Appia completes auger drilling at Gaia, closes offering

Executive Summary

• Appia Rare Earths & Uranium Corp. completed auger drilling at the Gaia target (90 holes) and advanced drilling at the Taygeta target (42 holes) within the PCH project in Brazil, with samples shipped for analysis.
• The company closed the final tranche of a non-brokered private placement, raising $734,200 from the issuance of 3,968,648 units at 18.5 cents per unit.
• Ultra Rare Earth Inc. is proceeding with the acquisition of a 50% interest in Appia’s Brazilian subsidiary, with closing scheduled for October 31, 2025, contingent on a $2 million USD investment by Ultra into a separate Appia private placement.

Key Details

• Drilling Operations (Gaia Target):
  • Completed 90 auger drill holes.
  • All samples shipped to an accredited laboratory for geochemical and desorption analyses.
  • Awaiting analytical certificates to guide technical decisions.
  • Desorption protocol to be applied: (NH4)2SO4 0.5 M solution at pH 4, ambient temperature.
• Drilling Operations (Taygeta Target):
  • 42 auger drill holes completed to date.
  • Program prioritizing near-surface horizons selected via geological, geomorphological, and magnetometry criteria.
  • Utilizing two recently acquired auger rigs to accelerate coverage and enhance model resolution.
  • Next steps include infill and stepouts guided by terrain morphology, drainage, and magnetic response.
• Non-Brokered Private Placement (Final Tranche):
  • Closing Date: October 15, 2025.
  • Issuance: 3,968,648 working capital (WC) units.
  • Price: 18.5 cents per WC unit.
  • Gross Proceeds: $734,200.
  • Use of Proceeds: General working capital and exploration on properties in Brazil and Saskatchewan.
  • Security Structure: Each WC unit consists of one common share and one-half of a common share purchase warrant.
  • Warrant Terms: Each full warrant entitles the holder to purchase one common share at $0.30 per share.
  • Warrant Expiry: Earlier of two years from closing or 30 days from the final trading day if the share price is at least $0.40 for 10 consecutive trading days (with the 10th day being at least 4 months from closing).
  • Hold Period: Securities subject to hold period expiring February 16, 2026.
• M&A Transaction (Ultra Rare Earth Inc.):
  • Ultra Rare Earth Inc. is proceeding with the binding term sheet dated August 29, 2025.
  • Transaction: Ultra will acquire a 50% interest in Appia Brasil Rare Earths Mineracao Ltda. (holder of the PCH project in Goias, Brazil).
  • Closing Date: Scheduled for October 31, 2025.
  • Consideration/Investment: Ultra must invest $2 million (U.S.) into an Appia unit private placement.
  • Investment Terms: 5.52 million units priced at 50 Canadian cents per unit (based on $1.38 USD/CAD exchange rate).
  • Investment Security Structure: Each unit consists of one common share (50 CAD cents) and one-half of a warrant.
  • Investment Warrant Terms: Each full warrant exercisable at 70 Canadian cents for 24 months.
  • Investment Use: General working capital for Appia.

Notable Quotes

• "We successfully wrapped up the auger program at Gaia and have already shipped the samples for analysis. At the same time, we continue to progress efficiently at Taygeta, expanding coverage over areas that exhibit favourable signatures for ionic-adsorption clay mineralization within the PCH project," said Tom Drivas, chief executive officer and director.