b'CENTAURUS METALS ANNUAL REPORT 2023Jaguar Nickel Sulphide ProjectThe Jaguar Nickel Sulphide Project was acquiredfully integrated concentrator and refinery circuit to produce a nickel from global mining giant, Vale S.A. (Vale) insulphate product from the project.The rationale for this approach August 2019. The Project hosts multiple nickelwas strong at the time of commencing the study but recent changes in the nickel market now means that the sound rationale used by the sulphide deposits and exploration targets within aCompany to support the commencement of the downstream refinery 30km2 land package in the western portion of thestudy no longer holds and that an alternate development pathway world-class Carajs Mineral Province.needed to be adopted.Consequently, subsequent to year end, the Company decided to to Jaguar is located close to existing infrastructure, just 35km north ofreshape the Jaguar Feasibility Studydeferring the parts of the the regional centres of Tucum and Ourilndia do Norte (populationFeasibility Study relating to a fully integrated downstream nickel +70,000) with access to power from the 230kV national grid onlysulphate project and focusing instead on completing the Feasibility 20km southeast of the project near Vales Onca Puma FerronickelStudy based on an initial nickel concentrate-only project. The operations (refer Figure 5). development of a potential downstream refinery will be considered in future when market conditions improve.FEASIBILITY STUDY, PROJECT DEVELOPMENT,The ongoing Feasibility Study work suggests that this approach will AND INFRASTRUCTURE INITIATIVES have a significantly lower capital cost compared to an integrated project and will ensure that the Jaguar Project remains robust and Significant activity was progressed in respect to the Jaguarshould deliver strong financial returns throughout the commodity Feasibility Study, particularly in relation to the development ofprice cycle given the Jaguar Projects anticipated low operating capital and operating costs, project development initiatives andcosts, stemming in large part from the clean, low-cost power future infrastructure access during the reporting period.During(~US$0.03/kWh) that is available to the Project from the 230kV the year, the Feasibility Study was focused on the economics of anational grid in Brazil.Figure 5: Jaguar Nickel Sulphide Project Location10 ANNUAL REPORT CENTAURUS METALS LIMITED CENTAURUS METALS LIMITED ANNUAL REPORT 11'