Highlights:
▪ Successful Bidder: ETM confirmed as the successful bidder for the Penouta tin-tantalum niobium mine and processing plant in Spain, acquired for €5.2 million (A$9.2m). Completion of the transaction is subject to formal documentation and compliance with various Spanish regulatory requirements, and other conditions precedent. The outcome of the bid is subject to judicial approval; if approved, unsuccessful parties may appeal the court’s decision.
▪ Recent Production and Offtake: Acquired through the insolvency process of Strategic Minerals Spain, Penouta mine last operated as recently as October 2024.
▪ Strategic EU Critical Minerals Asset: The EU’s only developed tin-tantalum-niobium
project, aligned with critical mineral priorities and supply chain resilience.
▪ Deep Value Acquisition: Acquired well below the cost ~€28 million (A$49.8m) of historic investment including processing infrastructure.
▪ Permitting in Progress: Re-compliance of Section C Concession (new mining) will be required to enable full-scale production.
▪ Strategic Placement: A$10 million placement agreed by way of subscription from existing shareholder OCJ Investment (Australia) Pty Ltd to support acquisition and strengthen balance sheet. OCJ will own approximately 15.5% of ETM following settlement of the placement and have voting power of approximately 17%.
▪ Board Appointment: OCJ to have the right to nominate and have appointed a nomineeto the Board, effective on settlement of placement.
▪ Share Purchase Plan : SPP to be offered to eligible existing shareholders to raise up to $3 million. Shares issued under the SPP will be issued at $0.042 per share.
▪ Strong Balance Sheet: Following completion of the placement and the SPP and transaction close, ETM will be well capitalised to execute on its growth strategy including advancing potential mine restart scenarios.
▪ Strategic Enhancement: Adds a near-term European asset to complement Greenland focus, improving jurisdictional and asset diversity. The Company remains committed to
Greenland.
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