CoTec Investment Magiron Completes Pilot Plant Tests, Achieving Exceptional Recovery Rates

Executive Summary

• MagIron LLC, in which CoTec holds ~16.5%, completed an independent pilot‑plant test program with the University of Minnesota NRRI confirming technical viability of a new flowsheet for restarting Plant 4 in Grand Rapids, MN.
• The pilot plant produced direct‑reduction (DR) grade concentrate at 68.3% Fe (post‑LOI) with an 83.5% iron recovery and blast‑furnace (BF) grade concentrate at 66.4% Fe (post‑LOI) with an 85.9% recovery—more than double the 40% recovery of the original Plant 4.
• Results will feed into a forthcoming NI 43‑101 compliant mineral resource & reserve estimate and the final feasibility study being prepared by Behre Dolbear, expected shortly.

Key Details

• Investment Context: CoTec holds an approximately 16.5 % equity stake in MagIron LLC.
• Pilot Plant Program: Conducted independently with University of Minnesota’s Natural Resources Research Institute (NRRI) at Coleraine, MN.
• DR‑grade Concentrate Results
• Iron content: 68.3 % Fe (post‑LOI)
• Iron recovery: 83.5 %
• BF‑grade Concentrate Results
• Iron content: 66.4 % Fe (post‑LOI)
• Iron recovery: 85.9 %
• Comparison to Original Plant 4: Prior BF‑grade concentrate achieved only ~40 % iron recovery; the new flowsheet more than doubles that figure.
• Implications for EAF Steel Sector: Higher‑grade DR concentrate supports growing demand for electric‑arc‑furnace feedstock.
• Future Work: Data will underpin a NI 43‑101 compliant Mineral Resource & Reserve estimate and be incorporated into the independent feasibility study by Behre Dolbear, slated for finalisation in the near term.
• Executive Comments:
• Julian Treger (CEO, CoTec) – highlighted the milestone for MagIron and its value to CoTec shareholders.
• Larry Lehtinen (CEO, MagIron) – emphasized the validation of the new process and its impact on the feasibility study timeline.

Notable Quotes

• “The completion of the pilot plant study and its exciting results are a major step forward for MagIron towards the execution of its strategy to re‑start these assets… we remain very bullish on MagIron.” – Julian Treger, CEO, CoTec
• “These findings reinforce the robustness of our flowsheet and provide critical validation as we advance our feasibility study and prepare to publish our NI 43‑101 compliant resource and reserve statement in the coming weeks.” – Larry Lehtinen, CEO, MagIron