Brazilian Rare Earths (BRE) Q4 2024 TU earnings summary

Executive summary

• Achieved record exploration results at Monte Alto, with ultra-high-grade rare earth intercepts up to 45.7% TREO and standout grades of NdPr and DyTb.

• District-scale growth potential confirmed, with new regional discoveries and high-grade outcrops extending mineralisation over 4 km.

• Chevkinite identified as the dominant mineral, enabling efficient extraction and high recovery rates.

• Permitting milestones reached, including approval of the Final Exploration Report for Monte Alto and 20 additional licences.

• Shares and ADRs commenced trading on the OTCQX market, expanding access to North American investors.

Financial highlights

• Quarterly exploration expenditures totaled A$6.99 million, with major spending on drilling, personnel, and technical studies.

• Cash and cash equivalents at quarter end were A$81.7 million, down from A$89.2 million in the previous quarter.

• Net cash used in operating activities for the quarter was A$7.18 million; year-to-date operating outflows reached A$29.3 million.

• No payments for mine development or production activities during the quarter.

• Payments to related parties totaled A$578,759, including director remuneration and drill-rig hire.

Outlook and guidance

• Ongoing exploration aims to further expand the scale and continuity of high-grade mineralisation at Monte Alto and regional targets.

• Permitting progress positions Monte Alto for the next stage toward mining development.

• Forward-looking statements caution that actual results may differ due to risks and uncertainties.