Cotec JV HyProMag USA commissions concept study

Mr. Julian Treger reports COTEC HOLDINGS CORP. NOTES HYPROMAG USA PRESS RELEASE REGARDING CAPACITY EXPANSION CONCEPT STUDY Cotec Holdings Corp. has noted today's press release by HyProMag USA LLC, its United States-based joint venture rare earth permanent magnet recycling and manufacturing company. HyProMag USA announced the commissioning of a concept study to evaluate the expansion of its operations into Nevada and South Carolina in collaboration with Intelligent Lifecycle Solutions LLC. The concept study will be completed by PegasusTSI Inc. and BBA USA Inc., and will define design and capital requirements for additional hydrogen processing of magnet scrap capacity and up to four new magnet production lines. The expansions are planned to complement the phased buildout of the first Texas hub to optimize HyProMag USA's hub-and-spoke configuration in the United States. Julian Treger, chief executive officer of Cotec, commented: "We are very excited to begin formally expanding and optimizing the footprint of HyProMag USA to Nevada and South Carolina collaborating with our partner ILS. HyProMag USA's NPV for the Texas hub is circa $600-million based on recent expansion plans, and the economics of expanding the hubs are linear, which provides a potential three times increase in company value with additional hubs. "Furthermore, given the recent strong increase in the price of rare earths and their associated magnets, the valuation of the company continues to strengthen as detailed engineering, supply of feedstock and offtake discussions continue at pace. With the recent significant steps by the U.S. government to support domestic supply and reshoring of rare earth magnet production, HyProMag USA is well positioned to support U.S. demand growth with commercial operations targeted in H1 2027. HyProMag USA continues to develop strategic partnership discussions with all stakeholders to accelerate financing, commissioning and product verification timelines." About Cotec Holdings Corp. Cotec is redefining the future of resource extraction and recycling. Focused on rare earth magnets and strategic materials, Cotec integrates breakthrough technologies with strategic assets to unlock secure, sustainable and low-cost supply chains for the United States and its allies. Cotec's mission is clear: accelerate the energy transition while strengthening U.S. economic and national security. By investing in and deploying disruptive technologies, the company delivers capital-efficient, scalable solutions that transform marginal assets, tailings, waste streams and recycled products into high-value critical minerals. From its HyProMag USA magnet recycling joint venture in Texas to iron tailings reprocessing in Quebec to next-generation copper and iron solutions backed by global majors, Cotec is building a diversified portfolio with long-term growth, rapid cash flow potential and high barriers to entry. The result is a game-changing platform at the intersection of technology, sustainability and strategic materials. We seek Safe Harbor.