Champion Iron Ltd. · ASX:CIA

Champion Iron — Non-Deal Roadshow (February 2020)

38 slides from Champion Iron's roadshow presentation, Feb 19, 2020

  1. Slide 1: Roadshow Presentation

    PREMIUM PRODUCT, TIER 1 JURISDICTION, CHAMPI ON IRON LAX HIGH QUALITY INFRASTRUCTURE

  2. Slide 2: Disclaimer

    DISCLAIMER CHAMPION IRON 2 This presentation contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words “expect”. anticipate”. ‘continue "estimate", "may", "project", "should", "believe", "plans", “intends”, “forecast” an

  3. Slide 3: Corporate Overview

    CORPORATE OVERVIEW BLOOM LAKE ~ ~ Platts TSI IODEX 65% Fe Index; Total Cash cost based on

  4. Slide 4: Structural Shift in Iron Ore

    STRUCTURAL SHIFT IN IRON ORE ✓ Champion sells based on Platts 65% Fe premium benchmark > > > > Source: Platts, Bloomberg; P62: Platts TSI IODEX 62% Fe CFR China; P65: Platts IO Fines 65% Fe CFR China

  5. Slide 5: Canada - 2nd Largest Export Region in High Grade

    CANADA - 2ND LARGEST EXPORT REGION IN HIGH GRADE > > SWEDEN – 16,1 CANADA RUSSIA > 52 18,1 UKRAINE 17 INDIA 2,5 BRAZIL 385,4 AUSTRALIA 31,7 SOUTH AFRICA 14

  6. Slide 6: Competing on Cost Curve

    COMPETING ON COST CURVE > > > > > P62: Platts TSI IODEX 62% Fe CFR China

  7. Slide 7: Corporate Snapshot

    CORPORATE SNAPSHOT MARKET STATISTICS (C$M) SHAREHOLDERS (CIA-TSX; CIA-ASX) INSIDERS UNDISCLOSED 10.9% 18.6% INSTITUTIONAL 11.3% RETAIL 10.4% WYNNCHURCH CORPORATE CAPITAL 1.4% 14.3% FAMILY OFFICES RESSOURCES 23.7% QUEBEC 9.3%

  8. Slide 8: History of Bloom Lake vs Iron Ore Price (C$/t)

    HISTORY OF BLOOM LAKE VS IRON ORE PRICE (C$/T) Cliffs Acquires Bloom Lake CLM for C$4.9B Recommissioned Cliffs Seeks Creditor QIO Releases Released Phase II Protection Feasibility Study Feasibility Study QIO Acquires Bloom Lake *P62: Platts TSI IODEX 62% Fe CFR China; P65: Platts IO Fines 65% Fe CFR

  9. Slide 9: Labrador Trough = World-Class Opportunity

    LABRADOR TROUGH = WORLD-CLASS OPPORTUNITY > > > > > > >

  10. Slide 10: Bloom Lake Today

    BLOOM LAKE TODAY > Achieved highest annual production on record BLOOM LAKE PRODUCTION HISTORY (MILLION WMT/YEAR) 6.99 ee | 6. *FY2020 ends March 31, 2020 YTD ao nN © wo -O1 wo nh uw Production (Million WMT) nu FY2020 YTD* a CHAMPION IRON 24 > Structural changes implemented > Achieved lowest cash cos

  11. Slide 11: Diversified Customer Base

    DIVERSIFIED CUSTOMER BASE Product sold to 21 different customers since 1st shipment EUROPE – 5% KOREA – 4% > MIDDLE EAST – 16% CHINA – 49% > JAPAN – 24% > INDIA – 2% * Customer mix based on total volumes sold since first shipment in April 2018

  12. Slide 12: Operational Results

    OPERATIONAL RESULTS CHAMPION IRON 24 6.00 SETTING HISTORICAL 2.00 2 RECORDS AT BLOOM LAKE z = é 4.00 150 8 8 3 Set new quarterly production 8 100 & record in Bloom Lake’s history 2 200 4 a é. s (Q2/FY20) 2 oso § Achieved target recovery rate & of 83% 0.00 0.00 Proven ability to exceed Q4/FY19 Q1/FY2

  13. Slide 13: Financial Results

    FINANCIAL RESULTS CHAMPION IRON 24 > Generated C$262.9M in cash flow from operations in last 4 quarters > Proven ability to produce at total cash cost below C$50/t (<US$38/t) > Strong cash operating margin of C$43.4/tonne YTD > Not incumbered by stream or royalties YEAR TO DATE (9-MONTHS ENDING DEC

  14. Slide 14: Premium Pricing

    PREMIUM PRICING CHAMPION IRON 24 REALIZED PRICING (FY20 YEAR TO $120 $13.70 $110.60 $107.10 $100 $96.90 _ 580 -$25.60 $4.10 5 $60 ~ $40 $20 $0 Premium over P62 Freights & Other Sales Price FOB Net Reelized Price (sg) (uss) (uss) (CAS) Index P62 Gross Realized Price Provisional sales Adj (US$) FX Con

  15. Slide 15: Strong Financial Position

    STRONG FINANCIAL POSITION CHAMPION IRON 24 ffi C$187.6M Cash & S-T Investments CN NS Strong financial partners aS C$28.7M Working Capital SsocleTE . Scotiabank. 1D) GENERALE <> C$237.7M Long-Term Debt (Face Value)* Caisse de dépdt et placement ©) + @ ge 4 du Québec BANK OF CHINA Meyivessssnen" O Des

  16. Slide 16: Bloom Lake Phase I (7.4 Mtpa)

    BLOOM LAKE PHASE I (7.4 MTPA) > > > > > →

  17. Slide 17: Bloom Lake Phase II Robust Economics

    BLOOM LAKE PHASE II ROBUST ECONOMICS ~

  18. Slide 18: Phase II - Capital Spending

    PHASE II — CAPITAL SPENDING CAPEX PRE-PRODUCTION CHAMPION IRON 24 LOW CAPITAL REQUIREMENT DUE TO PRIOR INVESTMENT OF -US$ (C$M) (US$M) General 28.2 214 ine - Phase II 37.6 28.5 (Crusher and stockpile 24.3 18.4 (Concentrator 165.0 125.0 [Tailings and water management 50.2 38.0 Services 30.5 23.1 Rail

  19. Slide 19: Rapid Timeline to Production

    RAPID TIMELINE TO PRODUCTION

  20. Slide 20: Bloom Lake Phase II Positioning as a Global Leader

    BLOOM LAKE PHASE II POSITIONING AS A GLOBAL LEADER > >

  21. Slide 21: Regional Opportunities Phase III

    REGIONAL OPPORTUNITIES PHASE III > > >

  22. Slide 22: FY2020 Health & Safety

    FY2020 HEALTH & SAFETY QUEBEC IRON ORE + CONTRACTORS FINANCIAL YEAR 2020 BENCHMARK 2019* Q1 Q2 Q3 Q4 YTD Lost Time Injury Frequency Rate 4,28 4,85 4,37 - 4,5 3,38 (LTIFR) Disability Injury Severity Rate 6,85 33,99 26,62 - 25,94 9 (DISR)

  23. Slide 23: Environmentally Focused

    ENVIRONMENTALLY FOCUSED ↓ ↓ ↓ New Old

  24. Slide 24: Strong Leverage to Commodity Price

    STRONG LEVERAGE TO COMMODITY PRICE > >

  25. Slide 25: Experienced Team

    EXPERIENCED TEAM > > > > > > > > > > > > > > > > > > > >

  26. Slide 26: Track-Record of Success

    TRACK-RECORD OF SUCCESS $20 $15 ~ $10 ~ $5 – Sep-04 May-06 Jan-08 Oct-09 Jun-11 > > > > ~ ~ > > > > > > > > ~ > > ~ > ~

  27. Slide 27: Appendix

  28. Slide 28: Tailings Management

    TAILINGS MANAGEMENT > > > > > Centerline/Downstream Upstream

  29. Slide 29: Iron Ore Value Chain

    IRON ORE VALUE CHAIN SLINTER PELLETS >

  30. Slide 30: Infrastructure and Logistics

    INFRASTRUCTURE AND LOGISTICS > > > > > > > > > > > > > > > > > >

  31. Slide 31: Bloom Lake Updated Recovery Flowsheet

    BLOOM LAKE UPDATED RECOVERY FLOWSHEET > > > > >

  32. Slide 32: Updated Feasibility Economics

    UPDATED FEASIBILITY ECONOMICS COMBINED PHASE I & II (JUNE 2019)

  33. Slide 33: Bloom Lake Reserves & Resources

    BLOOM LAKE RESERVES & RESOURCES

  34. Slide 34: Valuable and Sought-After Product

    VALUABLE AND SOUGHT-AFTER PRODUCT > > > > > ~ ✓ ✓ ✓

  35. Slide 35: Bloom Lake Mine Complex

    BLOOM LAKE CHAMPION IRON 2 MINE COMPLEX

  36. Slide 36: Multi-User Port

    MULTI-USER PORT CHAMPION IRON 2 36

  37. Slide 37: Structural Improvements 2018 Recommissioning

    STRUCTURAL IMPROVEMENTS 2018 RECOMMISSIONING

  38. Slide 38: Thank You!

    THANK YOU! Contact us for more information. DAVID CATAFORD, MICHAEL MARCOTTE, CEO VP INVESTOR RELATIONS dcataford@championrionmines.com mmarcotte@championironmines.com 1100 René-Lévesque Blvd. West, Suite 610 Montreal QC H3B 4N4 Lx Tel.: +1 514 316 4858 M P Fax.: +1 514 819 8100 CHA | 0 N CHAMPIONIR

Champion Iron — Non-Deal Roadshow (February 2020) on 6ix