Faraday Copper Corp · TSX:FDY
Faraday Copper — Investor Presentation (February 2024)
49 slides from Faraday Copper's investor presentation, February 2024
Slide 1: Growing U.S. Copper Resources
Growing U.S. Copper Resources ANALYST PRESENTATION February 2024 FDY: TSX I CPPKF: OTCQX
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: Investment Highlights
INVESTMENT HIGHLIGHTS Significant Resource Growth Through New Discoveries ▪ Copper Creek is a large Cu-Mo-Ag resource with over 4.2 Blbs of copper M&I Mineral Resource backstopped by a robust PEA ▪ High-grade near surface breccia mineralization and vein stockwork porphyry at depth ▪ Exploration upsi
Slide 4: Copper Creek Is in a Top Mining Jurisdiction
COPPER CREEK IS IN A TOP MINING JURISDICTION Arizona Produced ~70% of U.S. Copper in 2023 (USGS) Pinto Valley Arizona, USA ▪ 100% owned property in Pinal ARIZONA Globe-Miami Resolution County, Arizona Ray Copper Morenci ▪ Near mining and service hubs with Cactus Florence Creek Safford Lone Star skil
Slide 5: Copper Creek: Large Land Package
COPPER CREEK: LARGE LAND PACKAGE ▪ ~65 km2 Property offers strategic benefits ▪ Mineral claims include patented claims, unpatented claims and state prospecting permits ▪ Optionality for infrastructure placement ▪ Solar power generation potential ▪ Ranch includes ~26,000 acres of surface rights throu
Slide 6: Undervalued Mineral Resource Compared to Peers
COMPELLING INVESTMENT Undervalued Mineral Resource Compared to Peers Relative Price Performance (a) Enterprise Value / M&I Mineral Resources (b) 44.9¢ 12.1¢11.7¢11.3¢ 140% 10.0¢ 120% EV/M&I (US¢/lb CuEq) 100% 7.5¢ 6.2¢ 80% 5.8¢ Average EV/M&I Resources - excl. Faraday: 5.5¢ 60% 5.0¢ 5.0¢ 40% 3.3¢ 2.
Slide 7: Mineral Resource (2023)
MINERAL RESOURCE (2023) MRE is Supported by >200,000 m of Drilling, 83% of Resource is M&I Tonnes Cu Mo Ag CuEq2 Cu Mo Ag CuEq2 ▪ MRE includes Phase I drill results Category (Mt) (%) (%) (g/t) (%) (Mlbs) (Mlbs) (Moz) (Mlbs) and historical drilling only (Oct 2022 cut-off date) Open Pit NI 43-101 MRE
Slide 8: Resource Optimization
RESOURCE OPTIMIZATION Significant Upside to the 4.2 Blbs of Copper M&I Mineral Resource A Open Pit Grade Distribution A’ A Copper Prince Childs Aldwinkle 1,300RL Globe Opportunity Mammoth Copper N Prince Marsha to grow 1,200RL open pits Old Childs 1,100RL where they Reliable Alwinkle are limited 1,0
Slide 9: Exploration
“’| FARADAY COPPER
Slide 10: Resource Expansion Potential
RESOURCE EXPANSION POTENTIAL Significant Growth Opportunities Rum ~4,000 metres Globe Copper Childs Marsha Prince Aldwinkle Potential for Old expansion of pit Reliable Mammoth Bald mineralization, Area 51 ISOMETRIC VIEW which remains LOOKING NORTHEAST open laterally and at depth American Eagle Poten
Slide 11: Exploration Data Layers
EXPLORATION DATA LAYERS New Empirical Data Informs Exploration Targeting New Airborne Geophysical Survey (VTEM) New Airborne Spectral Survey N N 500 metres 500 metres New Structural Interpretation New Geophysical Processing (ZTEM) N N 500 metres 500 metres faradaycopper.com I page 11
Slide 12: Potential for New Discoveries
POTENTIAL FOR NEW DISCOVERIES Significant Growth Opportunities in an Underexplored District Holy Joe Fault Mineral Reserves 8 Mineral Resource Targets 3 Mineral Advanced Targets Resource Area 7 Identified Targets 15 Generative Targets Western Fault 33 high priority targets Area 51 across the propert
Slide 13: New Discovery: Phase III Drill Results
NEW DISCOVERY: PHASE III DRILL RESULTS Starship Breccia NW (at Area 51) SE NW Starship SE Breccia 25.06 m at 0.78% Cu, 0.03 g/t Au, 1.49 g/t Ag from 50.24 m OPEN 72.01 m at 0.37% Cu, 0.02 g/t Au, 1.35 g/t Ag from 50.24 m Drill Hole Assay Results Copper Grade (%) OPEN >2.00 1.00 0.70 0.50 American Ea
Slide 14: Phase III Drill Results
PHASE III DRILL RESULTS Higher Grade Zones at American Eagle are Open for Expansion Drill Hole Assay Results Copper Grade (%) >2.00 1.00 0.70 0.50 0.31 0.25 0.13 0.05 0.00 Block Model Copper Grade (%) >2.00 1.00 0.70 0.50 0.31 0.25 0.13 0.00 Legend Underground Shapes with Mineral Resource Model (202
Slide 15: Opportunities and Next Steps
OPPORTUNITIES AND NEXT STEPS
Slide 16: Opportunities and Next Steps
OPPORTUNITIES AND NEXT STEPS Phase II drill Gold Phase III drill Asset Exploration program potential program scalability pipeline Demonstrates Targeting gold Focused on resource Metallurgical program Underexplored potential for inclusion in future expansion and testing supports coarser district at C
Slide 17: Phase II Results Show Upside (Post-MRE)
PHASE II RESULTS SHOW UPSIDE (POST-MRE) Drill Hole Assay Results Copper Grade (%) >2.00 1.00 0.70 High-grade High-grade 0.50 intercept intercept 0.31 below below 0.25 Copper Copper 0.13 Prince Giant 0.05 0.00 Block Model Copper Grade (%) >2.00 1.00 0.70 0.50 0.31 0.25 0.13 Potential for 0.00 Potenti
Slide 18: Gold Program Highlights (Post-MRE)
GOLD PROGRAM HIGHLIGHTS (POST-MRE) Gold Program Childs Aldwinkle Breccia ▪ Assaying historical material for gold that was not previously tested, for Mammoth Open Pit Shell potential inclusion in future studies CA-5R: 219.46 m at 0.31 g/t Au, Childs Aldwinkle Breccia Results 3.29% Cu ▪ Weighted avera
Slide 19: 2024 Metallurgical Results
2024 METALLURGICAL RESULTS Unlocking Significant Upside Coarse grind supports a potential increase to mill Coarse Grind Additional throughput without increasing the tailings Optimization Benefits pressure filtration requirement Gold recovery over Filtered Tailings Scenarios Over 95% copper 75% suppo
Slide 20: 2024 Metallurgical Results
2024 METALLURGICAL RESULTS Sample Selection Focused on Open Pit Domain PLAN VIEW ISOMETRIC VIEW 2024 N Plan view of 2024 Metallurgical program sample locations relative to the PEA pit shells Spatial context of 2024 Metallurgical Program and historical metallurgical samples (dark grey) and undergroun
Slide 21: PEA Overview
“S| FARADAY COPPER
Slide 22: Highlights
PEA: HIGHLIGHTS Life-of-Mine Average Annual Life-of-Mine Payable Measured and Indicated 51,100 tpa Payable CuEq 1 Production 3.4 Blb CuEq 1 Production 4.2 Blb Copper Mineral Resource a KEY FINANCIAL DATA ANTICIPATED PRODUCTION PROFILE Post-tax NPV(7%) $713 million Mine Life b 32 years Tonnes Milled
Slide 23: Economic Sensitivity
PEA: ECONOMIC SENSITIVITY Well-positioned to Leverage the Copper Price $2,000 40% PEA $1,843 29.6% Post-Tax NPV ($ million) $1,500 $1,576 30% Post-Tax NPV (7%) $ M Post-Tax IRR 21.0% Post-Tax NPV (8%) $ M $1,000 20% 15.6% $1,144 $951 Post-Tax IRR % $713 $500 $566 10% $0 0% $3.80 $4.25 $5.00 Copper P
Slide 24: LOM Payable Metal Production Profile
PEA: LOM PAYABLE METAL PRODUCTION PROFILE Copper Contributes ~94% of LOM Revenue Payable Metal Production (CuEq1) 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 25: 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 26: 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 27: Underground Geotechnical Assessment
PEA: UNDERGROUND GEOTECHNICAL ASSESSMENT Confirmed Caveability Bald ▪ Rate of Caving mm/day Caveability prediction Mammoth ▪ Fragmentation estimation ▪ Drawpoint spacing and support analyses ▪ Surface subsidence assessment American Eagle Keel ▪ Open pit and UG interaction evaluation Isometric view l
Slide 28: 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 29: 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 1 bulk underground mine High-grade = 28 Mt at 0.98% CuEq Globe / Marsha
Slide 30: 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 1 ▪ 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% CuEq1 (HG
Slide 31: Underground Mine Design Overview
PEA: UNDERGROUND MINE DESIGN OVERVIEW ▪ 211 Mt Underground Inventory Underground ▪ 47 Mt - Keel 211 Mt @ 0.53% CuEq 1 ▪ 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 32: 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 33: 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 34: Underground Mine Production Schedule
PEA: UNDERGROUND MINE PRODUCTION SCHEDULE Underground Development Metres and Mill Feed by Period 12 10,000 9,000 10 8,000 Mill Feed (million tonnes) 7,000 Development (metres) 8 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 35: 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 36: 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 37: Site Infrastructure
PEA: SITE INFRASTRUCTURE Configured for scalability In-pit Waste Explosive Rock Dump Facilities Materials handling synergies between Low-grade Stockpiles open pit and underground Overland External Conveyor Open Pits Waste Primary Rock Dump Process Crusher HLF (136 Mt) Plant (20 Mt) SXEW Underground
Slide 38: 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 39: 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 40: Permitting and ESG
FARADAY COPPER PERMITTING AND ESG™
Slide 41: 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 42: Environmental & Stakeholder Engagement
ENVIRONMENTAL & STAKEHOLDER ENGAGEMENT Baseline Data Collection and Stakeholder Outreach ENVIRONMENT STAKEHOLDER ENGAGEMENT Baseline environmental monitoring Commitment to open dialogue and systems in place for data collection to support for the local economy and social support permitting process pr
Slide 43: Appendix
FARADAY COPPER APPENDIX
Slide 44: Copper Creek: Mineral Resources (2023)
COPPER CREEK: MINERAL RESOURCES (2023) Grade Contained Metal Category Tonnes (Mt) Cu Mo Ag CuEq 2 Cu Mo Ag CuEq 2 (%) (%) (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 0.40 0
Slide 45: 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 46: 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, tailings Ausenco Tucson facilities and associated infrastructure design, including eco
Slide 47: Contact Copper
CONTACT COPPER Copper Oxide Optionality ▪ 100% owned, 5,900+ acres of patented and unpatented mining claims in northern Nevada Contact Copper Elko ▪ Excellent access to a major highway, power and local mining services ▪ Open pit, heap-leach copper oxide opportunity NEVADA ▪ Deposit open in all direc
Slide 48: Endnotes
ENDNOTES 1. Preliminary Economic Assessment (PEA) copper equivalent (CuEq) values are calculated using commodity type and price, considering the relevant recovery rate based on domain, applied using a regression formula as a function of grade. Recovery regression formulas are based on the outcomes o
Slide 49: 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
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