Announcement PDF Q2 FY24 Results 30 January 2024 Presented by: Andre Labuschagne Disclaimer This investor presentation has been prepared by Aeris Resources Limited (“Aeris” or the “Company”). By attending an investor presentation or briefing, or accepting, accessing or reviewing this presentation, you acknowledge and agree to the terms set out below. SUMMARY INFORMATION This presentation is for information purposes only and should be read in conjunction with the most recent financial reports and other documents lodged by Aeris with the Australian Securities Exchange (“ASX”) in connection with its continuous disclosure obligations. This presentation does not purport to contain all of the information that an investor should consider when making an investment decision nor does it contain all of the information which would be required in a product disclosure statement or prospectus prepared in accordance with the requirements of the Corporations Act. No reliance should be placed on the information or opinions contained in this presentation, which are provided as at the date of this presentation (unless otherwise stated) and to the maximum extent permitted by law, Aeris has no obligation to update the information contained in this presentation. An investment in securities is subject to known and unknown risks, some of which are beyond the control of Aeris. Investors should consult with their own legal, tax, business and/or financial advisors in connection with any acquisition of securities. FINANCIAL INFORMATION All financial information set out in this presentation is expressed in Australian Dollars unless stated otherwise. Investors should be aware that certain financial measures included in this presentation are “non-IFRS financial information” under ASIC Regulatory Guide 230: “Disclosing nonIFRS financial information” published by ASIC and also “Non-GAAP financial measures” within the meaning of Regulation G under the US Securities Exchange Act of 1934 and are not recognised under the AAS or IFRS. Aeris believes the non-IFRS financial information and non-GAAP financial measures provide useful information to users in measuring the financial performance and condition of Aeris. However, investors should note that the non-IFRS financial information and non-GAAP financial measures do not have standardised meanings prescribed by AAS or IFRS. Therefore, the non-IFRS financial information is not a measure of financial performance, liquidity or value under the IFRS and may not be comparable to similarly titled measures presented by other entities, nor should the information be construed as an alternative to other financial measures determined in accordance with AAS or IFRS. Investors are cautioned, therefore, not to place undue reliance on any non-IFRS financial information included in this presentation. FUTURE PERFORMANCE AND FORWARD-LOOKING STATEMENTS This presentation contains certain ‘forward-looking’ statements, opinions and estimates, which are based on assumptions and contingencies that are subject to change without notice and involve known and unknown risks and uncertainties beyond the control of Aeris and its officers. This includes statements about market and industry trends, which are based on interpretations of current market conditions. Indications of, and guidance on, future earnings and financial position and performance are forward-looking statements. As are statements containing the words “expect”, “anticipate”, “estimate”, “intend”, “believe”, “guidance”, “should”, “could”, “may”, “will”, “predict”, “plan” and other similar expressions. Forward-looking statements are based on information available to Aeris as at the date of this presentation and should not be relied upon as an indication or guarantee of future performance. Except as required by law or regulation (including the ASX Listing Rules), none of Aeris, its representatives or advisers undertakes any obligation to provide any additional or updated information whether as a result of a change in expectations or assumptions, new information, future events or results or otherwise. Investors are strongly cautioned against placing undue reliance on forward-looking statements, especially considering the current economic climate and significant volatility, uncertainty and disruption caused by recent world events such as the COVID-19 pandemic and international hostilities and associated economic changes. DISCLAIMER To the maximum extent permitted by law, Aeris and each of its respective related bodies corporate, shareholders and affiliates, and each of their respective officers, directors, partners, employees, representatives, affiliates, agents, consultants and advisers (each a “Limited Party”): • expressly disclaim any and all responsibility and liability (including, without limitation, any liability arising from fault, negligence or negligent misstatement) for any direct, indirect, consequential or contingent loss or damage arising from this presentation or reliance on anything contained in or omitted from it or otherwise arising in connection with this presentation; • disclaim any obligations or undertaking to release any updates or revisions to the information in this presentation and; • do not make any representation or warranty, express or implied, as to the accuracy, reliability, completeness or fairness of the information, opinions and conclusions contained in this presentation or that this presentation contains all material information about Aeris or the Transaction or that a prospective investor or purchaser may require in evaluating a possible investment in Aeris or acquisition of shares in Aeris, or likelihood of fulfilment of any forward-looking statement or any event or results expressed or implied in any forward-looking statement. PRODUCTION TARGETS CAUTIONARY STATEMENT The Ore Reserve and Mineral Resource estimates underpinning the Stockman Production Targets were prepared by a Competent Person in accordance with the JORC Code 2012. The material assumptions on which the Production Targets are based is set out in Appendix C of the ASX Release of Aeris dated 28 April 2022 “Transformational Acquisition and Capital Raise” (Initial Report). Aeris confirms that all material assumptions underpinning the production targets in the Initial Report continue to apply and have not materially changed. The modifying factors used in the estimation of the Ore Reserve were also applied to the Mineral Resources in the generation of the Production Targets. 2 Highlights for Q2 FY24 Copper equivalent production of 9.7kt for the quarter at AISC of A$5.40/lb Mt Colin mine production in line with plan although third-party ore processing behind schedule leading to lower metal produced – cash flow impacts mitigated by part payment for stockpiles Tritton metal production impacted by labour and equipment availability Stockman feasibility study update released – focus on revised processing flowsheet Updated Mineral Resource estimate for Avoca Tank (Tritton) increasing copper grade by 35% and contained copper metal by 16% Jaguar on care and maintenance – restart studies underway Gold production and costs at Cracow in line with plan Successful $30 million equity raise to provide general working capital and strengthen the balance sheet Cracow TSF lift completed in early January ahead of schedule and under budget FY24 guidance maintained 3 Aeris Resources Australian mid-tier, base and precious metals producer Mt Colin Mine (100%) Mine Type FY24 Production Guidance U/G Cu, Au 8kt - 10kt Cu Cracow Operations (100%) U/G Au 38koz - 48koz Au Mine Type FY24 Production Guidance Barbara Project (100%) – Development Mine Type Resource1 U/G Cu, Au 45kt Cu Jaguar Operations (100%) Care and Maintenance Mine Type Resource2 North Queensland U/G Zn, Cu, Ag, Au 455kt Zn, 97kt Cu Cracow Jaguar Tritton Stockman Project (100%) – Developmemt Mine Type Resource2 Tritton Operations (100%) U/G Zn, Cu, Au 624kt Zn, 315kt Cu Mine Type FY24 Production Guidance U/G Cu 19kt - 24kt Cu Stockman 1. 2. Refer to ASX release “Barbara Mineral Resource Update” 28 June 2023. See ASX announcements “Group Mineral Resource and Ore Reserve Statement” dated 18 April 2023 ,“Correction - Jaguar Deposit Mineral Resource Update” dated 12 July 2023 and “Currawong and Wilga Deposits Mineral Resource Updates” dated 17 Jan 2024 4 Tritton NSW Q2 results Performance impacted by labour and equipment Sep 23 Dec 23 Qtr Qtr FY24 Guidance kt 5.2 4.8 19 – 24 Gold Produced koz 1.0 1.2 6–7 Silver Produced koz 36.9 39.2 148 – 185 Mining A$M 25.3 25.1 113 – 136 Processing A$M 8.7 6.8 31 – 37 Site G&A A$M 5.1 3.9 22 – 27 TC/RCs A$M 5.4 4.6 19 – 23 Updated Mineral Resource for Avoca Tank increasing copper grade by 35% and contained copper metal by 16% Product Handling A$M 3.3 3.8 16 – 20 Sustaining Capital A$M 17.2 13.5 57 – 69 Completion of 6 hole drill program at Constellation successfully extending known mineralisation along strike and down plunge Growth Capital A$M 3.0 1.3 10 – 12 Exploration A$M 0.6 0.7 7–9 Total copper production of 4.8kt at AISC of A$5.37 Production Summary Unit Labour and equipment availability impacted production – being addressed with recruitment activities and additional rental equipment Copper Produced Mining forecast to improve in second half FY24 with increased contributions from the high grade Avoca Tank and Budgerygar mines Jameson cell optimisation continuing – 2% concentrate grade improvement since commissioning Cost Summary 6 Avoca Tank Updated Mineral Resource Estimate Updated MRE1 of 720kt at 3.4% Cu and 1.1g/t Au 35% increase in copper grade and 16% increase in contained copper metal Mineralised system remains open down-plunge with significant potential to increase resource with further drilling Complex resource shapes require increased grade control drilling early in the mine life but will reduce over time Cross section view (A) and long section view (B) showing the Avoca Tank MRE by resource classification looking northwest and southwest respectively (green – Indicated, blue – Inferred) 1. Refer to ASX announcement “Avoca Tank Mineral Resource Update” dated 25th October 2023 7 Cracow Queensland Q2 results Cracow production and costs to plan Gold production of 11.1koz at AISC of A$2,407/oz, in line with plan Operating and capital costs on track Sep 23 Dec 23 Qtr Qtr FY24 Guidance koz 12.7 11.1 38 - 48 koz 12.8 11.4 Mining A$M 15.0 13.0 50 - 60 Processing A$M 6.4 5.9 26 - 31 Site G&A A$M 2.7 3.0 12 - 15 Sustaining Capital A$M 2.0 2.8 18 - 22 Growth Capital A$M 7.1 8.2 23 - 28 Exploration A$M 1.1 0.7 4-5 Production Summary Unit Gold Produced Gold Sold Cost Summary Tailings dam lift completed in January, ahead of schedule and under budget, extending the life of the operation 9 Near mine exploration Targeting high-grade resource additions in the current mining area Exploring 5 priority targets in the Western Vein Field Drill results exceeded expectations from early-stage exploration Significant results1 include: • 0.8m at 4.12g/t Au (Killarney Deeps) • 1.7m at 2.75g/t Au (Coronation West) • 0.4m at 8.42g/t Au (Emu) • 0.4m at 1.27g/t Au (Emu) • 0.4m at 3.04g/t Au (Bazsickle) Follow up drilling planned in Q3 1. Refer to December 2023 Quarterly Report for more information. All intersections shown are true thickness estimates. 10 Mt Colin North Queensland Q2 results Mining performing well and working capital managed through part payment on stockpiles Copper production of 1.6kt at AISC of A$5.38/lb Mining operations ahead of plan due to strong performance from the “cave” zone Only one of the two processing runs originally scheduled was completed, resulting in copper production below plan To assist with working capital management Glencore has agreed to undertake monthly part payment on stockpiles, in between processing runs Ore stockpiles of 133kt at quarter end yet to be processed Sep 23 Dec 23 Qtr Qtr FY24 Guidance kt 2.4 1.6 8 - 10 koz 1.1 0.8 4-5 Mining A$M 10.9 9.2 34 - 41 Processing A$M 5.9 5.8 25 - 30 Site G&A A$M 1.7 1.1 7-8 TC/RCs A$M 1.8 1.2 7-9 Product Handling A$M 1.9 1.2 7-9 Sustaining Capital A$M (0.1) - 0 Exploration A$M 0.5 0.2 0 Production Summary Unit Copper Produced Gold Produced Cost Summary 12 Jaguar Western Australia Q2 results Jaguar now focused on restart studies Operation now on care and maintenance Pre-feasibility study on restart options underway examining increased ore production rates, maximised mill throughput and improved metal recovery Exploration activities focused on gold prospectivity of tenement package Sep 23 Dec 23 Qtr Qtr FY24 Guidance kt 3.1 - 1.2 - 1.5 Copper Produced kt 0.6 - 0.2 - 0.3 Gold Produced koz 0.4 - 0.2 - 0.3 Silver Produced koz 84 - 33 - 42 Mining A$M 8.8 1.5 5-6 Processing A$M 7.8 (0.2) 3-4 Site G&A A$M 3.4 2.4 2-3 TC/RCs A$M 4.3 (2.2) 2-3 Product Handling A$M 2.0 0.1 1-2 Sustaining Capital A$M 2.7 - 1–2 Growth Capital A$M - - 1–2 Exploration A$M 0.5 0.1 1–2 Production Summary Unit Zinc Produced Cost Summary 14 Stockman Project Victoria Q2 Activities Updates released on Mineral Resource and feasibility study Updated Mineral Resource estimates1 for Currawong and Wilga deposits increased contained copper by 6% Mine plan involving 12 years of ore production solely from Currawong at 850ktpa rate2 Complex metallurgy, however, impacts metal recoveries and processing costs Investigating alternative processing flowsheet utilising ultrafine grinding and the Albion Process • Onsite production of a clean Cu concentrate and a bulk Cu/Zn/Au/Ag concentrate • Bulk concentrate trucked to a regional offsite location for further processing with the Albion Process Completion of feasibility study targeted for second half 2024 Currawong mine design All primary approvals for mining and onsite processing in place 1. 2. Refer to ASX announcement “Stockman Project – Currawong and Wilga Deposits Mineral Resource Update” dated 17 January 2024 Refer to ASX announcement “Stockman Feasibility Study Update” dated 24 January 2024 for more information and for the material assumptions underpinning the production target 16 Corporate Closing cash and receivables increased to $44.7 million with cash of $22.7 million Sep Dec 2023 2023 Qtr Qtr Closing cash 21.9 22.7 Jaguar - concentrate receivables 11.5 - Mt Colin 1.6 5.5 Cracow - gold dore 0.3 0.1 Tritton - concentrate receivables 8.1 16.4 Useable Cash and Receivables 43.4 44.7 (A$ Million) Completed $30 million equity raise to provide general working capital Trade payables and other creditors balance reduced by $33.5 million since 30 June 2023 to $87.3 million Debt position of $40 million unchanged Non-executive director, Sylvia Wiggins, resigned 17 Focus - next 6 months Tritton improving production due to Avoca tank and Buderygar ramp up Complete mining at Mt Colin – Barbara study underway Drilling to continue at Constellation – feasibility study update Q1 FY25 Stockman test work for alternate flowsheet and feasibility update second half 2024 Cracow Golden Plateau drilling – resource definition for future mining Jaguar restart study complete second half 2024 Western Vein Field drilling continue to extend mine life Burnvoir appointed to assist with refinancing options 18 Aeris Resources Australian mid-tier, base and precious metals producer 3 producing operations + 1 care & maintenance 1 long life development project Highly prospective for further discoveries FY24 production of 40 - 50kt Cu eq1 Substantial copper metal inventory Excellent platform for growth 1. Based on average commodity pricing of Cu US$8,725/t, Zn US$2,415/t, Au US$1,930/oz, Ag US$23.45/oz 19 Thank You