Lindian Resources (LIN) Investor update summary

Strategic partnership, offtake agreement, and project development

• Entered a strategic partnership and 10-year offtake agreement with Carester for SEGH and MREC products, with options for two 5-year extensions and right of first refusal over 70% of MHREC; Carester will purchase 70% of SEGH output.

• The 8,000 tpa REO solvent extraction and oxide separation facility in Stepnogorsk, Kazakhstan, will be funded internally from Kangankunde and SARECO operations, leveraging existing infrastructure for cost advantages.

• The project is recognized as strategically important by both Kazakhstan and French/Japanese governments, with strong financial and strategic support.

• Offtake covers 70% of both MREC and SEGH output, with payabilities above typical market rates and pricing linked to Carester's realized price and government floor prices.

• The facility is designed to process both Lindian-controlled and third-party rare earth feedstocks, supporting scalability and future expansion.

Project execution and operational update

• Kangankunde mine construction is well advanced, with first production expected by year-end and active mining underway; Stage 1 commissioning is on track for November.

• SARECO full commissioning is due in October, with logistics for transporting concentrate to Kazakhstan established and the hydromet plant ready to process feedstock.

• Non-process infrastructure, including power and water, is progressing on schedule; operational readiness is a current focus.

• Stage two DFS and resource upgrade are underway, targeting a significant increase in concentrate output, with DFS for both Kangankunde Stage 2 and the oxide facility due in December.

• Preventative maintenance at SARECO is budgeted at up to AUD 3 million, with multiple feedstock sources under evaluation.

Financial outlook and funding

• CapEx for oxide separation is estimated at AUD 80–90 million, significantly lower than industry peers, and is considered fully funded.

• Stage one and two in Malawi are projected to generate AUD 800 million to AUD 1 billion in EBITDA, with external analyst models suggesting a combined NPV of around AUD 4 billion.

• No plans for capital raising; funding discussions include interest-free government loans and strong support from Kazakh and U.S. entities.

• Business is being built without debt or significant balance sheet risk, focusing on rapid execution and value creation.

• The integrated platform provides exposure to multiple revenue streams, including monazite concentrate, MREC, SEGH, and separated MREOs such as NdPr, Dy, Tb, and Y.