Brazilian Rare Earths (BRE) Q1 2025 TU earnings summary

Executive summary

• Achieved record exploration results at Monte Alto, expanding the scale and continuity of ultra-high-grade REE-Nb-Sc-Ta-U mineralisation, with intercepts up to 45.7% TREO and standout grades for NdPr and DyTb.

• Pelé Project confirmed as a district-scale, high-grade rare earth system, with diamond drilling and outcrop samples returning up to 17.7% TREO and significant monazite sand horizons.

• Amargosa Bauxite-Gallium Project advanced with a new royalty agreement, historic drilling confirming thick, high-grade bauxite, and a new gallium discovery with grades up to 190 ppm Ga2O3.

• Ended the quarter with A$75.4 million in cash, ensuring strong funding for ongoing exploration and feasibility work.

Financial highlights

• Cash and cash equivalents at 31 March 2025: A$75.4 million, down from A$81.7 million at the previous quarter end.

• Net cash used in operating activities for the quarter: A$6.5 million, primarily for exploration and evaluation.

• Net cash used in investing activities: A$0.2 million; net cash used in financing activities: A$0.04 million.

• Quarterly exploration expenditures totaled A$6.95 million, with related party payments of A$0.69 million.

• Actual expenditure since listing closely tracks the prospectus, with A$54.6 million spent versus A$53.2 million planned.

Outlook and guidance

• Well funded for planned exploration and feasibility programs through 2026, with estimated 11 quarters of funding available at current expenditure rates.

• RPM Global appointed to expedite JORC-compliant resource and scoping studies for bauxite and gallium.

• Focus remains on expanding resource base and advancing district-scale rare earth and bauxite-gallium projects.