Well done management, very happy to see plenty of progress in...

Well done management, very happy to see plenty of progress in the right direction this quarter. So many possibilities ahead for the rest of the year from New metals plants, Aus Gov off takes, revised feasibility, FID, Dy Tb validation, FEED commencing....exciting times ahead, some highlights below:

• In February, ASM submitted a whitepaper to the US Department of Defense (DoD) for potential grant funding
  to build a metals plant in the US. This is the third whitepaper submitted to the DoD, with two previous papers
  seeking funding for the development of the Dubbo Project. As an Australian entity, the Dubbo Project is
  eligible for funding support as a ‘domestic source’ under the US Defense Production Act Title III. ASM has
  received initial positive indications of interest in some of these submissions and will update the market as
  these submissions progress

• Variability testwork on the tank leach option using both sulphuric and hydrochloric acid has been completed
  and interpretation of the results into the flowsheet development is in progress. To progress the heap leach
  options, metallurgical testwork is being undertaken that includes bottle roll leach tests on recently drilled core
  intervals and three large mining zone composites. This is to establish heap leach conditions, such as particle
  size and acid addition.

• ASM anticipates being able to provide an indication of the metallurgical testwork results of the options and a
  scoping study on the economic evaluation of the options in the mid-year.

• ASM has received notification from US customer Noveon Magnetics (Noveon) that the Company’s
  475kg NdFeB sample successfully passed Noveon’s magnetisation test.

Each NdFeB alloy customer has distinct specification requirements for the alloy required, dependent
on the type of magnets the alloy is to be used in. This requires a close level of collaboration between
the ASM and its customers. Having now met current specifications, ASM and the KMP will continue to
work with Noveon to establish a delivery schedule for future order requirements aligned to their
demand requirements.

• ASM has continued to progress discussions and technical validation processes with potential new customers.
  During the Quarter, the KMP delivered a total of 400kg of NdFeB alloy to Korea-based KMMI. The alloy is for KMMI’s
  equipment and product commissioning feedstock. Subsequent to the Quarter, the KMP agreed a commercial
  sample sale of 100kg to GKN for assessment of its technical requirements. Upon validation, this will pave the
  way for discussions between ASM and GKN for the ongoing supply of NdFeB alloy.

• As previously reported, ASM concluded a contract for the sale of 19 tonnes of NdPr metal in Q4 2024. The
  contract – signed with Magnequench, part of Neo Performance Materials – saw the first five tonnes delivered
  to Magnequench in Q4. A further 10 tonnes was delivered in Q1 2025, with the remainder due for delivery in
  April 2025.
  This initial sale of metal has established a foundational relationship between Magnequench and ASM for
  ongoing metal sales and further areas of potential collaboration.
  As part of ongoing negotiations, members of the Magnequench team visited the KMP in March. Members of
  the Strategic Sourcing and Quality Assurance teams were given a tour of the manufacturing facilities and
  analytical laboratories and a further two product samples were provided

• In addition, ASM completed the sale of 500kg of NdPr metal to a European-based industrial materials
  company, via a European trading house.

• Commercial production of heavy rare earth metals dysprosium (Dy) and terbium (Tb) in 2025 remains a
  strategic focus for the KMP.
  The Company is pleased to report continued positive progress during the Quarter of its pilot commercial scale
  production of these metals using its proprietary technology. Trials will continue into Q2 2025. The R&D team
  at the KMP has been focused on Dy metallisation and is targeting first production of a commercial Dy metal
  sample for an established customer in the coming months.
  Since the announcement of additional export controls on heavy rare earths from China, ASM has received an
  increased level of enquiries from existing and potential customers regarding the supply of heavy rare earth
  metals

• The KMP has successfully analysed and tested some sub-materials from the EU and the US for NdFeB commercial
  production. Oxides sourced from the US and the EU will be commercial batch tested, aligned to ASM’s
  customer delivery requirements.