JAMESON RESOURCES LIMITED — AGM Information 2020

Nov 18, 2020

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19 November 2020

ASX Market Announcements Australian Securities Exchange 20 Bridge Street Sydney NSW 2000

Dear Sir/ Madam

Jameson Resources Limited | Presentation to 2020 Annual General Meeting

Pursuant to Listing Rule 3.13.3, please find attached the Executive Director’s presentation to shareholders to be given at this morning’s Annual General Meeting, commencing at 9.30 am (Sydney time).

Authorised to be given to ASX by:

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Lisa Dalton Company Secretary

www.jamesonresources.com.au

Jameson Resources I ABN 89 126 398 294 | Suite 5, 62 Ord Street, West Perth WA 6005 | admin@jamesonresources.com.au |+61 8 9200 4473

Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Good Morning Ladies and Gentlemen. My name is Joel Nicholls and I am the Executive Director of Jameson Resources Limited.

Today I would like to give you a short presentation on Jameson and the work we have been doing progressing our strategy and developing our Crown Mountain Project in British Columbia.

We will be happy to take questions at the end of the presentation.

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Cover picture: taken from Drone footage that we recently flew as part of First Nations engagement.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 2: Corporate snapshot

• At 30 September A$6.7m cash on hand – $4.1m JAL and $2.6m NWP

• Top 20 shareholders account for approximately 70% of the register

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 3: Strategic overview

• This is something that Jameson has spent time considering, how our strategy can best fit with maximising returns and outcomes for shareholders

• Looking to exploit the Board’s experience in metallurgical coal

• Which includes taking Crown Mountain through evaluation into development and ultimately production, and

• Looking for opportunities where projects have started to progress along the value curve, by that I mean, late evaluation phase where they are permitted or close to being permitted to reduce time to first production to maximise the potential value increase for shareholders

• Our primary focus is progressing Crown Mountain up the value curve:

• Completed a BFS in July 2020

• Progressing EA Application toward submittal Q1 CY2021, and

• Commenced BFS optimisation work that I will talk about in a little more detail shortly

• One of our strategic goals is that stakeholders are engaged as we understand that stakeholders are critical to our success to enable delivery of sustainable outcomes

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 4: Strategic Roadmap

• The strategic roadmap we have developed is to clearly articulate our purpose to become “An independent, growth oriented metallurgical coal developer focused on delivering sustainable outcomes” and

• our Strategic Goals of being commercial and focused , to grow sustainably and have stakeholders engaged in order to deliver our purpose

• And ensuring that core to what we do and how we operate, are our values which are being focused and agile , being responsible and working together

• The roadmap also provides an outline of how Jameson sees itself delivering value through the Crown Mountain Hard Coking Coal Project and potential acquisitions.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Slide 5: Sustainability

• Given ‘being responsible’ is a core value at Jameson and together with our goal of engaged stakeholders, we are committed to Sustainability and ESG

• We are in the process of adopting and implementing a four pillars approach

• The four pillars approach is a way of reporting ESG across four categories – Principles of Governance, Planet, People and Prosperity

• The four pillars uses the UN sustainable development goals as a roadmap to achieve reporting that ultimately aligns Jameson’s strategy and society’s long term goal of sustainable value creation.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 6: 2020FY in Review

• Over the past year, whilst challenging in regard to both met coal markets and the impact COVID has had on the way we operate, Jameson has managed to achieve a significant amount, driving the Crown Mountain Hard Coking Coal Project closer to production

• We undertook a successful equity raise, for which we are grateful for the ongoing support of existing shareholders and welcome new shareholders

• We completed the BFS in July 2020 and since have commenced optimisation work on the areas we believe will deliver the greatest value and improvements in execution

• The first phase of this work includes the potential to improve the overall yield by increasing the ash spec to within accepted parameters, there is a trend globally, particularly in Australia, toward 10.5-11% ash Hard Coking Coal products

• Provided the higher ash doesn’t impact the coking properties, in particular the CSR, this has the potential to provide a material benefit to the Project’s economics

• We have continued to progress the Environmental Assessment (EA) Application towards a Q1 CY2021 submittal date, the process has involved extensive engagement with regulators and First Nations with whom we have a constructive relationship

• We have however been monitoring closely the ongoing COVID situation in British Columbia which has become concerning, as to its impact on both the way we operate and any potential impacts on EA Application timing

• Finally, the Company has seen a change in leadership that occurred back in March with Nicole Hollows joining the Board as non-exec Chair and we would like to thank Nicole for all her efforts to date

• I was previously a non-executive Director and have taken on the executive role

• This change in leadership has seen a smooth transition and the delineation of a new strategy of pursuing growth for Jameson.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Slide 7: BFS Outcomes

• The BFS outcomes reaffirmed the quality of the Crown Mountain Hard Coking Coal Project

• Robust financial outcomes with a high quality metallurgical coal Project

• The Project has a competitive operating cost structure, and is very competitive from an all-in sustaining cost perspective with other mines in the Elk Valley that are currently producing Hard Coking Coals

• Pre-production capital of US$351m is also competitive and is a function of the existing infrastructure within the area including rail, power, gas and associated services, however as part of the optimisation we will look at additional opportunities to reduce the up-front capital costs

• It is worth noting that this infrastructure has latent capacity, includes common user rail with access to three deep water ports on the west coast of Vancouver

• The BFS produced a robust NPV(10) of US$376m pre-tax and US$217m post tax.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Slide 8: BFS Assumptions

• Slide 8 provides the high level BFS assumptions for the Crown Mountain Hard Coking Coal Project, being:

• US$164/t for Low Vol Premium HCC and PCI coal at US$115/t

• Canadian to US dollar exchange rate of 75c LOM

• Mining of three open cut pits – North, East and South with a total of 58Mt Run-of-Mine coal mined over 15 years, producing an average of

  • § 86% Hard Coking Coal and 14% PCI LOM average sales production is 1.7-1.8Mtpa with up to 2.3Mtpa in years 1-4

  • § With LOM ROM strip ratio of 4.7 BCM: ROM tonnes

• Clean coal will be conveyed 3km from the processing plant to a truck load out bin, then hauled 15km to the train loadout facility/clean coal stockpile that is planned to be located just off Canadian Pacific’s existing line

• Coal will then be railed approx. 1,200km to Westshore Terminal, the option assumed in the BFS.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Slide 9: BFS Operating Costs and Coal Quality

• The slide on BFS operating costs and coal quality demonstrates a very competitive operating cost with existing Hard Coking Coal producers in both Australia and Canada

• Additionally, it demonstrates the relevance of the North and South Block Hard Coking Coal quality relative to a number of recognisable global coal benchmarks on a CSR and volatile matter basis.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Slide 10: Pre-production Capex and Strategic Partner

• As mentioned earlier, the pre-production capex is US$351m, with a leasing scenario reducing the capex to US$279m if major mining equipment was to be leased

• Jameson has identified opportunities that will be followed up through the optimisation work that is being carried out, to investigate the ability to reduce the pre-production capex

• Moving on to Jameson’s strategic partner, Bathurst Resources Limited (BRL) has a 22.2% stake in NWP Coal Canada Limited (NWP), Jameson’s Canadian subsidiary that holds Crown Mountain, that includes 2.2% in preference shares

• Bathurst Resources and Jameson are funding the project up to Final Investment Decision (FID) in proportion to their common equity interests which are 20% and 80% respectively

• In order for Bathurst Resources to move to 50% of NWP they will be required to exercise their Tranche 2 option at FID (C$107.4m remaining) and compensate Jameson for contributing 80% up to FID, the compensation being the additional 30% Jameson is currently funding

• Subject to the amount of Front End Engineering Design (FEED) and Detailed Engineering Design work that is required to FID, there may be some delay in timing that is outlined by blue boxes in the next slide

• NWP will be reviewing all funding options, including the sell down of part of the project to a strategic investor, to fund this pre-development work.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 11: Crown Mountain Timeline and Funding

• This slide depicts the anticipated time frame to first production which is envisaged to be Q4 CY2023 if all regulatory approvals are received as planned and funding is in place when required

• In order to try and minimise delays caused by regulator queries and requests for information once the EA Application has been lodged, and to streamline the process, ongoing pre-submittal engagement with regulators has been in place

• The blue boxes show the alternate path to first production if there is not sufficient funding in place to commence FEED and Detailed Design work prior to Final Investment Decision

• The bright blue box down the bottom of the page depicts the period from completion of the BFS to FID where Jameson is funding 80% in line with Jameson’s common equity interest

• The anticipated period where Bathurst Resources will either exercise their Tranche Two Option or it expires is also shown, if it is exercised it will require the payment of the remaining C$107.4m plus compensation for this period where Jameson has been contributing 80%, that compensation being for the additional 30% that Jameson is funding.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 12: BFS Optimisation Scenarios

• This slide outlines a number of potential opportunities to optimise the execution of the Crown Mountain Hard Coking Coal Project and thereby improve Project economics

• We have commenced analysing the impact of a higher specification 10% ash product on coal quality, coking parameters in particular, to determine whether the higher ash product has any deleterious impact on CSR

• Concurrently we have engaged Sedgman Canada to undertake work on optimising ash yield curves to determine whether the 10% ash product in fact results in a higher yield, for the Project and the south block in particular

• We will keep the market abreast of developments in relation to this optimisation work as it is finalised

• As you can see there are a number of additional opportunities that have not yet commenced outside what I have just spoken about, but these will be assessed on a case-by-case basis once we have finished the current work.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020

Executive Director’s Presentation

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Slide 13: Crown Mountain Resources and Reserves

• The final slide outlines the Crown Mountain Hard Coking Coal Project Resources and Reserves

• The BFS confirmed a total reserve base of 57.5Mt with a high level of geological confidence with 76% in the Proven category

• Upside to the resource exists with the potential to undertake further work on the southern extension to gain additional confidence in both the geological interpretation and to better understand potential coal quality parameters of this discrete portion of the resource.

Thank you.

I will now hand the meeting back to Nicole who will facilitate any questions you may have.

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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Jameson Resources Limited (ASX: JAL) Annual General Meeting 19 November 2020 Executive Director’s Presentation

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