Namibia Critical files PFS technical report on Lofdal

Executive Summary

• Namibia Critical Metals Inc. has filed an independent NI 43-101 Pre-Feasibility Study (PFS) for its Lofdal Heavy Rare Earths "2B-4" project in Namibia, prepared by SGS Bateman Pty. Ltd.
• The project targets the production of dysprosium (Dy), terbium (Tb), and yttrium (Y), with a joint venture structure with Japan Organization for Metals and Energy Security (JOGMEC) aimed at securing long-term supply for Japan.
• JOGMEC has completed Term 2 of the earn-in agreement, earning a 40% interest in the project, with total approved financing to date reaching $17.445 million CAD against a $20 million CAD requirement for a 50% interest.

Key Details

• Technical Report: NI 43-101 compliant Pre-Feasibility Study (PFS) for the Lofdal Heavy Rare Earths Project 2B-4.
• Principal Author: SGS Bateman Pty. Ltd., supervised by Joseph Keane (Qualified Person).
• Target Metals: Dysprosium (Dy), Terbium (Tb), and Yttrium (Y).
• Project Status: Fully permitted with a 25-year mining license.
• Joint Venture Partner: Japan Organization for Metals and Energy Security (JOGMEC).
• JV Structure & Earn-In Terms:
  • Namibia Critical Metals owns 95% (5% held for historically disadvantaged Namibians).
  • Term 1: $3 million CAD expenditure to earn 40% interest.
  • Term 2: $7 million CAD expenditure to earn additional 10% interest (Total 50% target).
  • Term 3: $10 million CAD expenditure to earn additional 10% interest.
  • Optional Purchase: JOGMEC can purchase another 1% for $5 million CAD.
  • First Right of Refusal: JOGMEC has first right to fully finance the project through commercial production and purchase all production at market prices.
  • Dilution Protection: Collective interests of NCM and disadvantaged Namibians cannot be diluted below 26% carried working interest upon payment of $5 million CAD to JOGMEC.
  • Participation: NCM may elect to participate up to a maximum of 44% by financing pro rata after the earn-in period.
• Financial Progress:
  • JOGMEC has completed Term 2.
  • JOGMEC has earned a 40% interest by meeting the $10 million CAD expenditure requirement.
  • Total approved project financing to date: $17,445,000 CAD.
  • Remaining earn-in requirement to reach 50% interest: $2,555,000 CAD (of the $20 million CAD total).

Notable Quotes

• Darrin Campbell, President: "The quality and depth of this report reflect the work of SGS and a team of highly respected global experts. The company extends its appreciation to all contributors for their professionalism, technical rigour and dedication in delivering this comprehensive report."