Slide 1: The Elk Creek Superalloy Materials Project
T HE E LK C REEK S UPERALLOY M ATERIALS P ROJECT Advanced Materials Manufacturing
Slide 2: Cautionary Notes and Technical Disclosures
CAUTIONARY NOTES AND TECHNICAL DISCLOSURES TSX: NB | OTCQX: NIOBF Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this document. Certain statements contained in this document may constitute f
Slide 3: Company Overview
COMPANY OVERVIEW TSX: NB | OTCQX: NIOBF NioCorp At A Glance What We Do • NioCorp Developments Ltd. (“NioCorp” or “the Company”) is developing The Elk Creek Project, a very large underground deposit in southeast Nebraska that is rich in Niobium, Scandium and Titanium – superalloy metals that have all
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS TSX: NB | OTCQX: NIOBF Highest-grade primary Niobium resource in North America, and the only such resource under development in the U.S. 1 Additional market opportunities available from a co-product (Scandium) and a byproduct (Titanium). In all, NioCorp will produce three comme
Slide 5: Recent Milestones & Accomplishments
RECENT MILESTONES & ACCOMPLISHMENTS TSX: NB | OTCQX: NIOBF April 2019: NioCorp releases the results of an updated NI-43-101 Feasibility Study, completed as a result of the new mining plan for the Elk Creek project. The 2019 Feasibility Study shows significantly improved economics and forecasted retu
Slide 6: The Elk Creek Project: Updated 2019 Feasibility Study Results
THE ELK CREEK PROJECT: UPDATED 2019 FEASIBILITY STUDY RESULTS 6 Conceptual layout of Elk Creek Processing facility.
Slide 7: Highlights of the New Mining Plan and Feasibility Study Update
HIGHLIGHTS OF THE NEW MINING PLAN AND FEASIBILITY STUDY UPDATE TSX: NB | OTCQX: NIOBF 1 2 3 4 5 A HIGHER IMPROVED MORE LARGER IMPROVED VALUE RETURN ON REVENUE, MINERAL ENVIRONMENTAL RESOURCE PERFORMANCE PROJECT INVESTMENT & FASTER Cumulative Probable Mineral New plan to treat Pre-Tax NPV rises Pre-T
Slide 8: 2019 Elk Creek Feasibility Study Highlights
2019 ELK CREEK FEASIBILITY STUDY HIGHLIGHTS TSX: NB | OTCQX: NIOBF $2.57B 27.3% $2.1B 25.8% Pre-Tax NPV Pre-Tax IRR After-Tax NPV After-Tax IRR $370M 67% $20.8B $9.8B Average EBITDA over Averaged EBITDA margin Gross Revenue Over Cumulative Net Cash Mine Life over Mine Life Mine Life Flow over Mine L
Slide 9: Cumulative Cash Flow: Faster Revenue Generation
Cumulative Cash Flow: Faster Revenue Generation TSX: NB | OTCQX: NIOBF The Elk Creek Project’s new mining plan is to start mining deeper in the deposit, where the ore is richer in the Project’s target minerals. This helps the Project generate more cash on an accelerated basis, which boosts the opera
Slide 10: Projected Revenue & Operating Cash Flow
Projected Revenue & Operating Cash Flow (US$ MILLIONS) TSX: NB | OTCQX: NIOBF The 2019 Feasibility Study shows that the Project is expected to generate gross revenue over the life of mine of $20.8 billion, which is 16.2% higher than the previous Feasibility Study. 10
Slide 11: Elk Creek Project: Operations and Financial Profile
Elk Creek Project: Operations and Financial Profile TSX: NB | OTCQX: NIOBF The following table summarizes assumptions and estimated results from the 2019 Elk Creek Feasibility Study and are based upon 2019 state and federal tax rates. Note that the 2019 Feasibility Study did not factor in inflation
Slide 12: NioCorp and Nordmin Execs Comment on the New Mining Plan
NioCorp and Nordmin Execs Comment on the New Mining Plan TSX: NB | OTCQX: NIOBF Video remarks of Mark Smith, Video remarks of Scott Honan, Video remarks of Chris Dougherty, NioCorp’s CEO and Executive President of Elk Creek Resources Chairman of The Nordmin Group of Chairman Corp. and VP of NioCorp
Slide 13: Detail on New Mine Plan and Feasibility Study Update
DETAIL ON NEW MINE PLAN AND FEASIBILITY STUDY UPDATE 13
Slide 14: The New Elk Creek Project Mining Plan
The New Elk Creek Project Mining Plan TSX: NB | OTCQX: NIOBF Go here to see a video animation showing 3-plus decades of planned mining of critical minerals in NioCorp's proposed Elk Creek Superalloy Materials Project in southeast Nebraska. This animation reflects Nordmin's proposed mining plan that
Slide 15: Updated Mineral Resource & Reserve Estimates
UPDATED MINERAL RESOURCE & RESERVE ESTIMATES TSX: NB | OTCQX: NIOBF The Elk Creek Resource • Probable Reserves of 36.3 million tonnes of ore at 0.81% niobium (Nb2O5), 65.7 grams per tonne (g/mt) scandium (Sc), and 2.86% TiO2. Probable Reserve tonnage has increased 14.7% over the previous estimate. •
Slide 16: Planned Production of Commercial Products
Planned Production of Commercial Products TSX: NB | OTCQX: NIOBF 16
Slide 17: Increased Revenue From Niobium
Increased Revenue From Niobium TSX: NB | OTCQX: NIOBF 17
Slide 18: CAPEX Breakdown (US$ Millions)
CAPEX BREAKDOWN (US$ MILLIONS) TSX: NB | OTCQX: NIOBF 2017 FS vs. 2019 FS: CAPEX Breakdown (US $millions) 2017 FS 2019 FS Change Direct Costs Preproduction CAPEX $71 $83 16.2% Mining CAPEX $179 $257 44% Processing CAPEX (excluding water treatment) $343 $367 7.1% Water management CAPEX $100 $6 -94% W
Slide 19: Initial Capital Spend (US$ Millions)
Initial Capital Spend (US$ MILLIONS) TSX: NB | OTCQX: NIOBF 19
Slide 20: OPEX Breakdown (US$ Millions)
OPEX BREAKDOWN (US$ MILLIONS) TSX: NB | OTCQX: NIOBF 2017 FS vs. 2019 FS: OPEX Breakdown 2017 FS 2019 FS LoM Costs LoM Costs Cost / Tonne Cost / Tonne ($millions) ($millions) LoM Operating Costs Mining Costs $1,244 $39.30 $1,563 $43.04 Processing Costs $3,285 $103.77 $3,875 $106.70 Water Management
Slide 21: Improved Environmental Performance
Improved Environmental Performance Zero Process Liquid Discharge Facility No Wastewater Discharge to the Missouri River Additional Protection of Groundwater Resources Through Artificial Ground Freezing Avoidance of Permanent Impacts to Federally Jurisdictional Waters Recycling of Reagents
Slide 22: Videos on the Elk Creek Project
Videos on the Elk Creek Project TSX: NB | OTCQX: NIOBF NIOCORP’S SCANDIUM SALES U.S. GOVERNMENT’S DESIGNATION THE ROLE OF SUPERALLOYS AND AGREEMENT WITH TRAXYS OF CRITICAL MINERALS THE ELK CREEK PROJECT NioCorp CEO and Executive Chairman Mark NioCorp’s Mark Smith explains in this video the What are
Slide 23: US Perspective: Critical and Strategic Materials
US PERSPECTIVE: CRITICAL AND STRATEGIC MATERIALS TSX: NB | OTCQX: NIOBF Niobium Scandium Titanium Ferroniobium is considered such a Scandium has many uses in defense Titanium has extensive uses in strategic and critical material by the technologies, although few nations land, sea, and aerospace defe
Slide 24: Strong State and Local Support
STRONG STATE AND LOCAL SUPPORT TSX: NB | OTCQX: NIOBF EXTRAORDINARILY BROAD SUPPORT IN NEBRASKA • Project is located exclusively on private land with extensive nearby infrastructure (roads, rail, water, and utilities). • Project enjoys strong community support as well as state and local government s
Slide 25: Highly Experienced Management Team
HIGHLY EXPERIENCED MANAGEMENT TEAM TSX: NB | OTCQX: NIOBF Mark A. Smith Neal Shah Executive Chairman, President and Chief Executive Officer Chief Financial Officer Former President / CEO of Molycorp & Chevron Mining. 20 years of experience with Molycorp, Intel, Boeing and Served on the board o
Slide 26: Project Permitting Update
PROJECT PERMITTING UPDATE GREATLY REDUCED PERMITTING RISK • The Elk Creek Project has already secured the major federal permit required, a 404 permit from the U.S. Army Corps of Engineers under Nationwide Permit 12. • A Section 408 authorization from the U.S. Army Corps of Engineers and its accompan
Slide 27: Our Products and Markets
OuR PRODUCTS AND MARKETS — NioCorp SUPERALLOY MATERIALS
Slide 28: Multiple High-Growth Markets for Our Products
MULTIPLE HIGH-GROWTH MARKETS FOR OUR PRODUCTS MARKETS FOR NIOCORP’S 3 PRODUCTS: Primary Commercial Product: Ferroniobium Co-Product: Scandium Trioxide Byproduct: Titanium Dioxide Steel Mega- Aerospace & Automotive Oil & Gas Shipbuilding Structures Power Generation ` Commercial Advanced High-Strength
Slide 29: Global Macro Trends Driving Demand for Our Products
GLOBAL MACRO TRENDS DRIVING DEMAND FOR OUR PRODUCTS TSX: NB | OTCQX: NIOBF Growing demand for Increasing focus on Emphasis on Global adoption of Higher spending on Ever-growing lighter weight and lighter weight and stronger and lighter increasingly tighter defense systems deployment of clean more fu
Slide 30: Niobium
NIOBIUM TSX: NB | OTCQX: NIOBF NIOCORP PLANS TO PRODUCE FERRONIOBIUM, A COMMERCIAL NIOBIUM PRODUCT USED BY STEEL MANUFACTURERS TO MAKE HIGH STRENGTH, LOW-ALLOY (HSLA) STEEL. Strengthens steel, Vital to many Demand Name Niobium allowing for markets, implies a global Atomic Number 41 lighter structure
Slide 31: Ferroniobium's Use in Global Markets
FERRONIOBIUM’S USE IN GLOBAL MARKETS TSX: NB | OTCQX: NIOBF FERRONIOBIUM IS SOLD INTO A VARIETY OF GLOBAL MARKETS BENEFITS OF Other FERRONIOBIUM WHEN Stainless Steel 9% ADDED TO STEEL: 6% Oil & Gas • $9 of Niobium added to a 16% Steel Mega mid-sized automobile Projects reduces its weight by 100kg, 4
Slide 32: Ferroniobium: Market Share by Producer
FERRONIOBIUM: MARKET SHARE BY PRODUCER TSX: NB | OTCQX: NIOBF ONLY THREE MINES IN THE WORLD ARE MAJOR PRODUCERS OF NIOBIUM Asset Sale: 2016 China Molybdenum (CMOC) purchased Anglo Brazil’s Niobium asset in 2016 for $1.5B, which Asset Sales: 2011 represented 10X of 2015 EBITDA for CMOC (Brazil), CBMM
Slide 33: Trends in Steel Alloy Markets
TRENDS IN STEEL ALLOY MARKETS Recently strengthened rebar standards in China are raising Chinese consumption of vanadium and niobium. Western and Chinese steel producers are shifting some melts towards niobium. These standards, and other factors, have helped to drive up pricing for both of these
Slide 34: Scandium
SCANDIUM TSX: NB | OTCQX: NIOBF NIOCORP PLANS TO PRODUCE SCANDIUM TRIOXIDE, A COMMERCIAL SCANDIUM PRODUCT, AS A CO-PRODUCT OF NIOBIUM PRODUCTION. Major uses Current global With reliable Name Scandium today are in consumption supply, demand Atomic Number 21 Solid Oxide Fuel (10-15 tpa) is forecast to
Slide 35: The Disruptive Potential of Scandium
THE DISRUPTIVE POTENTIAL OF SCANDIUM SCANDIUM IS POISED TO DELIVER TRULY REVOLUTIONARY BENEFITS TO THE COMMERCIAL AVIATION INDUSTRY • A new analysis shows that Scandium-contained aluminum alloys can save airline operators approximately $9 million in net present value for a single B737-sized jetliner
Slide 36: Titanium
TITANIUM TSX: NB | OTCQX: NIOBF NIOCORP PLANS TO PRODUCT TITANIUM DIOXIDE, A COMMERCIAL TITANIUM PRODUCT, AS A BYPRODUCT OF NIOBIUM PRODUCTION. Primarily used Domestic and Name Titanium Also used to make international Atomic Number 22 for pigments in strong, lightweight Element paints, plastics allo
Slide 37: Appendix: The Elk Creek Project Detail
APPENDIX: THE ELK CREEK PROJECT DETAIL 37
Slide 38: Creating Value: Our Process Flow Sheet
CREATING VALUE: OUR PROCESS FLOW SHEET TSX: NB | OTCQX: NIOBF Mined Niobium Material Recovery 2700 mtpd HCl High Pressure Leach Acid Bake Grinding Roll Electric Arc Titanium Furnace Recovery Scandium Recovery PRODUCT: PRODUCT: PRODUCT: Scandium Trioxide Titanium Dioxide Ferroniobium 38
Slide 39: Creating Value: Our Process Flow Sheet
CREATING VALUE: OUR PROCESS FLOW SHEET TSX: NB | OTCQX: NIOBF Mined Niobium Material Recover 2700 mtpd HCl y High Pressure Leach Acid Bake Grinding Roll Electric HCl Arc Regen Titanium Furnace Recover y Scandium Recovery Reagent Regeneration Loop 1 PRODUCT: PRODUCT: PRODUCT: Scandium Trioxide Titani
Slide 40: Creating Value: Our Process Flow Sheet
CREATING VALUE: OUR PROCESS FLOW SHEET TSX: NB | OTCQX: NIOBF Mined Niobium Material Recover 2700 mtpd HCl y Crushing Leach Acid Bake Electric HCl Arc Regen Titanium Furnace Recover y Scandium H2SO4 Recovery H2SO4 Regen Reagent Regeneration Loop 2 PRODUCT: PRODUCT: PRODUCT: Scandium Trioxide Titaniu
Slide 41: FS Layout of the Elk Creek Mineral Processing Plant
FS LAYOUT OF THE ELK CREEK MINERAL PROCESSING PLANT TSX: NB | OTCQX: NIOBF Fine Ore Storage Screen Offices HPGR Emissions Controls 41
Slide 42: FS Layout of the Elk Creek Hydrometallurgical Plant
FS LAYOUT OF THE ELK CREEK HYDROMETALLURGICAL PLANT TSX: NB | OTCQX: NIOBF Acid Bake Acid Recycle Nb and Ti Production HCl Leach Scandium Recovery Emissions Controls 42
Slide 43: FS Layout of the Elk Creek Pyrometallurgical Plant
FS LAYOUT OF THE ELK CREEK PYROMETALLURGICAL PLANT TSX: NB | OTCQX: NIOBF Arc Furnace Feed Bins Emissions Controls FeNb FeNb Packaging Storage Offices 43
Slide 44: Elk Creek Mineral Resource Update: Feb. 19, 2019
Elk Creek Mineral Resource Update: Feb. 19, 2019 TSX: NB | OTCQX: NIOBF February 19, 2019 Mineral Resource Summary February 19, 2019 Mineral Resource Details Parameter Value Unit Tonnage Nb2O5 Containe TiO2 Contained Mining Cost 50.0 US$/mt mined Cut-off NSR Sc Grade Contained Sc Classification (x10
Slide 45: Elk Creek Mineral Reserve Update: Feb. 19, 2019
Elk Creek Mineral Reserve Update: Feb. 19, 2019 TSX: NB | OTCQX: NIOBF February 19, 2019 Mineral Reserve Summary February 19, 2019 Mineral Reserve Details Parameter Value Unit Nb2O5 Contained Payable TiO2 Contained Payable Sc Contained Payable Tonnage Classification Grade Nb2O5 Nb Grade TiO2 TiO2 Gr
Slide 46: Elk Creek Project: Pre-Tax Sensitivity Analysis
Elk Creek Project: Pre-Tax Sensitivity Analysis TSX: NB | OTCQX: NIOBF Pre-Tax NPV & IRR Sensitivity Analysis ($B) Pre-Tax-NPV -30% -25% -20% -15% -10% -5% Base 5% 10% 15% 20% 25% 30% Nb Price $1,947 $2,050 $2,153 $2,256 $2,359 $2,462 $2,564 $2,667 $2,770 $2,873 $2,976 $3,079 $3,182 Sc2O3 Price $1,5
Slide 47: Elk Creek Project: After-Tax Sensitivity Analysis
Elk Creek Project: After-Tax Sensitivity Analysis TSX: NB | OTCQX: NIOBF After-Tax NPV & IRR Sensitivity Analysis ($B) After-Tax-NPV -30% -25% -20% -15% -10% -5% Base 5% 10% 15% 20% 25% 30% Nb Price $1,594 $1,678 $1,763 $1,847 $1,932 $2,016 $2,098 $2,180 $2,262 $2,343 $2,425 $2,506 $2,588 Sc2O3 Pric
Slide 48: Qualified Persons
Qualified Persons TSX: NB | OTCQX: NIOBF The following qualified persons have read and approved the technical information and verified the data contained in those portions of this presentation specific to their area of responsibility: Qualified Person Area of Responsibility Glen Kuntz, P. Geo, Consu
Slide 49: Endnotes
ENDNOTES TSX: NB | OTCQX: NIOBF Non-GAAP Financial Measures: This news release includes certain forward-looking non-GAAP financial measures, including EBITDA and EBITDA Margin. These non-GAAP financial measures are included in this news release because these statistics are key performance measures t
Slide 50: For More Information
For More Information www.NioCorp.com Jim Sims, VP of External Affairs jim.sims@niocorp.com +1 303-503-6203 50