Brazilian Critical Minerals (BCM) Investor update summary

Key Financial Outcomes and Returns

• Post-tax NPV8 of US$1.47B and IRR of 105%, with a 6-month payback period and total post-tax cash flow of US$3.4–$4.2B over a 20-year mine life.

• Initial capex of US$74M (including US$19M for carbon capture), with Stage 2 requiring an additional US$27M and doubling capacity.

• Life-of-mine average operating cost (C1) of US$8.84/kg TREO and AISC of US$13.02/kg TREO, placing the project among the lowest-cost rare earth producers globally.

• Annual revenue projected at US$265M (base) to US$318M (high), with annual EBITDA of US$219M to US$271M and free cash flow post-tax of US$152M per year.

• Financials remain robust under conservative price assumptions, with high margins and resilience to price fluctuations.

Project Development, Timeline, and Milestones

• Front-end engineering design, detailed engineering, and securing finance are immediate next steps, aiming for FID by year-end.

• Offtake agreements are critical, with ongoing discussions with major rare earth players globally.

• Environmental permitting is the last major regulatory hurdle before construction can commence, with advanced permitting and environmental studies completed and under review.

• Early works and construction could begin in 2027, contingent on FID and permitting.

• Project funding strategy includes a mix of equity, debt, strategic offtake, and royalty/pre-payment facilities, targeting up to 70% debt leverage.

Operational, Technical, and Resource Highlights

• In-situ recovery (ISR) mining method enables low CapEx/OpEx, minimal surface disturbance, and places the project at the bottom of the cost curve.

• Annual average production of 5,500t TREO and 1,900t MREO, with a single MREC product containing 52% TREO.

• Global mineral resource estimate of 1.07Bt at 732ppm TREO, with 37% indicated resource and 16% of production from Inferred resources.

• Closed-loop process flowsheet with reagent recycling, water management, and on-site power generation with CO2 recycling for reagent production.

• Project is highly scalable, with only 45% of tenements explored and potential for further expansion.