Quarterly Report to 30 June 2019

NICKEL

• Safety – Lost Time Injury Frequency Rate (LTIFR) of 7.2 at the end of the quarter, no Lost Time Injuries reported
• Concentrate shipments – three concentrate shipments from Wyndham port, aggregate provisional invoice value of A$23.6 million
• Mining – production and development rates improved
• Equipment availability – mobile fleet availability has improved
• Processing – average nickel recovery during of 84.8% compared to previous quarter of 71.4%
• Metal production – 1,518t Ni, 814t Cu and 80t Co contained in concentrate
• Savannah North decline access development – advancement rates have improved following the commencement of contractor
• Savannah North ventilation rise – reaming rates improved in July, scheduled completion date is now late in March 2020 quarter

• Zinc - good progress on defining the foot print of Zn-Cu-Ag mineralisation at the Altair Prospect, strike length now ~8 kms
• Gold - evaluation studies underway on the Swan and Swift free milling Resources

• Project review underway
• Metallurgical studies into the viability of producing a PGM concentrate and a chromite by-product stream completed

• Binding Letter Agreement signed with Benton Resources Inc to sell TBN Project for C$9 million

• Group Cash - $26.6 million in available and restricted cash
• Capital Raising - $16.8 million after costs received from 1 for 13 Pro-Rata Rights Issue and Conditional Placement to Zeta, both priced at 38c per share
• Lanfranchi Sale – deferred consideration of $1.5 million received earlier than expected