Labrador Iron Ore Royalty (LIF) Investor Presentation summary

Product portfolio and market positioning

• High-grade (>65% Fe), high-purity iron ore products serve both blast furnace and direct reduction markets, supporting green steel initiatives.

• Product mix includes concentrate for sale and a range of pellets, with consistent quality and low impurities.

• Europe is the largest sales region, with significant presence in MENA, China, and the Americas.

• Flexible product mix allows adaptation to customer needs, including DR and BF pellets.

• Products are on Canada's critical minerals list, enhancing strategic importance.

Operational performance and infrastructure

• Five operational pits, 37 haul trucks, and an automated train ore delivery system support mining operations.

• Concentrator nameplate capacity is 23Mtpa, with 12.5Mtpa pellet capacity and 25Mtpa port capacity.

• 418 km railway and 250kt port terminal ship capacity enable efficient logistics.

• 2023 saw best haulage performance and ongoing deployment of Safe Production System across the value chain.

• Infrastructure investments address aged assets and support operational stability.

Financial performance and cost structure

• Average EBITDA margin of 48% and $1,300M EBITDA (2019–2023), with $390M average free cash flow.

• Average ROCE of 15% and $320M average capex over the same period.

• Concentrate unit costs are influenced by fixed cost base; asset management and production stability are key cost levers.

• Sustaining capital is increasing to maintain asset health, with focus on mobile equipment and rail capacity.

• Employee pay, consumables, and fuel are major cost categories.