Giga Metals Corporation · TSXV:GIGA
Giga Metals — Investor Presentation (June 2022)
30 slides from Giga Metals's investor presentation, Jun 9, 2022
Slide 1: Battery Metals for a Clean Energy Future
TSX.V: GIGA | OTCQX: HNCKF | FSE: BRR2 Battery Metals for a Clean Energy Future June 9, 2022 www.gigametals.com
Slide 2: Disclaimer
Disclaimer This presentation (“Presentation”) is being issued by Giga Metals Corporation (the “Company” or “Giga Metals”) for information purposes only. Reliance on this Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all o
Slide 3: About Giga Metals
About Giga Metals Giga Metals is a TSX.V & OTCQX listed junior mining company World is in critical need of nickel to meet global battery demand Objective: build a 35+ year operation, averaging 33,000 t/y nickel Owns 100% of the Turnagain nickel and cobalt deposit Seeking strategic partners to advanc
Slide 4: Located in an Attractive Mining Jurisdiction
Located in an Attractive Mining Jurisdiction § Strong ESG practices § Access to a deep-water Pacific port and North American rail Base map from BC Ministry of Transport and Infrastructure 4
Slide 5: Project Highlights
Project Highlights SIMPLE FLOWSHEET Crush – grind – froth flotation MEASURED & INDICATED 2.36 Mt Ni (5B lb), 141 kt Co HIGH-GRADE CONCENTRATE GRADE: 0.22% Ni, 0.013% Co Traditional processing or direct leaching INFERRED 2.48 Mt Ni (5B lb), 148 kt Co CARBON SEQUESTRATION GRADE: 0.22% Ni, 0.013% Co Re
Slide 6: PEA Summary
PEA Summary PRODUCTION HIGHLIGHTS 33,000 t/y Ni 18% Ni, 1% Co < 2.5 t CO2e/t Ni Average output LOM High-grade nickel sulphide in concentrate, low carbon footprint concentrate ECONOMIC HIGHLIGHTS US $1.4B US $0.5B US$2.81/lb. Ni Phase 1 Capital Cost Phase 2 Capital Cost Net operating cost average, in
Slide 7: Canadian Projects Comparison
Canadian Projects Comparison Project Turnagain Dumont Crawford Baptiste Study Status and Effective Date PEA – Nov 2020 Feasibility – Jul 2019 PEA – May 2021 PEA – Sep 2020 Recovered Ni - LOM 0.11% 0.12% 0.09% 0.10% Sale to Sale to or tolling by Sale to Sale to Proposed Product Destination sulphide s
Slide 8: Plans & Catalysts
Plans & Catalysts 2022 2024 2027-2028 2028-2055 Update resource model Feasibility Study Startup LOM Production average 33,000 t/y Ni Update metallurgical test work 1,800 t/y Co Conduct early optimization studies Environmental Assessment Acquire remaining geotechnical data PFS Engineering Goal: compl
Slide 9: 18% Ni Concentrate Product
18% Ni Concentrate Product Average of 5 Locked- § Multiple testwork campaigns: 15 to 21% Ni.1 Cycle Tests1 Ni 19.7% § Low impurities such as arsenic, mercury, cadmium Co 1.2% § Suitable for PEA Base Case – smelting Cu 0.46% § Suitable for direct pressure oxidation to produce Fe 32% refined nickel en
Slide 10: Mixed Hydroxide Precipitate (MHP)
Mixed Hydroxide Precipitate (MHP) Typical MHP Composition1 § MHP is a chemical form of nickel that is in extremely high demand from battery makers today § Testwork has proven that Turnagain concentrate is suitable for processing to MHP § Turnagain MHP quality is superior to currently available comme
Slide 11: Modern Tailings Management
Modern Tailings Management Efficient valley location minimizes dam construction Dam construction by centerline method, constructed from inert quarried rock or mined waste hard rock Tailings to be sub-aerial (dry beach), allowing mineral carbonation Low seismic risk Relatively low precipitation (~0.6
Slide 12: Turnagain Tailings Management Facility
Turnagain Tailings Management Facility Per Turnagain PEA (effective date Oct 28, 2020). 12
Slide 13: Nickel Prices are Historically Volatile
Nickel Prices are Historically Volatile § Orange line represents nominal dollars § Black line represents current dollars inflated to 2021 using compounded inflation. 13
Slide 14: Class One Nickel Market is Getting Tight
Class One Nickel Market is Getting Tight 14
Slide 15: Batteries Are Now Second Largest Use of Nickel
Batteries Are Now Second Largest Use of Nickel GLOBAL NICKEL CONSUMPTION BY FIRST USE § Batteries consumed around 2017 2021 Total market: 2.15mt Total market: 2.85mt 360kt of primary nickel in 2021, up from 200kt in 2020 Batteries Batteries 13% 5% All Other Uses 22% All Other Uses Stainless 18% Stai
Slide 16: Li-ion Batteries - the Fastest Growing Source of Demand for Nickel
Li-ion Batteries - the Fastest Growing Source of Demand for Nickel 1.5 to 2.5 Mt/y1 North American Nickel Demand of new battery-grade nickel could be required globally by 2040 for lithium-ion batteries alone. Expected nickel 40-70 consumption, fresh & recycled (kt/y) new large mines would be needed
Slide 17: Battery Projects in North America
Battery Projects in North America § The supply chain for new giga factories is not yet resolved § 250,000 to 450,000 t/y of new nickel supply is needed to feed announced battery projects in North America alone § Actual demand depends on chemistry evolution and further project announcements Source: C
Slide 18: Nickel Operations in North America
Nickel Operations in North America § Canada has nickel mines, smelters, and refineries. RAGLAN, NUNAVIK (Mines) § Most current global VOISEY’S BAY production is unsuitable (Mine) for batteries. COREFCO (Refinery) LONG HARBOUR § New mines and processing (Refinery) are needed to make the right THOMPSO
Slide 19: Nickel Projects in North America
Nickel Projects in North America § Turnagain is the largest GIGA METALS 33 kt/year SILVER ELEPHANT potential project in Class 1, Battery-Grade 11 kt/year North America targeting battery-grade nickel FPX NICKEL 44 kt/year NORONT supply. Class 2, Stainless Steel 15 kt/year § To date, other large GRID
Slide 20: Nickel Price Sensitivity Analysis
Nickel Price Sensitivity Analysis § PEA Base Case nickel price of $7.50/pound § Post-tax NPV of -$443M § Skewed nickel price distributions result in larger upside benefit than downside risk § 10th, 25th, 50th, 75th, 90th percentile pricing reflected Derived from internal analysis using Turnagain PEA
Slide 21: Cumulative Cash Flow Comparison with HPAL
Cumulative Cash Flow Comparison with HPAL PEA Base Case nickel price of $7.50/pound: Turnagain project has a pre-tax IRR of 6.3% and an after-tax IRR of 4.9%. The cash-flow is presented on a pre-tax basis. Turnagain data is derived from the Turnagain PEA (effective date Oct 28, 2020) which includes
Slide 22: Comparison with Laterite Projects
Comparison with Laterite Projects TURNAGAIN PROSPECTIVE LATERITE § Open pit mine in hard rock § Strip mining soft deposits § Deep deposit minimizes mine deforestation § Thin deposits increase mine deforestation § Low erosion potential, pit water used/treated § High erosion potential, river/ocean con
Slide 23: Carbon Intensity of Nickel Processing
Carbon Intensity of Nickel Processing § Sulphide projects have lower carbon intensities § Upgrading of ores to concentrates § Sulphur is a fuel for smelting § Laterite processes treat entire orebody with chemical leaching or smelting è higher carbon intensity IEA, The Role of Critical Minerals in Cl
Slide 24: Emission Intensity of Probable Nickel Projects
Emission Intensity of Probable Nickel Projects Expected CO2 Intensity of Turnagain before sequestration1 1. Turnagain CO2 intensity is for nickel contained in concentrate and not to final refined product, excluding sequestration 24
Slide 25: Carbon Neutrality at Turnagain
Carbon Neutrality at Turnagain Annual Average GHG Emissions § Turnagain tailings will sequester CO2 2.50 (t CO2e/t Ni) 2.24 § Reaction with silicates creates carbonates, 2.00 locking away CO2 for millennia 1.50 § Testing by Dr. Greg Dipple (University of British Columbia) demonstrated stable 1.00 re
Slide 26: Board of Directors
Board of Directors Robert Morris, Director Mr. Morris is a former senior executive with Vale S.A., the largest nickel producer in the world, and most recently as Executive Vice President with global accountability for sales and marketing of Vale's base metals portfolio, Mark Jarvis, CEO, Chairman of
Slide 27: Capital Structure
Capital Structure Trading Symbols TSX.V: GIGA | OTCQX: HNCKF | FSE: BRR2 Capital Structure (March 21, 2022) Shares Outstanding 97,854,128 Total Warrants 28,372,224 Free Trading Warrants GIGA.WT, strike price $0.60, exp. Apr. 23, 2024 13,667,755 Free trading warrants GIGA.WT.A, strike price $0.45, ex
Slide 28: Why Invest In Giga Metals?
Why Invest In Giga Metals? Large deposit: average of 33,000 t/y Ni for 37 years High-grade concentrate for standard processing or pressure oxidation 40-70 new Turnagain-scale projects needed in next 20 years The EV revolution is dead in it’s tracks if we don’t mine more nickel. 28
Slide 29: Where will all the nickel come from?
Where will all the nickel come from? 29
Slide 30: Let's Talk.
Let’s Talk. Visit us: www.gigametals.com Email: hmillar@gigametals.com Call: +1 (604) 681-2300 Suite 203 – 700 West Pender Street Vancouver, British Columbia Canada, V6C 1G8 TSX.V: GIGA | OTCQX: HNCKF | FSE: BRR2