Brazilian Rare Earths (BRE) Q2 2026 TU earnings summary

Executive summary

• High-resolution airborne geophysics and drilling at Velhinhas defined over 9 km of rare earth corridors, extending mineralisation south of Monte Alto.

• Multiple parallel mineralised trends confirmed, supporting a district-scale exploration model.

• Exceptional yttrium-rich heavy rare earth drill results at Monte Alto HREE + Y Discovery, with grades up to 10.9% TREO and 5.8% Y2O3.

• Formal adoption of the Monte Alto District as a unified exploration and development framework, integrating Monte Alto, Velhinhas, and regional corridors.

• Shareholders approved the demerger of Alurion Resources and a $50 million IPO to fund Amargosa Bauxite-Gallium Project development.

Financial highlights

• Quarterly exploration expenditures totaled A$13.4 million, with major allocations to technical studies, personnel, and drilling.

• Cash and cash equivalents at quarter end were A$135.1 million, down from A$147.2 million in the previous quarter.

• Net cash used in operating activities for the quarter was A$13.4 million.

• Estimated quarters of funding available is 10, based on current cash and outgoings.

Outlook and guidance

• Scoping Study and Mineral Resource estimates for Rocha da Rocha and Camaçari processing hub expected in August.

• Step-out drilling at Monte Alto HREE + Y and Velhinhas Phase 2 planned to extend known mineralisation.

• Sulista South and West drill programs to continue, with over 12,500m of drilling planned.

• Completion of Alurion Resources demerger and IPO to provide focused capital for Amargosa development.