NWT Rare Earths Ltd. Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan MV2014D0001 MV2014L2-0001 12 May 2020 Version 2 12 May 2020 Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan Version and Revision History Version Date Sections Revised/Comments 0 23 December 2013 Conceptual version submitted to the Mackenzie Valley Land and Water Board with Water Licence and Land Use Permit applications MV2010D0017 and MV2010L2- 0005 (as Supporting Documentation: Attachment M). 1 6 October 2014 Updates to address comments received from various parties through consultation, MVLWB Online Review System, and July 2014 Technical Sessions. 2 12 May 2020 Added Statutory Requirements for Wildlife in the NWT (Appendix D) Updated contact information Updated corporate information and template to reflect the new Project ownership under NWT Rare Earths Ltd. Removed reference to corporate policies, pending new policies for NWT Rare Earths Ltd. ii 12 May 2020 Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan Table of Contents 1.0 INTRODUCTION ............................................................................................................................................. 1 1.1 Company Name, Project Location & Effective Date ............................................................................ 1 1.2 Nechalacho Project Overview .............................................................................................................. 2 1.2.1 Project-Related Activities and Footprints ........................................................................................ 2 1.3 Lessons Learned from Community Participation ................................................................................. 8 1.4 Lessons Learned from Other Projects ................................................................................................. 8 1.5 Potential Project Effects and Protective Measures .............................................................................. 9 1.5.1 Protecting Habitat.......................................................................................................................... 10 1.5.2 Working Near Wildlife ................................................................................................................... 11 1.5.3 Preventing Attraction/Avoidance Behaviour ................................................................................. 13 1.5.4 Employee/Contractor Training and On-Site Orientation ............................................................... 13 2.0 WILDLIFE AND WILDLIFE HABITAT MONITORING ................................................................................. 15 2.1 Objectives ........................................................................................................................................... 15 2.2 Valued Components and Species at Risk .......................................................................................... 15 2.3 Reporting and Engagement ............................................................................................................... 17 2.4 Adaptive Management ....................................................................................................................... 17 2.5 Monitoring Programs .......................................................................................................................... 18 3.0 STANDARD OPERATING PROCEDURES ................................................................................................. 19 3.1 Objectives ........................................................................................................................................... 19 3.2 Standard Operating Procedures ........................................................................................................ 19 4.0 REGULATORY AGENCY BEST MANAGEMENT PRACTICES ................................................................. 20 4.1 Objectives ........................................................................................................................................... 20 4.2 Statutory Requirements ..................................................................................................................... 20 TABLES Table 1: Summary of Project-Related Activities and Infrastructure .......................................................................... 2 Table 2: Habitat Protective Measures .................................................................................................................... 11 iii 12 May 2020 Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan Table 3: Working Near Wildlife Protective Measures ............................................................................................. 11 Table 4: Preventing Attraction/Avoidance Protective Measures ............................................................................ 13 Table 5: Species at Risk Potentially Occurring at Nechalacho Project .................................................................. 16 FIGURES Figure 1: Nechalacho Project Footprint .................................................................................................................... 4 Figure 2: Nechalacho Site Barge Dock Facility and Laydown Area ......................................................................... 5 Figure 3: Concentrator Site Plan .............................................................................................................................. 6 Figure 4: Tailings Management Facility General Arrangement – End of Phase 2 ................................................... 7 APPENDICES APPENDIX A Monitoring Programs APPENDIX B Standard Operation Procedures APPENDIX C Regulatory Agency Best Management Practices APPENDIX D Statutory Requirements for Wildlife in the NWT iv 12 May 2020 Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan 1.0 INTRODUCTION The Wildlife and Wildlife Habitat Protection Plan (WWHPP) is to be used as a tool for NWT Rare Earths Ltd. (referred to hereafter as NWT Rare Earths) to prevent or reduce direct wildlife and wildlife habitat effects from within the Nechalacho Mine (the Project) development area (herein referred to as Project footprint), to evaluate effects predictions and protective measures, and for community and regulatory agencies that have responsibilities to manage wildlife to oversee Project- related effects. This WWHPP, in combination with the Wildlife Effects Monitoring Program (WEMP), together form NWT Rare Earths’ commitment to monitoring and managing both direct and indirect Project related effects. The WWHPP describes protective measures and monitoring strategies to determine and manage direct effects that occur within the Project footprint, whereas the WEMP describes monitoring strategies for indirect effects that occur beyond the Project footprint. Through this WWHPP, protective measures and effects monitoring programs are enforceable by the Mackenzie Valley Land and Water Board (MVLWB) under Section 26(1)(h) of the Mackenzie Valley Land Use Regulations. Both documents will require updating prior to construction of the Nechalacho Mine. The WWHPP is organized as a guidance document for NWT Rare Earths’ staff that can be easily updated and revised as additional information becomes available as the Project progresses. It is organized into the following sections: Section 1.0:Introduction, Corporate and Project Overview, Engagement and Community Participation, Lessons Learned, and Proposed Protective Measures Section 2.0: Wildlife and Wildlife Habitat Monitoring Section 3.0: NWT Rare Earths’ Standard Operating Procedures Section 4.0: Best Management Practices 1.1 Company Name, Project Location & Effective Date NWT Rare Earths Ltd. Corporate Contact: David Connelly Phone: 867 445 2700 Email: [email protected] Address: 5110 49th St, Yellowknife, NT, Canada, X1A 1P8 Site Contact: Randolph O’Keefe Phone: 867 445 7252 Email: [email protected] Effective Date of Wildlife and Wildlife Habitat Protection Plan: 12 May 2020 1 12 May 2020 Nechalacho Mine Wildlife and Wildlife Habitat Protection Plan 1.2 Nechalacho Project Overview NWT Rare Earths is engaged in the exploration and development of rare metal deposits in Canada. NWT Rare Earths proposes to mine, mill, and produce a mixed rare earth concentrate from the Nechalacho deposit, located on its Thor Lake Property, approximately 100 kilometres (km) southeast of Yellowknife, Northwest Territories. The proposed project is referred to as the Nechalacho Rare Earth Elements Project (Nechalacho Project). 1.2.1 Project-Related Activities and Footprints Approximately 12-15 million tonnes of resources will be mined from the Nechalacho deposit over a period of approximately 20 years of operations. Construction will begin 24-30 months prior to operations, and reclamation activities will commence following cessation of all operations and continue for a period of approximately three years. The Nechalacho Mine and Concentrator Plant site is planned to operate 365 days per year with a 24 hour, 7 days a week schedule (24/7). The employment schedule will be based on fly-in/fly-out transportation, onsite camp facilities and a one week in/one week out rotation. Rare earth elements (REEs) will be mined underground and concentrated at the Nechalacho Mine and Concentrator Plant site. Primary crushing of ore and waste rock will be completed underground and conveyed to the surface. Originally, the resulting