QPM ENERGY LIMITED — AGM Information 2021

Nov 22, 2021

Re-Energising Australia with Critical Battery Metals Production

AGM Presentation Dr Stephen Grocott | MD & CEO

AGM PRESENTATION | Nov 2021 | ASX:QPM | www.qpmetals.com.au

Disclaimer

COMPANY DISCLAIMER: The information in this presentation is an overview and does not contain all information necessary for investment decisions. In making investment decisions in connection with any acquisition of securities, investors should rely on their own examination and consult their own legal, business and/or financial advisers.

This document has been made available for information purposes only and does not constitute a prospectus, short form prospectus, profile statement or offer information statement. This document is not subject to the disclosure requirements affecting disclosure documents under Chapter 6D of the Corporations Act 2001 (Cth). The information in this document may not be complete and may be changed, modified or amended at any time by the Company, and is not intended to, and does not, constitute representations and warranties of the Company.

Queensland Pacific Metals Ltd does not have a significant operating history on which to base an evaluation of its business and prospects. Therefore, the information contained in this document is inherently speculative. Further, securities of companies such as the Company generally involve a higher degree of risk and are more volatility than securities of more established companies. Accordingly, an investment in the Company must be considered as speculative.

The information contained in this document has been prepared in good faith, neither the Company, Queensland Pacific Metals Ltd, or any of their respective directors, officers, agents, employees or advisors give any representation or warranty, express or implied, as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this document. Accordingly, to the maximum extent permitted by law, none of the Company, Queensland Pacific Metals Ltd, their respective directors, employees or agents, advisers, nor any other person accepts any liability whether direct or indirect, express or limited, contractual, tortuous, statutory or otherwise, in respect of, the accuracy or completeness of the information or for any of the opinions contained in this document or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this document.

This document may contain statements that may be deemed "forward looking statements". Forward risks, uncertainties and other factors, many of which are outside the control of the Company can cause actual results to differ materially from such statements.

The Company makes no undertaking to update or revise such statements but has made every endeavour to ensure that they are fair and reasonable at the time of making this document. Investors are cautioned that any forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in any forward-looking statements made.

Global Leader in Sustainability

QPM believes that the TECH Project boasts unrivalled ESG credentials amongst developing nickel projects

Negative CO₂ emissions

• Use of waste gas results in TECH Project reducing Australia's GHG emissions by 238,000 t CO2-eq per annum
• Equivalent of ~52,000 typical passenger vehicles
• ISO-compliant calculation independent verification

Minimal Waste

• No tailings dam
• No process liquids discharge
• All valuable metals extracted from ore
• Exploring commercial applications for residue to make TECH Project "zero waste"

Positive working environment

• Developed nation labour laws from ore supply through to final product
• Building and fostering a high-performance culture with motivated employees working to a common goal
• Inclusive workforce
• Building diversity

Embracing Townsville & regional communities

• Acknowledgement of Traditional Owners Bindal People – CHMA executed to deliver training opportunities and jobs
• Local community sponsorship
• Establishing a presence in the community QPM office opened

Corporate Milestones

Offtake	Binding agreements signed with LG and POSCOBaseload customers for 65% of productionUnderpins developmentWorld class, bankable customers	Ongoing discussions with other potential customers
Funding	A$20m equity raisingUS$15m investment from LG and POSCOInstitutional investors joining the share register	Progressing on NAIF loan –SAP completedKPMG appointedDebt process commenced –strong interest to date
Value Delivered	Market capitalisationof A$291 m~14x increase in share price since 1 July 2020One of the top performing nickel stocks on the ASX
Board & Mgt	Key management appointmentsStrong owner's team assembledRight mix of skills and experience to deliver TECHProject	Key Board appointmentsCalibreof appointments reflects the progress andpotential of QPM

Project Milestones

DFS	Successful pilot plant operationEngagement of Tier 1 Lead Engineer –HatchGood progress made on DFS	Confirmed no fatal flaws in flowsheetKey equipment and vendors identifiedRelationships being built with key vendors
Approvals	'Prescribed Project' status awarded in QueenslandState approvals advancing wellStrong relationship being built with TCC	Federal approvals progressing wellStrong political support from key ministers
Ore Supply	Ore supply identified to underpin ~1.5M tpa operationFinalisingore supply contracts with key suppliers	New Caledonia is awash with limonite resources thathave no real homeQPM offers a solution that is a "win-win"
Gas Supply	Tripartite MOU executed with TEC and NQGPUtilisationof waste gas –reinforces ESG credentialsExtensive known gas resources that underpin life ofTECH Project	Potential for monetisationof carbon creditsReducing methane emissions

Delivering Value to Shareholders

QPM share price growth over the last twelve months outperformed benchmark indices and industry peers Price growth for the period 1 July 2020 to 19 November 2021

Queensland Pacific Metals S&P/ASX 200 S&P/ASX Small Ordinaries Industry Peer Average Nickel Spot Price

The industry peer group is the average of Sunrise Energy Metals Limited (ASX:SRL), Ardea Resources Limited (ASX:ARL), Poseidon Nickel Limited (ASX:POS), Blackstone Minerals Limited (ASX:BSX) and Australian Mines Limited (ASX:AUZ).

Delivering Value to Shareholders

Delivering Value to Shareholders

Nickel Outlook

Key themes make the outlook for nickel very positive…

Supply concerns	Significant new supply is largely Chinese-backed and located in Indonesia –political risk and ESG negativeDisplacement of nickel matte from NPI will only reduce nickel available for stainless steel –"Robbing Peter to payPaul"Limited sulfide discoveries –long time from exploration to productionHigh capex for laterite projects –barrier to entry2.2X forecast for nickel demand and 10X forecast for 2030 battery nickel demand (40 -50 kg/EV)Where will the clean and green nickel come from???
Followinglithium'sfootsteps	Lithium sector performance has been remarkable and the profile of lithium in the investor community is moresignificant than nickel –more lithium companies, "lithium"-ion battery nameRaw material supply concerns for nickel is arguably greater than lithium amongst battery manufacturers and OEMsQPM believes the equity market is yet to fully understand and value the "supply chain train smash" that couldeventuate in nickelNickel's time is coming…
Batterychemistry	Nickel is what delivers energy density in LIBsTypical passenger EV will require 40-50 kg of nickel per vheicleNew battery technologies are a long way from commercialisation–OEMs have committed to nickel chemistry andforward orders have been placed

Forecast Nickel Demand

… in addition to current 2.5 Mtpa Ni for stainless steel, alloys, etc!

History repeating itself

Nickel-rich batteries dominate the future

Who makes the money in the EV future?

Project of State Significance

• TECH Project awarded Prescribed Project status by Queensland Government
• A Prescribed Project is one which is of significance, particularly economically or socially, to Queensland or a region
• Prescribed Project status enlivens the Coordinator-General's powers under the State Development and Public Works Act to ensure timely decision making with respect to approvals for the Project

Project approvals continue to advance

Looking forward…

Key goals for the next 6-12 months – success will deliver value for shareholders

• Delivery of a high quality DFS which will provide technical confidence to financiers
• Advancing technical work and commercial opportunities on HPA
• Finalising project approvals
• Finalising key commercial arrangements to support TECH Project
• Delivery of a funding plan to allow construction of the TECH Project
• Securing long-lead time equipment by early detailed engineering

QPM TECH Project