Slide 1: Copper Creek Preliminary Economic Assessment and Mineral Resource Estimate Update
Copper Creek Preliminary Economic Assessment and Mineral Resource Estimate Update Presentation and Webcast May 4, 2023
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Some of the statements in this presentation, other than statements of historical fact, are “forward-looking statements” and are based on the opinions and estimates of management as of the date such statements are made and are necessarily based on estimates and assumptions that a
Slide 3: Copper Creek: Project Highlights
COPPER CREEK: PROJECT HIGHLIGHTS One of the Largest Developer-Owned Copper Projects in the U.S. Over 4.2 Blbs of Copper in Measured and Indicated Large Mineral Resources Mineral Over 500 Mt Resource with 83% in the M&I Category Resource 200,000+ metres of drilling Combined open pit and under
Slide 4: PEA Highlights
PEA HIGHLIGHTS1 Attractive economics: Post-tax NPV(7%) of $713 million and IRR of 16% Robust project: Open pit mining provides a rapid payback on initial capital of four years and fully funds development of a bulk underground mine Long life production profile: 32-year mine life with average pr
Slide 5: Economic Sensitivity
ECONOMIC SENSITIVITY Well-positioned to Leverage the Copper Price Parameter Unit PEA Alternative Copper Prices Copper Price $/lb $3.80 $4.25 $5.00 Molybdenum Price $/lb $13.00 $13.00 $13.00 Silver Price $/oz $20.00 $20.00 $20.00 Post-Tax NPV(7%) $M $713 $1,144 $1,843 Post-Tax NPV(8%) $M $566 $951 $1
Slide 6: LOM Payable Metal Production Profile
PEA: LOM PAYABLE METAL PRODUCTION PROFILE Copper Contributes ~94% of LOM Revenue Payable Metal Production (CuEq2) 90 Copper as % of Revenue Contribution 80 Silver as % of Revenue Contribution 70 Molybdenum as % of Revenue Contribution 60 Tonnes (Thousands) 50 40 30 20 10 - 1 2 3 4 5 6 7 8 9 10 11 12
Slide 7: Faraday Copper: Compelling Investment
FARADAY COPPER: COMPELLING INVESTMENT Low Capital Intensity, Long Life U.S. Copper Project Owned by a Developer Initial Capital Intensity vs Mine Life (a, b) Enterprise Value / M&I Mineral Resources (b) 60¢ 37.1¢ 17.6¢ 15.0¢ 10.0¢ Copperwood Carmacks (US¢/lb CuEq Mine Plan Inventory) 50¢ Copper Flat
Slide 8: PEA Technical Highlights
PEA TECHNICAL HIGHLIGHTS
Slide 9: Faraday's Approach
FARADAY’S APPROACH Supported by Empirical Data GEOTECHNICAL METALLURGICAL Pit Slope Stability Assessment Flotation Test work Caveability Analysis Comminution Test work Rock strength Lab Test work Mineralogical Studies Piezometer Data Solid–liquid Separation Televiewer Data Test work GEOLOGY Drill Co
Slide 10: Independent Consultants
INDEPENDENT CONSULTANTS Customized Team of Specialists Deliverable Consultant Location Scope Mineral Resource SRK Denver Delivery of an updated MRE Estimate Technical lead for the optimization of processing plant, Ausenco Tucson tailings facilities and associated infrastructure design, including eco
Slide 11: Updated Mineral Resource (2023)
UPDATED MINERAL RESOURCE (2023) MRE is Supported by >200,000 m of Drilling, 83% of Resource is M&I Drillhole database includes Phase I drill Tonnes Cu Mo Ag CuEq3 Cu Mo Ag CuEq results (as of Oct 27, 2022) Category (Mt) (%) (%) (g/t) (%) (Mlbs) (Mlbs) (Moz) (Mlbs) Updated geological model Open P
Slide 12: Significant Resource With Upside
SIGNIFICANT RESOURCE WITH UPSIDE Open Pit and Underground Mineral Resource Open Pit Grade Distribution A A Copper Prince Childs Aldwinkle A’ 1,300RL Globe Mammoth N Copper 1,200RL Prince Marsha OPEN PIT 1,100RL Old Childs Reliable Alwinkle 1,000RL Mammoth 100 metres 900RL A’ Bald PLAN VIEW 500 metre
Slide 13: PEA: Geotechnical Assessment
PEA: GEOTECHNICAL ASSESSMENT Data Collected for Open Pit and Underground Mine Design Geotechnical core logging, including five historical drill holes (2,032 meters) and nine Phase I drill holes (5,624 meters) Geomechanical data (fracture statistics, joint conditions) Mammoth Breccia (FCD-22-008)
Slide 14: Open Pit Geotechnical Assessment
PEA: OPEN PIT GEOTECHNICAL ASSESSMENT Competent Host Rock: Reliable Slope Stability and Reduced Strip Overall pit slope stability assessment Rock strength and joint orientations allows for overall slope angle of 50 degrees supporting low strip ratios Back break and catch bench analysis Asses
Slide 15: Underground Geotechnical Assessment
PEA: UNDERGROUND GEOTECHNICAL ASSESSMENT Confirmed Caveability Bald Caveability prediction Rate of Caving mm/day Mammoth Fragmentation estimation Drawpoint spacing and support analyses American Surface subsidence assessment Eagle Keel Open pit and UG interaction evaluation Isometric view l
Slide 16: Metallurgical Summary
PEA: METALLURGICAL SUMMARY High Metal Recoveries and Clean Concentrate Recovery (%) 2023 Test work was assimilated with the historical test work to Domain Cu Mo Ag form the basis of the process design criteria for the PEA Oxide 75.0% n/a n/a Transitional 74.7% 70.9% 66.9% High copper recovery from
Slide 17: Mine Design Overview
PEA: MINE DESIGN OVERVIEW Integrated Mine Plan Provides Optionality and Scalability Open pit mining enables rapid payback on ISOMETRIC VIEW Open Pit LOOKING NORTHEAST initial capital and funds development of 154 Mt at 0.39% CuEq 2 bulk underground mine High-grade = 28 Mt at 0.98% CuEq Globe / Marsha
Slide 18: Open Pit Mine Design Overview
PEA: OPEN PIT MINE DESIGN OVERVIEW Favourable Average Open Pit Strip Ratio of 1:1.2 ISOMETRIC VIEW Open Pit LOOKING NORTHEAST 154 Mt at 0.39% CuEq 2 154 Mt Open Pit Inventory consisting of High-grade = 28 Mt at 0.98% CuEq Globe / Medium-grade = 45 Mt at 0.33% CuEq Marsha 73 Mt at 0.58% CuEq 2 (H
Slide 19: Underground Mine Design Overview
PEA: UNDERGROUND MINE DESIGN OVERVIEW 211 Mt Underground Inventory Underground 47 Mt - Keel 211 Mt @ 0.53% CuEq 2 155 Mt - American Eagle Caving = 202 Mt at 0.54% CuEq 9 Mt - Development material Development = 9 Mt at 0.42% CuEq The cave footprints would be accessed via a twin American dec
Slide 20: Mine Production Schedule
PEA: MINE PRODUCTION SCHEDULE Life-of-Mine Processed Material Total Processed Material by Material Type 18 16 Open Pit Sulphide Transitional 14 Underground Sulphide Oxide Quantity (million tonnes) 12 10 8 6 4 2 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32
Slide 21: Open Pit Mine Production Schedule
PEA: OPEN PIT MINE PRODUCTION SCHEDULE Mined Material by Period 30 Copper Prince Mammoth Globe Old Reliable 25 Marsha Bald / Jailhouse Rum Underground - Development 20 Underground - Keel Underground - American Eagle Quantity (Mt) Waste 15 10 5 - -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Slide 22: Underground Development and Mill Feed
PEA: UNDERGROUND MINE PRODUCTION SCHEDULE Underground Development Metres and Mill Feed by Period 12 10,000 9,000 10 8,000 7,000 Mill Feed (million tonnes) 8 Development (metres) 6,000 6 5,000 4,000 4 3,000 2,000 2 1,000 0 0 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
Slide 23: Underground Mine Production Schedule
PEA: UNDERGROUND MINE PRODUCTION SCHEDULE American Eagle Development of twin declines commencing in Year 3 Keel Cave production beginning in Year 8 ISOMETRIC VIEW LOOKING NORTHEAST Underground cave production would ramp up over a 3-year Underground Footprint: Development and Extraction Sequenc
Slide 24: Processing Flowsheet
PEA: PROCESSING FLOWSHEET Grinding Circuit Co–Mo Rougher Flotation and Regrind Co–Mo Cleaner Primary Flotation Open Pit Crusher Sag Mill Ball Mill Sulphide Stockpile Co–Mo Radial Stacker Concentrate 5-Stage Mo Thickener Tailings Thickening Cleaner Flotation & Filtering Mo Dry Stack Tailings Rougher
Slide 25: Site Infrastructure
PEA: SITE INFRASTRUCTURE Configured for scalability In-pit Waste Explosive Rock Dump Facilities Overland Conveyor Materials handling synergies Low-grade Stockpiles between open pit and underground External Open Pits Primary Waste Crusher Rock Dump Process (136 Mt) HLF Plant (20 Mt) SXEW Underground
Slide 26: Capital Expenditures
PEA: CAPITAL EXPENDITURES Low Initial Capital with a two-year construction period Initial Capital Expenditure Developed using EPCM project development approach with quotes, design driven quantity estimations and first principles Owners Costs and Contingency Process Infrastructure including Crushing
Slide 27: Operating Costs
PEA: OPERATING COSTS Average Life-of-Mine Production Cash Costs3 of $1.67/lb Copper Open Pit: Contractor-operated conventional truck and shovel Developed from first principles based on quantities generated from Open pit operating cost applied to mineralized material and waste mine design, producti
Slide 28: Permitting and Stakeholders
PERMITTING AND STAKEHOLDERS Building a framework for data collection and stakeholder engagement Baseline environmental monitoring systems in place for data collection to support permitting process: Installation of flow meters and surface water sampling in major drainages Piezometer installation
Slide 29: Permitting Pathway
PERMITTING PATHWAY Plan of Operations and 404 Permit Plan of Operations Ground water National Environmental Update Plan of Operations and Surface water Environmental Impact bonding Air, Biological Policy Act Statement Tribal Record of Applications consultations After National Decision submit
Slide 30: Exploration
©: FARADAY COPPER EXPLORATION i } i
Slide 31: Three-Pronged Focus to Exploration
THREE-PRONGED FOCUS TO EXPLORATION EXPLORATION STRATEGY Resource open in all directions Expand the mineral resource 10,000-metre program ongoing, results not included in MRE Recent drill result demonstrate expansion potential 20,000-metre program Better delineate high-grade planned to commence i
Slide 32: Intersected Massive Copper Sulphide
INTERSECTED MASSIVE COPPER SULPHIDE A Copper Prince N Breccia A’ A Glory Hole Copper Giant Holly Copper Copper Prince Knight Copper Duchess Historical drill hole trace Open pit shell A’ Breccia 200 m Drill Hole Assay Results Block Model Copper Grade Copper Grade (%) (%) Legend >2.00 >1.00 Pit Shell
Slide 33: Continuous Mineralization Outside Open Pit
CONTINUOUS MINERALIZATION OUTSIDE OPEN PIT Copper Giant N Breccia A’ A Glory A’ Hole Copper A Giant Copper Holly Prince Copper Knight Copper Duchess Historical drill hole trace Open pit shell 100.12 m at 0.69% Cu, 1.15 Breccia 200 m Drill Hole g/t Ag, 0.04 g/t Au, from Assay Results Block Model 34.8
Slide 34: Exploration Data Collection
EXPLORATION DATA COLLECTION Geological mapping N Detailed airborne electromagnetic geophysical survey A' Reinterpreting historical OR Mammoth geophysical data Detailed airborne spectral survey A planned for Q2 2023 Update target ranking and 1 km prioritization A A' ZTEM inversion 450 m dep
Slide 35: District Exploration Upside
DISTRICT EXPLORATION UPSIDE Untested Upside: ~90% of the >200,000 m of Drilling is in the Resource Area There are numerous untested breccia and porphyry occurrences at the project Holy Joe Fault Reconnaissance drilling on regional targets Drill testing near-resource opportunities New district-
Slide 36: Copper Creek: PEA Highlights Video
COPPER CREEK: PEA HIGHLIGHTS VIDEO This video can be viewed on the Company’s website at https://faradaycopper.com/investors/videos-and-interviews/ faradaycopper.com I page 36
Slide 37: Opportunities and Next Steps
OPPORTUNITIES AND NEXT STEPS Phase II drill Gold by-product Asset Phase III drill District program potential scalability program exploration Results to date Initiated a program to Increasing processing 20,000 metres of drilling New information from demonstrate potential analyze historical rates will
Slide 38: Appendix
“S| FARADAY COPPER APPENDIX. “
Slide 39: Copper Creek: Mineral Resources (July 2022)
COPPER CREEK: MINERAL RESOURCES (July 2022) Grade Contained Metal Category Tonnes (Mt) Cu Mo Ag CuEq 3 Cu Mo Ag CuEq 3 (%) (%) (g/t) (%) (Mlbs) (Mlbs) (Moz) (Mlbs) Open Pit (OP) Measured 67.2 0.48 0.008 1.2 0.51 710.5 12.5 2.6 751.1 Indicated 59.9 0.31 0.008 0.6 0.33 412.9 10.1 1.1 440.5 M&I 127.1 0
Slide 40: Copper Creek: Notes to Mineral Resources
COPPER CREEK: NOTES TO MINERAL RESOURCES CuEq: Copper equivalent; g/t: Grams per tonne; Mlb: Million pounds; Moz: Million troy ounces; Mt: Million tonnes The mineral resources in this estimate were prepared in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Stand
Slide 41: Endnotes
ENDNOTES 1. The metrics presented in this presentation are based on a Preliminary Economic Assessment (“PEA”) that includes an economic analysis of the potential viability of Mineral Resources. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. This PEA is p
Slide 42: Contact Information
CONTACT INFORMATION STACEY PAVLOVA, CFA Suite 250, 200 Burrard Street VP Investor Relations Vancouver, BC Canada 778-730-1067 www.faradaycopper.com info@faradaycopper.com