Slide 1: Corporate Update Q2 2022
TSX-V MOX Donkin headland in foreground Corporate Update Q2 2022
Slide 2: Forward Looking Statements
Forward Looking Statements Some of the statements made by Morien Resources Corp. Financial Statements, Management’s Discussion and exchange for the currencies of Canada and the United (“Morien”) in this presentation may constitute "forward- Analyses, and Annual Information Form, filed with the State
Slide 3: Corporate Snapshot (as of 01/04/22)
Corporate Snapshot (as of 01/04/22) Capital Structure Ownership Summary Basic shares outstanding 50.5 mln Share price $0.30/share Morien Management & Directors 14% 12% The Cline Group Market capitalization $15 mln Retail Options 4.2 mln Warrants nil Fully diluted shares outstanding 54.8 mln Working
Slide 4: Morien: A Mining Royalty Company With Three Pillars
Morien: A Mining Royalty Company With Three Pillars Donkin Coal Mine Black Point Aggregate Capital Allocation Royalty Project Royalty Strategy § 2% to 4% royalty § Per-tonne royalty (undisclosed) § Strong cash position with low overhead costs § >C$250 mln spent on mine § Permitted and awaiting devel
Slide 5: Since Donkin was Idled…
Since Donkin was Idled… Corporate overheads down 17% Shares outstanding down Steel coal up 5x to $460/t & ($108k) 3.5% (1.8 mln) Thermal coal up 7x to $270/t 1 ($ 000) Millions Per Tonne $700 50 $500 2020 Low Point $450 $600 Mar 28, 2022 40 $400 $500 $350 30 $300 $400 $250 $300 20 $200 $200 $150 10
Slide 6: Donkin Mine
Donkin Mine www.morienres.com | TSX-V: MOX Page | 6
Slide 7: Donkin Mine Snapshot
Donkin Mine Snapshot Kameron Collieries Owner / Operator (subsidiary of The Cline Group) > CAD $250 mln Kameron’s approximate investment into Donkin since 2015 2 484 mln tonnes Coal resource 3 25+ years Approximate mine life 3 3.0 mln tonnes Permitted annual sales volume (3.75 mln tonnes run-of-mine
Slide 8: Donkin Mine Update
Donkin Mine Update § In operation from 2017 to 2020. § In March 2020, Kameron announced it had ceased production operations due to “adverse geological conditions”. § Kameron stated - “the mine will not be sealed but maintained by a small staff to ventilate and keep the facility dewatered”. § Mining
Slide 9: Morien’s Current Focus and Strategy
Morien’s Current Focus and Strategy § Dedicate significant resources to advocating for conditions that are favorable to restarting operations at the Donkin Mine and reducing, where possible, potential barriers to such a restart; § These efforts, which have targeted local and regional government offi
Slide 10: Now Is The Time
NOW IS THE TIME “ The uncomplicated truth is that the Donkin Mine could turn a profit by exporting steelmaking coal into overseas markets without interfering with Nova Scotia’s renewable energy plans. They’re putting other countries’ money into our economy, while creating a lot “ of high-paying jobs
Slide 11: A Tale of Two Coals
A TALE OF TWO COALS Coal is divided into Steel, and the metallurgical coal two types; metallurgical and used to produce it, has thermal. They are two completely an important role to play in all different products supplying types of infrastructure entirely different industries; development, including
Slide 12: Safety First
Neil MacKinnon, left, spent SAFETY FIRST 25 years working as a miner with the Cape Breton Development Corporation and 8 years working underground at the Donkin Mine. “ I've worked underground in coal mines for over three decades, and I can tell you there were no safety issues John Matheson, right, w
Slide 13: The Mine could contribute over $15 million per year in payroll
“ The Mine could contribute over $15 million per year in payroll, before bonus’ and overtime, making “ Donkin one of the highest paying employers in Nova Scotia. Bob Fraser Co-owner & President at Gardner Pinfold Gardner Pinfold is a Halifax- based economic consultancy founded in 1979. Here, Bob is
Slide 14: First Nation Partners
First Nation Partners § In 2016, representatives of the Assembly of Nova Scotia Mi’kmaq Chiefs and the owners of the Donkin Mine gathered in Cape Breton to sign a historical Impact Benefits Agreement (see photo to right). § As a result, all Nova Scotia Mi’kmaq communities own a royalty on the Donkin
Slide 15: Easy Access to Export Markets
Easy Access to Export Markets § The Provincial Energy Ventures (PEV) Export Terminal, located in Sydney Harbour, is a short, 30 kilometres distance from the Donkin Mine. § Accessible via Kameron’s private, 7.6 kilometre long, private haul road, which by-passes certain communities along the haul rout
Slide 16: Deepening Sydney Harbour
Deepening Sydney Harbour § In Q3 2021 the Canadian Coast Guard announced a $4.5 million project to install new navigational aid lights in Sydney Harbour6. § The aid lights are the last remaining component to making the Harbour accessible to larger, Capesize vessels, since the Canadian Federal govern
Slide 17: Global Coal Market
Global Coal Market www.morienres.com | TSX-V: MOX Page | 17
Slide 18: Global Coal Demand Reaches Highest Level on Record
Global Coal Demand Reaches Highest Level on Record Billion Tonnes Global Coal Demand; 1990 – 2024 7,8 6% Global coal demand, including both steelmaking 8.0 and thermal coal, grew 6% in 2021, reaching the Thermal Coal highest level on record7. Steelmaking Coal 7.0 6.0 8 Bt Global coal demand is forec
Slide 19: Coal Prices Surge
$0 $50 $100 $150 $200 $250 $300 $350 $400 $450 $500 2012-08-01 $ USD / tonne 2012-10-01 2012-12-01 2013-02-01 2013-04-01 2013-06-01 2013-08-01 www.morienres.com 2013-10-01 2013-12-01 | 2014-02-01 2014-04-01 2014-06-01 2014-08-01 2014-10-01 2014-12-01 Coal Prices Surge 2015-02-01 2015-04-01 TSX-V: MO
Slide 20: Steelmaking Coal Market
Steelmaking Coal Market www.morienres.com | TSX-V: MOX Page | 20
Slide 21: Steelmaking Coal Facts (2021 data)
Steelmaking Coal Facts (2021 data) Global Coal Production7 7.9 bln tonnes (includes thermal + steelmaking coal) 1.1 bln tonnes Global Steelmaking Coal Production7 289 mln tonnes Seaborne Steelmaking Coal Demand7 Tonnes of steelmaking coal used to 0.8 tonnes produce each tonne of steel9 A crane lifts
Slide 22: Steelmaking Coal Essential to a Green Transition
Steelmaking Coal Essential to a Green Transition of steelmaking coal is required to produce the 170 tonnes steel in the average wind turbine10. of steelmaking coal is required for every 80 tonnes kilometre of light rail track10. of steelmaking coal is required to produce the 30 tonnes steel in each
Slide 23: Increased Seaborne Steelmaking Coal Demand
Increased Seaborne Steelmaking Coal Demand Global Seaborne Steelmaking Coal § Seaborne steelmaking coal demand totaled 289 mln tonnes in Demand by Type11 2021 and is forecast to reach 390 mln tonnes in 2040 7,11 § Demand is centralized around four themes11: +1.4% 1) Steady growth in India, southeast
Slide 24: Insufficient Steelmaking Coal Supply to Meet Demand
Insufficient Steelmaking Coal Supply to Meet Demand Global Seaborne Steelmaking Coal Supply-Demand Imbalance11 § Several new, exportable steelmaking coal projects will need to be developed as a significant gap opens between seaborne steelmaking coal supply and demand. § As a result of steady growth
Slide 25: Global Seaborne Trade of Steelmaking Coal
Global Seaborne Trade of Steelmaking Coal 11 www.morienres.com | TSX-V: MOX 25
Slide 26: XXXX
“ XXXX Given the overall quality of the target coal seam at Donkin, we feel it will be well received as a blend coal in overseas steelmaking coal markets like Japan, South Korea, and India. Mick Barker Mick is the General Manager of Feasibility Studies for Palaris Australia Pty Ltd., a well-respecte
Slide 27: Thermal Coal Market
Thermal Coal Market www.morienres.com | TSX-V: MOX Page | 27
Slide 28: Thermal Coal Facts
Thermal Coal Facts Thermal coal’s share of the global power Global Electricity Mix (2021) 36% mix12. Natural Gas Thermal 22% Coal Growth in thermal coal demand in 2021; 36% 9% fastest growth since 201112. Anticipated growth in global electricity 3% demand in 202212. Nuclear 10% Thermal coal served m
Slide 29: Global Energy Supply Over the Last Years
Global Energy Supply Over the Last 10 Years Global Energy Consumption by Fuel Type; 2010 to 202013 § Fossil fuel consumption 200 Exajoules/year has provided the bulk of 180 energy growth over the 160 last 10-years as 140 renewables attempt to 120 scale up. 100 80 § Wind and solar alone 60 cannot mee
Slide 30: Global Coal-Fired Power Capacity by Plant Age
Global Coal-Fired Power Capacity by Plant Age Age of the World’s Coal-Fired Power Plants14,15 700 Gigawatts § More than half of the world’s coal 600 power fleet was built in Asia within 500 the last 20 years, allowing many 400 Asian coal plants to continue 300 operating for decades to come. 200 § Th
Slide 31: New Coal-Fired Power Plant Construction
Global Coal-Fired Power Capacity by Plant Age New Coal-Fired Power Plant Construction15 § The World is adding 500 gigawatts of new coal-fired generating capacity, a 25% increase15,16. § China approved the construction of more coal-fired power plants in 2020 than in all of 2018 and 2019 combined15,16
Slide 32: Why Morien?
Why Morien? www.morienres.com | TSX-V: MOX Page | 32
Slide 33: Morien - Own it For These Reasons
Morien - Own it For These Reasons § Event stock with significant share price appreciation potential if the Donkin Mine resumes production § Annual Donkin royalty could be significantly greater than Morien’s current market capitalization at current coal pricing § Long life royalties; 25 years at Donk
Slide 34: Footnotes
Footnotes www.morienres.com | TSX-V: MOX Page | 34
Slide 35: Footnotes
Footnotes 1) Coal pricing data obtained from S&P Global Platts, International Coal Trader 2) Approximation of capital spent at Donkin based on in-person conversations with Donkin mine owners, and on the article - Chris Cline Could Be The Last Coal Tycoon Standing, Forbes, December 2017 3) Technical
Slide 36: TSX-V: MOX
1701 Hollis St, Suite 800 Halifax, N.S. Canada, B3J 3M8 Tel: 902-466-7255 John P. A. Budreski Dawson Brisco Susanne Willett Executive Chairman President & CEO CFO TSX-V: MOX www.MorienRes.com info@morienres.com www.morienres.com | TSX-V: MOX Page | 36