Cotec completes drilling, sampling at Lac Jeannine

Mr. Braam Jonker reports COTEC COMPLETES INFILL AND EXPANSION RESOURCE DRILLING PROGRAM AT THE LAC JEANNINE PROJECT, ENGAGES COREM FOR METALLURGICAL TESTING AND COMMENCES A PROCESS TO APPOINT AN EPCM PROVIDER FOR THE FEASIBILITY STUDY Cotec Holdings Corp. has completed its 2025 sonic drilling and bulk sampling testing program at the Lac Jeannine iron tailings project, Quebec, Canada. The company has engaged Corem to complete the metallurgical testing and has commenced a process to appoint a EPCM provider for the feasibility study. The feasibility study is expected to commence in Q3 2025. Julian Treger, Cotec chief executive officer, commented: "Cotec has progressed its discussions with strategic partners to move rapidly onto preparation of a feasibility study with the support of all stakeholders, including the government of Quebec, first nations and other interested parties. The results from this next phase of drilling and bulk sample collection will allow Cotec to increase its current resource estimate for Lac Jeannine and potentially unlock additional material outside of the tailings dam to reprocess. "The company is very excited to commence a feasibility study regarding the recovery and production of critical mineral iron ore concentrate at competitive cost structures which can deliver high-purity iron concentrates for the green steel industry. The Lac Jeannine project offers great potential for the resource industry to recover the economic benefit of large Fe tailing sites." In June, 2024, Cotec announced the completion of an initial mineral resource estimate (the MRE) and positive preliminary economic assessment (PEA) for the project. Based on open-pit extraction methods and the production of a gravity concentrate via conventional processing techniques and at a discount rate of 7.0 per cent (and based solely on the MRE), the pretax NPV (net present value) is $93.6-million (U.S.) and its IRR (internal rate of return) is 38 per cent, and the after-tax NPV is $59.5-million (U.S.) and its IRR is 30 per cent. As part of the feasibility study, the company is including the application of the Salter Cyclone multigravity separators (MGS) technology for the recovery of additional iron ore from the project. The completed drilling targeted upgrading the existing inferred mineral resource of 73 million tonnes (Mt) at 6.7 per cent total Fe for 4.9 Mt of contained total Fe to indicated and to extend the project to a larger portion of the adjacent tailings. The inclusion of the adjacent tailings has the potential to almost double the life of mine with no additional capex unlocking substantial upside potential. Drilling highlights An infill and expansion program totalling 572 metres of sonic drilling for 12 holes, drilled up to 58 metres, was completed on the historical tailings of the previous Lac Jeannine iron ore mine operated by the Quebec Cartier Mining Company between 1959 and 1985. Additional bulk sampling has also been concluded, a total of seven tonnes of tailings and waste rock dumps were recovered to assess their iron content and has been shipped to Corem's testing facility in Quebec. Bulk sampling and assay results are expected in Q4 2025. The independent qualified person as defined by National Instrument 43-101 for the Lac Jeannine mineral resource, Christian Beaulieu, PGeo, is a member of l'Ordre des geologues du Quebec (No. 1072). The qualified person has reviewed and approved the scientific and technical content of this announcement relating to the Lac Jeannine mineral resource. About Cotec Holdings Corp. Cotec Holdings 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.