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Long Harbour Processing Plant Overview

September 11, 2018

Vale Plating RoundsTM Global Kick-Off: Launch & Learn

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1. Risk Management Share

2. Visitor Safety Orientation

3. Plant Site Overview

4. Performance Highlights

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Risk Management

Share

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Managing fatigue in the workplace

What is fatigue?

• Fatigue is a reversible physical or mental state of exhaustion which reduces a person’s ability to perform their work safely and efficiently.

What causes fatigue?

• Lack of opportunity to sleep

• Medical conditions and medications

• Failure to take advantage of sleep opportunities

• Failing to receive proper rest and sleep

• Working long hours, multiple jobs or home projects without adequate opportunity for rest and recuperation

• Intense, sustained mental exertion or physical effort.

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Managing fatigue in the workplace

Spot the warning signs

Physical Signs

• Being unstable while standing

• Losing focus easily

• Struggling to keep eyes open

• Yawning frequently

• Rubbing of eyes

• Head jerking or gentle swaying

• Nodding off

• Compromised hand-eye coordination

Mental / Emotional Signs

• Increased risk-taking behaviour

• Reduced short term memory function

• Unable to concentrate

• Negative mood

• Unable to solve problems

• Lack of communication

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Visitor Safety

Orientation

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Personal Protective Equipment Requirements

Personal Protective Equipment (PPE) must be worn at all times onsite, unless in a PPE free area, or in a vehicle. Offices and trailers are common PPE free areas.

Where PPE is required, the following types are permitted for general visitor use:

• Class E CSA hardhat.

• CSA approved safety glasses.

• Single or double hearing protection in Production Area buildings, as dictated by

signage.

• A high visibility safety vest, jacket or coveralls. This clothing must have an orange,

lime, yellow or red bright coloured background with continuous striping that

crosses in the back.

• CSA Grade 1 footwear (green triangle) and electrical shock resistance (Y letter

“omega”) with minimum 6: in height.

• Clothing must provide full arm and leg coverage.

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Personal Protective Equipment Requirements

In addition to PPE, there are site rules that all personnel, including visitors, must be aware of, and follow:

• Before entering a Production Area building long hair must be confined within hardhat.

• Visitors are exempt from being clean shaven, but are also restricted from accessing any areas where a respirator is required.

• All jewelry must be removed before entering a Production Area building. It can be carried in pocket.

• Smoking is only permitted in designated smoking area.

• Cell phones are not permitted to be used in the Production Area.

• Visitors must advise their host if they have been involved in an incident where they have been injured or potentially injured.

• Visitors must not cross coloured barrier chains in Production Area building without the knowledge of the host or designate for the area. Colored chains represent barriers to communicate hazards for a work area. Typically chains are yellow for caution and red for danger.

• Visitors are not permitted to be unsupervised in Production Area buildings and must remain in contact with host.

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Emergency Response Protocols

If an emergency where building occupants must muster, visitors must do the following:

• Stay with your host and muster at nearest Emergency Assembly Area (EAA #21).

• If a visitor is involved in an incident or an emergency that requires emergency

response, your host will contact emergency response by phone at 752-3111 or

ERT on Radio Channel #1 to declare the emergency.

• When a building alarm sounds, visitors must follow their host to the nearest

Emergency Assembly Area (EAA) for the respective location/building and wait

further instructions. Your host is responsible to guide you safely in the event of an

emergency. Please follow their direction closely to ensure your safety.

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Shelter in Place Alarm

• If a release of H2S occurs outside, or an uncontrollable release in the H2S

unloading area that is vented outside reaches an alarm condition, a Shelter in Place

alarm is initiated by a request to the control room. The Shelter-in-Place alarms will

differ from the evacuation alarms.

• Like an evacuation everyone reports to a common assemble area. To differentiate

between an evacuation the common assemble area will be called Shelter-in-Place

assembly area (SAA).

• Visitors will be escorted to the designated SAA by their host.

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Designated Walkways

• Visitors are required to stay on

designated walkways where present.

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Security Protocols

• Visitors are expected to uphold site

rules and security protocols on site.

• Vehicle inspections are common,

random and subject to all

personnel, including visitors.

• Visitors are required to check into

security and receive a visitor pass,

and return pass when exiting site.

• Visitors are not permitted to take

pictures – there will be an

opportunity to have your photo

taken during the tour.

• Security cameras are active.

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Plant overview and

development history

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Location and Personnel Statistics

• Long Harbour Processing Plant (LHPP) is located approximately 120 km from the

City of St. John’s. A bus service to/from St. John’s is available for employees.

• Workforce of 530 permanent Vale employees, of which 315 are Process Plant

Technicians (PPTs) working 24/7.

• Contractor numbers are approximately 250, comprised mostly of the outsourced

maintenance and site services personnel.

• Staff employees work 4 days x 10 hours a week.

• Non-unionized workforce utilize a High-Performance Work System (HPWS) model.

Technicians are trained to operate multiple areas of the plant and perform day-to-

day administrative tasks, reduce supervision workload.

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Research and Development

A multi-phased US$200 million R&D program was conducted to extend the application of

hydrometallurgical technology to process Voisey’s Bay nickel concentrate.

Commercial PlantMini-pilot Plant Demonstration Plant

Laboratory Testing and Process

Modeling

1997 – 2002 2003-2004 2005-2008 2006-2016

Studies, Design, Engineering, and Construction

Bench Scale 1/10,000 1/100 1/1

Long Harbour, NewfoundlandMississauga, Ontario Argentia, NewfoundlandMississauga, Ontario

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Long Harbour Site Pre 2009

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Long Harbour Site –May 2010

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Long Harbour Site 2018

Plant Site ~ 17 sq.km

• Distance between Lower Tier (Port) and the Upper Tier: 1 km

• Distance from Upper Tier to the Residue Storage Site: 4 km

• Treated Effluent pipeline discharge into ocean: 5 km on the ocean floor

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Long Harbour Operations Port Site

• The MV Umiak 1 ships ~30,000 tonnes of concentrate, 8 – 10 times per year.

• Concentrate Storage Shed can hold up to 80,000 tonnes.

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Long Harbour Operations Processing Plant

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Site infrastructure and Water Management

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LHPP Process Flowsheet

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World Class Nickel Tankhouse

• 272 Nickel Plating Cells

• Two Automatic Harvesting Cranes plus two Cell Maintenance Cranes

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Long Harbour Processing Plant Products

Vale Electrolytic Cobalt Rounds

>99.9 wt.% Cobalt

250 kg drums – 4/pallet

Long Harbour M-Rounds

ASTM B39 >99.80 wt.% Nickel

2000 kg bags

Long Harbour Plating Rounds

>99.9 wt.% Nickel

10 kg bags – 5/box

Vale Copper Cathode

99.999 wt.% Copper Grade A

Bundled Cathode ~1500 kg

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Performance

Highlights

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Overall Metal Recoveries meet Demo Plant

Targets after the first year of full plant operations

0%

20%

40%

60%

80%

100%

Jan-17 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 May-18

Ni Co Cu

• Design nickel,

cobalt and copper

recoveries were

95.0%, 93.3% and

73.6% respectively

• YTD-2018:

95.8% nickel,

94.4% cobalt

76.9% copper

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Production Quality and Impurity Controls

continue to improve through 2017 & 2018

99.80

99.85

99.90

99.95

100.00

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Nickel Purity (%)

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Product Quality meets LME Specifications

• Nickel round purity continues to meet London Metal Exchange (LME)

specifications and attracts a premium over the market price.

• Copper Cathodes are also meeting LME specifications and is sold as “Grade A”.

• Initial plating tests with USA customers in 2017 have been successful.

• Cadmium, copper and iron are the elements of focus for improving Cobalt Round

Purity.

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Summary

• Long Harbour has been a benchmark ramp up in the world of nickel hydrometallurgy.

• Poised to become the world’s state-of-the-art electrolytic nickel and cobalt producer.

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