Element 25 (E25) H1 2025 earnings summary

Executive summary

• Operations focused on Butcherbird Manganese Project, with expansion plans and HPMSM facility development in Louisiana supported by major offtake and funding agreements with GM and Stellantis, and a US$166M DOE grant.

• Butcherbird Measured and Indicated Resources increased 142% to 130Mt at 10.23% Mn; Ore Reserve up 107% to 101.4Mt at 10.4% Mn, supporting >18-year LOM at 1.1Mtpa.

• No lost time or medical treatment injuries reported for the half-year; care and maintenance continued at Butcherbird during expansion planning.

• HPMSM facility in Louisiana to be one of the first in the USA, with offtake and funding agreements covering ~65% of planned production.

• Signed MOU for feasibility study on a Japanese HPMSM facility, aligning with strategy to serve global battery markets.

Financial highlights

• No manganese ore sales revenue recognized due to Butcherbird expansion; total income for the half-year was $97,664, mostly other income.

• Cost of sales was $1,394,503 (2023: $15,097,565), reflecting fixed costs for care and maintenance.

• General and administration expenses were $1,128,529 (2023: $3,409,351); operating loss after tax was $2,435,181 (2023: $13,793,391).

• Cash balance at 31 December 2024 was $4,616,351.

• Basic and diluted loss per share was (1.10) cents (2023: (6.35) cents).

Outlook and guidance

• Butcherbird expansion project approved by WA authorities; construction pending final Works Approval.

• HPMSM facility construction in Louisiana to be supported by US$166M DOE grant and US$115M from GM and Stellantis; additional funding being secured.

• Expansion to 1.1Mtpa manganese concentrate production expected to deliver robust economics: AU$561M NPV8, 96% IRR, AU$64.8M CAPEX, 16-month payback.

• Autonomous mining fleet and BEV water truck to be deployed at Butcherbird, targeting improved productivity and sustainability.