Diatreme Resources (DRX) Noosa Mining Investor Conference summary

Project Overview and Resource Base

• Developing high-purity silica sand projects in far north Queensland, with a total mineral resource of 501Mt at 99.1% SiO2, spanning Northern Silica, Cape Flattery, Galalar, and Western Resource Area projects.

• Three world-class projects: Northern Silica Project, Cape Flattery Silica (acquired via Metallica Minerals), and Galalar Project.

• Northern Silica Project is the primary focus, targeting production of 121Mt over 25 years, with initial output of 3Mtpa rising to 5Mtpa and first production targeted for 2027.

• Mineral Resource Estimate has increased by 513% since 2021, with 68.7% in the Measured category, supporting a mine life exceeding 25 years.

• Fully funded through PFS and DFS processes, with no need to raise capital for almost three years.

Market Demand and Strategic Positioning

• Surging global demand for silica sand driven by the solar energy boom, with 70% of solar panels made from high-purity glass and the market projected to grow from US$25.4B in 2024 to US$38.3B by 2033 at a 4.7% CAGR.

• Chinese demand for PV-grade silica sand is outpacing supply, with consumption expected to rise from 23.43Mt in 2023 to 31.68Mt in 2025.

• Two MOUs in place for offtake: Mitsui and Flat Glass Group, plus Sibelco with a 27% commitment.

• Competing with increasing supply from Asia, especially India, Indonesia, and Malaysia.

• Investment in solar is expected to reach $450B in 2025, surpassing oil for the first time.

Project Development and Approvals

• Advancing through permitting and environmental approvals, with EIS submission planned for August and public comment by year-end.

• Mining leases expected by mid-next year, with Major Project Status granted by the federal government.

• NSP pre-feasibility study is underway, with a fully funded PFS and advanced DFS planning; FID targeted for 2H 2026.

• Stage one capex of $356 million, NPV of $1.4 billion, IRR over 33%, and annual cash operating margin near $300 million.

• Negotiating access to existing maritime infrastructure to optimize logistics.