Slide 1: Julimar – the start of a new Ni-Cu-PGE province in Western Australia
ASX: CHN | OTCQB: CGMLF Julimar – the start of a new Ni-Cu-PGE province in Western Australia Institutional Capital Raise Presentation 24 May 2022 Not for release to US wire services or distribution in the United States
Slide 2: Forward looking statements, disclaimers and additional disclosures
Forward looking statements, disclaimers and additional disclosures Disclaimer Not an offer This investor presentation (“Presentation”) is dated 24 May 2022 and has been prepared by Chalice Mining This Presentation is not an offer or an invitation to acquire New Shares of the Company or any other fin
Slide 3: Forward looking statements, disclaimers and additional disclosures
Forward looking statements, disclaimers and additional disclosures JORC Code The Limited Parties make no recommendation as to whether any investor or potential investor should participate It is a requirement of the ASX Listing Rules that the reporting of ore reserves and mineral resources in Austral
Slide 4: Chalice – a globally recognised name in mineral exploration
A team with an Chalice – a globally exceptional track recognised name in record of finding and mineral exploration defining mines and rewarding shareholders We work to create High-performance, sustained value for results driven culture shareholders and (discovery DNA) stakeholders 4
Slide 5: A tier-1 scale, pit-constrained PGE-Ni-Cu-Co sulphide resource
A tier-1 scale, pit-constrained PGE-Ni-Cu-Co sulphide resource (9 Nov 2021): 330Mt @ ~0.58% NiEq or ~1.6g/t PdEq1 for • One of the largest greenfield PGE-Ni-Cu-Co sulphide discoveries in recent history equivalent to ~1.9Mt NiEq or ~17Moz PdEq • Metals essential for green technologies like catalytic
Slide 6: Chalice has consistently delivered on its ambitions since the Julimar discovery
Chalice has consistently delivered on its ambitions since the Julimar discovery in March 2020 ✓ Province defining new discovery in March 2020 followed by a significant expansion of tenure (~8,000km2) across the new West Yilgarn Ni-Cu-PGE Province ✓ Rapid drill-out to define a maiden Mineral Resource
Slide 7: Chalice is undertaking an institutional placement to raise A$100 million
Chalice is undertaking an institutional placement to raise A$100 million to fund further exploration and studies over the next ~18 months Placement • Chalice is conducting an institutional placement of ~16.7 million fully paid ordinary shares to raise approximately A$100 million (“Placement”) • The
Slide 8: Proceeds from the Placement will be used to expand exploration and advance the PFS
Proceeds from the Placement will be used to expand exploration activities and advance the Gonneville Pre-Feasibility Study Raising provides Chalice with ~18 months of funding for continued Sources of Funds (A$M) exploration at Julimar and across the West Yilgarn, as well as substantially advancing t
Slide 9: Timetable and pro-forma capital structure
Timetable and pro-forma capital structure Indicative Timetable1 Pro-forma financial impact and capital structure Event Date Shares on Issue (M) Cash at Bank (A$M) Trading halt 10:00am AEST 24 May 2022 30 April 2022 (unaudited) 355.0 49.0 Trading halt lifted and announcement 25 May 2022 Placement 16.
Slide 10: Julimar Nickel-Copper-PGE Project
Julimar Nickel- Copper-PGE Project
Slide 11: Julimar is a province-defining new greenfield discovery
Julimar is a province-defining new greenfield discovery in the world’s premier mining jurisdiction First drill hole discovery in March 2020: Greenfield project staked in 25m @ 8.5g/t Pd, 0.9g/t Pt, 0.1g/t Au, early 2018 (100% owned) 2.0% Ni, 0.9% Cu, 0.11% Co from 46m Maiden resource for Gonneville
Slide 12: Chalice is building a world-class 'green metals' portfolio in Australia
Chalice is building a world-class ‘green metals’ portfolio in Australia Platinum and Palladium Highly versatile but rare metals used to remove nitrogen oxides (NOx) from exhausts/hydrogen/ammonia streams (NOx are 300x more potent than CO2 as a greenhouse gas), and facilitate green hydrogen productio
Slide 13: Julimar is capturing attention as a strategic asset
Julimar is capturing attention as a strategic asset for Australia and the western world, given its rare palladium-nickel-cobalt content Julimar is the first major PGE discovery in Global Palladium Primary Supply Market Share 2022 Australia and one of the few recent large-scale Russia also Ni-Cu-PGE
Slide 14: Platinum and Palladium are essential in every stage of the hydrogen value chain
Platinum and Palladium are essential in every stage of the hydrogen value chain, a critical solution to achieving net-zero carbon emissions Production Transport and Storage Utilisation Green hydrogen produced by electrolysis of Long-term storage and transport of green Green hydrogen ideal for use in
Slide 15: The hydrogen economy has the potential to underpin long term PGE demand
The rapidly growing and increasingly adopted hydrogen economy has the potential to underpin long term PGE demand Current primary supply of Pt and Pd is ~16Moz Estimated Annual Pt and Pd Demand from Hydrogen (Moz) p.a. Pd is in prolonged deficit while Pt in surplus Electrolysers Light FCEVs Heavy FCE
Slide 16: Battery manufacturers increasingly reliant on high carbon intensity nickel
Battery manufacturers are becoming increasingly reliant on high carbon intensity nickel – a unique opportunity for Julimar Battery-grade nickel consumers forecast to Estimated avg carbon intensity of nickel sources (kgCO2 eq. per kg Ni) become heavily reliant on supply sources that do not meet susta
Slide 17: Community and Environment
The Julimar Project has the potential to deliver significant economic benefits and Chalice is committed to strong environmental stewardship Exploring in the Julimar State Forest Strong environmental stewardship: under a Conservation Management • Comprehensive program of baseline Plan using small-foo
Slide 18: Gonneville is a tier-1 scale, pit-constrained, strategic green metals Resource
Gonneville is a tier-1 scale, pit-constrained, strategic green metals Resource with high-grade optionality and compelling growth potential 3D view (looking ENE) of Gonneville Resource domains and pit shell Maiden Indicated and Inferred Mineral Resource Estimate1: • 330Mt @ 0.94g/t Pd+Pt+Au (3E), 0.1
Slide 19: The Resource includes a significant high-grade sulphide component in-pit
The Resource includes a significant high-grade sulphide component in-pit, starting from a depth of ~30m 3D view (looking NE) of Gonneville high-grade sulphide Resource domains (>0.6% NiEq) and pit shell High-grade sulphide component of Resource1, reported above a 0.60% NiEq cut-off grade: • 74Mt @ 1
Slide 20: The host Gonneville Intrusion is ~600m thick
The host Gonneville Intrusion is ~600m thick and high-grade mineralisation is already demonstrated ~400m beyond the Resource pit shell 20
Slide 21: The Deposit remains open down-dip and along strike to the north
The Deposit remains open down-dip and along strike to the north, with ongoing drilling demonstrating potential for material growth 21
Slide 22: Gonneville covers just 2km of the >30km long Julimar Complex
Gonneville covers just 2km of the >30km long Julimar Complex – the upside to the north has the potential transform the project 3D view (looking NW) of the Julimar Complex (airborne EM) and the Gonneville Deposit WA Flinders Target (untested) • Large coincident Mag-AEM anomaly Baudin Target (untested
Slide 23: Approvals in place for drilling of the Hartog-Dampier targets
Approvals in place for drilling of the Hartog-Dampier targets – initial results indicate a mineralised mafic-ultramafic system • 8 of ~70 sites drilled to date at lower priority targets (due to previous access constraints) within the Hartog area • Several narrow intervals of ortho-magmatic nickel-co
Slide 24: Preliminary met testwork shows high Pd-Pt-Ni-Cu-Co recoveries
Preliminary met testwork shows high Pd-Pt-Ni-Cu-Co recoveries into two commercially attractive concentrates using conventional flotation Simplified sequential flotation process for high-grade sulphide mineralisation Metal Expected Recovery (%) Rougher & Rougher & Crush & grind cleaner cleaner Copper
Slide 25: The Julimar discovery has kick-started the new West Yilgarn Ni-Cu-PGE Province
The Julimar discovery has kick-started the new West Yilgarn Ni-Cu-PGE Province, which could deliver more major discoveries • Many of the ‘giant’ ortho-magmatic nickel-copper-PGE Narryer sulphide deposits such as Norilsk, Jinchuan, Thompson and Burtville Terrane Voisey’s Bay are located proximal to t
Slide 26: Drilling at Hartog and Gonneville update represent upcoming milestones
Drilling at Hartog and the Gonneville updated resource and Scoping Study represent significant upcoming milestones Q2 CY22 Q3 CY22 Q4 CY22 Q1 CY23 Julimar Complex exploration Access approvals Hartog-Dampier targets All approvals secured for Hartog-Dampier drilling Initial diamond drilling at Hartog-
Slide 27: Highlights
Highlights New world class, strategic, ‘green metals’ Resource in Western Australia Significant exploration upside at Julimar and in the new West Yilgarn Ni-Cu-PGE Province High performance team with an excellent track record 27
Slide 28: Julimar Nickel-Copper-PGE Project – Appendix
Julimar Nickel- Copper-PGE Project Appendix
Slide 29: Interactive 3D Model & Video: Take a tour of Julimar
Interactive 3D Model & Video: Take a tour of our globally significant Julimar Ni-Cu-PGE Project in Western Australia https://inventum3d.com/c/chalicemining https://youtu.be/2oq3Y4Dfu4g 29
Slide 30: Gonneville maiden Mineral Resource Estimate (JORC Code 2012)
Gonneville maiden Mineral Resource Estimate (JORC Code 2012), 9 Nov 2021 Cut-off Domain Category Mass Grade Contained Metal Grade Pd Pt Au Ni Cu Co NiEq PdEq Pd Pt Au Ni Cu Co NiEq PdEq (Mt) (g/t) (g/t) (g/t) (%) (%) (%) (%) (g/t) (Moz) (Moz) (Moz) (kt) (kt) (kt) (kt) (Moz) Indicated 0.9g/t Oxide In
Slide 31: Higher-grade sulphide component of Gonneville Resource
Higher-grade sulphide component of Gonneville Resource, 9 Nov 2021 Cut-off Domain Category Mass Grade Contained Metal Grade Pd Pt Au Ni Cu Co NiEq PdEq Pd Pt Au Ni Cu Co NiEq PdE q (Mt) (g/t) (g/t) (g/t) (%) (%) (%) (%) (g/t) (Moz) (Moz) (Moz) (kt) (kt) (kt) (kt) (Moz) Indicated 1.8 1.2 0.28 0.05 0.
Slide 32: Metal Equivalent Assumptions of Gonneville Resource
Metal Equivalent Assumptions of Gonneville Resource, 9 Nov 2021 Sulphide domain intercepts and resource figures are quoted using a nickel equivalent (NiEq) and palladium equivalent (PdEq) cut-off grades. No metal equivalent is used for the oxide domain. Based on limited metallurgical testwork comple
Slide 33: Flat grade-tonnage curve highlights high-grade component
Flat grade-tonnage curve highlights the significant high-grade component – providing the project with development optionality 500 2.5 450 450 2.1 410 2.1 2.0 400 1.9 2.0 1.8 1.8 1.7 350 330 1.6 1.6 1.5 1.5 1.4 Grade (NiEq %) 300 1.5 1.3 Mass (Mt) 1.3 250 1.2 220 1.1 1.0 200 0.9 1.0 0.8 150 0.7 0.6 0
Slide 34: Gonneville Resource classification
Gonneville Resource classification 3D view (looking NE) of Gonneville Resource sulphide domains by classification 34
Slide 35: Long Term PGE Demand Forecast: Supporting Assumptions & Calculations
Long Term PGE Demand Forecast: Supporting Assumptions & Calculations The long term PGE demand impact from the Hydrogen economy have been generated by Company analysis using assumptions and forecasts that have been informed by recent third party research. The assumptions used below relate to the year
Slide 36: The Chalice Story
The Chalice Story Appendix
Slide 37: Corporate Snapshot (prior to the raising)
Corporate Snapshot (prior to the raising) Top Shareholders1 Capital Structure and Financials Tim Goyder Founder in 2006 Equity listings 11% Shares out. 355M Market capitalisation ASX: CHN Shares (F/D) 361M ~A$2.4Bn (@ A$6.67 ps)3 OTCQB: CGMLF 47% Retail & HNWI Debt Cash2 Cash & Investments2 42% nil
Slide 38: Growing organisational capability
Growing organisational capability Board of Directors Management Richard Hacker, CFO Derek La Ferla, Chairman • Chartered Accountant with 20+ years experience in junior company • Highly regarded ASX200 chair and company director with 30+ years financing, corporate and commercial management experience
Slide 39: Chalice ~4,000% TSR since the Julimar discovery
Chalice has been one of the standout performers in the sector, with a ~4,000% TSR since the Julimar discovery in March 2020 Drilling commences 12.00 Inclusion in at Hartog S&P/ASX200 ~1.9Mt NiEq or ~17Moz PdEq Maiden Resource at Julimar 10.00 Large EM-soil anomalies at Hartog 8.00 Inclusion in $30M
Slide 40: Since our 2006 IPO, we have acquired quality assets and advanced projects quickly
COMPANY HISTORY Since our 2006 IPO, we have acquired quality assets, advanced projects quickly and generated >A$110M in after-tax proceeds1 from asset sales 2012 2020 Zara Gold Project in Major PGE-NI- Eritrea sold for Cu-Co-Au 2006 ~US$114M (pre-tax) discovery at 2016 $7.5M raised in IPO Julimar Pr
Slide 41: Key risks and international jurisdictions
Key risks and international jurisdictions Appendix
Slide 42: Key risks
Key risks This section identifies the areas that the directors regard as the major risks associated with an investment in the Company. Investors should be aware that an investment in the Company involves many risks, many of which are outside of the control of the Company and its directors. There are
Slide 43: Key risks (cont'd)
Key risks (cont’d) Exploration risk Mineral exploration by its nature is a high-risk activity and there can be no guarantee of exploration success on the Company’s projects. There can be no assurance that exploration of the tenements, or any other tenements that may be acquired in the future, will r
Slide 44: Key risks (cont'd)
Key risks (cont’d) Development and mining Ultimate and continuous success of the Company’s activities is dependent on numerous factors including: risk • determination of Mineral Resources (with the maiden Mineral Resource for the Gonneville PGE-Ni-Cu-Co-Au discovery at the Julimar Project having bee
Slide 45: Key risks (cont'd)
Key risks (cont’d) Tenure risk Interests in tenements in Australia are governed by state legislation and are evidenced by the granting of licenses or leases. Each license or lease is for a specific term and has annual expenditure and reporting commitments, together with other conditions requiring co
Slide 46: Key risks (cont'd)
Key risks (cont’d) Climate change risk Climate change is a risk the Company has considered, particularly related to its operations in the mining industry. The climate change risks particularly attributable to the Company include: • the emergence of new or expanded regulations associated with the tra
Slide 47: Key risks (cont'd)
Key risks (cont’d) New projects and The Company may make acquisitions of new resource projects in the future. The maintenance of a pipeline of discovery opportunities to complement acquisitions the Company’s existing portfolio remains a key aspect of the Company’s business. There can be no guarantee
Slide 48: Key risks (cont'd)
Key risks (cont’d) Economic risk Changes in both Australian and world economic conditions may adversely affect the financial performance of the Company. Factors such as inflation, currency fluctuations, interest rates, industrial disruption and economic growth may impact on future operations and ear
Slide 49: International Offer restrictions
International Offer restrictions This document does not constitute an offer of new ordinary shares ("New Shares") of the Company in any jurisdiction in which it Hong Kong would be unlawful. In particular, this document may not be distributed to any person, and the New Shares may not be offered WARNI
Slide 50: International Offer restrictions (cont'd)
International Offer restrictions (cont’d) Switzerland The New Shares may not be publicly offered in Switzerland and will not be listed on the SIX Swiss Exchange or on any other stock United States exchange or regulated trading facility in Switzerland. Neither this document nor any other offering or
Slide 51: ABN 47 1 16 648 956 Level 3, 46 Colin Street West Perth WA
ABN 47 1 16 648 956 Level 3, 46 Colin Street West Perth WA 6005, Australia +61 8 9322 3960 info@chalicemining.com www.chalicemining.com chalice-mining @ChaliceMining