Sustainability Report 2021

Climate Change Risks – Medium to long-term As the clean energy transition progresses in the longer term, technological developments may favour options other than nickel dominant batteries, such as hydrogen fuel cells or other options. We closely monitor global energy technology trends as a core component of our strategy so that we can respond to changes in a timely and effective way. We also continue using scenario analysis and internal carbon pricing mechanisms as a tool to stress test current strategies and financial plans on a regular basis (see Scenario analysis section for more information). We continue to diversify our suite of products aligned to clean energy to de-risk our exposure to one metal. Reputation Opportunities IGO has an opportunity to be a preferred investment if credentials and performance exceed average sectoral performance. IGO takes pride in the positive contribution our Company is making to the clean energy transition. Although our operations are not at significant scale, we proactively disclose our approach and progress on climate change-related matters and work closely with our investors and other stakeholders to ensure we understand and meet expectations. We take considerable efforts to reduce our emissions footprint. Risks – Short, medium and long-term As an ASX 100 listed company, investors and other stakeholders (including local communities) take an active interest in the climate change-related risks relevant to the Company, shared risks (particularly those related to host communities in respect of fire and water), climate change-related opportunities and IGO’s management response to these matters. Company reputation could be negatively impacted if these expectations are not met, affecting the ability to attract capital, deliver investor returns and continue future growth. We consider climate-related reputational risk associated with both exploration and growth through mergers and acquisitions. Physical (acute and chronic) Risks – Short-term IGO’s Nova Operation is located in the Fraser Range region of Western Australia. Some of our product is trucked by road approximately 380km to Esperance and shipped from the Esperance Port. The remainder of our product is trucked to Kambalda, approximately 300km from Nova. Average annual temperature in this area has increased over the last century, with higher associated fire danger risks. Heavier rainfall events may also impact on production continuity and supply chain logistics. Water stress impacts are not anticipated within the expected operating life of our asset; however, they may become relevant if significant expansions extend current operations beyond ten years. IGO maintains a detailed Emergency Preparedness and Business Continuity Planning Standard to ensure situations with the potential to disrupt operations are actively identified and plans put in place to minimise impacts. A dedicated risk assessment has also been completed for uncontrolled bushfire events. Crisis and Emergency Response Teams were recently involved in the response to a number of bushfires near the Nova Operation with no harm to our people or operations. IGO sites are required to comply with the Company’s water management standard, including maintenance of a site-specific water balance and water management plan. A risk assessment has also been completed on Nova’s complete life-of-mine water supply to ensure controls are adequate for the level of exposure. Risks – Medium to long-term As our growth and exploration plans are executed, longer term physical risks will be relevant for any new developments, acquisitions or expansions. This may include increased insurance premiums and potentially reduced insurance availability in locations identified as ‘high risk.’ We have considered physical risks to IGO’s longer term business strategies in our Scenario analysis section. With the recent joint venture with Tianqi there is likely additional medium to long-term risk. The plan is to complete scenario analysis on this business to better understand these potential risks. Our Response to Climate Change 68 —IGO SUSTAINABILITY REPORT 2021