Champion Iron Ltd to Launch Cash Tender Offer to Acquire Rana Gruber ASA (Second Event) Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Julio Mondragon - Bank of Montreal - Analyst : It looks like a good transaction considering all the operational features and financial multiples. Could you explain a little bit more on how this is likely to impact your shareholders' return policy? Should we assume lower shareholder returns, while you focus on deleveraging your balance sheet? That will be my first question.

Question: Julio Mondragon - Bank of Montreal - Analyst : Perfect. Maybe another question, if I may. So what are the key -- you already talked about the operational and financial synergies. But apart from working capital and the increasing output, what are the other key operational and financial synergies that you are expecting from this transaction? And also, do you expect Rana Gruber's assets to increase their output in the medium or long term? Or they will be producing between 1.8 million and 1.9 million tonnes per annum for the life of mine? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 22, 2025 / 2:30PM, CIA.AX - Champion Iron Ltd to Launch Cash Tender Offer to Acquire Rana Gruber ASA (Second Event)

Question: Craig Hutchison - Cowen and Company LLC - Analyst : You talked about just the timing around the transaction, but just I'm curious to hear just a little more thoughts on that. Just given how many internal growth opportunities you guys have with the ramp-up of the DRPF project, the potential to add another DR line at Bloom Lake, KAMI, pelletization, et cetera, even optimization of Bloom Lake, does this project just have generate a better IRR than your internal projects? I'm just kind of curious again on the transaction timing.

Question: Craig Hutchison - Cowen and Company LLC - Analyst : Okay. Great. Just in terms of -- you could provide some detail on the trailing EBITDA. But free cash flow-wise, it's a Rana Gruber of assets, if you could speak to the free cash flow yield in terms of the acquisition. But just -- are there any major investments that need to be made at Rana Gruber just that could impact free cash flow from that asset here in the next sort of 12 months?

Question: Craig Hutchison - Cowen and Company LLC - Analyst : Okay. And maybe just one last question for me. You mentioned the benefit from the CBAM coming in getting phased in. Can you give us any sense what that would mean in terms of potential premium you guys would receive other percentage-wise or on a per tonne basis? Just give us a sense of what that value is as you shift to marketing more in Europe?