Cotec's HyProMag USA starts feedstock stockpiling

Mr. Julian Treger reports HYPROMAG USA COMMENCES STOCKPILING OF FEEDSTOCK Cotec Holdings Corp. and Mkango Resources Ltd. have noted that Intelligent Lifecycle Solutions LLC (ILS) has formally commenced its stockpiling of feedstock initiative pursuant to the recently announced feedstock supply and preprocessing site share agreement between HyProMag USA LLC and ILS. Preprocessing of the feedstock is expected to commence prior to Dec. 31, 2025. The stockpiling and preprocessing will take place at both the ILS sites in Williston, S.C., and Reno, Nev. ILS is a global electronics recycling company processing electronic waste. It is a full-service IT asset disposition, electronics recycling and scrap purchasing company, and is fully compliant in ISO 14001:2015, ISO 45001:2018 and "responsible recycling R2v3 recycler" at its United States locations. Through ILS, HyProMag USA will provide full traceability on its products to support the closed-loop circular economy and critical mineral supply chains within the United States. Julian Treger, Cotec chief executive officer, commented: "This is another major milestone in the execution of the HyProMag USA project. Securing feedstock is key to the success of any recycling business and we are pleased to work with credible companies such as ILS. HyProMag USA's target is to secure between six months and 12 months of feedstock prior to commissioning of HyProMag USA's advanced-stage rare-earth magnet recycling and manufacturing plant to be located in Dallas-Fort Worth, Tex. HyProMag USA aims to become a major contributor to the USA supply chain of rare-earth magnets, a critical input for accelerating the reshoring of the U.S. industrial base." Will Dawes, Mkango chief executive officer, commented: "The agreement with ILS and commencement of stockpiling of NdFeB feedstock underpins the rapid deployment of hydrogen processing of magnet scrap (HPMS) and associated magnet manufacturing into the United States by HyProMag USA, with detailed engineering well under way following the positive feasibility study last year. These developments will catalyze development of a more robust rare-earth supply chain, whilst unlocking new NdFeB scrap sources in the United States and generating significant value for HyProMag USA and its stakeholders." About HyProMag USA LLC HyProMag USA is owned 50:50 by Cotec and HyProMag. HyProMag is 100 per cent owned by Maginito, which is owned on a 79.4-/20.6-per-cent basis by Mkango and Cotec. About Cotec Holdings Corp. Cotec is a publicly traded investment issuer listed on the TSX Venture Exchange and the OTCQB, and trades under the symbols CTH and CTHCF, respectively. Cotec Holdings is a forward-thinking resource extraction company committed to revolutionizing the global metals and minerals industry through innovative, environmentally sustainable technologies and strategic asset acquisitions. With a mission to drive the sector toward a low-carbon future, Cotec employs a dual approach: investing in disruptive mineral extraction technologies that enhance efficiency and sustainability while applying these technologies to undervalued mining assets to unlock their full potential. By focusing on recycling, waste mining and scalable solutions, the company accelerates the production of critical minerals, shortens development timelines and reduces environmental impact. Cotec's strategic model delivers low capital requirements, rapid revenue generation and high barriers to entry, positioning it as a leading mid-tier disruptor in the commodities sector. About Mkango Resources Ltd. Mkango is listed on the Alternative Investment Market and the TSX-V. Mkango's corporate strategy is to become a market leader in the production of recycled rare-earth magnets, alloys and oxides, through its interest in Maginito Ltd., which is owned 79.4 per cent by Mkango and 20.6 per cent by Cotec, and to develop new sustainable sources of neodymium, praseodymium, dysprosium and terbium to supply accelerating demand from electric vehicles, wind turbines and other clean energy technologies. Maginito holds a 100-per-cent interest in HyProMag and a 90-per-cent direct and indirect interest (assuming conversion of Maginito's convertible loan) in HyProMag GmbH, focused on short-loop rare-earth magnet recycling in the United Kingdom and Germany, respectively, and a 100-per-cent interest in Mkango Rare Earths U.K. Ltd., focused on long-loop rare-earth magnet recycling in the U.K. via a chemical route. Maginito and Cotec are also rolling out HPMS recycling technology into the United States via the 50/50 owned HyProMag USA LLC joint venture company. We seek Safe Harbor.