IGO SUSTAINABILITY REPORT 2020

RISK MANAGEMENT Climate change risks are integrated into IGO’s company-wide risk identification, assessment and management processes as detailed in our Risk Management Standard available on our website. Operational risk assessments are conducted at the site/facility level and reviewed at least annually by project management teams. Outcomes are secured in IGO's Meerkat enterprise risk database, which is then integrated into the whole-of-business Business Critical Risk Register for review by executive management and the Board where necessary. As detailed in the Strategy section, this was supplemented in 2020 with a dedicated risk assessment across our business strategies and financial plans, including scenario analysis, to ensure that uncertainties and timeframes specifically relevant to climate change risks were appropriately considered. IGO uses a standard methodology to categorise risk which assigns risks to one of five categories. Appropriate controls are then identified, authorised and implemented according to the risk category allocated. IGO imposes a higher standard (i.e., is less risk tolerant) with regard to the management of Occupational Health, Safety, Environment and Community (HSEC) risk. IGO also maintains a Social and Environmental Impact Assessment standard which applies to all our exploration activities, projects and operations. This standard details IGO’s requirements for the completion of baseline environmental and socio- economic impact assessments, and ongoing impact monitoring, review, and reporting. Climate change related risks relating to water and biodiversity impacts are included in this standard. METRICS & ASPIRATIONS As per IGO’s Board approved Climate Change Policy, we aspire to being carbon neutral by 2035. Achieving this aspiration will be dependent on the nature and location of IGO’s future asset acquisitions and or exploration success. It is again noted that none of our existing assets have operation lives beyond 2035. Our carbon neutral aspiration is intended to support IGO’s alignment to the Paris Agreement objectives. It will drive greater use of renewable energy and other cost effective low-emission technologies at our operations. In FY20 we progressed towards this aspiration with the commissioning of a 5.5MW photovoltaic solar power generation system, resulting in a significant savings of diesel usage and delivering 10 per cent of Nova’s total power requirements. We release GHG emissions through the combustion of fuels to power our mining operation and in processes used to produce metal concentrates. We also contribute to GHG emissions indirectly through both the transportation and use of our products. Our electricity generation contributes more than 78 per cent of our total GHG emissions profile, with the remaining emissions largely associated with diesel combustion engines used in mine mobile plant such as trucks and earthmoving machinery. Total reportable Scope 1 and 2 emissions for all IGO facilities were 63,352 tCO 2 -e in FY20, 14 per cent lower than the previous financial year. Our energy consumption across IGO managed operations and projects was 1,251,396GJ in FY20, 10 per cent lower than FY19. In FY20, we have been proactive in reporting a more realistic picture of our actual emissions profile, including a focus on Scope 3 emission estimates (emissions associated with our supply chain, but outside our operational control) and emissions from land clearing. It should be noted that Scope 3 and land clearing emissions are based on estimates and assumptions and therefore excluded in our limited assurance engagement. Finally, we are committed to understanding and disclosing our product end use, specifically the percentage of IGO’s product sold to customers for use in renewable energy storage and electric vehicles, as a key metric in tracking IGO’s progress. Based on public statements and engagement with IGO’s key nickel customers, we are advised that approximately 75% of IGO supplied nickel was processed for use in downstream battery products in FY20. We have an associated target to increase the percentage of our products that are used in renewable energy storage and electric vehicles over the coming years. IGO TOTAL EMISSIONS PROFILE (TONNES CO 2 EQUIVALENT) FY20 FY19 Scope 1 63,179 73,963 Scope 2 173 130 Scope 3 1 31,245 11,178 Emissions from land clearing 3,250 4,008 1 Scope 3 emissions have been calculated using methodologies consistent with the GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard. GREENHOUSE GAS EMISSIONS (TONNES CO 2 EQUIVALENT) Scope 1 Scope 2 FY20 63,179 173 FY19 73,963 130 FY18 71,123 14,042 FY17 76,482 13,743 FY16 49,624 15,598 Solar Farm Diesel Power Station Intensity Average Emissions Intensity 50 100 150 200 250 300 Power Station Intensity (tonne CO 2 -e / kT Concentrate) Electricity Demand (MWh) 2,000 4,000 6,000 8,000 10,000 Jul 18 Oct 18 Jan 19 Apr 19 Jul 19 Oct 19 Jan 20 Apr 20 IGO EMISSIONS INTENSITY IN ELECTRICITY GENERATION Nova Operation 5.5MW solar farm 72 — IGO SUSTAINABILITY REPORT 2020 IGO SUSTAINABILITY REPORT 2020— 73 OUR RESPONSE TO CLIMATE CHANGE