Pala Investments to Acquire Cobalt 27 for C$5.75 per Share; Creation of Nickel 28 - Investor Presentation - Conic Metals Corp.
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Pala Investments to Acquire Cobalt 27 for Investor Presentation
C$5.75 per Share; Creation of Nickel 28 July 2019
0 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O
Transaction Summary
Shareholders of Cobalt 27 Capital Corp. (“Cobalt 27”, or the “Company”), other than Pala Investments
Limited (“Pala”), to receive total consideration of C$5.75 for each common share held, consisting of:
– C$3.57 in cash, and
– C$2.181 in shares of Nickel 28 Capital Corp. (“Nickel 28”), a newly created entity which will retain Cobalt 27’s existing
Offer nickel-focused assets
Total consideration of C$5.75 represents ~66% and ~46% premiums to Cobalt 27’s June 17, 2019
closing price on the TSX-V and 20-day VWAP as at the same date on the TSX-V, respectively
– Cash consideration of C$3.57 alone represents a premium to Cobalt 27’s June 17, 2019 closing price
Plan of Arrangement
Pala will acquire Cobalt 27 which will retain the physical cobalt and Voisey’s Bay cobalt stream, with
residual assets to be spun out into Nickel 28, consisting of:
– The 8.56% joint venture interest in the Ramu nickel-cobalt mine
Structure – The Dumont royalty and other royalty assets (royalties on Turnagain, Nyngan, Flemington, Triangle, Rusty Lake, Professor
& Waldman2, North Canol2, and Sunset properties)
– Equity positions in Giga Metals Corporation and Minerva Intelligence Inc., and
– US$5.0M of cash, in addition to the ~US$6M previously funded in escrow by Cobalt 27 to satisfy certain contingent
payment obligations related to the acquisition of Highlands Pacific Limited (“Highlands”)
Pala will retain a 4.9% interest in Nickel 28
Transaction subject to 66 2/3% approval by all Cobalt 27 voting shareholders and majority approval
excluding Pala and certain interested persons
Conditions
Directors and senior officers of Cobalt 27 holding in aggregate approximately 2% of the Cobalt 27
common shares have entered into customary voting and support agreements
Pala has mandated and received financing commitments from Société Generale and ING Capital LLC as
Financing Joint Lead Arrangers for loan facilities related to the transaction
Transaction is not subject to a financing condition
Timing Cobalt 27 shareholder vote and transaction close targeted for August 2019
(1) Implied value as per the June 18, 2019 transaction press release
1 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O (2) Two separate mineral properties to which a Co NSR applies
Transaction Rationale
Significant Total offer represents a ~66% premium to Cobalt 27’s June 17, 2019 closing price of C$3.47 per share
Premium and a ~46% premium to Cobalt 27’s 20-day VWAP of C$3.95 per share as at the same date
Immediate
Cash Cash consideration alone represents a premium to Cobalt 27’s June 17, 2019 closing price
Consideration Cash consideration component provides immediate liquidity and value certainty to shareholders at a
with Value time of market volatility
Certainty
Nickel 28 share consideration provides shareholders with continued upside exposure to the electric
vehicle market through nickel and cobalt exposure
Continued Ramu is a large operating nickel-cobalt mine with a long-life, low-costs, and high-growth potential
Exposure to – Total estimated reserves in excess of 1 billion pounds of nickel and 100 million pounds of cobalt
Battery Metal – 30+ years mine life per management estimates
Upside – Ramu consistently ranks in the first or second quartile on the global nickel cash cost curve
Potential via Significant potential growth upside from portfolio of 11 existing royalties focused on battery metals,
Nickel 28 including:
– Royalty on the world class, construction-ready Dumont nickel-cobalt project in Canada, and
– Royalty on Turnagain, one of the largest undeveloped nickel sulphide projects globally
Well-funded Nickel 28 will have a well-funded balance sheet and capital structure
Nickel 28 to be
– Nickel 28 to be funded with US$5.0M in cash1 and will have no corporate debt at inception
Led by
Experienced Nickel 28 to be led and managed by Cobalt 27’s seasoned, high-calibre executive team with extensive
Team experience
Proposed transaction is unanimously supported by Cobalt 27’s Board of Directors, Special Committee,
Supported by and Management
Board of
Directors and Fairness opinions stating that the offer was fair, from a financial point of view, to the shareholders of
Management Cobalt 27 (other than Pala) were provided by both the independent financial advisor to the Special
Committee and Cobalt 27’s financial advisor
(1) Excluding the ~US$6M cash in escrow related to the
2 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O contingent payment for the acquisition of Highlands
Nickel 28 Overview
Nickel 28 offers a focused vehicle with significant exposure to nickel, a metal with increasing
relevance to the electric vehicle and energy storage industry
Nickel 28 expected to benefit from Ramu JV interest cash flow generation while identifying and
acquiring additional accretive streams & royalties
Nickel 28 to be led and managed by Cobalt 27’s seasoned, high-calibre executive team
ￚ Cobalt 27’s management team has extensive experience in the battery metals sector and streaming and royalties industry
Nickel 28
8.56% JV interest
Streams & Royalties Other Assets
in Ramu Ni-Co Mine
Producing, open-pit nickel- Portfolio of 11 existing royalties US$5.0M in cash1 with no
cobalt mine located in Papua focused on nickel and cobalt, corporate debt, along with equity
New Guinea including: stakes of approximately:
Low 2nd quartile nickel cash cost Royalty on Dumont, a world class, 7.4% of Giga Metals Corporation,
with a six-fold increase in nickel construction-ready nickel-cobalt 100% owner of the nickel-cobalt
and cobalt production since 2012 project in Canada, and Turnagain project
Potential for future expansion Royalty on Turnagain, one of the 2.9% of Minerva Intelligence Inc.,
largest undeveloped nickel a mining software provider
sulphide projects globally
(1) Excluding the ~US$6M cash in escrow related to the
3 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O contingent payment for the acquisition of Highlands
Nickel 28’s Global Portfolio
Nickel 28 will provide shareholders with continued exposure to the electric
vehicle and battery storage revolution
Dumont Ni-Co (Royalty)
% NSR 1.75%
North Canol Properties: Operator RNC Minerals
2% Co NSR2,4
Stage Construction-Ready
Ramu Ni-Co Mine (Direct Interest)
Acquisition Cost US$15M (2018)
% Ownership 8.56%
Sunset:
Metallurgical
2% Co NSR2 Operator
Corporation of China
Stage Producing
Turnagain Ni-Co (Royalty) Other Ontario Royalties2 Acquisition Cost US$65M1,3 (2019)
Triangle: 2% Co NSR
% NSR 2.0% Rusty Lake: 2% Co NSR
Operator Giga Metals Professor & Waldman: 2% Co NSR4
Stage Exploration
Acquisition Cost US$10M (2018)
Nyngan Co-Sc-Ni (Royalty)
% GRR 1.7% Gross Revenue Royalty
Scandium International
Operator
Mining
Nickel 28 will be capitalized with Acquired from Stage Construction-Ready
US$5.0M3 in cash and Jervois Mining for
no corporate debt US$4.5M (2019)
Flemington Ni-Co (Royalty)
% GRR 1.5% Gross Revenue Royalty
Along with ~4.0M shares of Giga Metals and
Operator Australian Mines
~1.2M shares of Minerva Intelligence worth
Stage Exploration
~US$1M5
~74.5 million shares outstanding
(1) Highlands transaction value adjusted for the PanAust buyback and Highlands’ adjusted cash balance (4) Two separate mineral properties to which a Co NSR applies
(2) Other royalties acquired for ~C$0.9M in aggregate in 2017 (5) Valued as at June 17, 2019
(3) Excludes Highlands contingent payment of ~US$6M currently held in escrow
4 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O
Illustrative Nickel 28 Value Considerations
Nickel 28 assets largely valued using historical purchase prices
Nickel 28 Assets US$M C$M C$/Share Management Comments
Purchase price adjusted for PanAust Buyback and ~US$5M
8.56% JV Interest in Ramu Mine $65 $87 $1.16
adjusted cash from Highlands Pacific
Valued using a P/NAV multiple of 0.4x, 2021 start-up, 8%
Dumont Royalty $33 $44 $0.59
discount rate and broker consensus nickel prices
Turnagain Royalty $10 $13 $0.18 Purchase price
Nyngan & Flemington Royalties $5 $6 $0.08 Purchase price
Other Royalties ~$1 ~$1 $0.01 Purchase price
SpinCo Cash $5 $7 $0.09 US$5M cash with no corporate debt
Highlands Pacific Contingent Payment $3 $4 $0.05 50% probability weighted ~US$6M contingent payment(1)
Giga & Minerva Shares ~$1 $1 $0.01 Market price as at June 17, 2019(2)
Total $121 $163 $2.18
Note: USDCAD FX rate of 1.3407 as at June 17, 2019 and Nickel 28 total shares outstanding of 74.5M
(1) Contingent consideration of A$0.010 per Highlands Pacific shares (excluding Cobalt 27 holdings) due December 31, 2019 if the LME official closing cash settlement price for nickel is
US$13,220 per tonne or higher for a period of 5 consecutive trading days between January 1, 2019 and December 31, 2019
(2) Giga Metals (TSXV:GIGA) closing share price of C$0.20 and Minerva Intelligence (TSXV:MVAI) closing share price of C$0.18 as at June 17, 2019
5 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27ONickel’s Importance in the Electric Vehicle Industry
Nickel is a crucial element in the lithium ion battery and is becoming increasingly important
ￚ Evolving battery chemistries suggest accelerating nickel demand in EV batteries
Nickel: +1.3 Mtpa by 20301 Nickel Demand from Electric Vehicles
Contained Nickel in EVs (Mt) % of 2018 Ni Supply
1.30
59%
0.40
18%
0.11
0.06 5%
3%
2018 2020E 2025E 2030E 2018 2020E 2025E 2030E
Source: Glencore estimates, Wood Mackenzie, CRU, BNEF
(1) Does not include the nickel required for other parts of the EV supply chain including energy storage systems
6 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OCobalt & Nickel Price since Announcement
Nickel 28 will benefit from enhanced nickel exposure
Cobalt and Nickel Prices since Announcement of Cobalt 27 Sale
US$/lb
Nickel Cobalt
$15.50 $6.25
+13%
$15.00 $6.00
$14.50 $5.75
$14.00 $5.50
$13.50 $5.25
(13%)
$13.00 $5.00
18-Jun-19 22-Jun-19 26-Jun-19 30-Jun-19 04-Jul-19 08-Jul-19 12-Jul-19
Source: Bloomberg (LME), Metals Bulletin
7 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27ONickel Production
Extraction and recovery of Mining and Smelting or intermediate Refining to final product
nickel into a market product beneficiation or upgrading production (cathode, powder/briquette,
typically consists of three (concentrates) (matte/MHP/MS or FeNi or high purity sulphate)
major operations: NPI)
Nickel output by product
Chemicals Pellets Briquettes
Nickel Output (By Product) Cathode
Oxide sinter FeNi NPI % Class 1
2500 50%
2000
45%
Over 2 million tonnes of refined nickel produced annually,
of which 50% is FeNi/NPI and solely consumed by the
Nickel Production (kt)
1500
stainless steel industry
% Class 1
40%
1000
40% of balance of 1 million tonnes is in forms desired by
chemical producers (battery manufacturers) as briquette,
35%
powder or chemical
500
Greenfields Ni operations typically take 5 years to
construct when fully financed at typical cost of
0 30%
Nickel output
2017 2018 by
2019product
2020 2025 2030 2035 2040 US$50,000 to $200,000 per tonne of annualized Ni
Source: Wood Mackenzie
Chemicals Pellets Briquettes Cathode
Oxide sinter FeNi NPI % Class 1
2500 50%
Source: Wood Mackenzie
8 www.cobalt27.com
2000 | TSXV: KBLT | OTCQX: CBLLF | FSE: 27ONickel Supply & Demand
Ni Nickel production will need to grow to supply the EV battery market
Class 1 Nickel Market Balance
Kt Ni Class I surplus Class 1 inventory Class 1 deficit
Nickel resources are available and
400
technologies to recover the nickel are
200 well-known
0 Capital intensity to develop new nickel
-200 projects is high and development times
are long
-400
-600 The nickel industry will need to invest up
to US$70 billion by 2030 to meet
-800
expected demand
-1,000
Current nickel prices are well below the
-1,200
incentive price required to support new
2019
2017
2018
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
capacity
ESTIMATED
Including only highly probable projects
Note: Considers the amount of capital expenditures needed to provide sufficient supply based on third-party sources estimates (CRU and Wood
Mackenzie) and expected deficit by 2030 (50% Upside Case and 50% Conservative Case)
9 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OBattery Raw Material Demand
Rapidly increasing battery raw material demand
Lithium-Ion Battery Megafactory Raw Material Demand at 100% Utilization Rate
000s of Tonnes
Nickel Cobalt
928
495
276
220
49 54
2017 2023 2028
Source: Benchmark Minerals, January 2019
10 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OTypes of Lithium-Ion Batteries
Nickel rich chemistries gaining in popularity; cobalt still critical
Conservative battery chemistry mix for large batteries (without new chemistry)
Battery Chemistry for CV+PV+ESS
NMC 111 NMC 532/622 NMC 811 NCA LFP LMO/LTO
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030
Source: Bernstein, February 2018
11 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27ORamu Mine Overview
Ramu is a producing, open-pit nickel-cobalt mine located on
the coast of the Bismark Sea in the Madang Province of
Papua New Guinea (“PNG”)
Ramu
− In 2017, PNG’s total population was ~8.3 million and its
Site
total GDP was ~US$21 billion
Ramu was constructed in 2008 and commissioned in 2012
with ~US$2.1 billion in capital expenditures invested
Joint venture between the following:
− Metallurgical Corporation of China Ltd. (operator, majority
owner)
− Cobalt 27 (8.56% ownership), to be transferred to Nickel
Core
28
Infrastructure
− PNG Government and local landowners (6.44% Location
ownership)
MCC is evaluating a potential expansion of the Ramu mine,
which could cost in the order of ~US$1.5 billion
Nickel 28 would have the opportunity to participate in any
potential expansion and increase its attributable production Frieda River
(PanAust)
Lihir
(Newcrest)
Record annual production in 2018 of 35,355 tonnes of Porgera
nickel and 3,275 tonnes of cobalt (in concentrate) (Barrick / Zijin) Ramu
Mine
− Potential to deliver 30+ years of mine life Wafi-Golpu
Location PNG LNG (Newcrest / Harmony)
− Mineral Resource1: 76 Mt1 Measured and Indicated and (Exxon)
Elk-Antelope Mining Assets
60 Mt Inferred @ 0.9% Nickel and 0.1% Cobalt (Oil Search / Exxon) Oil And Gas Assets
− Mineral Reserve: 56 Mt @ 0.9% Nickel and 0.1% Cobalt
Source: World Bank, Highlands
12 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O (1) Resources are inclusive of reservesRamu Mine Overview (continued)
Attractive production and cost profile, with potential to deliver 30+ years of mine life
− Nickel and cobalt production has risen over six-fold between 2012 and 2018
− Low second-quartile co-product cash cost ranked nickel operation
As part of the Highlands transaction, in which Cobalt 27 indirectly acquired Highlands’ interest in the Ramu mine, a contingent
consideration totaling ~US$6M is held in escrow and will be paid if before Dec. 31, 2019 the London Metal Exchange official closing
cash settlement price for nickel is US$13,220 per tonne or higher for a period of 5 consecutive trading days
− If the threshold is not met then Nickel 28 will receive the contingent consideration from escrow
Ramu mine achieved record annual production of 35,355 tonnes of nickel and 3,275 tonnes of cobalt in 2018
Production in Concentrate 2018 Global Nickel Cost Curve
000s of Tonnes | US$/lb Nickel US$/lb Nickel
Nickel Cobalt
Cobalt Co-Product Cash Cost
25% 50% 75%
$8.00
$5.38
40.0
34.7 35.4
Co-Product Cash Cost (US$/lb)
120.0
$5.00
$4.65
35.0
100.0
30.0
$6.00
25.6
$3.89
$4.00
22.3
$3.32
21.0
25.0
80.0
$3.15
$4.00
$3.00
20.0
60.0 $2.68 Ramu
11.4 35.4
15.0
34.7
$2.00
40.0
nmf 25.6 22.3 $2.00
21.0
10.0
5.4
11.4 3.3 3.3
$1.00
2.1 2.0 2.2
20.0
5.4 1.0 3.3 3.3
5.0
0.5 1.0 2.1 2.0 2.2
0.0
0.0 $0.00 $0.00
2012 2013 2014 2015 2016 2017 2018 0 200 400 600 800 1,000
Paid Nickel Production (000 tonnes)
Source: SNL Market Intelligence
13 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OGrowth Through Portfolio of Streams and Royalties
• Focus on streams and royalties that provide material Portfolio of 11 royalties focused on nickel and
near-term cash flow cobalt, including:
Royalty on Dumont, a world class, construction-
• Streams and royalties have structural advantages
relative to other commodity investments: ready nickel-cobalt project in Canada,
Royalty on Turnagain, one of the largest
ￚ Exposure to commodity price, resource growth and undeveloped nickel sulphide projects globally,
production growth
and
ￚ Avoidance of direct exposure to increasing capital, Royalty on Nyngan, a construction-ready
operating and environmental costs scandium-cobalt project in Australia
Royalty Name Operator Location Stage Primary Metal(s) Royalty Type Stream ROFR
Dumont RNC Minerals Québec Construction-ready Ni-Co 1.75% NSR -
Turnagain Giga Metals British Columbia Exploration Ni-Co 2% NSR Yes
Nyngan Scandium Int’l Mining Australia Construction-ready Ni-Co-Sc 1.7% GRR1 -
Flemington Australian Mines Australia Exploration Ni-Co-Sc 1.5% GRR1 -
New Found Gold (formerly
Triangle Ontario Exploration Co-Ag 2% Co NSR Yes
Palisade Resources)
New Found Gold (formerly
Rusty Lake Ontario Exploration Co-Ag 2% Co NSR Yes
Palisade Resources)
Professor & Waldman New Found Gold (formerly
Ontario Exploration Co-Ag 2% Co NSR Yes
Properties2 Palisade Resources)
Golden Ridge
North Canol Properties2 Yukon Exploration Ag-Pb-Zn-Co 2% Co NSR Yes
Resources
Sunset Private Individuals British Columbia Exploration Cu-Zn-Co 2% Co NSR Yes
(1) Gross Revenue Royalty
14 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O (2) Two separate mineral properties to which a Co NSR appliesAppendix:
Overview of Key Royalties
15 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OOverview of the Dumont Project and Royalty
ASSET OVERVIEW LOCATION MAP
Dumont Highlights Val-d’Or is 90 km southeast
Lac
from Dumont and 57 Obalski
km
Strategically located in the established Abitibi mining camp N
away from Amos
One of the largest undeveloped nickel and cobalt reserves; Launay
once in production one of the largest battery metal Villemontel
development projects globally 111
RNC Dumont Amos
Fully permitted, construction-ready and in close proximity to Property Amos
roads, rail, an airport, and low-cost power supply Municipal
FS Pit Extent Amos
QC Airport
Water
Airports
Impacts and Benefits Agreement successfully negotiated with Aerodrom
Highways Lace
local First Nation Figuery
Roads
Open pit mine, updated May 2019 Feasibility Study envisions CNR
0 5 10km
395 109
Lac La
an initial mine life of 30 years with additional upside potential Cities / Towns Motte
identified
Proven and Probable Mineral Reserves1 of ~6,082 Mlbs Ni and NICKEL RESERVES BENCHMARKING (MT NI)
~243 Mlbs Co (1,028,480 kt @ 0.27% Ni and 107 ppm Co)
Producing Asset Development Asset
6.4
LOM annual production of 39kt Ni and 1.2kt Co, ramping up
to 50kt Ni and 1.5kt Co in Phase II, with LOM C1 cash cost in
the low 2nd quartile cost curve at $3.22/lb of payable nickel
Royalty Highlights
2.8
2.4
Life-of-Mine 1.75% Net Smelter Returns (NSR) Royalty 1.7 1.7 1.7
RNC Minerals holds a repurchase option on 0.375% of the
NSR Royalty for US$15M, exercisable in July 2019 or July
2020
Taimyr Dumont Weda Bay Onca Puma Jinchuan Soroako
Penninsula
Source: RNC Minerals
16 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27O (1) Mineral Reserves Statement (Penswick, May 30, 2019)Overview of the Turnagain Project and Royalty
ASSET OVERVIEW LOCATION MAP
Turnagain Highlights
Located in British Columbia, Canada
Nickel-cobalt deposit, 100% owned by Giga Metals, among the
world's largest undeveloped nickel-cobalt sulphide deposits
Recent metallurgical testwork indicates a clean concentrate
grading >20% nickel and >1% cobalt is achievable using proven
simple and reliable “off-the-shelf” processing technology
Turnagain ore is ideally suited to be refined into cobalt and Class 1
nickel required by battery manufacturers globally
Engineering studies are underway with goal of having the project
shovel ready by 2021
Royalty Highlights
2% Net Smelter Return ("NSR") royalty on all future metal
production from the Turnagain Nickel-Cobalt Project
Turnagain royalty acquired for US$1M and 1.125M shares
TURNAGAIN MINERALIZATION PROJECT DEVELOPMENT
NI 43-101 Mineral Resource containing: Development Timeline
− Measured & Indicated: 865 million tonnes @ 0.21% Ni & Funds from sale of NSR royalty being used for exploration at
0.013% Co (4 billion lb of Ni & 250 million lb of Co) Turnagain Project and to advance to pre-feasibility stage
− Inferred: 976 million tonnes @ 0.2% Ni & 0.013% Co (4 Currently updating the NI 43-101 resource estimate incorporating
billion pounds of Ni & 280 million pounds of Co) the results from the 2018 drilling campaign, subsequently enabling
Less than 25% of the nickel prospective geology has been drilled engineering studies to be advanced to pre-feasibility and then to
to date; drilling campaign completed in 2018 feasibility stage
Turnagain concentrate is amenable to hydrometallurgical Engineering studies are underway with the goal of lowering capex
treatment for production as nickel and cobalt sulphates by reducing the start-up size
Step-out drilling from the known deposit is designed to increase
the resource and may also lead to discovery of more starter pits
17 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27ODisclaimer
Forward-Looking Statements & Qualified Person
This presentation contains certain information which constitutes ‘forward-looking With respect to the forward-looking statements contained in this presentation,
statements’ and ‘forward-looking information’ within the meaning of applicable Canadian assumptions have been made regarding, among other things: future cobalt and nickel
securities laws. Any statements that are contained in this presentation that are not market prices; future global economic and financial conditions; future commodity prices,
statements of historical fact may be deemed to be forward-looking statements. Forward demand for cobalt and nickel and the product mix of such demand and levels of activity
looking statements are often identified by terms such as "may", "should", “anticipate”, in the battery metals industry and in such other areas in which the Company may supply
“expect”, “potential”, “believe”, “intend” or the negative of these terms and similar cobalt and nickel and the product mix of such supply; the accuracy and veracity of
expressions. Forward-looking statements in this presentation include, but are not limited information and projections sourced from third parties respecting, among other things,
to statements with respect to: the anticipated benefits associated with the Arrangement; future industry conditions and demand for cobalt and nickel; and, where applicable, each
the business and assets (including their implied value) of Nickel 28 and its strategy going of those assumptions set forth in the footnotes provided herein in respect of particular
forward; future prices of cobalt, nickel and other commodities; statements pertaining to forward-looking statements.
the adoption of electric vehicles and battery storage globally; the timing for the
completion of the Arrangement; the Consideration to be received by shareholders of Although the Company has attempted to identify important factors that could cause
Cobalt 27, which may fluctuate in value due to Nickel 28 common shares forming part of actual actions, events or results to differ materially from those described in its forward-
the Consideration; the composition of the future management team of Nickel 28 and the looking statements, there may be other factors that cause actions, events or results not
satisfaction of closing conditions including, without limitation (i) required Cobalt 27 to be as anticipated, estimated or intended. There can be no assurance that forward-
shareholder approvals; (ii) necessary court approval in connection with the plan of looking statements will materialize or prove to be accurate, as actual results and future
arrangement, (iii) termination rights available to the parties under the Arrangement events could differ materially from those anticipated in such statements. The forward-
Agreement; (iv) Cobalt 27 obtaining the necessary approvals from the TSX-V for the looking statements contained in this presentation are expressly qualified by this
listing of the common shares of Nickel 28 in connection with the Arrangement; and (v) cautionary statement. Readers should not place undue reliance on forward-looking
other closing conditions, including, without limitation, compliance by Cobalt 27 and Pala statements. These statements speak only as of the date of this presentation. Except as
with various covenants contained in the Arrangement Agreement. In particular, there may be required by law, the Company expressly disclaims any intention or obligation to
can be no assurance that the Arrangement will be completed. Readers are cautioned not revise or update any forward-looking statements or information whether as a result of
to place undue reliance on forward-looking statements. Forward-looking statements new information, future events or otherwise.
involve known and unknown risks and uncertainties, most of which are beyond the
Company's control. For more details on these and other risk factors see the Company’s Disclosures of a scientific or technical nature in this presentation relating to the Voisey’s
most recent Annual Information Form on file with Canadian securities regulatory Bay project and the Ramu Nickel Cobalt project have been reviewed and approved in
authorities on SEDAR at www.sedar.com under the heading “Risk Factors”. Should one accordance with National Instrument 43-101 – Standards of Disclosure for Mineral
or more of the risks or uncertainties underlying these forward-looking statements Projects (“NI 43-101”) by Mr. Robert Osborne, P.Eng., geologist and President of
materialize, or should assumptions underlying the forward-looking statements prove Osborne Laterite Geology Service Inc., an independent consultant to Cobalt 27 and a
incorrect, actual results, performance or achievements could vary materially from those “qualified person” as defined in NI 43-101. For additional scientific and technical
expressed or implied by the forward-looking statements. information regarding Cobalt 27’s portfolio, readers are encouraged to review additional
materials available on the Company’s website and profile on SEDAR at www.sedar.com
By their nature, forward-looking statements involve numerous assumptions, known and
unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements to differ materially from those anticipated and described in
the forward-looking statements.
18 www.cobalt27.com | TSXV: KBLT | OTCQX: CBLLF | FSE: 27OTSXv: KBLT
OTCQX: CBLLF
FRA: 270
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