District Metals comments on veto lifting for uranium

Executive Summary

• District Metals comments on the Swedish government's revised approach to municipal veto rights regarding uranium and alum shale mining, noting the lifting of the veto for uranium and a new inquiry into alum shale extraction.
• The company views the government's engagement as constructive but acknowledges that the impact on its mineral properties remains uncertain.
• District continues to advance its 2026 exploration and development plans for its flagship Viken property, including a preliminary economic assessment and economic impact study.

Key Details

• Swedish Government Policy Changes:
  • Municipal veto rights for uranium mining and processing have been lifted.
  • An inquiry into mining of alum shale deposits has been commenced.
  • A potential new municipal veto for alum shale extraction is announced to be part of the scope of this inquiry.
  • The investigation will focus on alum shale, a host rock containing uranium and critical raw materials including vanadium, potash, molybdenum, nickel, copper, zinc, and rare earth elements.
• Legislative Context:
  • Exploration and mining of uranium from Swedish deposits became legal on Jan. 1, 2026, and this legislative change remains in effect.
• Company Strategy & Operations:
  • District is advancing its flagship Viken property, which covers 100% of the Viken energy metal deposit.
  • The company is conducting a preliminary economic assessment and economic impact study to showcase economic, social, and strategic benefits.
  • District continues to advance its 2026 exploration and development plans as disclosed on Jan. 13, 2026.
  • The company is actively monitoring government announcements, policy, and legislative developments regarding uranium exploration and mining in Sweden.
• Viken Property Details:
  • Contains the largest undeveloped mineral resource estimate of uranium in the world.
  • Includes significant mineral resource estimates of vanadium, potash, molybdenum, nickel, copper, zinc, and other important and critical raw materials.

Notable Quotes

• Garrett Ainsworth, CEO: "We view the government's engagement with local stakeholders as a constructive step towards a framework that supports responsible mine development and meaningful local input that both protects the environment and advances Sweden's strategic role in the European Union's critical raw materials agenda."
• Garrett Ainsworth, CEO: "It is important that regulatory clarity evolves in a way that recognizes both the strategic value of Sweden's important and critical raw materials resources and the legitimate environmental and community considerations. It is also important that exploration and extraction have a permitting process that is robust, uniform and provides the industry with long-term predictability. The latter is essential to protect investments and the ability to develop successful projects."
• Garrett Ainsworth, CEO: "Advancing the Viken property through a preliminary economic assessment and economic impact study will allow us to showcase its economic, social and strategic benefits for Sweden, supported by leading-edge technologies designed to protect the environment."