizing Cost Structure
OPTIMIZING COST STRUCTURE CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX: CIAFF TOTAL CASH COST* (C$/DMT) Phase II $120 ramp up $80 $40 $0 2014 2015 2016 2017 Approx. 40% reduction Fylg* FY20FY2l1_—sFY@2—s F239. FY24 Sources: Champion Iron Limited, Statistics Canada > FY2024 results: Continued to opti
Slide 21: Rising Industry Costs Supporting Iron Ore Prices
RISING INDUSTRY COSTS SUPPORTING IRON ORE PRICES CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX: CIAFF IRON ORE PRICES SUPPORTED BY RISING INDUSTRY COSTS > Impacted by weaker steel output in China and seasonally elevated iron ore supply from major hubs, iron ore prices recently tested multi-year lows
Slide 22: Robust Financial Results and Balance Sheet
ROBUST FINANCIAL RESULTS AND BALANCE SHEET CHAMPION IRON 2s > Robust financial results and liquidity, positioning the Company to diligently evaluate growth opportunities while continuing its capital return strategy $27 1M Working capital! - | $0.50 m $531.7M Short-term & Long-term debt? so.00 | | ||
Slide 23: Product Development and Growth Initiatives
PRODUCT DEVELOPMENT CHAMPION IRON 23 AND GROWTH INITIATIVES {A | OTCOX
Slide 24: Green Steel Supply Chain Solutions
GREEN STEEL SUPPLY CHAIN SOLUTIONS CHAMPION IRON 2s DE-RISKING A VAST PROJECT PORTFOLIO REQUIRED FOR THE GREEN STEEL SUPPLY CHAIN PRODUCTS OPTIMIZATION MINING VOLUME INCREASE | BLOOM LAKE BEYOND 15M TPA Ongoing evaluation to debottleneck = operations and significant mineral resources creating opport
Slide 25: DRPF Project
CHAMPION IRON 24 D R P F P R OJ E CT TSX: CIA | ASX: CIA | OTCQX: CIAFF > POSITIVE IMPACT FOR ALL STAKEHOLDERS 66.2% » 69% Project to upgrade the second plant (7.5M tpa) from 66.2% to a 69% Fe (industry leading DR quality iron ore) Expected to attract significant additional pricing premium over the
Slide 26: DRPF Project Update
DRPF PROJECT UPDATE CHAMPION IRON 2s 1 (CSM) > As at September 30, 2024, cumulative investments of $218.4M from the DRPF ero SAT SEPTEMBER 30. 2024. cee estimated total capital expenditures of $470.7M?, with the project remaining on budget and on schedule for an expected commissioning in calendar H2
Slide 27: Kami Project: Access to Infrastructure
KAMI PROJECT: ACCESS TO INFRASTRUCTURE CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX: CIAFF BLOOM LAKE 023812 Mont Wright Mine 023811 MOIRE LAKE 023810 023807 Legend HE creme on ints Ar KAMI PROJECT Sizeable high-purity iron resource, significantly de-risked by the project's previous owners Strategic
Slide 28: Tailings Management Facility
⎪ ⎪ Tailings Management Facility
Slide 29: Kami Study Highlights: Economic Results
KAMI STUDY HIGHLIGHTS: ECONOMIC RESULTS CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX: CIAFF > The positive findings of the study included after tax economics of: = Base case NPV of $541M and IRR of 9.8% = 3-year trailing prices NPV of $2,195M and IRR of 14.8% PROJECT ECONOMICS P6S Index price assump
Slide 30: Kami Project
KAMI PROJECT CHAMPION IRON 2 > Kami Project's expected capital intensity of US$331/wmt of production capacity is competitive with recently completed high-grade concentrate greenfield projects’ capital intensity average of US$328/wmt! > Recently completed project's capital intensity implies a replace
Slide 31: See with Vincent for 5 yr perspective
⎪ ⎪ → → See with Vincent for 5 yr perspective →
Slide 32: Thank You to Our Staff
THANK YOU TO OUR STAFF CHAMPION IRON 2s UPHOLDING VALUES FOR A SUSTAINABLE FUTURE 7 hi ¢ TRANSPARENCY RESPECT INGENUITY PRIDE 32
Slide 33: Thank You!
THANK YOU! CHAMPION IRON 24 Contact us for_more information - Michael Marcotte, CFA » -Senior Vice-President - Corporate Development and Capital Markets i oa a —_—" a info@championiron.com : 7 mi 514-316-4858 6
Slide 34: Appendix: Bloom Lake Opportunities Beyond LoM
APPENDIX: BLOOM LAKE > OPPORTUNITIES BEYOND LOM CHAMPION IRON 2s Released the details of the updated mineral resources and reserves for Bloom TECHNICAL REPORT HIGHLIGHTS Lake on August 22, 2023, including: Average recovered concentrate (M wmt/year) 15.2 Life of mine (years) 18 years > Confirmed 18 y
Slide 35: Appendix: Notes to the Resources and Reserves
APPENDIX: NOTES TO THE RESOURCES AND RESERVES CHAMPION IRON 2s NOTES ON MINERAL RESOURCES AND MINERAL RESERVES FOR THE BLOOM LAKE MINE Mineral Resources Mineral resources ore not mineral reserves and have not demonstrated economic viebility under the assumptions contained in the 2023 Technical Repor
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