Alara Resources (AUQ) investor relations material

Executive summary

• Achieved record operational performance at the Al Wash-hi Majaza copper-gold mine, with new tailings filter presses boosting efficiency and concentrate output for the half-year ended 31 December 2025.

• Exploration advanced across multiple Oman projects, including Mullaq, Al Ajal, Block 22B, Awtad, and Daris, with significant drilling and resource development milestones.

• Legal proceedings initiated by local residents in Oman seek suspension and compensation for the Al Wash-hi project, but operations remain unaffected.

• Geopolitical risks in the Strait of Hormuz have prompted proactive logistics management, including alternative port options and inventory strategies.

Financial highlights

• Revenue for the half-year was $55.87 million, up from $19.01 million in the prior corresponding period.

• Net profit before tax was $10.23 million, compared to a loss of $7.94 million in the same period last year.

• Cash and cash equivalents increased to $16.11 million as at 31 December 2025, from $12.43 million at 30 June 2025.

• Total liabilities decreased to $166.97 million from $178.64 million at 30 June 2025.

• Raised $3.4 million in new equity during the period, with further capital raising of $5.9 million planned.

Outlook and guidance

• Ongoing exploration and drilling programs are expected to drive resource growth and long-term value.

• Management expects no immediate liquidity constraints despite regional shipping disruptions, with sufficient cash reserves and alternative logistics in place.

• Indicative support for future capital raising is strong, supported by a strengthening copper market.