Slide 1: Enhanced Feasibility Study Results
For personal use only ENHANCED FEASIBILITY STUDY RESULTS Australia’s Next Uranium Producer JUNE 2021
Slide 2: Disclaimer and Important Notices
DISCLAIMER AND IMPORTANT NOTICES For personal use only IMPORTANT: You must read the following before continuing. Boss Energy makes no representation or warranty, express or implied, in relation to, and no responsibility or liability (whether for negligence, under statute or otherwise) is or will be
Slide 3: Introduction
For personal use only INTRODUCTION BOSS ENERGY 3 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 3
Slide 4: Honeymoon Uranium Project
HONEYMOON URANIUM PROJECT For personal use only A technically proven, low-cost re-start operation in a uranium friendly jurisdiction Honeymoon is a brownfield project that has produced and exported U3O8 to global markets Industry competitive upfront capital requirement of only US$80M Tier one, 1st w
Slide 5: Honeymoon's Path Forward
HONEYMOON’S PATH FORWARD For personal use only Project finance and offtake negotiations underway seeking to maximise Boss’ exposure to U3O8 price recovery • Strategic timetable aimed at ensuring Boss signs long-term offtake agreements when prices strengthen, locking in robust margins and substantial
Slide 6: Key Milestones Achieved
KEY MILESTONES ACHIEVED For personal use only Track record of delivering project growth while technically de-risking the Honeymoon re-start strategy Milestone Date Status Acquisition of Honeymoon Uranium Project - global Resources of 16.6Mlb U3O8 Dec 2015 Scoping study confirming low capital require
Slide 7: Investment Rationale
INVESTMENT RATIONALE For personal use only An institutional grade uranium developer in a Tier 1 jurisdiction Advanced Stage Existing Tier 1 Jurisdiction Strong ESG Focus Robust Financials Developer Infrastructure Fully Permitted Towards sustainable 47% IRR 12 month pathway to Sunk cost of A$170M 3.3
Slide 8: Honeymoon EFS Results
For personal use only HONEYMOON EFS RESULTS BOSS ENERGY 8 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 8
Slide 9: EFS Overview
EFS OVERVIEW For personal use only A pivotal step in Honeymoon’s path to production • The EFS has delivered a more resilient, sustainable mining operation - Higher confidence NIMCIX columns, replacing traditional SX - Reduced uncertainty in all capital and operating cost inputs - Finalised all requi
Slide 10: Technical Improvements
TECHNICAL IMPROVEMENTS For personal use only Continuous improvement and technical advances has greatly improved the operability of Honeymoon • The below table summarises key improvements at Honeymoon, addressing historical issues encounter by Uranium One Uranium One Boss Energy Improvements Proven O
Slide 11: Financial Highlights
FINANCIAL HIGHLIGHTS For personal use only Honeymoon’s low cost of production delivers robust financial returns KEY STUDY OUTCOMES 2020 FS 1 2021 EFS Change US$309M US$25.62/lb Physical Summary NPV 8%, Pre-tax AISC Life of Mine Years 12 11 U3O8 Production Mlb 20.74 21.81 5% Financial Summary NPV 8%,
Slide 12: Comparison to January 2020 FS
COMPARISON TO JANUARY 2020 FS For personal use only The EFS has delivered significantly improved returns and operating costs 35% NPV8% increase (Pre-tax) 2020 Operating Wellfield Capital Misc. / 2021 FS1 Costs Design Costs Other EFS 16% saving AISC 1 For comparative purposes only, the key financial
Slide 13: Sensitivity Analysis
SENSITIVITY ANALYSIS For personal use only Key input sensitivities and impact on NPV Base Case NPV • Variances to Honeymoon’s upfront capital cost and US$309M ongoing operating costs do not have a material impact on project value Capex - Confirms Honeymoon’s low capital intensity and 20% to -20% US$
Slide 14: Opportunities
OPPORTUNITIES For personal use only Further upside to the EFS results leveraging known Resources and improving technologies • The below table highlights several of the remaining opportunities for Honeymoon following completion of the EFS OPPORTUNITY DESCRIPTION • The EFS is based on 36Mlb of Honeymo
Slide 15: Honeymoon: A Bird's Eye View
WATER TREATMENT PRODUCTION HONEYMOON: A BIRD’S EYE VIEW PLANT WELL For personal use only FIELDS Site Infrastructure (Sunk Cost of $170M) CONTROL CENTRE ADMIN BUILDINGS PRODUCTION FACILITY CAMP WORKSHOP PLS PONDS BOSS ENERGY | AUSTRALIA’S NEXT URANIUM PRODUCER 15
Slide 16: Strategic Uranium Inventory
STRATEGIC URANIUM INVENTORY For personal use only Boss’ investment in strategic uranium inventory complements the Honeymoon Project OPTIMISE OFFTAKE STRENGTHEN ALIGNED WITH MARKETING RESTART TIMING FLEXIBILITY BALANCE SHEET HONEYMOON ADVANTAGES • Provides restart • Boss presents as an • Strengthens
Slide 17: EFS Results Summary
EFS RESULTS SUMMARY For personal use only Key financial results for prices between US$40 and US$80/lb U3O8 and foreign exchange of 0.75 AUD:USD Base Case US$40/lb U3O8 US$80/lb U3O8 FINANCIAL METRICS US$60/lb U3O8 A$ US$ A$ US$ A$ US$ Revenue $M 1,139 854 1,705 1,279 2,272 1,704 EBITDA $M 528 396 1,
Slide 18: JORC Resources
JORC RESOURCES For personal use only Solid base with significant exploration upside • 71.6Mlb U3O8 JORC Resource1 at an average grade of 620ppm U3O8 • The Honeymoon Re-start Area (HRA) contains 36Mlb U3O8 - Underpins the proposed 11 year operation - ML 6109 sits on top of the HRA - Shallow mineralis
Slide 19: Summary
For personal use only SUMMARY BOSS ENERGY 19 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 19
Slide 20: Corporate Overview
CORPORATE OVERVIEW For personal use only BOARD OF DIRECTORS SHARE PRICE PERFORMANCE Non-Executive Chairman Peter O’Connor 0.25 40.0 35.0 Managing Director & CEO Duncan Craib 0.20 30.0 Share Price (A$/sh) Technical Director Bryn Jones Volume (M) 0.15 25.0 Non-executive Director Wyatt Buck 20.0 Non-ex
Slide 21: Boss Energy - Board of Directors
BOSS ENERGY - BOARD OF DIRECTORS For personal use only Highly credentialed team with a proven track record in the uranium industry Peter O’Connor Duncan Craib Bryn Jones Wyatt Buck Dudley Kingsnorth Non-Executive Chairman Managing Director & CEO Technical Director Non-Executive Director Non-Executiv
Slide 22: Boss Energy - Corporate Summary
BOSS ENERGY - CORPORATE SUMMARY For personal use only An institutional grade uranium developer providing leveraged exposure to the uranium sector Australia’s next uranium producer, permitted to produce and export up to 3.3Mlb U3O8 Strategic 1.25Mlb physical uranium inventory providing financial stre
Slide 23: Appendix: The Case for Nuclear
For personal use only APPENDIX THE CASE FOR NUCLEAR BOSS ENERGY 23 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 23
Slide 24: Uranium Market Fundamentals
URANIUM MARKET FUNDAMENTALS For personal use only Multiple macroeconomic factors converging in support of a near term price recovery The uranium recovery Net zero carbon Increasing Lack of US$60/lb is near Emissions electrification alternatives incentive price After an extended period of Stimulating
Slide 25: Compelling Uranium Market Fundamentals
COMPELLING URANIUM MARKET FUNDAMENTALS For personal use only Re-start projects are required to be online by 2023-2024 to fill a looming supply shortage World Nuclear Association - Reference (Base) Scenario3 RISING TIGHTENING BARRIERS TO 120 OPPORTUNITY DEMAND SUPPLY ENTRY • Strong fundamentals • Dem
Slide 26: Uranium Price History
URANIUM PRICE HISTORY Low uranium prices For personal use only have curtailed Early signs of recovery with utilities returning to the contract market supply. $140 Contract prices must rise to incentivise re- start production to 2005: $120 meet known demand Major Mine Flood Spot $100 (Cigar Lake) Con
Slide 27: Honeymoon Restart Project
For personal use only HONEYMOON RESTART PROJECT KEEP UP TO DATE WITH US: www.bossenergy.com @Boss_Energy BOSS ENERGY 27 BOSS ENERGY | AUSTRALIA’S PREMIER URANIUM JURISDICTION 27