Verde begins drilling at Alto Paranaiba discovery

Executive Summary

• Verde Agritech began a three‑rig drilling program on October 7, 2025 at its district‑scale clay‑hosted rare earth discovery in Alto Paranaíba, Minas Gerais, Brazil.
• The program aims to rapidly define high‑quality resources and outline the fastest viable path to production, with additional rigs arriving on Oct 11 and around Oct 24, 2025.
• A board assessment—including project naming and a detailed milestone map—is scheduled for release on October 14, 2025.

Key Details

• Drilling Schedule:
• Rig 1 onsite and drilling started Oct 7, 2025.
• Rig 2 expected on site Oct 11, 2025.

• Rig 3 anticipated to mobilize around Oct 24, 2025, creating a three‑rig operation.

• Program Objectives:

• Fast‑track definition of highest‑quality resources to determine the quickest production route.

• Phase 2 drilling will expand on current results to delineate full land‑package potential.

• Metallurgical Work:

• Ionic adsorption confirmation and flow‑sheet test work are in progress, with results targeted for Q4 2025.

• Board Assessment:

• To be published Oct 14, 2025, covering formal project name, milestone map, and next steps.

• Discovery Highlights (from Oct 6, 2025 press release):

• Continuous clay‑hosted rare earth zone ~5,500 ha across 13 mineral rights.
• Assays up to 8,930 ppm TREO and 2,182 ppm MREO; average of 743 ppm MREO from 75 trench/surface samples.

• High NdPr content (≈19 % of TREO, peak 24 %) with notable Dy/Tb grades suitable for magnet applications.

• Operational Advantages:

• Existing potash infrastructure reduces start‑up friction (people, equipment, labs, execution experience, regional infrastructure).

• In‑house multidisciplinary teams and upgraded road/power assets enable rapid field‑to‑decision cycles.

• Qualified Person:

• Technical information reviewed and approved by Jose Marcio Matta Machado Paixao, Fellow of AusIMM, qualified under NI 43‑101.

Notable Quotes

“Over the past 15 years, we've established…the right team and equipment, lab capacity, including power and road infrastructure, to advance our projects quickly,” – Cristiano Veloso, Founder & CEO.
“Building on the recently announced district‑scale discovery … we are accelerating this new rare earths project in a disciplined, cash‑efficient way that does not compromise our low‑carbon fertilizer business.”

Materiality Assessment: Material – Positive (significant operational advancement and potential resource development for a strategic rare‑earth asset).