Slide 1: High Grade, Safe Jurisdiction, Solid Partners
High Grade Safe Jurisdiction Solid Partners TRUST | RESPECT | INTEGRITY Capital Event Marketing | Fall 2020 TSX, NYSE | TMQ
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation includes certain "forward-looking information” and "forward-looking statements” (collectively "forward-looking statements”) within the meaning of applicable Canadian and United States securities legislation including the United States Private Securities L
Slide 3: Forward Looking Statements / Non-GAAP Performance Measures
FORWARD LOOKING STATEMENTS NON-GAAP PERFORMANCE MEASURES Some of the financial measures referenced in this presentation are non-GAAP performance measures. We have not reconciled forward-looking full year non-GAAP performance measures contained in this presentation to their most directly comparable G
Slide 4: Trilogy's Interests
TRILOGY’S INTERESTS In the Ambler Mining District 8 Billion 3 Billion Over 1 Million lbs Copper lbs Zinc oz Au Eq Precious Metals with Zinc and Precious Metals a Safe, Rule of Law Jurisdiction 50/50 Ambler Mining District with JV Focused on Developing the District Upper Kobuk Mineral Projects (UKMP)
Slide 5: Share Capitalization
SHARE CAPITALIZATION Solid, Supportive Shareholder Base WELL FUNDED BALANCE SHEET Cash ~$12.8 Million 23% Institutional No Debt South32 Ltd 2% TMQ’s share of JV cash is $72.5 Management and Insiders 64% Million 11% Retail Market Cap $221 Million Largely Institutionally Held MAJOR SHAREHOLDERS Meanin
Slide 6: Corporate Highlights – Partnerships
CORPORATE HIGHLIGHTS – PARTNERSHIPS Forming Strong Partnerships to Advance the Ambler Mining District in Alaska 1. Joint Venture 2. Local Native 3. Infrastructure Partnership Partnership Partnership with with South32 with NANA State of Alaska Agreement/Business AIDEA currently advancing Relationship
Slide 7: Joint Venture Partnership with South32
JOINT VENTURE PARTNERSHIP with South32 South32 Limited has Exercised its Option to Form a Joint Venture with Trilogy Ambler Metals LLC ~$145 million 50% Upper Kobuk 50% Mineral Projects South32, which has a market capitalization $72.5 million is attributable to each of of almost $8 billion, is a glo
Slide 8: Upper Kobuk Mineral Projects JV Area
UPPER KOBUK MINERAL PROJECTS JV AREA Total Land Package of 172,675 Ha (427,690 Acres) TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 8
Slide 9: Corporate Highlights – Partnerships
CORPORATE HIGHLIGHTS – PARTNERSHIPS Forming Strong Partnerships to Advance the Ambler Mining District in Alaska 1. Joint Venture 2. Local Native 3. Infrastructure Partnership Partnership Partnership with with South32 with NANA State of Alaska Agreement/Business AIDEA currently advancing Relationship
Slide 10: Ambler Mining District
AMBLER MINING DISTRICT Strong Local Support for Mining Safe Jurisdiction – Mining District Hosts Deposits Rich in Copper, Zinc, Lead, Gold, Silver & Cobalt Politically Stable Rule of Law Recognized Mineral Potential Resource Extractive Industries are the Largest Contributors to Alaska’s Economy Well
Slide 11: Corporate Highlights – Partnerships
CORPORATE HIGHLIGHTS – PARTNERSHIPS Forming Strong Partnerships to Advance the Ambler Mining District in Alaska 1. Joint Venture 2. Local Native 3. Infrastructure Partnership Partnership Partnership with with South32 with NANA State of Alaska Agreement/Business Alaska Industrial Development Relation
Slide 12: Truck Transportation Plan
TRUCK TRANSPORTATION PLAN AIDEA Currently Advancing Road Access to Ambler Mining District Ambler Mining District 211 Miles Truck Transfer to Alaska Railroad 250 Miles Proposed Ambler Access Road 345 Miles TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 12
Slide 13: NEPA Road Permitting Process (EIS)
NEPA ROAD PERMITTING PROCESS (EIS) Bureau of Land Management is the Lead Agency for Road Permitting AIDEA is the Proponent TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 13
Slide 14: High-Grade String of Pearls
HIGH-GRADE STRING OF PEARLS Ambler Mining District Hosts Deposits Rich in Copper, Zinc, Lead, Gold, Silver & Cobalt TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 14
Slide 15: Reserves at the Arctic Project
RESERVES AT THE ARCTIC PROJECT Probable Mineral Reserves PROBABLE MINERAL RESERVES Arctic 43,400,000 tonnes Resource @ ~4.2% Cu Eq. Outline Average Grades: 2.24% Cu 3.12% Zn 0.54% Pb 0.47 g/t Au 34.69 g/t Ag Additional Inferred Resources of 3.5 Mt, with average grades of 1.71% Cu, 2.72% Zn, 0.60% Pb
Slide 16: Arctic FS – Inputs & Economic Results
ARCTIC FS – INPUTS & ECONOMIC RESULTS Feasibility Inputs and Economic Results Mine Life 12 Years Mill Capacity 10,000 tpd Strip Ratio (Waste/Ore) 6.87:1 155M lbs Cu 192M lbs Zn Average Annual Production 32M lbs Pb 3.4M oz Ag 32,400 oz Au $3.00/lb Cu $1.10/lb Zn Base Case Metal Prices $1.00/lb Pb $18
Slide 17: Arctic Producing Quality Concentrates
ARCTIC PRODUCING QUALITY CONCENTRATES 3 Separate High-Quality Concentrates COPPER CONCENTRATE ZINC CONCENTRATE • 89.9% recovery • 90.6% recovery • 30.3% concentrate grade • 59.2% concentrate grade • Cu payable 96.5% • Zn payable 85% • Ag 138 g/t (4.44opt); Ag payable 90% • No significant penalty met
Slide 18: Arctic Project Development Plan – Mine Site
ARCTIC PROJECT DEVELOPMENT PLAN Overview of Mine Site – Looking Northeast TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 18
Slide 19: NEPA Mine Permitting Process (EIS)
NEPA MINE PERMITTING PROCESS (EIS) Start Permitting Process - Submit NOI for Mine Army Corp of Engineers (USACE) is expected to be the lead agency TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 19
Slide 20: No Federal Lands – Easier to Permit
NO FEDERAL LANDS – EASIER TO PERMIT Requires Federal, State and Borough Approvals ▶ 404 Wetlands Permit from the ▶ All other significant permits issued by the State of Alaska: US Army Corps of Engineers Mine Operating Permit Dam Operating Permit is the only significant Federal Air Quality Permit Wat
Slide 21: District Exploration – Pearls on a String
DISTRICT EXPLORATION Pearls on a String TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 21
Slide 22: Numerous Electromagnetic Anomalies
NUMEROUS ELECTROMAGNETIC ANOMALIES TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 22
Slide 23: Numerous Electromagnetic Anomalies
NUMEROUS ELECTROMAGNETIC ANOMALIES TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 23
Slide 24: Numerous Electromagnetic Anomalies
NUMEROUS ELECTROMAGNETIC ANOMALIES TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 24
Slide 25: Sunshine Drilling Results 2019
SUNSHINE DRILLING RESULTS 2019 1.5% CuEq From (m) To (m) Length (m) Cu (%) Zn (%) Pb (%) Au (g/t) Ag (g/t) CuEq (%)* 139.52 144.76 5.24 2.08 3.13 0.63 0.15 41.64 3.93 238.72 245.06 6.34 1.63 1.45 0.09 0.07 13.38 2.38 SC19-018 247.86 255.06 7.20 0.72 2.18 0.21 0.03 6.64 1.69 260.46 261.60 1.14 1.53 0
Slide 26: Comparison of the Ambler VMS Belt with Other Known Belts
COMPARISON OF THE AMBLER VMS BELT WITH OTHER KNOWN BELTS Multi-Billion Pound Copper VMS Districts of the World Dashed lines respresent area of influcence of proximal-scale alteration about each deposit Source: Franklin et al., 2005, Volcanic-associated massive sulphides, Econ.Geol., Data includes al
Slide 27: Upcoming Catalysts
UPCOMING CATALYSTS News Flow H2 2020 – Optimization of Arctic Feasibility Study by Ambler Metals H2 2020 – Ambler Metals budget approval for 2021 field season TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 27
Slide 28: Taikuu!
TAIKUU! TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 28
Slide 29: Copper and Cobalt: Critical for a Green Future
COPPER AND COBALT Critical for a Green Future TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 29
Slide 30: Is There Enough Supply Out There?
IS THERE ENOUGH SUPPLY OUT THERE? A Significant Demand/Supply Deficit is Looming Source: Company data, Morgan Stanley Research estimates TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 30
Slide 31: New President and CEO
NEW PRESIDENT AND CEO Tony Giardini Mr. Giardini has been a director of the Company since 2012 Was previously President of Ivanhoe Mines Ltd. which is developing its Platreef, Kipushi and Kamoa-Kakula projects Was also previously CFO of Kinross Gold Corp. which operates the Fort Knox gold mine near
Slide 32: Port of Alaska Is Near Anchorage
PORT OF ALASKA IS NEAR ANCHORAGE TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 32
Slide 33: Port of Alaska - Anchorage
PORT OF ALASKA - ANCHORAGE Concentrates Loaded Directly into Ship Hold Good for the Environment Saves Money Better Green Solution TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 33
Slide 34: Ambler Mining District Industrial Access Project (AMDIAP)
AMBLER MINING DISTRICT Industrial Access Project (AMDIAP) TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 34
Slide 35: Arctic Deposit: Cross Section
ARCTIC DEPOSIT: CROSS SECTION Looking North Strip Ratio ~ 6.87:1 2020 FS Legend Aphanitic Meta-Rhyolite (AMR) Meta-Rhyolite Porphyry (MRP) Grey Schist (GS) Sulfide Horizons Quartz-Mica-Schist (QMS) Proposed Open Pit 300 m TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 35
Slide 36: Arctic Boasts Robust Economic Metrics
ARCTIC BOASTS ROBUST ECONOMIC METRICS Profitability Index, After-Tax IRR and After-Tax NPV Benchmarking Bubble size denotes after-tax NPV (US$bn) $1.0 $2. 0 $4.0 Feasibility Source: Wood Mackenzie, RBC database and company disclosure, RBC Capital Markets Note: Project metrics shown on 100% basis Pre
Slide 37: Arctic FS – Arctic Cash Costs
ARCTIC FS – ARCTIC CASH COSTS $3.04 Source: RBC Capital Markets TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 37
Slide 38: Arctic Project Development Plan – Valley
ARCTIC PROJECT DEVELOPMENT PLAN Overview of Valley – Looking Northeast TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 38
Slide 39: Bornite Core
BORNITE CORE TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 39
Slide 40: Bornite
BORNITE Testing Northern Extension 6 Billion lbs Copper 77 Million lbs Cobalt US$31 million expended by 35 drill holes to in-fill and expand South32 during 2017, 2018 & 2019 current resources Drilling Programs Proposed Pit Below-Pit Mineral Resources 57.8 Mt of 2.89% Cu Inferred In-Pit Mineral Resou
Slide 41: Resource Scale vs. Resource Grade
Resource Scale vs. Resource Grade RESOURCES(1) (BN LB CU EQ.) VS. RESOURCE GRADE(1) (% CU EQ.) 4.0% Low Geopolitical Risk Medium Geopolitical Risk High Geopolitical Risk 76.6 3.5% Ivanhoe Market Capitalization US$100 mm 3.0% Arizona Mining(2) Higher Resource Grade 2.5% Resource Grade (% Cu Eq.) Tril
Slide 42: Reserve Estimate for Arctic Project
RESERVE ESTIMATE FOR ARCTIC PROJECT Tonnage Average Grade: Category Cu Zn Pb Au Ag t x 1000 (%) (%) (%) (g/t) (g/t) Proven Mineral Reserves - - - - - - Probable Mineral Reserves 43,442 2.24 3.12 0.54 0.47 34.69 Proven & Probable Mineral Reserves 43,442 2.24 3.12 0.54 0.47 34.69 Waste within Designed
Slide 43: Naturally Diversified
NATURALLY DIVERSIFIED 8 Billion 3 Billion Over 1 Million lbs Copper lbs Zinc oz Au Eq Precious Metals Resource Category Tonnes Millions Grade (%) Contained Metal (Mlbs) COPPER Indicated 36.0 3.07 2,441 Arctic Inferred 3.5 1.71 131 Indicated 40.5 1.02 913 Bornite In-Pit Inferred 84.1 0.95 1,768 Borni
Slide 44: Mineral Resources for the Arctic & Bornite Projects
MINERAL RESOURCES for the Arctic & Bornite Projects 4 Tonnes Cu Cu Eq Tonnes Tonnes Deposit Cut-off Cu% Zn% Pb% Ag g/t Au g/t 4 (M) (Mlbs) (Mlbs) Cu Cu Eq INDICATED Arctic1 0.5% Cu 36.0 3.07 4.23 0.73 47.6 0.63 2,441 4,376 1,107,200 1,984,900 Bornite (In-Pit)2 0.5% Cu 40.5 1.02 913 913 413,000 413,0
Slide 45: NI 43-101 Compliant Resources
NI 43-101 COMPLIANT RESOURCES CAUTIONARY NOTE CONCERNING RESOURCE ESTIMATES This summary table may use the term "resources", "measured resources", "indicated resources" and "inferred resources". United States investors are advised that, while such terms are recognized and required by Canadian securi
Slide 46: Mineral Resources: Definitions & Notes
MINERAL RESOURCES for the Arctic & Bornite Projects DEFINITIONS & NOTES Mineral Resources: “measured”, “indicated” and “inferred” mineral resources are estimated in accordance with the definitions of these terms adopted by the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) in Novembe
Slide 47: Disclosure Regarding Scientific and Technical Information
DISCLOSURE Regarding Scientific and Technical Information Unless otherwise indicated, all reserve and resource estimates included in this presentation have been prepared in accordance with Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and the Canadian
Slide 48: Funding Requirements vs. Valuation
Funding Requirements vs. Valuation P / NAV (RATIO) VS. INITIAL CAPEX / MARKET CAPITALIZATION (%) Low Geopolitical Risk Medium Geopolitical Risk High Geopolitical Risk 3,000% (1) 2,500% Resources 20.0 bn lb Cu Eq. Lower Funding Requirement Josemaria Western Initial Capex / Market Capitalization (%) C
Slide 49: Capital Requirements
Capital Requirements CAPITAL INTENSITY (US$/LB CU EQ. PRODUCTION) VS. INITIAL CAPEX (US$ MM) Low Geopolitical Risk Medium Geopolitical Risk High Geopolitical Risk $6,000 LOM Avg. Production 100 mm lb Cu Eq. Northern $5,000 Dynasty Lower Capital Requirements $4,000 Initial Capex (US$ mm) $3,000 Josem
Slide 50: NYSE American, TSX: TMQ
TRUST | RESPECT | INTEGRITY Corporate Office Suite 1150 – 609 Granville Street Vancouver, British Columbia, V7Y 1G5 Canada Toll Free 1.855.638.8088 NYSE American, TSX: TMQ www.trilogymetals.com TRUST | RESPECT | INTEGRITY TSX, NYSE | TMQ 50