Earnings release
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1 March 2025 Quarterly Activities.docx 1 1Adjusted EBITDA is defined as profit/(loss) before tax for the period plus the following adjustments: depreciation and amortisation costs, impairment, foreign exchange gains/(losses), net finance cost, withholding tax expense and the proportionate share of these adjustments in equity accounted associates. EBITDA reconciliation included on page 9. RKEF operations Key reporting metrics Units Q3 2025 Q4 2025 Variance Production Ni tonnes 31,148 31,561 1% Sales Ni tonnes 30,622 31,429 3% Cash costs US$/t Ni 9,846 10,088 2% Adjusted EBITDA US$m 40.5 35.0 (13%) Adjusted EBITDA/t US$/t Ni 1,324 1,114 (16%) HPAL operations Key reporting metrics Units Q3 2025 Q4 2025 Variance Attributable production Ni tonnes 2,166 2,144 (1%) Cash costs US$/t Ni 7,610 8,371 10% Attributable EBITDA US$m 13.1 17.2 32% Attributable EBITDA/t US$/t Ni 6,029 8,012 33% Mining operations Key reporting metrics Units Q3 2025 Q4 2025 Variance Ore production wmt 5,917,957 1,666,073 (72%) Ore sales wmt 3,094,230 945,631 (69%) Unit operating cost US$/wmt 14.6 40.4 176% Adjusted EBITDA US$m 32.8 (14.9) (146%) Adjusted EBITDA/wmt US$/wmt 10.6 (15.8) (249%) Highlights • Space X supplier, Sphere Corp acquires 10% in ENC HPAL project • Strong HNC HPAL margins ahead of ENC commissioning • Hengjaya Mine AMDAL approved to support 19m wmt RKAB sales quota in 2026 QUARTERLY ACTIVITIES REPORT For the quarter ended 31 December 2025 US$37.3m Adjusted EBITDA from Operations. Mining operations impacted by RKAB delay. Strong HPAL contribution ASX ticker: NIC ASX release: 29 January 2026 Shares on issue: 4.34B Market capitalisation: A$4.15B (@ A$0.955) Board of Directors Executive Chairman Norman Seckold Managing Director Justin Werner Executive Director and CFO Chris Shepherd Non-Executive Directors James Crombie Emma Hall William Shangjaya Muliady Sutio Haijun Wang Yuanyuan Xu Substantial shareholders (as per last substantial holder notices) Shanghai Decent 22.7% PT DTN 20.0% L1 Capital 9.1% Further enquiries Justin Werner jwerner@nickelindustries.com +62 (0) 813 8191 2391 Chris Shepherd cshepherd@nickelindustries.com + 61 (0) 474 697 143 info@nickelindustries.com +61 2 9300 3311 ACN 127 510 589 For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 2 The Directors are pleased to present the December 2025 Quarterly Activities Report for Nickel Industries Limited ( Nickel Industries or the Company) and its controlled entities (the Group). For the quarter under review, the Company held an 80% interest in the Hengjaya Nickel ( HNI), Ranger Nickel ( RNI), Angel Nickel (ANI) and Oracle Nickel (ONI) rotary kiln electric furnace (RKEF) projects, an 80% interest in the Hengjaya Mine and a 51% interest in the Siduarsi nickel ore resource project (Siduarsi), a 10% interest in the Huayue Nickel Cobalt HPAL project (HNC) and a 44 % interest in the Excelsior Nickel Cobalt HPAL project ( ENC), which is under construction and nearing production. Additionally, the Company has entered into binding agreements to acquire a 60% interest in the Sampala nickel ore resource project (Sampala). Commenting on the December quarter’s activities, Managing Director Justin Werner said: “Whilst the quarter was impacted by a delay in the issuance of an extended RKAB for 2025, the Company was able to ramp up mine operations quickly once an extended RKAB was secured and is on track to sell approximately 1.4 million wmt of ore in January. Approval of the revised AMDAL during the quarter to support an increased RKAB of 19 million wmt for 2026 was a major milestone, and the Company remains confident of securing its increased RKAB imminently. Pleasingly, our HNC operations recorded their strongest margin of $8,012/t, which bodes very well for the commissioning of ENC, which is targeted to commence towards the end of the March quarter. LME prices have also recently rallied, with the current spot price of US$18,400/t significantly higher than the 2025 average LME price of US$15,162 /t. NPI prices have also rallied strongly, with the current NPI spot price of US$13,200 /t almost 20% above the December quarter average price of US$11,100/t. We were also pleased to announce a transaction with Sphere for the acquisition of a 10% interest in ENC and associated offtake of nickel cathode. The fact that Sphere , one of only five key accredited suppliers to SpaceX, and the only supplier with a long - term contract, has chosen to invest in ENC demonstrates the quality of the ENC cathode, the traceability of the product, and our goal for ENC to be a global showpiece as a bottom cost-quartile, sustainable producer of high -quality nickel. This transaction marks the first offtake agreement for ENC material into Western markets, and we are excited that it is into the growing aerospace and aeronautical industries, which demand the highest product quality and are forecast to grow by approximately 8% CAGR to 2030. Finally, with both LME and NPI prices off to a strong start in 2026, the imminent commissioning of ENC and increase in ore sales should set the Company up for a strong 2026.” For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 3 Safety The Company-wide 12-month lost time injury frequency rate (LTIFR) as at the end of December 2025 was 0.00, with no lost time injur ies (LTI) recorded during the quarter , against 3.8 million safe man hours registered. For the twelve months to 3 1 December 2025, there were 17.7 million safe man hours registered, with no LTI’s occurring. The Company-wide 12-month rolling total recordable injury frequency rate (TRIFR) as at the end of December 2025 was 0.68. Sustainability The Company’s broader sustainability leadership was further recognised through multiple prestigious national awards during the quarter. Nickel Industries won the Indonesia Leadership Award 2025, acknowledging its strategic direction, governance practices, and commitment to embedding sustainability across business operations. This recognition reflects the Company’s role in advancing responsible industry practices and contributing to Indonesia’s sustainable development agenda. Nickel Industries was recognised with the Excellence in Sustainability Leadership award by CNBC Indonesia, highlighting its strong commitment to sustainable practices across its operations. The award acknowledges the Company’s leadership in ESG implementation, environmental management, and contributions to sustainable development within the nickel industry. This recognition reinforces Nickel Industries’ standing as a benchmark for ESG excellence, particularly in balancing operational growth with environmental and social responsibility. The solar project in the Indonesian Morowali Industrial Park (SESMO) that will supply ENC with renewable power successfully achieved financial close on 23 January 2026. The SESMO project consist ing of 262MWp photovoltaic and 80MWh battery energy storage system ( BESS) will be the largest solar and BESS in Indonesia and the first limited -recourse project financing for a renewable energy project supporting a corporate end -user in Indonesia. The renewal energy source will enable the ENC HPAL to produce some of the lowest carbon nickel units globally. The electricity offtake power purchase agreement include a 25-year fixed rate tariff with no escalation. Award ceremonies For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 4 RKEF operations (80% indirect interest held by Nickel Industries) Production Units Q3 2025 Q4 2025 Variance NPI production tonnes 263,430 269,528 2% Nickel grade % 11.8 11.7 (1%) Total nickel production tonnes 31,148 31,561 1% Cash costs US$/t Ni 9,846 10,088 2% Sales Units Q3 2025 Q4 2025 Variance Sale price US$/t Ni 11,078 11,100 0% Sales tonnes 30,622 31,429 3% Revenue US$m 345.0 350.3 2% Adjusted EBITDA US$m 40.5 35.0 (13%) Adjusted EBITDA/t US$/t Ni 1,324 1,114 (16%) RKEF production of 31,561 tonnes of nickel metal was up 1% from the September quarter (31,148 tonnes). Combined operating cash costs were 2% higher quarter on quarter, primarily due to higher nickel ore costs, somewhat offset by lower electricity costs. Realised NPI contract pricing of US$11,100/t for the quarter was consistent with the September quarter. Increased operating costs and the timing of NPI final contract settlements from the ANI RKEF resulted in Adjusted EBITDA decreasing 13% during the quarter. Further RKEF detail is contained in Appendix A. RKEF nickel ore preparation shed For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 5 HPAL operations Huayue Nickel Cobalt (10% indirect interest held by Nickel Industries) Production Units Q3 2025 Q4 2025 Variance Attributable HNC production (10%) Ni tonnes 2,166 2,144 (1%) Co tonnes 192 230 20% Cash costs2 US$/t Ni 7,610 8,371 10% Sales Units Q3 2025 Q4 2025 Variance Sale price US$/t Ni 14,445 17,110 18% Attributable HNC sales (10%) Ni tonnes 2,197 2,069 (1%) Co tonnes 195 221 13% Attributable HNC Adjusted EBITDA (10%) US$m 9.6 12.9 35% NIC trading division Adjusted EBITDA US$m 3.5 4.3 22% Total Attributable EBITDA US$m 13.1 17.2 32% Total Attributable EBITDA/t US$/t Ni 6,029 8,012 33% During the quarter, HNC produced 21,441 tonnes of nickel and 2,301 tonnes of cobalt in MHP, outperforming nameplate capacity (60,000 tonnes of nickel per annum) by 43%. Combined operating cash costs increased by 10% quarter on quarter, primarily due to higher sulfur and nickel ore costs. Provisional MHP contract prices increase d by 18% to US$17,110/t Ni during the quarter supported by higher metal payability and stronger cobalt prices with the cobalt byproduct increasing to ~US$3,700/t Ni. Cobalt extraction was prioritised during the quarter with production increasing 20% to 2,301 tonnes of cobalt in MHP . Adjusted EBITDA for the quarter of US$8,012/t Ni was 32% higher than US$6,029/t Ni reported in the September quarter. 2 Cash costs do not include the benefit of credits from byproducts. The cobalt byproduct increased from ~US$2,300/t Ni in the September quarter to ~US$3,700/t Ni in the December quarter. For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 6 Excelsior Nickel Cobalt Project (44% indirect interest currently held by Nickel Industries)3 During the quarter, ENC began purchasing sulphur and testing commenced for the first line of the sulfuric acid plant. Mechanical tests commenced on the counter current decantation circuit, thickeners, precipitation tanks, slurry storage tanks, reagent st orage tanks and other associated equipment a t the HPAL Smelter. The next quarter will see staged commissioning of power, water, compressed air and unit tests ahead of full commissioning commencing late in the quarter. Allocation of additional resources to Smelter infrastructure located at Hengjaya Mine has been done to ensure timely commissioning of the integrated processes between Mine and Smelter, including the feed preparation plant, slurry pipelines, tailings filtration and dry stack tailing – an industry first that will reduce cost and guarantee traceability and care throughout the entire value chain. Nearby at the Refinery, standalone unit testing is complete and wet commissioning equipment has been set up in anticipation of final commissioning of end-to-end nickel cathode production. Installation of crystallisers to produce nickel and cobalt sulphates has been completed and integration with the rest of the ci rcuit continues. The Refinery is expected to ramp up production once the HPAL smelter commences commissioning later this quarter. ENC HPAL Smelter ENC integrated sulfate and cathode Refinery A video filmed in December 2025 showing an overview of the ENC Project can be seen by clicking here. 3 The Company is scheduled to move to a 55% equity interest in ENC by 1 October 2026. For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 7 Mining operations Hengjaya Mine (80% interest held by Nickel Industries) Production Units Q3 2025 Q4 2025 Variance Saprolite wmt 1,290,014 445,902 (65%) Limonite wmt 4,627,943 1,220,171 (74%) Total wmt 5,917,957 1,666,073 (72%) Overburden BCM4 832,247 259,654 (69%) Strip ratio BCM/wmt 0.14 0.16 11% Sales Units Q3 2025 Q4 2025 Variance Saprolite sales5 wmt 1,144,020 818,782 (28%) Limonite sales wmt 1,950,210 126,849 (93%) Total ore sales wmt 3,094,230 945,631 (69%) Saprolite grade % 1.47 1.47 0% Limonite grade % 1.09 1.14 4% Saprolite sale price US$/wmt 26.3 25.5 (3%) Limonite sale price US$/wmt 24.6 18.8 (24%) Average sale price US$/wmt 25.2 24.6 (3%) Unit operating costs6 US$/wmt 14.6 40.4 176% Adjusted EBITDA US$m 32.8 (14.9) (146%) Adjusted EBITDA/wmt US$/wmt 10.6 (15.8) (249%) During the quarter, the Company experienced substantial downtime at the Hengjaya Mine as the RKAB extension was not granted until 1 2 December. This delay resulted in US$ 18m in mining contractor standby charges. Despite the disruption, operations resumed on 12 December and delivered a strong performance over the final 19 days of the month delivering 945,631 wmt of nickel ore. This momentum has continued into January, with the mine on track to deliver over 1.4m wmt of nickel ore sales in January and operating costs returning to normal levels. Adjusted EBITDA loss for the quarter of US$14.9m was significantly lower than the US$32.8m reported in the September quarter, as a result of the delay in the RKAB extension being approved. Hengjaya Mine open pit 4 BCM represents ‘bank cubic metres’. 5 Sales of saprolite ore by Hengjaya Mine to HNI, RNI and ONI are intra-group transactions and are eliminated on consolidation. Profit from saprolite ore sales is recognised on a consolidated level as a reduction in the cost of operations, once the saprolite ore has been consumed by the group in NPI operations. 6 Unit operating costs include mining, transport, royalty and administration costs. For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 8 Sampala Project (Nickel Industries with a right to acquire a 60% interest) The Sampala Project continues to progress well. The Company anticipates receiving approval for the ETL RKAB by the end of Q1’2026. Additionally, the Company is targeting submitting the feasibility study for the ANN IUP by the end of Q1’2026. The feasibility study includes mine planning, slurry preparation plant and mine infrastructure layout , as well as a centralised mine infrastructure area, including main office, assay laboratory, accommodation and support facilities. The project continues to work closely with stakeholders and the community on various local projects, including employment. Internal haul roads between ETL and MJN are 72% complete. During the quarter, drill rigs completed 577 drill holes for 18,423 metres. Exploration drilling f ocused on GF exploration area, with infill drilling programs at the ANN area to support detailed mine planning. In addition to the Resource drilling, the required geotechnical drilling has been completed for mine planning. Drilling programs will continue to focus on resource infill drilling throughout 2026. Sampala Mine haul road and accommodation construction Siduarsi Project (51% interest held by Nickel Industries, with a right to acquire a 100% interest) During the quarter, 6,400 hectares of surface sampling and mapping in the south of the current IUP were completed . This sampling has identified 1,500 hectares with potential nickel laterite for further exploration. Hengjaya Mine revegetation nursery For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 9 Finance7 Balance sheet – 31 December 2025 Units Cash and cash equivalents Trade receivables Inventories RKEF US$m 93.9 179.7 225.0 HPAL US$m 35.0 0.7 - Mining US$m 21.3 2.58 117.9 Head office US$m 210.9 - - Total US$m 361.1 182.9 342.9 During the quarter , Oracle RKEF entity made distribution to Nickel Industries and Shanghai Decent (and its associates), in proportion to the respective ownership interests. Nickel Industries received US$4.0m, and Shanghai Decent received US$1.0m. The Angel RKEF entity distributed interest, net of withholding tax, during the December quarter to Nickel Industries and Shanghai Decent (and its associates), in proportion to the respective ownership interests. Nickel Industries received US$ 5.9m and Shanghai Decent received US$1.4m. During the quarter, the Company tendered the existing US$400m senior unsecured notes and repaid US$183m of existing bank loans. At quarter-end, total debt comprised US$800m of senior unsecured notes and US$423m of bank loans. EBITDA from operations reconciliation Units Q3 2025 Q4 2025 Variance RKEF Adjusted EBITDA US$m 40.5 35.0 (13%) HPAL Attributable EBITDA US$m 13.1 17.2 32% Mining Adjusted EBITDA US$m 32.8 (14.9) (146%) Adjusted EBITDA US$m 86.6 37.3 (57%) FX gains / (losses)9 US$m (6.1) (1.1) (82%) EBITDA US$m 80.4 36.2 (55%) 7 Unaudited numbers from monthly operating entity financial reporting. 8 Trade receivables exclude saprolite ore receivables which are eliminated on consolidation. 9 The FX exposure is arising predominantly from the RKEF operations working capital IDR exposure. This includes ~ US$110m of historical value-added tax (VAT) receivable by the RKEFs. The Company anticipates receiving this remaining historical VAT receivable over the next twelve months. For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 10 Cashflow The following cashflow waterfall provides a reconciliation of cash movements for the Group during the December 2025 quarter. Cash flow waterfall – December 2025 quarter For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 11 Expenditures Expenditure on mine production and development activities at the Hengjaya Mine during the quarter totalled US$ 43.4m, of which US$0.6m was capex. Exploration expenditure at the Sampala Project was US$9.2m and the Siduarsi Project totalled US$0.2m. Related party expenditures During the quarter, the aggregate amount of payment to related parties and their associates totalled US$ 758,481, comprising US$659,621 of payments to Directors or Director-related entities for Directors’ consulting fees and US$98,860 in fees were paid to The Trustee for Mining Services Trust (MIS), an entity in which Director Norman Seckold has a controlling interest. MIS provides full administrative services, including administrative, accounting, company secretarial and investor relations staff both within Australia and Indonesia, office premises, services and supplies to the Group. Corporate highlights 2 January 2026 – ENC strategic partner 12 December 2025 – 2025 RKAB extension approved Contact information For further information please contact: Justin Werner Chris Shepherd Managing Director Chief Financial Officer jwerner@nickelindustries.com cshepherd@nickelindustries.com +62 813 8191 2391 +61 474 697 143 For personal use only
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DECEMBER 2025 QUARTERLY ACTIVITIES REPORT 12 Appendix A RKEF operations – additional details Production Units HNI RNI ANI ONI Total Total nickel production tonnes 3,942 3,953 11,591 12,076 31,561 - September quarter tonnes 4,072 4,047 11,599 11,431 31,148 Cash costs US$/t Ni 11,341 11,932 9,449 9,688 10,088 - September quarter US$/t Ni 10,874 11,155 9,605 9,262 9,846 Sales Units HNI RNI ANI ONI Total Tonnes sold tonnes 3,942 3,953 11,458 12,076 31,429 - September quarter tonnes 4,072 4,047 11,072 11,431 30,622 Adjusted EBITDA US$m (1.4) (3.5) 20.8 19.2 35.0 - September quarter US$m 1.0 (0.1) 15.2 24.4 40.5 Adjusted EBITDA/t US$/t Ni (363) (897) 1,814 1,592 1,114 - September quarter US$/t Ni 243 (20) 1,375 2,130 1,324 For personal use only