Record performance I am delighted to present this report and to provide a summary of our key financial performance for FY22, in what was another outstanding year for IGO. Following a transformative FY21, in which we completed our divestment of our share of the Tropicana Gold Operation (Tropicana) and formed a new lithium joint venture, TLEA, with Tianqi, FY22 was a year of immense growth and value creation for our shareholders. In FY22, IGO delivered earnings of $330.9 million, underpinned by strong metal prices and consistent production at Nova, whilst welcoming the first full year’s earnings contribution from TLEA. The year culminated with the completion of IGO’s strategic acquisition of Western Areas and its portfolio of nickel assets, which we expect to contribute to our financial performance and operating results from FY23 onwards. FY22 production from Nova was in line with guidance, with 26,675t nickel, 11,483t copper and 982t cobalt at cash costs of $1.95 per payable pound of nickel produced. Cash costs, previously guided at $2.00 to $2.40/lb, were controlled despite inflationary cost pressures during the year. Unit cash costs also benefited from strong realised copper and cobalt by-product prices. At Greenbushes, spodumene concentrate production of 1,135kt was within guidance following a strong final quarter to close the year, an outstanding result after the interrupted third quarter result impacted by bushfires in the region. Greenbushes returned a full year unit cost of goods sold (COGS) before royalties of $238/t, in line with our guided range, despite industry wide cost pressures. Higher royalties were payable than guided, however this reflected the strong and rising lithium prices achieved during the period. At the Kwinana Refinery, commissioning activities for Train 1 culminated in the first battery grade lithium hydroxide production in the June 2022 quarter, which was an CFO Report important milestone to enable customer qualifications and further production ramp up. Commercial production levels of battery grade lithium hydroxide is expected in FY23. The overall net profit after tax contribution from TLEA of $176.7 million for FY22 is an outstanding result, which reflects the excellent operating and financial outcomes from Greenbushes. In another milestone for the lithium joint venture, TLEA issued its inaugural dividend to IGO of US$49 million ($70.7 million) in June 2022, marking the first return on investment to ourselves as shareholders of this new joint venture. This first dividend from TLEA, and record underlying free cash flow generated by Nova of $574.1 million increased IGO’s cash position substantially during the year. Some of this cash was deployed in June 2022 to acquire the shares of Western Areas for total consideration of $1,262.5 million. To fund this transaction, IGO used existing cash and new three-year term $900.0 million syndicated debt facilities. The acquisition was formally completed on 20 June 2022, positioning our business with a strong balance sheet, with net debt of $532.9 million at 30 June 2022. We maintain our commitment to deliver solid returns to our shareholders of between 15-25% of underlying free cash flow. In accordance with this policy, our final FY21 and interim FY22 dividend paid to shareholders during the year totalled 15 cents per share, and subsequent to year end I am pleased to report that the Company has determined to pay a final FY22 dividend of 5 cents per share. I would like to take this opportunity to acknowledge the ongoing support of our debt providers who believe in our purpose and assist us to deliver on our strategy. Scott Steinkrug Chief Financial Officer FY22 Financial Summary FY22 $M FY21 $M FY20 $M FY19 $M FY18 $M Total revenue and other income 903 9191 892 793 781 Underlying EBITDA2 717 475 460 341 339 Profit after tax 331 5493 155 76 53 Net cash flow from operating activities 357 446 398 372 278 Underlying free cash flow2 312 363 311 278 138 Total assets 4,845 3,609 2,293 2,190 2,175 Cash 367 529 510 348 139 Marketable securities 208 111 108 28 24 Total liabilities 1,410 409 367 341 396 Shareholders’ equity 3,435 3,200 1,926 1,849 1,779 Net tangible assets per share ($ per share) 4.54 4.23 3.26 3.13 3.03 Dividends (cents per share) 10 10 11 10 3 1. Revenue and other income from continuing and discontinued operations (excluding profit on sale of Tropicana of $557M). 2. See Glossary on page 160 for definition. 3. Profit after tax includes the gain on the sale of Tropicana after tax of $385M. Profit after tax excluding this gain was $164M. Share Price Performance $0.00 0 $2.00 3,500,000 1,750,000 5,250,000 $4.00 7,000,000 8,750,000 $6.00 10,500,000 $8.00 12,250,000 $10.00 14,000,000 $16.00 $14.00 $12.00 $/share Volume As at 11 August 2022. Share Price Volume MAX: $15.00 MIN: $7.95 Jul 21 Aug 21 Sep 21 Oct 21 Nov 21 Dec 22 Jan 22 Feb 22 Mar 22 Apr 22 May 22 Jun 22 Jul 22 Aug 22 Historical Payable Production1 The historical payable metal charts represent five years of contribution from IGO’s current operations and historical contributions from the Long and Jaguar operations that are no longer in the IGO portfolio2. Nickel (t) 25,000 20,000 5,000 0 15,000 10,000 FY21 FY20 FY19 FY18 FY22 Cobalt (t) 500 350 400 450 100 150 200 250 300 50 0 Copper (t) 14,000 8,000 10,000 12,000 6,000 4,000 0 2,000 FY21 FY20 FY19 FY18 FY22 1. Historic metal production of nickel, copper and cobalt includes metal units produced in concentrate (Nova and Jaguar) and metal in ore (Long). Historic production from the Forrestania Operation, which was acquired by IGO during FY22, has been excluded from these charts. 2. The Long and Jaguar Operations were divested during FY19 and FY18 respectively. FY21 FY20 FY19 FY18 FY22 IGO ANNUAL REPORT 2022— 11 10 —IGO ANNUAL REPORT 2022
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