Sovereign Metals (SVM) investor relations material

Executive summary

• Kasiya Definitive Feasibility Study (DFS) delivered a pre-tax NPV of US$2.2 billion and steady-state annual EBITDA of US$476 million, confirming the project's world-class scale and economics.

• Positioned to become the world’s largest producer of natural rutile (222ktpa) and flake graphite (275ktpa), both designated as Critical Minerals by the US and EU.

• Major offtake MOUs signed with Mitsui (rutile) and Traxys (graphite), covering significant portions of Phase 1 production.

• DFS completed with Rio Tinto and IFC oversight, aligning with international standards and supporting project bankability.

• Significant progress in community engagement and rehabilitation, with strong local support for post-mining agricultural initiatives and successful multi-cropping systems established.

Financial highlights

• Total revenue projected at US$16.2 billion over 25 years, with annual revenue of US$728 million.

• Operating cost of US$450/t product (FOB Nacala), supporting strong margin resilience.

• Capex to first production is US$727 million; total LOM development capex is US$1.24 billion.

• Cash and cash equivalents at quarter end were A$29.3 million, with estimated 6.3 quarters of funding available.

• Pre-tax IRR of 23% and annual free cash flow (pre-tax, unlevered) of US$452 million.

Outlook and guidance

• Advancing post-DFS workstreams, including finalising the Environmental and Social Impact Assessment.

• Progressing offtake discussions towards binding agreements with Mitsui, Traxys, and other strategic partners.

• Further evaluation of monazite mineralisation and rare earth by-product potential is underway.

• Continued focus on community and social development programs in Malawi.