Champion Iron Ltd. · ASX:CIA
Champion Iron — Non-Deal Roadshow (December 2022)
33 slides from Champion Iron's roadshow presentation, December 2022
Slide 1: Renmark - Virtual Non-Deal Roadshow Series
RENMARK - VIRTUAL NON-DEAL ROADSHOW SERIES DECEMBER 2022 PREMIUM PRODUCT TIER 1 JURISDICTION CHAM PION IRON LAA HIGH QUALITY INFRASTRUCTURE
Slide 2: Disclaimer
DISCLAIMER CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF ‘This presentation (the "Presentation”) contains information about Champion Iran Limited (*Champion” or the “Company"),current as at the datehereof ar as at such earlier date as may be specified herein, This Presentation does not constit
Slide 3: Corporate Overview
CORPORATE OVERVIEW CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF LARGEST PUBLICLY LISTED PURE-PLAY HIGH-GRADE IRON ‘ORE PRODUCER GLOBALLY > énd largest hub of high-grade exports globally > Access to infrastructure, including renewable hydroelectric power > [ey inl ai > 10.1% management ownersh
Slide 4: Focus on Sustainability
FOCUS ON SUSTAINABILITY CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF . . . . 208 SUSTAINABILITY > No occurrence of major environmental issues since ay~ REPORT recommissioning the Bloom Lake mine in February 2018 > Learn more about our sustainable practices in our 2021 Sustainability Report av
Slide 5: A Global Solution for the Transitioning Steel Industry
A GLOBAL SOLUTION FOR THE mn TRANSITIONING STEEL INDUSTRY = | ASX: CIA | OTCOX : CIAFF
Slide 6: Steel is Critical for an Energy Transition
STEEL IS CRITICAL FOR AN ENERGY TRANSITION CHAMPION IRON 21 TSX: CIA | ASX: CIA | OTCOX : CIAFF IRON ORE, USED IN STEELMAKING, IS ESSENTIAL FOR LOW CARBON TECHNOLOGIES Raw Materials Critical for the Transition to a Low-carbon Economy PN . ff Geothermal Hydro Nuclear Electricity Bioenergy Concentrate
Slide 7: High-Grade Iron Ore: A Solution for Green Steel
HIGH-GRADE IRON ORE > A SOLUTION FOR GREEN STEEL _ CHAMPION IRON 24 THE STEEL INDUSTRY WILL NEED TO ADAPT TO LIMIT EMISSIONS +> The steel industry significantly increased Steel (7.294, mining Freight its share of global emissions in the last 20 % years and currently represents more than 7.2% of glob
Slide 8: High Grade Ore Reduces Emissions in Steel Making
HIGH GRADE ORE REDUCES EMISSIONS IN STEEL MAKING CHAMPION IRON 24 STEEL MAKING METHODS AND REQUIRED SUPPLY CHAIN +> Champion commercially produces a 66.2% Fe iron ore concentrate and can produce a >67.5% Fe DR quality iron ore concentrate, enabling the Company to reduce emissions in the Blast Furnac
Slide 9: Significant Impact Towards Reducing Emissions
CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF SIGNIFICANT IMPACT TOWARDS REDUCING EMISSIONS Lx Champion‘s concentrate reduces emissions in BF/BOF steel making Proven ability to produce DR grade pellet feed enables Champion to engage with DRI/EAF steel makers Compared to Low Grade Iron Ore Comp
Slide 10: Embedded Value of High-Purity Iron Ore
EMBEDDED VALUE OF HIGH-PURITY IRON ORE CHAMPION IRON 21 TSX: CIA | ASX: CIA | OTCOX : CIAFF 66.2% Fe BF/BOF Process DRI/EAF Process 1.9M tonnes US$226M in CO2 eq/year ~ value/year! 9.7Mtonnes — _US$1,152M in CO2 eq/year! ~~ value/year! EU EMISSION TRADING SYSTEM FORWARD CURVE (EUR/MT CO,) €140 €120
Slide 11: Green Steel Transition Underway
GREEN STEEL TRANSITION UNDERWAY CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF NEW EAF CAPACITY TO INCREASE DEMAND FOR DRI > The steel industry is transitioning from Blast Furnaces (BF) to Electric Arc Furnaces (EAF) to reduce emissions > Direct Reduced Iron (DRI) is a high Fe, low residual met
Slide 12: DRI Growth Compares Favourably with Other Metals
DRI GROWTH COMPARES FAVOURABLY WITH OTHER METALS CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX : CIAFF AN EXPECTED TRANSITION FOR THE STEEL INDUSTRY WILL INCREASE DEMAND FOR DRI Metal Demand Growth by 2050 Expected by a Global Energy Transition (AET 2.0c Scenario)! Copper [7% Aluminum I] 3% Molybdenu
Slide 13: Bloom Lake's Market Leading Products
BLOOM LAKE’S MARKET LEADING PRODUCTS CHAMPION IRON 21 TSX: CIA | ASX: CIA | OTCOX : CIAFF SINTER FEED SINTER FEED om AVERAGE FE % AVERAGE GANGUE % 63.9% 62.9% a 61.9% 1998 2010 2019 1998 2010 2019 =Silica =Alumina SUMMARY OF IRON CONTENT AND GANGUE CONTENT Volumes primarily r=) Volumes primarily fro
Slide 14: 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 15: Producing with a Low Emission Footprint
PRODUCING WITH A LOW EMISSION FOOTPRINT CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF Kg of CO2 emitted per tonne of iran are praduced (scope 3°) 1, Scope 1 figure for cale ‘ce: Wood Mackenzie 2 Canadian Iron Ore Production is Advantaged by > Significant hydropower generation capacity > Direct
Slide 16: Recent Results
CHAMPION IRON CHAMPION IRON 2te | RECENT RESULT a" TSX: CIA | ASX: CIA | OTCOX : CIAFF
Slide 17: Setting New Production Records at Bloom Lake
SETTING NEW PRODUCTION RECORDS AT BLOOM LAKE CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF BLOOM LAKE PRODUCTION HISTORY > Post FY2022 results: Record iron ore concentrate (MILLION WMT/YEAR) production of 5.1M wmt in H1/FY2023, positively impacted by the commissioning of the Phase I! w a |e 14
Slide 18: Proven Cost Structure
CHAMPION IRON 2 PROVEN COST STRUCTURE TSX: CIA | ASX: CIA | OTCQX : CIAFE TOTAL CASH COST? 140 VALUE-IN-USE ADJUSTED IRON ORE COST CURVE $100 (C$/DMT) (CFR, 62% FE FINES EQUIVALENT) oo $50. - onal $0 2014 2015 2016 = 2017_-FY20191 FY2020 FY2021 FY2022 PREVIOUS OWNERS CHAMPION IRON & 2s0 500 750 1000
Slide 19: Historical Financial Results
HISTORICAL FINANCIAL RESULTS CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF > Post FY2022 results: H1-2023 reported EBITDA! and => ‘Balance sheet positioned for growth as of Sept 30", 2022 adjusted EPS! of $179.3M and $0.16, respectively $277.4M Cash & S-T investments EBITDA (C$M) + $138.9M Wor
Slide 20: Product Development and Growth Initiatives
PRODUCT DEVELOPMENT CHAMPION IRON 23 AND GROWTH INITIATIVES iA | OTCOX
Slide 21: Growth Opportunities
GROWTH OPPORTUNITIES CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCQX : CIAFF. OPERATING STUDY DEVELOPMENT “ g BLOOM LAKE BLOOM LAKE KAMI PROJECT FIRE LAKE NORTH PHASE | PHASE II 7.8 MTPAt 9.3 MTPAt 7.4 MTPA 15 MTPAt CONSOLIDATED FIRE LAKE NORTH MOIRE LAKE QUINTO LAC LAMELEE SOUTH HARVEY TUTTLE O'KEEFE P
Slide 22: Phase II - Significant Milestone
PHASE II - SIGNIFICANT MILESTONE CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX : CIAFF > >US$1.6B project initiated in 2011 by Bloom Lake’s previous owner and expected to double Bloom Lake’s nameplate capacity +> Commissioning of the Phase II expansion project achieved ahead of the previously anticip
Slide 23: Phase II - Ramping-up as Scheduled
PHASE II - RAMPING-UP AS SCHEDULED CHAMPION IRON 2a Phase Il project’s cumulative production as of Q2/FY23 compares favourably to the scheduled ramp-up production assumptions Last major on-site work program related to the Phase II equipment has been completed in Q2/FY23 and commissioning activities
Slide 24: Robust Growth Pipeline
ROBUST GROWTH PIPELINE CHAMPION IRON 24 > In addition to significant regional reserves and resources and a partnership to develop a cold pelletizing technology, Champion is currently studying three organic growth projects > Study evaluating the > Revising the Kami project's > In partnership with an
Slide 25: Rising DR Pellet Premiums
RISING DR PELLET PREMIUMS CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX : CIAFF. > Recent economic cycles demonstrate lower volatility for DR pellet premiums compared to iron ore index prices (P62 & P65) > Rising demand and limited supply for DR products resulted in rising DR pellet premiums currentl
Slide 26: A Global Scale Opportunity
A GLOBAL SCALE OPPORTUNITY CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX : CIAFF REGIONAL ADVANTAGES & OPPORTUNITIES Sticbury Hie oes > Champion controls 7 iron rich properties within 60 kilometres of the i nh Bloom Lake Mine Penguin Lake — o» > Assets located in a proven iron ore operating region in
Slide 27: Growing Industry Lack of Development Capital
GROWING INDUSTRY LACK OF DEVELOPMENT CAPITAL CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX : CIAFF. > Globally steel output is rising faster than iron ore supply in major hubs CHINA TOTAL CRUDE STEEL OUTPUT 5- YEAR (10,000 TONS) 10,000 5,000 10,000 TONS 10-2017 10-2018 10-2019 10-2020 10-2021 10-2022
Slide 28: Our People Are Our Most Valuable Asset
OUR PEOPLE ARE OUR MOST VALUABLE ASSET CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCQX : CIAFF. CREATING A POSITIVE IMPACT FOR LOCAL COMMUNITIES WITH OUR EXPERTISE, ROBUST CULTURE AND VALUES ® PRIDE ata INGENUITY SY RESPECT >) TRANSPARENCY Gd Gd Upholding our values & LY sg for a sustainable future 28
Slide 29: Thank You!
THANK YOU! persed see” Contact.us for more'informati Michael Marcotte, CFA " Senior Vice-President - Corporate Development and Capital Markets info(@championiron.com. 514-316-4858
Slide 30: Additional Material
ADDITIONAL MATERIAL CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF
Slide 31: Green Steel Value Chain Pricing
GREEN STEEL VALUE CHAIN PRICING CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCOX : CIAFF Material value captures in the steel value chain occurs between pellet and HBI as well as the HRC stage 2021 AVERAGE REALIZED PRICES ACROSS THE VALUE CHAIN (USD/T CFR CHINA) A +71% $253 $815 $68 La $475 ees iz A+30%
Slide 32: Company Projects Mineral Resources & Reserves
COMPANY PROJECTS MINERAL RESOURCES & RESERVES CHAMPION IRON 2 TSX: CIA | ASX: CIA | OTCOX : CIAFF PROPERTY CHAMPION IRON LIMITED - MINERAL RESOURCES (MILLION ORY METRIC TONNES) orcaTeD ‘ROUP MEASURED Mt Mt Fo MEAS + IND Foe INFERRED Mt SOURCE Elcom Lake Phase l proven and probable reserves are based
Slide 33: Appendix - Notes on Historical Estimates
APPENDIX CHAMPION IRON 24 TSX: CIA | ASX: CIA | OTCQX : CIAFF. NOTES ON HISTORICAL ESTIMATES USED IN THE PRESENTATION 1, The historical Kami Project resource estimates are based an the Nationalinstrument 43-101 technical report entited “Feasibility Study of the Rose Deposit and Resource Estimate for