IGO LIMITED — Investor Presentation 2021

Jan 27, 2021

2Q21 and 1H21 Results Presentation IGO Limited

28 January 2021

Cautionary Statements & Disclaimer

• This presentation has been prepared by IGO Limited ("IGO") (ABN 46 092 786 304). It should not be considered as an offer or invitation to subscribe for or purchase any securities in IGO or as an inducement to make an offer or invitation with respect to those securities in any jurisdiction.
• This presentation contains general summary information about IGO. The information, opinions or conclusions expressed in the course of this presentation should be read in conjunction with IGO's other periodic and continuous disclosure announcements lodged with the ASX, which are available on the IGO website. No representation or warranty, express or implied, is made in relation to the fairness, accuracy or completeness of the information, opinions and conclusions expressed in this presentation.
• This presentation includes forward looking information regarding future events, conditions, circumstances and the future financial performance of IGO. Often, but not always, forward looking statements can be identified by the use of forward looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "continue" and "guidance", or other similar words and may include statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs. Such forecasts, projections and information are not a guarantee of future performance and involve unknown risks and uncertainties, many of which are beyond IGO's control, which may cause actual results and developments to differ materially from those expressed or implied. Further details of these risks are set out below. All references to future production and production guidance made in relation to IGO are subject to the completion of all necessary feasibility studies, permit applications and approvals, construction, financing arrangements and access to the necessary infrastructure. Where such a reference is made, it should be read subject to this paragraph and in conjunction with further information about the Mineral Resources and Ore Reserves, as well as any Competent Persons' Statements included in periodic and continuous disclosure announcements lodged with the ASX. Forward looking statements in this presentation only apply at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information IGO does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.
• There are a number of risks specific to IGO and of a general nature which may affect the future operating and financial performance of IGO and the value of an investment in IGO including and not limited to economic conditions, stock market fluctuations, commodity demand and price movements, access to infrastructure, timing of environmental approvals, regulatory risks, operational risks, reliance on key personnel, reserve and resource estimations, native title and title risks, foreign currency fluctuations and mining development, construction and commissioning risk. The production guidance in this presentation is subject to risks specific to IGO and of a general nature which may affect the future operating and financial performance of IGO.
• All currency amounts in Australian Dollars unless otherwise noted.
• Quarterly Financial Results are unaudited.
• Net Debt is outstanding debt less cash balances and Net Cash is cash balance less outstanding debt.
• Cash Costs are reported inclusive of Royalties and after by-product credits on per unit of payable metal basis, unless otherwise stated.
• IGO reports All-in Sustaining Costs (AISC) per ounce of gold for its 30% interest in the Tropicana Gold Mine using the World Gold Council guidelines for AISC. The World Gold Council guidelines publication was released via press release on 27 June 2013 and is available from the World Gold Council's website.
• Underlying EBITDA is a non-IFRS measure and comprises net profit or loss after tax, adjusted to exclude tax expense, finance costs, interest income, asset impairments, gain/loss on sale of subsidiary, redundancy and restructuring costs, depreciation and amortisation, and once-off transaction costs.
• Free Cash Flow comprises Net Cash Flow from Operating Activities and Net Cash Flow from Investing Activities. Underlying adjustments exclude acquisition costs, proceeds from investment sales and payments for investments and mineral interests.

Competent Person's Statements

• Any references to IGO Mineral Resource and Ore Reserve estimates should be read in conjunction with IGO's Annual Update of Exploration Results, Mineral Resources and Ore Reserves dated 30 January 2020 (Annual Statement) and lodged with the ASX for which Competent Person's consents were obtained, which is also available on the IGO website.
• The information in this presentation that relates to Exploration Results is extracted from the Prodigy Gold (PRX) ASX release dated 18 January 2021 entitled "Bedrock Gold intersected at Goldbug Prospect" for which Competent Person's consents were obtained.
• The Company confirms that it is not aware of any new information or data that materially affects the information included in the original ASX announcements released on 30 January 2020 and 18 January 2021, and, (i) in the case of estimates or Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the original ASX announcement continue to apply and have not materially changed, (ii) the Competent Person's consents remain in place for subsequent releases by the Company of the same information in the same form and context, until the consent is withdrawn or replaced by a subsequent report and accompanying consent, and (iii) the form and context in which the Competent Person's findings are presented have not been materially modified from the original ASX announcement.

Encouraging improvement in key metrics

Total Reportable Injury Frequency (TRepIF)1 and Serious Potential Incident Frequency (SPIF)2

Notes: (1) 12 month moving average TRepIF – Total Reportable Injury Frequency Rate: calculated as the number of reportable injuries x 1,000,000 divided by the total number of hours worked. (2) 12 month moving average SPIF: Serious Potential Incident Frequency Rate: calculated as the number of serious potential incidents x 1,000,000 divided by the total number of hours worked.

FY19 and 4Q19 Highlights 2Q21 Highlights

Delivering strong operational performance and growth

2Q21 & 1H21 Financial Results

Consistent operating performance delivers robust financials

	Units	1Q21	2Q21	QoQ	1H20	1H21	HoH
Revenue and Other Income	A\$M	226.6	235.9	▲4%	474.7	462.5	▼3%
Underlying EBITDA1	A\$M	121.4	120.9	-	270.7	242.3	▼10%
Net Profit After Tax (NPAT)	A\$M	45.4	8.8	▼81%	100.1	54.2	▼45%
Net Cash from Operating Activities	A\$M	109.6	132.0	▲20%	245.3	241.7	▼2%
Underlying Free Cash Flow2	A\$M	84.5	112.7	▲33%	205.5	197.3	▼4%
Cash	A\$M	508.5	3 1,186.1	▲133%	452.8	1,186.1	▲162%
Debt	A\$M	-	-	-	57.1	-	-
Net Cash	A\$M	508.5	1,186.13	▲133%	395.6	1,186.1	▲200%

• Operations continue to generate strong underlying free cash flows
• Profit After Tax incorporates Tianqi Transaction costs and foreign exchange losses
• Successfully secured funding for the Tianqi Transaction through a combination of A\$766M in new equity and access to A\$1.1bn in new debt facilities

2Q21 Cash Flow Reconciliation

Increase in QoQ cash flow from both Nova and Tropicana

• Underlying Free Cash Flow of A\$113M (1Q21: A\$84.5M) positively impacted by higher receipts from Nova and Tropicana and lower exploration expenditure QoQ
• A\$696M, net of costs, received from institutional placement and entitlement offer in December 2020
• A\$53M, net of costs, received on 22 January 2021 after completion of retail component of entitlement offer

2Q21 NPAT Reconciliation

Tianqi related foreign exchange losses impacted NPAT

• Forex losses on US dollar balances held to protect AUD equivalent of Tianqi Transaction price
• Value of listed investments unchanged QoQ, compared to A\$14M positive revaluation in 1Q21

1H21 Segment Financial Results

Consistent operating performance delivers robust financials

Operation	Metric	1H20	1H21	Inc/(Dec)
	Revenue	317.3	312.2	▼ 2%
Nova	Underlying EBITDA1	206.8	194.6	▼ 6%
	Free Cash Flow2	206.2	193.8	▼ 6%
Tropicana	Revenue	154.3	148.8	▼ 4%
	Underlying EBITDA1	98.2	83.5	▼ 15%
	Free Cash Flow2	49.8	54.3	▲ 9%

Nova

• Steady HoH revenue, lower payable metal, higher copper price and lower nickel price
• Lower cash costs of A\$2.18/lb (1H20: A\$2.51/lb) positively supported underlying EBITDA

Tropicana

• Lower HoH revenue driven by lower gold ounces sold

Nova

Production and cost performance in line with FY21 guidance

Metric	Units	1Q21	2Q21	1H21	Pro-rata Guidance1
Nickel in concentrate	t	7,276	7,024	14,300	13,500 – 14,500
Copper in concentrate	t	3,278	3,171	6,449	5,500 – 6,250
Cobalt in concentrate	t	278	266	544	425 – 475
Cash cost (payable)	A\$/Ib Ni	2.25	2.10	2.18	2.40 – 2.80
Sustaining/ improvement Capex	A\$M	1.0	1.3	2.3	9 – 10
Development Capex	A\$M	1.3	1.1	2.4	1 – 2

Quarter-on-Quarter Comments

• Marginally lower metal production primarily driven by lower milled grade (1.96% Ni, 0.84%Cu) QoQ, offset by slightly higher milled tonnes at 408kt (1Q21: 394kt)
• Lower cash costs QoQ driven by higher by-product prices (A\$0.16/lb), lower production costs (A\$0.16/lb), partially offset by lower production volumes (A\$0.12/lb)
• Higher QoQ recoveries (88.0% Ni, 89.8% Cu) despite lower head grade

Half-on-Half Comments

• Lower HoH production primarily driven by lower milled grades
• Cash costs benefitted from higher copper prices which averaged A\$9,373/t in 1H21 (vs 1H20: A\$8,472t) and improved nickel offtake payability terms

Nova Production

Consistent operational performance enhanced by nickel price tailwinds

Nova Production & Cash Costs Nova Financial Summary 8,019 7,181 7,276 7,024 3,784 3,210 3,278 3,171 \$1.96 \$2.70 \$2.25 \$2.10 \$- \$0.50 \$1.00 \$1.50 \$2.00 \$2.50 \$3.00 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 3Q20 4Q20 1Q21 2Q21 A\$/lb Tonnes Nickel in concentrate Copper in concentrate Cash Cost A\$/lb (payable)

Metric	Units	1Q21	2Q21	1H21
Revenue and other income	A\$M	153.6	158.6	312.2
Underlying EBITDA	A\$M	92.0	102.5	194.6
Cash Flow from Operating Activities	A\$M	93.5	105.0	198.5
Underlying Free Cash Flow	A\$M	91.1	102.7	193.8
Margins
EBITDA Margin	%	60%	65%	62%
FCF Margin	%	59%	65%	62%

Tropicana

Tropicana

Solid performance as high grade underground ore improves milled grades

Metric	Units	1Q21	2Q21	1H21	Pro-rata Guidance1
Gold produced (100%)	oz	107,060	112,050	219,110	190,000 – 215,000
Gold Sold (IGO 30%)	oz	31,359	34,230	65,589	57,000 – 64,500
Cash cost	A\$/oz	947	1,023	986	1,040 – 1,120
AISC	A\$/oz	1,527	1,537	1,532	1,730 – 1,860
Sustaining/improvement	A\$M	1.0	2.9	3.9	6 – 8
Waste stripping	A\$M	15.3	12.7	28.0	33 – 35
Underground capex (30%)	A\$M	5.2	1.3	6.5	5 – 7

Quarter-on-Quarter Comments:

• Stronger QoQ production driven by
• Higher milled grades (1.69g/t Au vs 1Q21: 1.58g/t Au) as a result of increased contribution from the Boston Shaker Underground
• Consistent milled tonnes (2.3Mt) and gold recoveries (90.3%)
• All in Sustaining Costs in line QoQ

Half-on-Half Comments:

• 1H21 production 15% lower than 1H20 due to higher proportion of mill feed sourced from stockpiles, and cessation of grade streaming in 1H20
• Investment in Havana cutback during FY21 proceeding well, with access to open pit ore expected progressively from 1Q22 onward

Tropicana

1H21 gold production ahead of pro-rata guidance, 2H21 forecast to be lower

Tropicana Production (100% ) and AISC Tropicana Financial Summary

Metric	Units	1Q21	2Q21	1H21
Revenue and other income	A\$M	72.3	76.5	148.8
Underlying EBITDA	A\$M	42.5	41.0	83.5
Cash Flow from Operating Activities	A\$M	45.1	47.9	93.0
Underlying Free Cash Flow	A\$M	22.7	31.6	54.3
Margins
EBITDA Margin	%	59%	54%	56%
FCF Margin	%	31%	41%	36%

Exploration

17

Exploration Strategy

Focused on unlocking transformational value and sustainable growth

Targeting high value nickel and copper deposits – aligned to clean energy metals strategy

Utilising best in class generative geoscience and geophysics

Belt-scale land packages acquired through open-file applications and various JVs

2Q21 Highlights

Primary focus has been on Near Nova, Fraser Range and Paterson Projects

Orion and Double Dipper Positive results from surface drilling

Orion Extension Future programs to focus on drilling highly prospective Orion intrusion on the newly formed Boadicea JV

Near Nova Fraser Range Project Paterson Project

Copernicus Defined 'chonolith' intrusion identified 8km south of Silver Knight, which requires follow up work

Skipjack Diamond drilling and DHEM has identified offhole conductor

Metals X JV First comprehensive technical review in over four decades underway

Encounter JV Drilling of Vines and Windsor prospects

Antipa JV 79-hole AC program completed

Lake Mackay

Goldbug New prospect identified through AC/RC drilling with best intercept of 16m @ 1.15g/t Au from 48m1

Notes: (1) ASX Release: PRX: Prodigy Gold NL: Lake Mackay JV: Bedrock Gold intersected at Goldbug Prospect, 18 January 2021

Transformational Investment in Lithium Joint Venture

Transformational Investment

Creation of a global, vertically integrated lithium partnership with Tianqi1

20

IGO to acquire an indirect 25% interest in Greenbushes2 and a 49% interest in Tianqi's Kwinana Lithium Hydroxide Refinery, both located in WA

US\$1.4bn purchase price to be paid at completion3, expected to occur in the June 2021 quarter

Funding de-risked through A\$766M equity raising4, A\$1,100M new debt facilities5 and existing cash

Notes: (1) Tianqi Lithium Corporation, a Chinese incorporated company; (2) Greenbushes JV, also referred to as Windfield Holdings Pty Ltd, an Australian incorporated holding company; (3) Completion of the acquisition is subject to the satisfaction of a number of conditions precedent. Further information on the conditions precedent is available in the ASX Release dated 9 December 2020 (4) A\$766M raised via an institutional placement and accelerated non-renounceable rights issue and A\$57M raised via a retail non-renounceable rights issue, before costs (5) Debt facilities include a new Syndicated Facility Agreement comprising Term Loan, Revolving Credit Facility and Bridge Facility. For more information refer to ASX Announcement titled "IGO invests in Global Lithium JV with Tianqi, announced 9 December 2020

Exposure to world class assets

Delivering quality, scale, long mine life, solid ESG credentials and alignment to clean energy

Greenbushes World's lowest cost and highest grade hard rock lithium mine1

Kwinana First fully automated LiOH plant

Transaction Highlights

A transformative, compelling and on-strategy acquisition for IGO

Quality, long-term sustainable assets with significant growth optionality

2

4

6

Strong near-term production growth underpins cash flow generation

3

1

5

IGO to become unique clean energy metals investment Well-timed acquisition in lithium cycle1

Strong partnership with Tianqi - a world leading lithium industry participant2

Accretive transaction expected to generate significant shareholder value

Ownership Structure & Governance

Transaction structure designed to deliver value and security for IGO shareholders

Notes: (1) Currently named TL Energy Australia ("Lithium HoldCo"), a UK incorporated holding company with expected Australian tax domiciliation. Parties to agree a new name prior to completion; (2) Tianqi Lithium Corporation, a Chinese incorporated company; (3) Greenbushes JV, also referred to as Windfield Holdings Pty Ltd, an Australian incorporated holding company; (4) CRU Consulting; (5) Lithium HoldCo will own Kwinana on completion, subject to an internal restructure by Tianqi.

Transaction Timeline

Key transaction milestones

Event	Date1	Status
Announcement of the acquisition of 49% of Lithium HoldCo	9 December 2020	Complete
Launch of equity raising and binding debt documentation signed	9 December 2020	Complete
Completion of the placement and institutional entitlement offer component of the equity raising	18 December 2020	Complete
Completion of the retail entitlement offer component of the equity raising	22 January 2021	Complete
Tianqi shareholder approval	Early February 2021	Complete
Completion of Tianqi internal restructure	June 2021 Quarter
Targeted signing of the SHA and Transaction completion	June 2021 Quarter

Notes: (1) These timings are indicative only and subject to variation. IGO reserves the right to alter the timetable at its absolute discretion and without notice, subject to the Listing Rules, Corporations Act and other applicable laws.

FY19 and 4Q19 Highlights Concluding Comments

Consistent operational performance underpins transformational lithium transaction

Nova and Tropicana continue to perform strongly

Strong shareholder support for transformational lithium transaction with Tianqi

Tropicana Strategic Review ongoing

Pursuit of organic growth through exploration continues