EASTERN PLATINUM LIMITED REPORTS RESULTS FOR THE THIRD QUARTER OF 2025

Eastern Platinum (Eastplats) reported its financial results for the third quarter ending September 30, 2025. - Revenue for Q3 2025 was $13.7 million. - The company incurred an operating loss of $3.4 million and a net loss of $2.2 million, or ($0.01) per share. - The working capital deficit increased to $55.1 million. - Cash resources dwindled to a critically low $100,000. - PGM operations from the Zandfontein underground mine produced 6,183 6E ounces from 80,195 tons of ore processed. PGM concentrate sales accounted for 74% of revenue in the quarter. - The company confirmed it ceased the retreatment project in Q1 2025 to focus on the ramp-up of underground operations.

The Q3 2025 results are materially negative. While revenue showed a sequential increase from Q2's $10.7 million, this minor operational improvement is completely overshadowed by the company's deteriorating financial position.

The key takeaways are alarming: 1. Liquidity Crisis: Cash resources have plummeted to just $100,000 from $2.4 million at the end of Q2. This is an existential threat, indicating the company cannot fund its operations or liabilities without an immediate capital injection. The increased credit facility from Investec, announced in August, has been consumed without stabilizing the company. 2. Worsening Balance Sheet: The working capital deficit has grown for the third consecutive quarter, from $38.7 million at year-end 2024 to $55.1 million. This signals severe financial distress and an inability to meet short-term obligations. 3. Failure to Execute on Guidance: In March 2025, the company targeted processing up to 631,000 tons of underground Run-of-Mine (ROM) for the year. After three quarters, they have only processed 200,482 tons (Q1: 44,947; Q2: 75,340; Q3: 80,195). The ramp-up is progressing at a glacial pace, and they have achieved only 32% of their annual target with 75% of the year completed. This is a significant operational failure and credibility miss. 4. Persistent Losses: Despite the transition to higher-grade underground ore, the company continues to post significant operating and net losses. The economics of the underground restart appear challenging at current production levels and commodity prices.

The narrative throughout 2025 has been consistent: the transition from the tailings retreatment project to the Zandfontein underground mine has been poorly executed, financially draining, and has fallen far short of projections. These Q3 results confirm the company is in a precarious financial state. The market will likely interpret this news as a signal that a highly dilutive financing is imminent and unavoidable.

Eastern Platinum Limited is a platinum group metals (PGM) and chrome producer with assets located on the Bushveld Complex in South Africa.

Its flagship asset is the Crocodile River Mine (CRM). Historically, the company generated revenue by reprocessing tailings material (the "Retreatment Project"). In Q1 2025, Eastplats ceased this operation to focus on the restart and ramp-up of the Zandfontein underground section of the CRM. This transition is intended to mine higher-grade PGM and chrome ore but has proven to be capital intensive and operationally challenging, as evidenced by the 2025 financial results and missed production targets. The company also holds other development assets, including Mareesburg, Kennedy's Vale, and Spitzkop.