#1Sierra Rutile Holdings Limited Demerger Briefing June 2022 Sierra Rutile Limited#2Important Notices and Disclaimer Sierra Rutile Limited This presentation has been prepared by lluka Resources Limited (Iluka). By accessing this presentation you acknowledge that you have read and understood the following statement. Summary information This presentation contains summary information about Iluka, Sierra Rutile Holdings Limited (Sierra Rutile) and each of their activities current as at 20 June 2022. The information in this presentation is of a general background nature and does not purport to be complete. It should be read in conjunction with Iluka's other periodic and continuous disclosure announcements, including the Demerger Booklet dated 20 June 2022 relating to the proposed demerger of Sierra Rutile from Iluka (Demerger Booklet) which is available at www.iluka.com. Decisions regarding voting on the demerger should be made on the basis of the Demerger Booklet. Decisions regarding investing in Sierra Rutile shares should be made on the basis of the information memorandum that will be lodged in connection with its listing on the Australian Securities Exchange. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in Sierra Rutile and neither this presentation nor anything contained in it shall form the basis of any contract or commitment. Not financial product advice Reliance should not be placed on the information or opinions contained in this presentation. This presentation is for information purposes only and is not financial product or investment advice, nor a recommendation to acquire securities in Sierra Rutile (or any interest in Sierra Rutile securities). It has been prepared without taking into account the objectives, financial situation or needs of individuals. Before making any investment decision, prospective investors should consider the appropriateness of the information having regard to their own objectives, financial situation and needs and seek legal and taxation advice appropriate to their jurisdiction. Forward-looking information This presentation contains certain forward-looking statements. Forward looking statements include those containing such words as "anticipate", "estimates", "forecasts", "should", "could", "may", "intends", "will", "expects", "plans" or similar expressions, and may include, without limitation, statements regarding plans; strategies and objectives of management; anticipated production and production potential; estimates of future capital expenditure or construction commencement dates; expected costs or production outputs; estimates of future product supply, demand and consumption; statements regarding future product prices; and statements regarding the expectation of future Mineral Resources and Ore Reserves. Where Iluka expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and on a reasonable basis. No representation or warranty, express or implied, is made by Iluka that the matters stated in this presentation will in fact be achieved or prove to be correct. These forward looking statements are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which may be beyond lluka's or Sierra Rutile's control, and which may cause the actual results, performance or achievements of Iluka or Sierra Rutile to be materially different from future results, performance or achievements expressed or implied by such statements. Such risks and factors include, but are not limited to changes in exchange rate assumptions; changes in product pricing assumptions; major changes in mine plans and/or resources; changes in equipment life or capability; emergence of previously underestimated technical challenges; increased costs and demand for production inputs; and environmental or social factors which may affect a licence to operate, including political risk. Other than as required by law, none of Iluka, Sierra Rutile, their officers, advisers nor any other person gives any representation, assurance or guarantee that the occurrence of the events expressed or implied in any forward looking statements in this presentation will actually occur. Additionally, statements of the intentions of the Iluka Board or the Sierra Rutile Board reflect the present intentions of the Iluka Directors and Sierra Rutile Directors respectively as at the date of this presentation and may be subject to change as the composition of the Iluka Board and Sierra Rutile Board alters, or as circumstances require. Neither Iluka, nor Sierra Rutile undertake to release publicly any revisions to any forward-looking statement to reflect events or circumstances after the date of this presentation, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Photographs and diagrams Photographs and diagrams in this presentation are for illustration purposes only and should not be interpreted to mean that any person shown in them endorses this presentation or its contents or that the assets shown in them are owned by Iluka. Diagrams and maps used in this presentation are illustrative only and may not be drawn to scale Unless otherwise stated, all data contained in charts, graphs and tables is based on information available as at the date of this presentation. Non-IFRS financial information This document contains non-IFRS financial measures including unit cash cost of production and unit cash cost of production (net of co-product credits), among others. Non-IFRS measures have not been subject to audit or review. 2#3Contents Contents 1 Key Management 2 3 4 Demerger Overview Introduction to Sierra Rutile Area 1 Operations Sembehun Project 5 6 ESG Commitment 7 Investment Highlights Appendices History of Sierra Rutile Sierra Rutile Limited Page 4 5 11 18 24 27 B A conventional mining and processing operation Current Market Dynamics Balance Sheet & Rehabilitation Support E TZMI Pricing - Sembehun PFS F G Mineral Resource & Ore Reserve Estimates Competent Persons' Statement 30 31 32 33 34 36 37 H Risks 38#4Key Management Theuns de Bruyn Managing Director and Chief Executive Officer Martin Alciaturi Finance Director Sierra Rutile Limited#5Demerger Overview DER SAL#6Demerger Overview Sierra Rutile Limited The demerger will result in two separate ASX-listed companies – Iluka will be a global critical minerals company (mineral sands and rare earths), while Sierra Rutile will be one of the world's largest natural rutile producers. Overview The demerger will result in two independent ASX-listed companies, lluka and Sierra Rutile, each with a management team focused on pursuing its own growth strategy. Iluka shareholders will have the opportunity to vote on the Demerger at the Extraordinary General Meeting on 22 July 2022. . Iluka Directors unanimously recommend that Iluka shareholders vote in favour of the Demerger Resolution The Independent Expert has concluded that the Demerger is in the best interests of Iluka shareholders Iluka shareholders will be entitled to receive 1 share in Sierra Rutile for each share held in Iluka as at the Record Date. Demerger Benefits • . The demerger of Sierra Rutile is the optimal pathway to reach its potential and maximise value for Shareholders: focussed on maximising value from the remaining producing deposits at Area 1 and continue to progress the globally significant Sembehun Project. established with a dedicated high quality Board and management team. The demerger will simplify lluka's structure and ensure management focus is on its core Australian assets and diversification into rare earths. A demerger from Iluka provides investors with a choice to select the level of their intended investment exposure to each business. Post-demerger Structure Iluka Shareholders 100% Iluka Resources Limited (ex. Sierra Rutile Holdings Limited) ASX:ILU 100% Sierra Rutile Holdings Limited¹ ASX:SRX Note: (1) Post-demerger, Sierra Rutile will have approximately 424.2 million shares on issue. 6#7Key Dates Sierra Rutile Limited Subject to a shareholder vote on 22 July 2022, Sierra Rutile will commence trading on the ASX as a separately listed entity on 27 July 2022 on a deferred settlement basis. Event Last time and date for determining eligibility to vote at the Extraordinary General Meeting Extraordinary General Meeting Last time and date by which Sale Facility Forms must be received by Iluka Share Registry Last date Iluka shares trade on ASX cum-entitlements under the Demerger ASX listing of Sierra Rutile Limited (ASX:SRX) Sierra Rutile Shares to be distributed to Iluka Shareholders and commence trading on ASX on a deferred settlement basis Time and date for determining entitlement to Sierra Rutile Shares under the Demerger (the Record Date) Implementation Date and transfer of Sierra Rutile Shares to Eligible Shareholders (other than Selling Shareholders) and Sale Agent Normal trading of Sierra Rutile Shares on ASX commences Completion of sale of Sierra Rutile Shares under Sale Facility Dispatch of payment to Ineligible Overseas Shareholders and Selling Shareholders Date 5:00pm (AWST) Wednesday, 20 July 2022 9:30am (AWST) Friday, 22 July 2022 3:00pm (AWST) Monday, 25 July 2022 Tuesday, 26 July 2022 Wednesday, 27 July 2022 Wednesday, 27 July 2022 5:00pm (AWST) Thursday, 28 July 2022 Thursday, 4 August 2022 Friday, 5 August 2022 Monday, 5 September 2022 Expected to occur on or before Wednesday, 21 September 2022 7 All dates in the above timetable are indicative only and are subject to change. A more detailed indicative timetable is included in the Demerger Booklet.#8Introduction to Sierra Rutile PLANT 2#9Experienced Board and Senior Management Sierra Rutile Limited Sierra Rutile will be established with a strong Board and management team that have the requisite skills and experience to deliver sustainable value for shareholders. Board of Directors Greg Martin Independent Chair Theuns de Bruyn Managing Director and Chief Executive Officer Martin Alciaturi Finance Director Graham Davidson Independent Non- Executive Director Joanne Palmer Independent Non- Executive Director . • . • • . 40 years' experience in the mining, utilities, financial services, energy and energy related infrastructure sectors in Australia, New Zealand and internationally. Immediate past Chair of Iluka. BEC, LLB, FAIM, MAICD Sydney, Australia Over 25 years' experience in the African mining sector, starting his career with BHP where he worked in Operations and Business Development across various commodities. Joined Sierra Rutile in 2019 as COO and was appointed CEO in January 2021. BEng (Chemical Engineering), MBA Site, Sierra Leone Over 40 years in corporate finance (as a Partner of EY and a Director of Macquarie) and as a mining executive with Aquila Resources. BSc (Eng) (Hons), GradDipAppFin, FCA, MAICD Perth, Australia Over 30 years' professional experience of executive and board positions with a track record of leading large multicultural teams on natural resource projects, including at Rio Tinto. BEng, GradDip in Maintenance Management, MIOD (UK) London, United Kingdom Over 25 years' of industry experience providing audit and assurance services on company listings, M&A and takeovers and significant experience with international mining companies. BSc (Hons), FCA (ANZ and England & Wales), GradDip AICD, Registered Company Auditor ASIC • Perth, Australia Senior Management Team Theuns de Bruyn Managing Director and Chief Executive Officer Martin Alciaturi Finance Director Eben Lombard Chief Operating Officer Maurice Cole Chief Financial Officer Derek Folmer General Manager Marketing Sue Wilson • • See left hand side. See left hand side. 22 years' experience in the African mining sector, across various commodities including steel, chrome, platinum, copper, cobalt and lead. BSc (Eng), MBA, Cert (Fundamentals of Fin Mgmt) Site, Sierra Leone Over 30 years' experience in the Accounting and Auditing including 5 years at Sierra Rutile. Qualifications from ACCA and AAT, FCA (England & Wales and Sierra Leone) Freetown, Sierra Leone Over 25 years' commercial experience in the mineral sands sector, including 9 years of active involvement with Sierra Rutile. BEng, MBA, Member of OIQ London, United Kingdom • Over 40 years' leadership experience in the governance, General Counsel & education, mining and banking sectors including 5 years at Iluka. • BJuris, LLB, FAICD, FGIA Company Secretary • Perth, Australia 9#10Sierra Rutile Investor Highlights Sierra Rutile Limited One of the world's largest natural rutile producers positioned to significantly extend its mine life and deliver value through development of Sembehun. Investment Highlights Attractive market fundamentals driven by depleting global supply and strong demand for titanium as a critical mineral¹ Established Area 1 mine operations, underpinned by favourable fiscal regime reset, positioned to generate strong operating cash flows to supplement the funding requirement of Sembehun Location Attractive growth profile in Sembehun project with strong PFS economics leveraging existing facilities and infrastructure Long-term, established customer relationships with strong demand for premium natural rutile product¹ A robust financial position with net cash of US$20.7m² (as well as the US$45m rehabilitation trust funds to be established to support existing rehabilitation obligations³) Well established ESG practices and credentials Experienced, established team positioned to deliver value for shareholders Sierra Rutile Operations Sierra Leone Note: (1) Please see Appendix C for more information. (2) Pro forma cash balance as at 31 May 2022. (3) Estimated rehabilitation obligations as at 31 December 2021. Sierra Rutile Corporate HQ Perth, WA 10#11Area 1 Operations#12Area 1 Operations Area 1 represents an established well understood operation that is positioned to deliver value and support the transition to Sembehun. Sierra Rutile Limited Overview Location & Size 541Kt Contained Rutile Ore Reserve¹ 144kt FY22 Rutile Production Guidance² 2.1Mt Contained Rutile Mineral Resource¹ US$892/t of rutile FY22 Unit Cost Guidance (net of co-products)³ Work program to extend the Area 1 LOM Plan is underway Products Mining method Processing4 . Standard Grade Rutile (SGR) Industrial Grade Rutile (IGR) High-grade ilmenite Zircon-in-concentrate (ZIC) Dry mining: truck and excavator with dozer support. Four wet concentrator plants (WCPs) producing mineral concentrate with feed capacity of 500-600tph. Mineral concentrate from Area 1 is processed in the mineral separation plant (MSP), which includes a feed preparation plant and dry plant. The MSP has capacity to produce 175ktpa of rutile. Gbeni Sembehun deposits Proposed mine development Freetown Legend MAP AREA Area 1 Deposits Tenure Sembehun Deposits Tenure Other Deposits Tenure Inferred Resources Measured & Indicated Resource Previous Mining Nitti Port Gangama & Taninahun Mineral Separation Plant Rivers Roads Ndendemoia Other assets Products are exported through the Nitti Port facilities situated in the Area 1 mining lease. The mine also maintains an extensive network of water supply ponds, power generation facilities, accommodation for senior and management staff, offices, extensive workshops, laboratory, a clinic and roads. Gbeni (Southern extension) 10 km Pejebu Lanti 245444v0 Note: (1) Ore Reserve and Mineral Resource estimate as at 31 December 2021. Please see Appendices F and G for more information. (2) Inclusive of TiO2 in concentrate (TIC). Please see Appendices D and E for more information. (3) Unit cash costs (net of co-products) represent the total cash costs of production less the revenue earned from co-products (ZIC and ilmenite), divided by the total tonnes of rutile produced (inclusive of TIC). (4) Please see Appendix B for more detail. 12#13Area 1 - Mine Life Extension Program Sierra Rutile Limited Sierra Rutile is currently undertaking a work program to convert Mineral Resources to Ore Reserves in order to extend the Area 1 life of mine plan. Area 1 - Mine Life Extension Program Overview • Pejebu and Ndendemoia deposits are located less than 5km south of the MSP within the Area 1 Mining Lease. Subject to completing the technical and operational planning activities required to convert Indicated Mineral Resources to Ore Reserves, mining at Pejebu and Ndendemoia will be considered following completion of mining activities at Gbeni and Lanti. A mine life extension work program has commenced at both deposits, including: additional geological drilling program and resource model update; pit and civil infrastructure design; operational planning including mine sequencing; and financial modelling. The work program is scheduled to be complete by mid 2023. Area 1 - FY22 Extension Drilling The 2022 drill program is focussed on collecting metallurgical and geo-metallurgical data and improving Mineral Resource confidence as part of the ongoing LOM program. Deposit Current JORC Status Drill metres planned Indicated 1,239m Inferred Pejebu Expected JORC status after drilling Measured Indicated Measured Ndendemoia Indicated 871m Indicated 13#14850000 Area 1 - Mine Life Extension Program (cont.) Sierra Rutile Limited While the mine life extension work program underway is focussed on the Pejebu and Ndendemoia deposits, Area 1 holds Mineral Resources across a number of deposits that will be investigated for conversion to Ore Reserves over time. Area 1 Deposits 245478v01 ML 2134 800000 TANINAHUN 6.8Mt @ 1.0% rutile 2.5Mt @ 1.4% rutile MOGBWEMO 0.7Mt @ 1.0% rutile ML 2134 GANGAMA 34.5 Mt @ 1.4% rutile 11.8Mt @ 1.4% rutile GBENI 27.8Mt @ 1.1% rutile 19.0Mt @ 1.3% rutile HM Resources HM Reserves Previous Mining SRL Mining Lease ML2134 LANTI 46.5Mt @ 1.1% rutile 4.9Mt @ 1.8% rutile 800000 Freetown NDENDEMOIA 18.3Mt @ 1.0% rutile PEJEBU 23.4Mt @ 1.0% rutile Area 1 - Current Reserve by Deposit¹ Deposit Gangama (inc ROM) Material Tonnes (Mt) In Situ Rutile (%) 11.8 In Situ Rutile (Mt) 1.4 0.17 Gbeni North 19.0 1.3 0.25 Lanti 4.9 1.8 0.09 Taninahun 2.5 1.4 0.04 TOTAL 38.2 1.4 0.54 Area 1 - Target Resources in Mine Life Extension Program¹ Deposit Material Tonnes (Mt) In Situ Rutile (%) In Situ Rutile (Mt) Pejebu MOSAVI 47.4Mt @0.7% rutile 850000 Indicated 18.6 1.0 0.18 Inferred 4.8 1.0 0.05 ML 2134 Ndendemoia East 0 1km WGS 1984 UTM Zone 28N Indicated 14.3 1.1 0.16 Ndendemoia West Indicated 4.0 0.6 0.03 TOTAL 41.7 1.0 0.40 14 Note: (1) Ore Reserve and Mineral Resource estimate as at 31 December 2021. Please see Appendices F and G for more information.#15Area 1 - Recent Operating Performance Sierra Rutile Limited Following significant operational improvements in the second half of 2021 and the reset of the fiscal regime for Area 1 operations, Sierra Rutile has performed strongly since June 2021. Recent Operational Improvements • Poor operational performance and disruptions from COVID-19 in 2020 and H1 2021. Sierra Rutile identified and implemented a number of initiatives targeting cost reductions and productivity improvements from H2 2021, including: mine plan optimisation; - improved mining, stockpile management, processing and tailings management practices; - Ore Processed & Rutile Grade 1.7% 1.6% 1.5% 1.4% 1.3% 2.7 2.6 2.6 2.3 2.2 1Q21 2Q21 3Q21 4Q21 1Q22 Ore Processed (Mt) Rutile Grade (%) improved maintenance practices targeting increased run time and plant availability; and HMC Produced & WCP Run Time¹ • reduced operating costs driven by optimised staff rosters, reduced operating footprint and third party contract terms. Favourable fiscal regime adjustments for Area 1 were ratified by the Parliament of Sierra Leone in December 2021. Resulting operational improvements support the targeted Mine Life Extension Program for Area 1 operations. Note: (1) The average run time of 4 wet concentrator plants (DM1, DM4, DM2-1 and DM2-2). 77% 73% 72% 66% 63% 98 86 77 72 65 1Q21 2Q21 HMC Produced (kt) 3Q21 4Q21 1Q22 Average Run Time (%) 15#16Area 1 - Recent Operating Performance (cont.) Sierra Rutile Limited The implementation of these initiatives and improved commodity prices has resulted in significantly improved operational and financial performance at Sierra Rutile since 30 June 2021. Area 1 rutile production, unit cash cost of production (net of co-credits), net rutile price realised 1,195 1,272 1,229 1,254 1,134 1,087 930 854 30 26 37 36 Margin 1,459 893 35 1Q21 2Q21 I Rutile production (kt) 3Q21 -Unit cash cost of production (net of co-product credits, US$/t R) 4Q21 1Q22 Net rutile price realised (US$/t) Note: (1) Rutile production is inclusive of TIC. (2) Unit cash costs (net of co-products) represent the total cash costs of production less the revenue earned from co-products (ZIC and ilmenite), divided by the total tonnes of rutile produced (inclusive of TIC). 16#17Sierra Rutile Marketing Sierra Rutile Limited Sierra Rutile has a long and established market presence, including relationships with all of the primary chloride-based titanium pigment manufacturers as well as the world's largest producers of high-specification aircraft-quality titanium metal. Overview Sierra Rutile's products are highly sought after in several end-use markets and applications. Associated sales arrangements are custom-tailored, varying by end- use application and ranging from spot to six-month duration. Sierra Rutile currently produces three primary products for sale: Standard Grade Rutile (SGR), which is considered to be an industry leading high quality product and is consumed primarily in the manufacture of titanium dioxide pigment and titanium sponge. Industrial Grade Rutile (IGR), which is well suited to high quality flux core wire applications due to its high packing density and low contaminant level, ensuring that the product generally trades at a premium to competing rutile products. High-grade ilmenite, which is sold mainly for pigment production. In addition to the three primary products above, Sierra Rutile also produces Zircon- in-concentrate (ZIC), used in ceramics, chemicals, refractory and foundry. Sierra Rutile has no committed off-take volumes post December 2022 and expects that future arrangements will be entered into on market terms. Sierra Rutile End-Uses of Titanium Dioxide Feedstocks (FY19-21)¹ Sierra Rutile's primary products serve the following end-use applications: Pigment 6% Paint, plastics, inks, speciality coatings 14% Metal Aircraft frames and engines, medical items, sporting goods Welding Steel fabrication, ship building Key Customers 80% Sierra Rutile's key customers include some of the world's largest producers of pigment, the world's leading welding consumable manufacturers and discerning titanium sponge producers serving the high quality aeronautical applications. Note: (1) Sierra Rutile's historical sales (in tonnes) by end-used application. KRONOS TRONOX VENATOR Chemours™ 17#18Sembehun Project#19Sembehun Project Sierra Rutile Limited Sierra Rutile will be focused on advancing its Sembehun Project, representing one of the largest and highest grade natural rutile deposits in the world. Sembehun One of the largest and highest-grade natural rutile deposits in the world. . Phased development approach to: - leverage the significant Area 1 existing infrastructure in place; and integrate the development of Sembehun with the remainder of operations at Area 1. • This approach contemplates Sembehun to be developed in two phases, minimising Sembehun pre-production capital expenditure and maximising Sierra Rutile's ability to utilise cash flows generated from Area 1 to assist in funding the development of Sembehun. • The Sembehun June 2022 PFS completed with the assistance of specialist consultant, Hatch, recommends that a DFS commence by Q3 of 2022. • The DFS is expected to take approximately 12 months to complete which would allow Sierra Rutile to reach a final investment decision for Sembehun in late 2023. 850000 000006 950000 Location & Size 700000 FREETOWN 750000 800000 ML2134 Sembehun Area Deposits ML2134 ML2134 Mine Area 1 Deposits HM Resources SR Mining Lease ML 2134 244453v02 ML2134 850000 FREE TOWN MAP EXTENT FREE TOWN GUL AFRICA 20 km WGS 1984 UTM Zone 28N 19#20Sembehun Geology Sierra Rutile Limited Sembehun's rutile grade and resource thickness endowment and rutile grade tonnage curve highlight the high grade areas within the Sembehun Ore Reserve and Mineral Resource estimate. Sembehun Rutile Grade * Resource Thickness Endowment 864000 N- 882000 N 880000 N 878000 N 876000 N 874000 N Gbap Dodo Kibi Benduma 776000 778000 B Sembehun Rutile Grade Tonnage Curve 600 3.0 Tonnes (Mt) Rutile grade (%) 884000N 500 882000 N 400 Kamatipa 778000 E 880000 N 300 Komende 200 870000 N 100 2.5 2.0 1.5 1.0 0.5 Legend RR_THK [ABSENT] [8,12] [0,1] [12,16] 0 0.0 [1,2] [2,4] [4,8] [16,20] [20,CEILING] 0.00 0.25 0.50 0.75 1.00 1.25 1.50 1.75 2.00 2.25 2.50 Rutile Cut-Off (%) Note: The above charts were presented in an announcement released by Iluka on the ASX on 24 February 2022 "Sembehun Ore Reserve and Mineral Resource Update, Sierra Leone" and is available to view at www.iluka.com/investors-media/asx-disclosures. 20 20#21Sembehun PFS Summary Sierra Rutile Limited The PFS sets out an attractive project and pathway to developing Sembehun, leveraging the significant Area 1 infrastructure in place, remaining Area 1 Ore Reserves and Mineral Resources and forecast Area 1 cash flows to develop Sembehun in a two phased approach. Sembehun PFS Highlights Ore Reserves¹ Mineral Resources¹ Mine Life Mining Method Processing 174Mt @ 1.45% Rutile 508 Mt @ 1.10% Rutile >13 years Dry mining (truck & excavator) Mineral concentrate from Sembehun will be processed in a magnetic separation circuit (to be constructed) and proceed to the company's existing mineral separation plant, which includes a feed preparation plant and dry plant US$318m Production Tonnes (Mt) vs Grade (% rutile)4 1.6% 1.6% 1.6% 1.6% 1.4% 1.4% 1.5% 1.5% 1.5% 1.4% 1.3% 1.4% 1.4% 1.2% 1.3% 13.7 13.6 13.6 13.6 13.7 13.6 13.6 13.6 13.7 13.6 13.0 8.1 6.8 7.6 1.3 Year 1 Year 2 Year 3 Year 4 | | | | | | | | | | | Year 5 Proved Reserve Year 6 Year 7 Year 8 Year 9 Probable Reserve Annual Rutile and Ilmenite Production (kt)4 Year 10 Year 11 Year 12 Year 13 Rutile Grade (% of ore) Year 14 Year 15 Project Net Present Value (8%, post tax real)² Project Internal rate of return (post tax real)² Capital cost (US$m real) Steady state average unit cash costs of production (US$/t Z/R, real) Steady state average unit cash costs of production, net of co-product credits (US$/t R, real)³ 24% Total: US$337m - Phase 1: US$284m | Phase 2: US$52m US$726/t rutile and zircon produced (excluding royalties and rehabilitation) US$535/t rutile produced (excluding royalties and rehabilitation) 15 Year 1 11 87 Year 2 57 117 Year 3 41 190 Year 4 72 188 Year 5 75 205 Year 6 57 178 Year 7 69 169 Year 8 75 158 Year 9 75 182 Year 10 75 185 Year 11 75 165 Year 12 75 168 Year 13 75 144 Year 14 75 Year 15 ■Rutile Ilmenite Note: (1) Ore Reserve and Mineral Resource estimate as at 31 December 2021. Please see Appendices F and G for more information. (2) Excludes head office corporate costs. (3) Unit cash costs (net of co-products) represent the total cash costs of production less the revenue earned from co-products (ZIC, TIC and ilmenite), divided by the total tonnes of rutile produced (exclusive of TIC). (4) Please see Appendix G for more information on Production Targets. Production Targets are based on current Ore Reserves only. 21 21#22- Sembehun PFS Summary – Capex & Opex Estimate The Sembehun PFS operating expenditure and capital expenditure estimates for Phase 1 and Phase 2 are outlined below. Sierra Rutile Limited Operating Expenditure Estimate Capital Expenditure Estimate (real, US$/t rutile) Phase 1 Phase 2 Mining 191 250 (real, US$m) Direct Phase 1 Phase 2 Total WCP 218 176 Mine development 4 4 Logistics to MSP 35 35 Wet concentrator plant 83 22 21 104 MSP 108 100 Mineral separation plant 4 4 Logistics to Port Non-process 10 10 46 1 infrastructure 46 46 Port 22 12 Indirect Overheads 456 228 Indirects² Selling Costs 6 6 Contingency³ Total operating costs per tonne³ 1,048 818 Project total costs4 90 16 106 63 11 73 284 52 337 • The operating cost estimate was developed with the assistance of Hatch using a combination of bottom-up factored estimates and current rates from Area 1 operations on which the Sembehun process is based. • • Operating costs per tonne are expected to improve in Phase 2 as a result of ramp-up costs normalising and economies of scale being achieved across the integrated Sembehun operation. A phased development approach has been designed to optimise the upfront capital required and maximise the ability to utilise Area 1 cash flows to support the development of Sembehun. • The majority of development costs will be incurred during Phase 1, with a second wet concentrator plant and supporting capital representing the majority of costs to be incurred during Phase 2. Notes: (1) Please see Appendix H for information on future capital requirement risk. (2) Indirect costs include project management, technical services, EPCM, sub consultants, temporary construction facilities, site wide capitalised costs, commissioning, start-up inventories, spares, insurance, land acquisition and freight costs. (3) Contingency costs represent 28% of the base capital expenditure estimate. (4) Numbers may not sum due to rounding. 22#23Phase 2 Indicative Timeline PFS Complete 2022 Sierra Rutile Limited Sierra Rutile's approach is expected to see the development of Sembehun integrated with the remaining operations at Area 1. The below timeline is based on the recently completed Sembehun PFS Phase 1 Project Assessment DFS Final Investment Decision 2023 2024 2025 2026 2027 2028+ Detail Engineering & Procurement Phase 1 Construction Phase 1 Commissioning Procurement Ramp-Up Steady state production Note: Sierra Rutile is working towards being in a position to make a final investment decision in 2023 which would allow Sierra Rutile to target the commencement of Phase 1 Sembehun production within 24 months. This timeline is indicative and may be subject to change including due to matters outside Sierra Rutile's control. Refer to Appendix H for information on key risks. Phase 2 Construction Phase 2 Commissioning Ramp-Up Steady State Production 223 23#24ESG Commitment#25Sierra Rutile Health, Safety & Environment The health and safety of all employees, contractors and visitors is of fundamental importance to Sierra Rutile. Health & Safety Health The Sierra Rutile Clinic, established in the 1970s, comprises a dedicated team of doctors, nurses, intensive care paramedics, laboratory specialists and support staff to provide medical support to employees and their families. In 2021, the Clinic supported the delivery of 63 babies. Safety Sierra Rutile has recorded a strong safety performance in recent years, attributable to the implementation of training programs, risk assessment and enhanced hazard identification. Sierra Rutile aims for continuous improvement in performance and the ultimate aim is to achieve zero workplace incidents. LTIFR & TRIFR (2018-2022) ⚫LTIFR TRIFR 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Jan-18 Jul-18 Jan-19 Jul-19 Jan-20 Jul-20 Jan-21 Jul-21 Jan-22 Environment Committed to compliance with the Environmental Project Agency of Sierra Leone ...and is at the forefront of environmental management in the Sierra Leone mining industry. Preparation of an Environmental, Social and Health Impact Assessment (ESHIA) ...and Management Plan to ensure compliance and management of obligations in regards to all aspects of environmental management including water, biodiversity, rehabilitation and waste management. Community rehabilitation initiatives ...through engaging in progressive rehabilitation, which commences during the operational phase of the mine lifecycle. This minimises the mining footprint and assists with the development and risk assessment of mine closure plans. Sierra Rutile has rehabilitated approximately 665 hectares since 2016,¹ supported by the ongoing efforts of Sierra Rutile's nursery team. Note: (1) to 31 December 2021. Sierra Rutile Limited Sierra Rutile nursery, Sierra Leone Raffia palm used to make baskets Sierra Leone 25#26Supporting the Local Communities Sierra Rutile Limited Sierra Rutile is proud of its social investments in Sierra Leone and its contributions to the development of a strong, healthy and vibrant local community. Health Sierra Rutile has actively invested in primary healthcare since 2018, leveraging existing infrastructure including water supply, power, land tenure and security, to provide healthcare to employees and their dependents as well as emergency care to members of the local community. The Sierra Rutile Clinic, which was established in the 1970s, provides medical support to employees and their families. Education Sierra Rutile invests in education in Sierra Leone through its investment in a school bursary program, and its support of the Ruby Rose Educational Resource Centre, which provides educational facilities to children from nearby schools. The centre provides access to a library and internet facilities to young learners, outdoor play areas and a feeding program. Sierra Rutile also established a school bus service for local children. Workforce Security & Conduct In 2020, Sierra Rutile entered into a Memorandum of Understanding (MOU) with the Sierra Leone Police in relation to mutual support, cooperation, coordination and collaboration in enhancing the security regime within the mining area. Further, Sierra Rutile has established Anti-Bribery & Corruption and Whistleblower Policies. Social Investment & Development Sierra Rutile seeks to promote the development of its local communities through the following initiatives: establishment of a local sourcing initiative; • implementation of community infrastructure projects; support of the Extractive Industries Transparency Initiative; and the Sierra Rutile Partnership Program, which is aimed at contributing to positive social, environmental and operational outcomes in the communities and regions in which the company operates. 26 26#27Investment Highlights GROVE#28Sierra Rutile Investment Highlight Summary Sierra Rutile Limited One of the world's largest natural rutile producers positioned to significantly extend its mine life and deliver value through development of Sembehun. Sierra Rutile Investment Highlights Attractive market fundamentals driven by depleting global supply and strong demand for titanium as a critical mineral Established Area 1 mine operations, underpinned by favourable fiscal regime reset, positioned to generate strong operating cash flows to supplement the funding requirement of Sembehun Attractive growth profile in Sembehun project with strong PFS economics leveraging existing facilities and infrastructure Long-term, established customer relationships with strong demand for premium natural rutile product A robust financial position with net cash of US$20.7m¹ (as well as the US$45m rehabilitation trust funds to be established to support existing rehabilitation obligations²) Well established ESG practices and credentials Experienced, established team positioned to deliver value for shareholders Note: (1) Pro forma cash balance as at 31 May 2022. (2) Rehabilitation estimate as at 31 December 2021. 28#29Appendices#30Appendix A: History of Sierra Rutile Sierra Rutile Limited 1920s Titanium-bearing mineral sands first discovered in south-western Sierra Leone 1960s BTP and Pittsburgh Plate Glass formed Sherbro Minerals (SML) and began mining operations at Mogbwemo 1995 The second dredge was under construction when the mine was shut down and placed on care and maintenance 2005 Refurbishment commenced (funded by GOSL loan & equity) and Sierra Rutile listed on AIM 2016 Iluka completed the acquisition of Sierra Rutile by means of a merger, making Sierra Rutile a wholly owned subsidiary of Iluka 2021 Sierra Rutile won the International SOS Foundation Duty of Care Award in the Remote Resilience 1950s British Titan Products (BTP) began exploring Gangama and Lanti-Teso- Gbeni deposits, confirming reserve estimates in 1957 1970s Nord Resources Corporation (Nord) and Armco Steel acquired SML's interests and formed Sierra Rutile 1983-1995 Mine operated continuously and profitably under Nord's management 1993 Nord sold 50% of Sierra Rutile to Consolidated Rutile Limited and the decision was made to expand to a two-dredge operation Sierra Rutile changed ownership and the European Union gave a €25m grant to GoSL to loan to Sierra Rutile 2019 Iluka commissioned the expansions of Lanti and Gangama, doubling the production capacity of these mines 2004 2006 Sierra Rutile resumed mining operations in the Lanti North Deposit Note: More information is available in the Demerger Booklet dated 20 June 2022 relating to the proposed demerger of Sierra Rutile from Iluka, which is available at www.iluka.com. category 2022 Iluka announced its intention to demerge Sierra Rutile 30 30#31Appendix B: A conventional mining and processing operation The Area 1 operations and proposed Sembehun flowsheet presents a low risk, well understood mining operation. Conventional Mining & Processing Sierra Rutile Limited Ore from mine Wet Concentrator Plants • Truck and excavator operation with dozer support¹ • Ore is further screened at the WCPS • • In-pit mineral sizers prepare the ore for ex- pit scrubbers by screening out oversize material and then pumping feed to WCPs Scrubbers, screens, density tanks and processing plants produce heavy mineral concentrate (HMC) • • Heavy Mineral Concentrate HMC is passively dewatered and stockpiled for transportation to the MSP for further processing Sand tailings and slimes tailings are disposed and water returned to process Mineral Separation Plant The MSP includes the Feed Preparation Plant (FPP) and the Dry Plant Trucks transport HMC to the FPP where gravity methods screen, scrub, de-slime and separate feed • The resultant rutile-rich HMC goes to the Dry Plant for drying, sizing and magnetic and electrostatic separation . Final Product The final rutile product contains at least 95% titanium dioxide. The products are stored in separate stockpiles for transport to Nitti Port, where they are then exported to Sierra Rutile's global customer base The Sembehun project will follow Sierra Rutile's well understood, low risk conventional mining and processing approaches. Significant existing infrastructure that is currently utilised for the mining and processing of Area 1 deposits, will be leveraged for future operations at Sembehun, including the MSP, Nitti Port, accommodation an other supporting infrastructure. Learnings from Area 1 have been used to inform incremental process enhancements and modifications to the Sembehun flowsheet.² Note: (1) Both mobile mining units will be truck and excavator operations by the end of 2022, feeding ore to mineral sizers and scrubbers in fixed positions. (2) Please see Section 3.12.9 of the Demerger Booklet for more information. 31#32Appendix C: Current Market Dynamics Sierra Rutile Limited A global supply deficit is emerging as growing demand levels outstrip depleting global resources, leading to increasing prices for natural rutile and zircon. Demand for natural rutile is supported by its high grade, low impurity characteristics and the configurations of chloride pigment manufacturing plants globally. Natural Rutile Commentary TZMI assumes that rutile consumption is currently supply constrained (that is, there is unmet demand due to insufficient production) and expects demand will match supply in the near term before entering a market deficit in the longer term. If there is no constraint on rutile supply, TZMI expects demand for rutile to be much higher than what is projected in the base case assuming there is no significant pricing arbitrage among the high grade feedstocks. Natural Rutile Demand and Supply Outlook Rutile supply Rutile demand Rutile demand (unconstrained) 1,000 '000 TiO2 units 800 600 400 200 2015 2016 2017 2018 2019 2020 2021f 2022f 2023f 2024f 2025f Zircon Commentary TZMI forecasts the current supply deficit for zircon to have notably increased by the end of 2025. This is a result of divergent supply and demand growth forecasts, end of mine life at key existing operations and new supply contributions being insufficient to meet demand. Zircon Demand and Supply Outlook kt Zircon 1,600 1,200 800 Zircon supply Zircon demand Source: TZMI (February 2022). 400 0 2015 2016 2017 2018 2019 2020 2021f 2022f 2023f 2024f 2025f 32 Note: The unconstrained rutile estimate reflects TZMI guidance based on future growth in chloride feedstock demand and assuming historical consumption patterns of rutile, and displacement of other high-grade feedstocks.#33Appendix D: Balance Sheet & Rehabilitation Support Sierra Rutile Limited Sierra Rutile has a strong balance sheet and sufficient liquidity to maximise the value of its existing Area 1 mining operations and continue to progress and invest in its flagship development project, Sembehun. Pro-forma Balance Sheet US$m Cash and cash equivalents Rehabilitation Trust deposit/ asset Trade receivables Inventories Well Capitalised with Rehabilitation Support Year ended 31 December 2021 Iluka has ensured that Sierra Rutile is established with a robust balance sheet and appropriate capital structure to implement strategies to maximise value for shareholders. 9.4 0.7 43.4 Sierra Rutile has a robust financial position from implementation of the Demerger, with a positive cash balance of $20.7m (at 31 May 2022) and no debt. 40.5 Total current assets 94.0 Rehabilitation Trust deposit/ asset 44.3 PPE & Other 27.0 Total non-current assets Total assets 71.3 165.3 22.8 Trade and other payables Borrowings Other Total current liabilities Non-current liabilities Total non-current liabilities Total liabilities Net assets Note: Please refer to Section 3.24 of the Demerger Booklet for more information. 8.1 30.8 53.9 53.9 84.7 80.6 In relation to existing rehabilitation obligations, lluka will establish a US$45 million rehabilitation trust cash funded on a one-off basis, to support Sierra Rutile's estimated rehabilitation obligations as at 31 December 2021. The trust deed for the rehabilitation trust will specify the mechanism by which Sierra Rutile can draw down on the trust funds for rehabilitation purposes. 33#34Appendix E: TZMI Pricing – Sembehun PFS - Sierra Rutile Limited The Sembehun PFS is based on TZMI Base price forecasts as set out below. Beyond 2035, TZMI's long term Base price of US$1,223/t of rutile (2021 real) is assumed. TZMI forecast rutile price (2022 to 2035) US$/t FOB rutile (real 2021) 2,000 1,500 1,000 500 LT (real) Base price: US$1,223/t 2022f 2023f 2024f 2025f 2026f 2027f 2028f 2029f 2030f 2031f 2032f 2033f 2034f 2035f Low Base High 34#35Appendix E: TZMI Pricing – Sembehun PFS (cont.) Sierra Rutile Limited The Sembehun PFS is based on TZMI Base price forecasts as set out below. Beyond 2035, TZMI's long term Base price of US$212/t of ilmenite (2021 real) is assumed. TZMI forecast ilmenite price (2022 to 2035) US$/t FOB ilmenite (real 2021) 450 300 150 LT (real) Base price: US$212/t 2022f 2023f 2024f 2025f 2026f 2027f 2028f 2029f 2030f 2031f 2032f 2033f 2034f 2035f Low Base High 55 35#36Appendix F: Mineral Resource & Ore Reserve Estimates Set out below is a summary of the Sierra Rutile Group's Ore Reserve and Mineral Resource estimates as at 31 December 2021. Mineral Resource Estimate Ore Reserve Estimate Sierra Rutile Limited Mineral Resource Category Material Tonnes In Situ Rutile In Situ Ilmenite In Situ In Situ Rutile In Situ Ilmenite In Situ Zircon In Situ Zircon Ore Reserve Category Tonnes Tonnes Tonnes Material Tonnes In Situ Rutile In Situ Ilmenite In Situ Rutile In Situ Ilmenite In Situ Zircon Zircon Tonnes Tonnes Tonnes Mt % % % Mt Mt Mt Mt % % % Mt Mt Mt Area 1 Measured 44 1.2 0.5 0.1 0.5 0.2 0.0 Area 1 Indicated 143 1.0 0.5 0.1 1.4 0.7 0.2 Proven 24 1.4 0.7 0.1 0.3 0.2 0.0 Inferred 19 1.0 0.5 0.1 0.2 0.1 0.0 Area 1 Subtotal 205 1.0 0.5 0.1 2.1 1.1 0.2 Probable 14 1.4 0.5 0.1 0.2 0.1 0.0 Sembehun Area 1 Subtotal 38 1.4 0.6 0.1 0.5 0.2 0.0 Measured 134 1.4 0.9 0.1 1.9 1.2 Indicated 167 1.0 0.7 0.1 1.7 1.2 Inferred 207 0.9 0.6 0.1 1.9 1.3 Sembehun Subtotal 508 1.1 0.7 0.1 5.5 3.7 2232 0.1 0.1 Sembehun 0.1 Proven 111 1.5 0.9 0.1 1.6 1.0 0.1 0.4 Probable 63 1.4 0.9 0.1 0.9 0.6 0.1 Other Measured Sembehun Subtotal 174 1.5 0.9 0.1 2.5 1.6 0.2 Indicated Grand Total Inferred 39 1.2 Other Subtotal 39 1.2 0.5 0.5 Proven 134 1.5 0.9 0.1 2.0 1.2 0.2 Grand Total Probable 78 1.4 0.8 0.1 1.1 0.7 0.1 Measured 178 1.4 0.8 0.1 2.4 1.4 0.2 Total Reserve 212 1.5 0.9 0.1 3.1 1.8 0.2 Indicated 309 1.0 0.6 0.1 3.1 2.0 0.3 Inferred 265 1.0 0.5 0.1 2.6 1.4 0.2 Grand Total 752 1.1 0.6 0.1 8.1 4.8 0.6 Notes: 1. Competent Person - Ore Reserves: Andrew Walkenhorst (MAusIMM). Notes: 2. Ore Reserves are a sub-set of Mineral Resources. 1. Competent Person - Mineral Resources: Brett Gibson (MAIG). 3. 23456 2. In situ (dry) metric tonnage is reported. 4. Rounding may generate differences in last decimal place. Mineral assemblage is reported as a percentage in Ore. 3. Mineral Resources are inclusive of Ore Reserves. 5. 4. Rounding may generate differences in last decimal place. Rutile, ilmenite and zircon are reported as a percentage of in situ material. 6. The ilmenite and zircon grades are included for tabulation purposes under the Measured, Indicated and Inferred Resource category. The confidence in the estimate of the grade and tonnage for ilmenite and zircon are however only to be considered as Indicated where rutile is Measured. Otherwise the ilmenite and zircon are considered to be Inferred due to material factors influencing the confidence in the estimates for ilmenite and zircon. 6. The ilmenite and zircon grades are included for tabulation purposes under the Proved and Probable Reserve category. The confidence in the estimate of the grade and tonnage for ilmenite and zircon are however only to be considered as Probable where rutile is Proved. Otherwise the ilmenite and zircon are considered to be Inferred due to material factors influencing the confidence in the estimates for ilmenite and zircon. The quoted figures for Area 1 and Sembehun are stated as at 31 December 2021 and have been depleted for all production conducted to this date. 7. "Other" refers to the Gambia, Jagbahun, Nyandahun & Taninahun Boka deposits outside the Area 1 & Sembehun operational areas. 36#37Appendix G: Competent Persons' Statement Sierra Rutile Limited Ore Reserve and Mineral Resource estimates and Production Target The information in this presentation that relates to Mineral Resource estimates for Area 1 is based on information compiled by Mr Brett Gibson, who is a member of the Australian Institute of Geoscientists. The information in this report that relates to Ore Reserve estimates for Area 1 is based on information compiled by Mr Andrew Walkenhorst who is a member of the Australasian Institute of Mining and Metallurgy (AusIMM). Mr Gibson and Mr Walkenhorst are full time employees of Iluka Resources Limited. Mr Gibson and Mr Walkenhorst have sufficient experience that is relevant to the styles of mineralisation and types of deposits under consideration and to the activity which is being undertaken to qualify as a Competent Person as defined in the 2012 edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' (JORC Code). Mr Gibson and Mr Walkenhorst consent to the inclusion in this Demerger Booklet of the matters based on their information in the form and context in which it appears. The Ore Reserve and Mineral Resource estimates for Sembehun were presented in an announcement released by Iluka on the ASX on 24 February 2022 "Sembehun Ore Reserve and Mineral Resource Update, Sierra Leone" and is available to view at www.iluka.com/investors-media/asx-disclosures. Iluka confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement for Sembehun and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement for Sembehun continue to apply and have not materially changed. The Production Target and forecast financial information derived from the Production Target for Sembehun referred to in this presentation are based on 36% Probable Ore Reserves and 64% Proved Ore Reserves. The material assumptions used in the estimation of the Production Target and associated forecast financial information are set out in Section 3.12 of the Demerger Booklet. The Ore Reserve estimates underpinning the Production Target for Sembehun were prepared by Competent Persons in accordance with the JORC Code. The Mineral Resource estimates for the Gambia, Jagbahun, Nyandahun and Taninahun Boka deposits separate to Area 1 and Sembehun were presented in an announcement released by lluka on the ASX on 20 February 2017 "Updated Mineral Resource and Ore Reserve Statement" and is available to view at www.iluka.com/investors-media/asx- disclosures. Iluka confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement for Gambia, Jagbahun, Nyandahun and Taninahun Boka and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement for Gambia, Jagbahun, Nyandahun and Taninahun Boka continue to apply and have not materially changed. For further information please see the Demerger Booklet dated 20 June 2022 relating to the proposed demerger of Sierra Rutile from Iluka, available at www.iluka.com. 37#38Appendix H: Risks Sierra Rutile Limited Sembehun PFS key risks This presentation and Section 3.12 of the Demerger Booklet summarises the outcomes of the recently completed Sembehun PFS and the material assumptions underpinning the PFS. The PFS was completed with the assistance of specialist consultant, Hatch. As discussed further in Section 3.12 of the Demerger Booklet, Sierra Rutile plans to undertake further work before commencing a DFS and to complete a DFS before a decision to develop Sembehun is made. As a result of the additional work that will be undertaken in order to increase the level of certainty and target accuracy associated with the PFS to a DFS level, it may be necessary to revise the assumptions underpinning the PFS. In addition, Sierra Rutile will also need to obtain funding in order to develop Sembehun. Accordingly, there can be no guarantee that the development of Sembehun will proceed as contemplated in the PFS or at all. The key risks associated with the development of Sembehun are set out in Sections 3.27 and 3.12.21 of the Demerger Booklet. Sierra Rutile will be subject to risks which may adversely affect its future operating or financial performance, or the investment return or value of Sierra Rutile Shares. Many of these risks are existing business risks, to which Iluka Shareholders are already exposed, while others arise out of, or increase as a result of, the Demerger. The key potential risks of an investment in Sierra Rutile include: the risk that the development of Sembehun may not proceed or may be adversely impacted. Whilst the Sembehun Preliminary Feasibility Study results are positive, Sierra Rutile plans to undertake a Definitive Feasibility Study (DFS) to support a final investment decision in relation to Sembehun and there can be no guarantee that the results of the DFS will be positive or that Sierra Rutile will be able to obtain finance for the development of Sembehun on acceptable terms; the risk that operational and technical difficulties may be encountered in development and operations; risks associated with operating in Sierra Leone, including, but not limited to, economic, social, labour or political instability and future material adverse changes in laws or their interpretation. If such risks eventuated, their adverse impact on Sierra Rutile would be increased as a result of Sierra Rutile not being geographically diversified; risks that Sierra Rutile's rehabilitation and mine closure costs will be greater than the estimated provision as at 31 December 2021; the need for ongoing government approvals, licences and permits as well as new approvals, licences and permits to pursue the development of Sembehun; and the potential for adverse movements in the prices of commodities produced or costs of production achieved by Sierra Rutile. Further details of the risks associated with an investment in Sierra Rutile Shares are set out in Sections 3.12.21 and 3.27 of the Demerger Booklet. 38#39For more information contact Martin Alciaturi Finance Director [email protected] Sierra Rutile Limited