AEF Completes Acquisition of the South Woodie Woodie Manganese Project, Pilbara District, Western Australia

Executive Summary

• AE Fuels Corp.’s subsidiary Advanced Energy Fuels exercised its option, paying A$450,000 and issuing 6 million AEF shares to acquire 100% ownership of the South Woodie Woodie Manganese Project.
• The project now includes a NI‑43‑101 inferred resource of 11.3 Mt grading 15.0% Mn (up to 42.8% Mn in drill holes) across 517.5 km².
• AEF outlined its 2026 development plan: advance the pre‑feasibility study, complete environmental baseline work, and continue metallurgical testwork toward commercial production of high‑purity manganese sulphate monohydrate for battery applications.

Key Details

• Option Exercise Terms: A$450,000 cash + 6 million AEF shares (total 8 million shares issued to Trek Metals).
• Ownership Acquired: 100% interest in South Woodie Woodie Manganese Project.
• Project Scope: Nine contiguous exploration licences covering 517.5 km² in Western Australia’s Pilbara region.
• Resource Estimate (NI‑43‑101): 11.3 Mt inferred resource at 15.0% Mn (10.1% cut‑off); highest drill intercepts up to 42.8% Mn.
• Historical Drilling: 418 holes, 39,920 m total depth.
• Planned Technical Work for 2026:
• Pre‑feasibility study (PFS) and environmental baseline studies.
• Metallurgical testwork – pyrometallurgical reduction, leaching, impurity removal, solvent extraction, crystallisation to produce battery‑grade HPMSM.
• Engineering studies to support project definition and financing decisions.
• Strategic Rationale: Position AEF as a North American supplier of high‑purity manganese for EVs, ESS, and emerging battery chemistries (LMFP, solid‑state, sodium‑ion).
• Funding Obligation: AEF must fund A$2 million in exploration/development expenditures by 30 Sept 2027 (payable in cash or shares).

Notable Quotes

“Exercising the option and securing 100% ownership of South Woodie Woodie is a key step for AEF. We now have a defined resource base and a clear pipeline of technical work to de‑risk the Project… our priorities are to progress the PFS and environmental baseline studies, complete the next stages of metallurgical testwork, and advance the Project toward commercialization and production of battery‑grade manganese products.” – Gary Lewis, CEO & Director

Materiality Assessment: Material – Positive** (significant acquisition, defined resource base, and clear path to commercial production in a critical mineral market).