IGO Interactive Annual Report 2020

Bench-testing the next generation EM transmitter literally starts on a bench in a lab. Trials of the Loupe EM system at Coogee Beach as part of a Curtin Honours Project. encouraging mafic and ultramafic rocks, with blebby, stringer and minor net-textured nickel copper sulphides in all drill holes completed to date; and • The Orion prospect on the Nova mining lease is one of a handful of deep and blind targets that was generated using the Company’s 3D seismic dataset in 2019. Deep diamond drilling is gradually revealing a compelling prospect characterised by high tenor, disseminated to blebby sulphides in a chonolith-like host intrusion. The successes gained in FY20 have been achieved through IGO’s continued drive to improve its technical capability and deliver a significant discovery within the Fraser Range. A key part of this strategy is ongoing collaboration with external partners and working on a range of cutting-edge projects, including advanced seismic processing, microanalysis of drilling samples and hyperspectral core scanning. Looking ahead to FY21, IGO will continue to focus on methodically testing the best targets, systematic geological evaluation of the Fraser Range; and building in-house specialised knowledge to drive discovery. PATERSON The newly expanded Paterson Project comprises tenements covering approximately 6,844km 2 in the highly prospective Paterson Province targeting sediment- hosted copper-cobalt and copper- gold mineralisation. IGO has had an interest in the Paterson region for some time though our Yeneena Joint Venture with Encounter Resources Limited. In the June 2020 quarter, we expanded our presence in the Paterson region through joint ventures with Metals X Limited and post year end with Antipa Minerals Limited. Through these new agreements, IGO has added a significant portfolio of greenfields exploration projects which are highly prospective for major base and precious metals discoveries. IGO’s tenure is proximal to operating and historic mining operations such as Nifty and Telfer, as well as recent major discoveries including Rio Tinto’s Winu copper-gold resource and the Havieron gold-copper prospect held by Newcrest Mining Limited and Greatland Gold plc. IGO intends to increase its focus on this project in FY21 with various geophysics and drilling programs planned. WEST AND EAST KIMBERLEY The combined West and East Kimberley Projects are targeting Nova-style nickel-copper-cobalt sulphide mineralisation in the Wunaamin-Miliwundi Ranges (previously named King Leopold) and Halls Creek Orogens, with a total project area of 13,250km 2 held variously in joint ventures or IGO 100%. These terrains host the Savannah Nickel Project owned by Panoramic Resources Ltd, as well as the Merlin nickel-copper-cobalt discovery made by our joint venture partner Buxton Resources Limited. Work during FY20 included airborne magnetic and radiometric surveys, and negotiations with Traditional Owners. COVID-19 related travel restrictions impacted work programs later in the year, however these are ready to commence as soon as it is safe to do so. LAKE MACKAY Lake Mackay is a joint venture between IGO, Prodigy Gold NL and Castile Resources Pty Ltd (in parts) with IGO having earned up to a 70% interest over a total of 15,630km 2 of tenements straddling the Northern Territory and Western Australian border. Work programs during FY20 included ground MLEM, RC drilling and soil sampling programs, all of which confirmed the strong prospectivity of this region. During FY20, drill testing confirmed the Arcee Gold Prospect, with mineralisation confirmed over approximately 600m of strike by strong RC drill results which included 12m @ 3.5g/t Au from 112m, including 8m @ 4.94g/t Au from 116m 2 . At the Phreaker Prospect, a copper-gold zone was identified in RC drilling over 750m of strike, with this prospect to be diamond drill tested during FY21. Rock samples from the Grimlock Prospect were subjected to metallurgical test work to understand the leachabilty of metals from highly cobalt-nickel- manganese enriched duricrust. These tests showed encouraging initial results, with atmospheric leaching delivering extraction results of 97.6% for cobalt, 85.2% for nickel and 99.2% for manganese 3 . INNOVATION IN EXPLORATION IGO invests in exploration research and development (R&D) programs across three key areas: • Seismic interpretation and drill core analysis • Electromagnetic (EM) geophysical technologies; and • Resistate indicator minerals for exploration. The R&D is conducted internally and externally through collaborations with private sector SME’s, universities, CSIRO, AMIRA and MRIWA programs. Traditionally IGO has developed its own EM transmitters, and in the past 12 months has begun the design process for the next generation system. Coupled with ultra-low noise EM receivers using cryogenically cooled superconductors, affectionately known as a SQUID (superconducting quantum interference device), the goal was to increase the power of these systems to explore to greater depths. In particular, the new transmitter will allow surveys to be completed with much smaller transmitter loops which would double survey efficiency without compromising investigation depth. Synthetic modelling simulations also demonstrated a smaller loop can better discriminate a massive nickel sulphide target underneath conductive cover, which is prevalent across the Australian landscape. Bench-testing the next generation EM transmitter literally starts on a bench in a lab. Complementary to our internal research, IGO has sponsored two geophysical Honours projects at Curtin University in the past 18 months. One project compared a range of commercial EM sensors over some active exploration tenure and provided an opportunity for the student to gain industry experience. The current project is trialling a new portable EM system (Loupe) that will be applied underground at Nova to measure the conductivity along ore drives, to ascertain if it can discriminate ore grade zones, and hence detect hidden zones of mineralisation beyond the drive walls. These two projects were cultivated from students undertaking vocational work at IGO over the summer period, and then undertaking employment in the 2020 IGO graduate intake. 2 ASX Release – PRX: Lake Mackay JV Update – New Gold Prospect Identified, dated 16 October 2019 3 ASX Release – PRX: Lake Mackay JV – 97% Co & Mn recovered in Leach Extraction, dated 12 December 2019 26 — IGO ANNUAL REPORT 2020 IGO ANNUAL REPORT 2020— 27