Arafura Rare Earths (ARU) H2 2026 earnings summary

Executive summary

• Transitioned from development to construction phase for the Nolans ore-to-oxide rare earth project, with construction commencing in September as scheduled.

• Secured significant government and financial support, including offtakes and equity from multiple countries and strategic funds.

• Management and board strengthened with experienced leaders to support project execution and operations.

Financial highlights

• Raised over AUD 930 million in equity through private placements and shareholder purchase plans during the year.

• Pro forma cash position exceeds AUD 900 million after recent settlements.

• Additional AUD 230 million in binding subscription agreements with German Raw Materials Fund and Export Finance Australia.

• Fully funded for construction, with no current plans for further capital raising.

Outlook and guidance

• 37-month construction schedule with practical completion targeted for late 2029, followed by a two-year ramp-up to nameplate production by early 2032.

• Focus on delivering construction milestones and maintaining schedule through robust project execution planning.

• Ongoing optimization efforts targeting capital cost reductions of more than 5%.