Quarterly Report to 31 December 2019

NICKEL
Savannah

• Safety – Lost Time Injury Frequency Rate (LTIFR) of 3.9 at the end of the quarter, no Lost Time Injuries reported
• Concentrate shipments – three concentrate shipments, aggregate provisional value of A$22.3 million
• Revenue – positive final QP pricing adjustments of A$3.4 million received
• Mining – total lateral development of 1,097m, up 4% quarter-on-quarter
• Mine Operating Strategy – tender process significantly advanced for contract underground mining to replace current practice of owner-operator with appointment of Barminco Limited as preferred contractor
• Metal production – 1,042t Ni, 695t Cu and 55t Co in concentrate, Ni down 22%, Cu down 19% on previous quarter
• Savannah North decline development – Savannah North orebody intersected on 18 November 2019, first stoping ore expected in March 2020 quarter
• Savannah North Fresh Air Raise (FAR) – advanced 210m over the quarter, alternative options to complete the raise under review
• Savannah North Upper Zone Resource infill drilling – high-grade intersections continue to be received, including 23.1m @ 2.36% Ni, 0.86% Cu and 0.16% Co
• FY2020 Production Guidance – now expected to be 5.2 - 5.6kt contained nickel, 3.4 - 3.7kt contained copper and 280 - 320t contained cobalt (Refer ASX Announcement dated 30 January 2020)

• Altair Zn-Cu-Ag Prospect – metallurgical test work conducted to determine the flotation characteristics of the Altair mineralisation
• Swan and Swift Gold – positive Scoping Study released on mining the free milling open pit Resources

• 2019 Panton Project review – recommendations received Thunder Bay North (TBN)
• Regency Gold Corp. to buy TBN Project for C$9 million on a deferred payment basis – C$250K deposit paid and Share and Purchase Agreement executed with initial C$4.5 million payment expected by the end of March 2020, unless extended

• Management and Company Secretary – Michael Ball appointed as CFO, Darryl Edwards appointed as Company Secretary (post end of quarter)
• Group Cash – $14.9 million in available and restricted ($180k) cash at quarter end, $23.3 million as at 29 January 2020
• Capital Raising – accelerated 1-for-6 non-renounceable pro-rata rights issue at 30 cents per new share completed in January 2020, raising $32.7 million before costs and set off of the Zeta bridging loan
• Third Party Discussions –Panoramic continues to provide due diligence access and change of control transaction discussions continue. Panoramic cautions that there is no guarantee that any discussions will result in a proposal or concluded transaction.