The December 2021 Mineral Resource Estimate (MRE) comprises 80.6Mt @ 0.91% Ni for 730,700t of contained nickel, with the Indicated component of the Resource being 43.4Mt @ 0.92% Ni for 397,000t of contained nickel, representing 54% of the Global MRE. The focus of drilling during the first half of 2022 has been resource development in-fill drilling at all the Jaguar Deposits. In-fill drilling is designed to upgrade all Resources within a constrained US$22,000/t nickel price pit shell limit into the higher confidence Measured and Indicated categories.

The Company is targeting more than 500,000t of contained nickel in the Measured and Indicated categories of the next MRE, planned for the end of Third Quarter 2022, which will underpin the Jaguar Project Definitive Feasibility Study (DFS) and initial Ore Reserve Estimate. Additional in-fill drilling to upgrade Indicated Resources into Measured is also being undertaken to cover the estimated project capital payback period. The in-fill drill results continue to demonstrate the continuity of the mineralisation both down-dip and along strike, within the current Scoping Study pit limits as well as within a larger USD 22,000/t pit shell.

The Jaguar Central Deposit is the second deposit at the Jaguar Project, hosting an MRE of 12.1Mt at 0.90% Ni for more than 109kt of contained nickel, including an Indicated component of 10.2Mt at 0.92% Ni for 94kt of contained nickel. In-fill drilling at Jaguar Central is currently focused on upgrading mineralisation within a 3-year pit shell into the Measured Resource category to more than cover the estimated project capital payback period. New shallow results, including 50.6m at 0.63% Ni from 110.0m in JAG-DD-22-289, continue to demonstrate that the Jaguar Central high-grade shoot consistently returns thick intersections more than 50m wide, extending over a strike length of more than 500m and plunging shallowly to the east.

With its favourable geometry, the flat-lying high-grade shoot that forms part of the Jaguar Central mineralisation lends itself extremely well to extraction via a low-strip ratio starter pit. An optimum scheduling scenario has the potential to deliver low-cost, high-grade mineralisation to the plant during the project payback period. The success of the Company's in-fill drilling strategy at Jaguar Central has further de-risked the Project by increasing confidence in the shallow open pit mineralisation that will underpin early capital payback in any future mining operation at Jaguar.

The Jaguar Northeast Deposit hosts a MRE of 9.1Mt at 0.84% Ni for more than 76kt of contained nickel. All of the Resource is currently in the Inferred Resource category. A large focus of recent drilling has been to upgrade all the in-pit Resources at Jaguar Northeast into the Indicated category.

Resource in-fill drilling at Jaguar Northeast continues to be successful in confirming the current geological model and improving understanding of the Inferred Resource interpretations, with in-fill intersections such as 30.0m at 0.72% Ni and 17.9m at 0.71% Ni in JAG-DD-22-278 continuing to confirm the quality of the mineralisation widths and grade. Furthermore, drilling at the western limit of the Scoping Study pit limits has now successfully intersected high- grade nickel sulphide mineralisation less than 50m below pit limits, returning 15.6m at 1.16% Ni from 66.5m in JAG-DD-22-293. New mineralisation intersected immediately below the current pit limits points to a possible extension of the Jaguar Northeast pit towards the west.

Previous drilling along strike to the east has also extend the Jaguar Northeast mineralisation. This all bodes well for an uplift in the Jaguar Northeast Deposit MRE and likely increase in the size of the open pit as part of the DFS and maiden Ore Reserve Estimate. The Jaguar South Deposit hosts an MRE of 27.6Mt at 0.93% Ni for more than 257kt of contained nickel, including an Indicated component of 13.9Mt at 1.01% Ni for 140kt of contained nickel.

In-fill drilling at the Jaguar South Deposit continues to be successful in confirming the December 2021 Mineral Resource model. Drilling at Jaguar South on in-fill sections to bring planned early-stage mining into the Measured category continues to produce good results on section 478370mE, with JAG-DD-22-270 intersecting 15.4m at 1.50% Ni, including 2.4m at 5.76% Ni and JAG-DD-22-305 intersecting 8.0m at 1.31% Ni, 40m down-dip. This mineralisation is planned to be mined in the first 2-3 years of operations.

The Jaguar Central North Deposit hosts a MRE of 12.0Mt at 0.63% Ni for 76kt of contained nickel, including an Indicated component of 7.7Mt at 0.63% Ni for 48.5kt of contained nickel. In-fill drilling at the Jaguar Central North Deposit continues to be successful in confirming the December 2021 Mineral Resource model. Drilling at Jaguar Central North, which has been designed to convert in-pit Inferred resource into Indicated, continues to intersect thick zones of mineralisation within the pit limits including 28.8m at 0.97% Ni from 8.2m in JAG-DD-22-303, as well as deeper intersections that are likely to contribute to resource growth including 19.0m at 0.77% Ni from 304.5m from JAG-DD-22-291.

There are currently more than 120 drill holes from the Jaguar Project with ALS Global laboratories awaiting assay. Assay turnaround times from ALS Global continue to be impacted by a global-wide backlog arising from issues associated with Covid-19. Current assay turnaround time is 60-65 days.

The Parauapebas physical preparation laboratory of ALS Global is at full capacity and overflow from Jaguar is being immediately shipped to their Belo Horizonte laboratory for physical preparation. The Lima (Peru) analytical laboratory is understood to offer one of the shorter turnaround times for the analytical method of assaying used (ME-MS61) by the Company. The Company remains on track ­ even with the slow turnaround times ­ to deliver the MRE update at the end of September.