Ann: Results of 1st Court Hearing, page-11

Refer to SCHEME BOOKLET, Page 17

(j) Development of the Pioneer Dome Lithium Project would require significant capital which Essential currently does not have

Essential currently does not have the capital to fully develop its Pioneer Dome Lithium Project and would require significant funding to develop the Pioneer Dome Lithium Project and other exploration assets.

As disclosed in Essential’s Scoping Study ASX announcement dated 7 February 2023, an estimated $350 million will be required to fund development capital expenditure (estimated at $293 million) and working capital to develop the Pioneer Dome Lithium Project.

Any additional equity funding may be dilutive to Essential Shareholders and may be undertaken at lower prices than the current market price or implied value of the Scheme Consideration. Whilst progress has been made to attain future development funding, no assurances can be given that appropriate capital or funding, if and when needed, will be available on terms favourable to Essential or at all.