Fission Uranium (FCU) Corporate Presentation summary

Transaction overview

• Paladin Energy will acquire 100% of Fission Uranium via a statutory plan of arrangement, with Fission shareholders receiving new Paladin shares at a 30% premium to Fission’s 20-day VWAP.

• Fission shareholders will own approximately 24% of the combined company, with Paladin shareholders holding 76%.

• The transaction is targeted for completion in Q3 2024 and is supported by both companies’ boards.

• Paladin will seek a TSX listing concurrent with closing, enhancing international capital markets presence.

Project and asset highlights

• Triple R deposit in the Athabasca Basin is the only shallow, high-grade, undeveloped uranium project in the region, starting at 50–100m depth.

• Probable reserves: 93.7 Mlb U3O8 at 1.41% grade; indicated resources: 114.9 Mlb at 1.94%; inferred: 15.4 Mlb at 1.10%.

• Feasibility study (Jan 2023): 10-year mine life, 3-year construction, $1,155M initial capex, $13.02/lb operating cost, $18.06/lb all-in sustaining cost.

• After-tax NPV (8%) at $65/lb U3O8: C$1.2B; IRR: 27.2%; payback: 2.6 years.

• Projected to be among the world’s lowest-cost uranium producers by 2029.

Market and strategic context

• Uranium market faces a generational supply deficit, with primary supply yet to recover and incentive prices for new production above $90/lb.

• Geopolitical risks impact ~53% of global uranium supply, with major sources in Kazakhstan, Russia, and Niger.

• Nuclear energy is essential for net zero targets, with the IEA stating capacity must double to meet climate goals.

• Saskatchewan is a top-rated mining jurisdiction, with Canada accounting for 13% of global uranium output.