Aclara Resources announces feasibility study results for Carina Project

Aclara Resources (ARAAF) announced the filing and results of the feasibility study of the Company ‘s flagship asset, the Carina Project based on Mineral Reserves. Significant Production of Heavy Rare Earths and Light Rare Earths for an 18-year Life of Mine: Average annual production of 4,378 tonnes rare earth oxides contained in a mixed rare earth concentrate product with very high content of Dysprosium and Terbium and Neodymium and Praseodymium of 4.2% and 27.2%, respectively. Average annual production 1 of magnetic elements as well as other strategic HREEs contained in the MREC product: 156 tonnes Dysprosium and 27 tonnes of Terbium; 1,191 tonnes NdPr; and Other strategic HREE: 173 tonnes of Samarium, 176 tonnes of Gadolinium, 10 tonnes of Lutetium and 1,160 tonnes of Yttrium. Carina’s future production of DyTb is equivalent to approximately 11.8% of China’s 2024 estimated DyTb production. After-tax Net Present Value of approximately $1.7B, at an 8.0% discount rate, based on Argus Media price forecasts. After-tax Internal Rate of Return of 26.9%, with a payback period of 2.9 years. Initial capital cost of $678.2M, plus a $102.7M contingency, for an aggregate of $780.9M. This figure is $100.4M higher than the Company’s previously reported Construction Capex in its Pre-Feasibility Study which is primarily due to foreign exchange, inflation, and higher engineering accuracy. An average annual commercial 1 discount of $314.4M – equivalent to 34% of the annual gross revenue – has been applied to account for the full separation of the Carina Project’s MREC. Aclara’s plans consist of paying this separation fee to its separation project in Louisiana. The NPV associated with Aclara’s future separation facility in Louisiana is not included in the FS. Average annual net revenue of $599M and average annual earnings before interest, taxes, depreciation, and amortization of approximately $460M. High average Net Smelter Return of $61.8 per tonne processed, against a low average production cost of $13.1 per tonne processed. The price forecast scenario developed by Argus Media is based on the European price index and has been calculated on real terms. High geological confidence supported by 30,384 m of drilling across 1,990 drillholes, representing a 24.0% increase in drilling compared to the previously reported Mineral Resource Statement on October 1, 2025 and a 640.0% increase in drilling compared to the Inferred Mineral Resource Statement on August 6, 2024. Carina has become the first ionic clay project to declare Mineral Reserves in accordance with NI 43-101. Successful completion of the Project’s representative pilot campaign at its semi-industrial scale facility in Goiania, Brazil. This marks the third pilot campaign conducted by Aclara over the past three years, focused on optimizing OPEX and CAPEX, and validating the process parameters and robustness of its proprietary Circular Mineral Harvesting process. Increased quality of Carina’s MREC from 91.9% to over 95.0% purity supported by samples produced at semi-industrial scale plant. Circular Mineral Harvesting process designed to minimize environmental impact: it does not use explosives; there is no crushing nor milling; approximately 93.0% of the water used is recirculated; the main reagent is a common fertilizer and is recirculated with 99.0% efficiency; and no requirement for a tailings dam. Minimal carbon footprint supported by a combination of low energy consumption, elimination of explosives, crushing, grinding and milling and a high percentage of renewable energy within the Brazilian power grid.