Savannah Resources (SAV) Investor update summary

Project Overview and Strategic Context

• Europe's largest lithium project, classified as a Strategic Project under the EU Critical Raw Materials Act, with a €110m Portuguese State grant and 100% ownership.

• Phase 1 DFS confirms a 14-year mine life, 20Mt reserve, 39Mt resource, and 183ktpa spodumene concentrate output, with expansion potential to over 100Mt resource and 40+ years mine life.

• Project design and infrastructure allow for future expansion, with phases II and III planned for throughput and resource growth.

• Project expected to catalyze regional economic growth, create 500+ direct jobs, and generate $812 million in taxes and royalties.

• Fully validated and supported at EU, national, and local levels, with strategic partnerships and offtake agreements in place.

Technical and Operational Highlights

• Conventional open-pit mining with a 5.2:1 strip ratio, robust JORC resources (39.1Mt at 1.05% Li₂O), and a 20Mt Probable Reserve.

• Processing plant designed for 1.5Mtpa throughput, producing 5.5% Li₂O concentrate using DMS and flotation, with a 70% recovery rate and potential for improvement.

• By-products (feldspar, quartz, mica) sold to ceramics and industrial markets, supporting circular economy goals and reducing waste.

• Dry stack tailings facility, advanced water management, and autonomous water sourcing ensure compliance with stringent environmental standards.

• Project footprint designed for minimal environmental impact and progressive rehabilitation.

Financial Performance and Cost Structure

• Initial CAPEX is $417M (including contingencies), reduced to $283M net of the state grant; total CAPEX including contingency and before grant is GBP 470 million.

• LOM revenue projected at $4.8B, with $3.2B EBITDA, $1.9B post-tax free cash flow, and a post-tax NPV8 of $913M.

• Post-tax IRR is 43.2% with a payback period of 1.9 years; C1 operating cost is $473/t and AISC is $646/t, placing the project in the second quartile of the global cost curve.

• Project remains resilient at low spodumene prices, with NPV most impacted by spodumene price and recovery rate; power and fuel costs have minimal impact due to renewables and local tax structure.

• Government grant of €110M already approved; financial close targeted by Q1 2027.