Brazilian Rare Earths (BRE) Study update summary

Study overview and methodology

• Scoping study evaluates Rocha da Rocha as a large-scale, first-quartile heavy rare earth province in Bahia, Brazil.

• Independent consultant ERM conducted the technical report, with input from multiple Competent Persons.

• Study is based on low-level technical and economic assessments, with ±40% accuracy, and is not sufficient for Ore Reserve estimation.

• Production targets are underpinned by 44% Indicated and 56% Inferred Mineral Resources.

• Development requires further funding of approximately US$969 million, with potential for dilution or alternative project structures.

Key financial and operational metrics

• Post-tax NPV of US$7.9 billion and IRR of 89%, with a payback period of 1.1 years.

• Upfront capex to first oxide production is US$969 million; fast-track concentrate capex is US$91 million.

• C1 cash cost of US$21/kg NdPr equivalent, positioning the project as the lowest-cost Western rare earths development.

• Annual average EBITDA of US$1.4 billion over the life of mine.

• NPV to upfront capex ratio of 8.2x, outperforming selected peers.

Resource quality and production profile

• Monte Alto deposit features ultra-high grades (11.3% TREO), more than double that of leading Western producers.

• High recoveries (87%) and process yields (>95% at mine, >90% at refinery) reduce processing intensity and costs.

• Forecast annual production includes 6,351 tpa NdPr oxide, 2,502 tpa HRE+ concentrate, and significant volumes of Dy, Tb, Y, Sm, and Gd.

• Heavy rare earths (Dy, Tb, Y, Gd) represent a major portion of the resource, addressing Western supply chain vulnerabilities.