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Guidance

2022 PRODUCTION

Production volumes 2022 Guidance Q3 2022 YTD Actual Updated 2022 Guidance
Moa Joint Venture (tonnes, 100% basis)      
Nickel, finished 32,000 - 34,000 24,044 32,000 - 34,000
Cobalt, finished 3,400 - 3,700 2,522 3,400 - 3,700
Electricity (GWh, 33⅓% basis) 450 - 500 409 525 - 550

2022 UNIT COST

Unit operating costs(1) 2022 Guidance Q3 2022 YTD Actual Updated 2022 Guidance
Moa Joint Venture (NDCC, US$ per pound) $4.00 - $4.50 $4.39 $4.50 - $5.00
Electricity (unit operating cost, $ per MWh) $26.50 - $28.00 $18.60 $22.00 - $23.00

2022 SPENDING ON CAPITAL

Spending on capital(1)(C$ millions) 2022 Guidance Q3 2022 YTD Actual Updated 2022 Guidance
Sustaining      
Moa Joint Venture (50% basis), Fort Site (100% basis)(2) $60.0 $44.4 60.0
Power (33⅓% basis) $5.0 $3.5 5.0
Growth      
Moa Joint Venture (50% basis), Fort Site (100% basis)(2) $19.0 $3.0 $10.0
Spending on capital(4) $84.0 $50.9 $75.0

(1) Non-GAAP financial measures. Q3 2022 actual amounts for unit operating cost/NDCC and spending on capital at September 30, 2022 are incorporated by reference to Sherritt’s Management Discussion and Analysis (MD&A) for the three and nine months ended September 30, 2022, dated November 2, 2022, which is available on Sherritt’s website (www.Sherritt.com). These amounts can be found in the Q3 Financial Report in the Review of Operations section: Moa Joint Venture and Fort Site – page 47, Power – page 54. The Q3 2022 MD&A is also available on SEDAR (www.SEDAR.com). The primary determinants impacting unit operating costs are: for Moa Joint Venture – production levels, cobalt and fertilizer prices and input commodity prices, primarily sulphur; for Power, the primary determinants are production levels and maintenance costs. The primary determinants impacting spending on capital are timing of expenditures and foreign exchange rates (as most purchases are denominated in U.S. dollars).

(2) Spending on capital is based on Sherritt’s ownership interests in the Moa Joint Venture (50%); Fort Site (100%) and Power (331/3%).

(3) 2022 guidance was updated July 27, 2022.

(4) Excludes spending on capital for Corporate, Oil and Gas, Technologies and Metals Other.

Mark Preston,
Investor Relations

Telephone: 1 416 935 2406
Email: investor@sherritt.com

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