ANNOUNCEMENT | 16 JULY 2024 | ASX: E25 JUNE 2024 QUARTERLY REPORT QUARTERLY HIGHLIGHTS Butcherbird Manganese Operations, Western Australia • E25 commenced investigations into the potential to recommence operations at Butcherbird to take advantage of the recent upward movement in manganese ore prices caused by market factors, including disruptions at South 32 Limited’s Groote Eylandt (GEMCO) operations. • E25 is accelerating activities for the planned expansion of Butcherbird, focusing on process optimisation, Front-End Engineering and Design (FEED) activities, project finance and permitting. • E25 completed resource infill drilling at Butcherbird, with 207 percussion drill holes for ~6,200m targeting infill of existing inferred resources. Battery Grade High Purity Manganese (HPMSM) Development – Louisiana, USA • Binding term sheet (TS) with Veolia North America (Veolia) to secure a site for E25’s planned high-purity manganese sulphate monohydrate (HPMSM) refinery in Louisiana, USA:  Greenfield site in Burnside, Ascension Parish, Louisiana, is located adjacent to an existing sulphuric acid production and regeneration facility owned and operated by Veolia.  A ~35-acre (14 ha) parcel of land secured at prevailing market rates from Veolia.  Sulphuric acid, natural gas, water and return water agreements to be established in parallel with the land purchase agreement. • E25 issued a Title V Air Permit for constructing an Electric Vehicle (EV) battery-grade high-purity manganese sulphate monohydrate (HPMSM) refinery at the Veolia Burnside site. Corporate • Northern Australia Infrastructure Facility (NAIF) is proceeding to detailed due diligence after completing a strategic assessment of E25’s Butcherbird Stage 2 Expansion Project. • Share Purchase Plan (SPP) completed, raising $643,145 to support the Butcherbird Stage 2 Expansion and Louisiana HPMSM project in partnership with General Motors LLC and Stellantis NV 1. 1 E25 Company ASX Release dated 3 July 2024. Element 25 Limited Level 1, Building B, Garden Office Park, 355 Scarborough Beach Road, Osborne Park WA 6017 ABN: 46 119 711 929 T: +61 8 6375 2525 E: admin@e25.com.au W: element25.com.au BUTCHERBIRD OPERATIONS Investigation of Restart Options Amid Record High Manganese Ore Prices In June 2024, E25 commenced investigations into the potential to recommence operations at Butcherbird to take advantage of the recent upward movement in manganese ore prices caused by market factors, including disruptions at South 32 Limited’s Groote Eylandt (GEMCO) operations. This may include the sale of stockpiles and/or recommencing processing of run-of-mine (ROM) stockpiles. GEMCO’s Groote Eylandt Mine typically produces more than 6M tonnes of high-grade manganese ore a year, and damage to the mine’s haul road and ship loading facilities from Tropical Cyclone Megan in March 2024 has resulted in a forecast supply disruption of up to 12 months. GEMCO is currently targeting a production restart in Q3 2025. 2 The loss of GEMCO supply coupled with political instability in South Africa has resulted in a significant and rapid increase in manganese ore prices due to increased competition for available supply. This presents an opportunity to potentially sell stockpiles that are of a lower grade, preventing their previous sale at lower prices, but which may be profitable to ship now. Additionally, ROM stockpiles that have been mined, but not yet processed, are available at site. The cost structure of a restart is not currently defined. However, E25’s Board recognises the potential opportunity of selling existing product stockpiles and/or recommencing the processing of ROM stockpiles at Butcherbird to produce material for sale at currently elevated prices. If viable, these activities will occur in parallel with and will not impact the expansion plans for the Butcherbird Project. E25 suspended Butcherbird production in early 2024 during a period of depressed ore prices while readying for an upgrade of facilities to achieve a nominal 1.1Mpta manganese concentrate production, as outlined in a Feasibility Study completed on January 2024.4 The expansion of Butcherbird production aligns with E25’s Figure 1. Mn ore index (Yuan/dmtu) Tianjin Port 10 June 2024 strategy to produce high-purity manganese sulphate monohydrate (HPMSM) at a facility planned to be built in Louisiana, USA, in partnership with global automakers General Motors LLC and Stellantis NV. 3 A potential restart requires several critical steps with respect to operational readiness and an assessment of re-start and production costs, and it is not guaranteed that this will be commercially feasible in the immediate term. However, E25’s Board believes it is a unique opportunity that should be explored. Restart investigations will focus on minimising cash outflows by reestablishing processing via a joint operational arrangement from existing partnerships with mining and haulage contractors 2 South 32 Limited ASX Release dated 14 May 2024. 3 E25 Company ASX Releases dated 9 January 2023 and 26 June 2023. El t 25 Li it d and utilising existing port access agreements. Discussions are also underway with E25’s existing offtake partner OM Holdings Limited (ASX: OMH) with respect to recommencing ore sales. Butcherbird Infill Drilling Completed In June 2024, E25 completed resource infill drilling at Butcherbird, with 207 percussion drill holes for 6,202m targeting infill of existing inferred resources. All samples have been dispatched to Bureau Veritas for assay with results pending. The Company had recently completed a Butcherbird Expansion Feasibility Study (BBX FS) to support the Butcherbird Expansion Project 4. Figure 2. Drillhole collar location plan summarising existing and proposed drillhole collar locations. Current reserves are based around mineral resources within granted mining lease M52/1074, of which less than half has been drilled to a sufficient density to meet the requirements for measured and indicated classifications. The balance is classified as inferred. The additional drilling will provide infill data to better define and potentially convert these areas to indicated or measured categories to support the re-estimation of mine reserves. The increase in the “reserve tail” will support project financing activities with NAIF and other potential financiers who are currently undertaking project expansion due diligence 5. 4 E25 Company ASX Release dated 23 January 2024 5 E25 Company ASX Release dated 8 April 2024 El t 25 Li it d Figure 3. Aerial photograph of the resource infill drilling rig with support vehicles and personnel. Butcherbird Expansion - Plant Design Optimisation Following the BBX FS released in January 2024, E25 accelerated activities for the expansion of Butcherbird, focusing on key areas, including process optimisation, FEED activities, project finance and permitting. The FS outlined a compelling opportunity to expand production at the Butcherbird Mine to take advantage of the large resource base and increase commercial returns by increasing production to a nominal 1.1 Mt per annum of manganese concentrate at lower unit costs. The FS estimates a modest capital cost of $49.8M. There have been important advancements, particularly in the FEED phase of the Butcherbird expansion, where the Company has optimised the plant's delivery while minimising design, cost, delivery risk, processing risks and improving energy efficiency and emission profiles. Engineering Design and Project Management E25 engaged local specialist engineering firm Aspect Engineering Solutions (Aspect) to manage the engineering design phase and serve as owner’s engineer throughout project execution. Aspect will assist with engineering, procurement and construction management activities to ensure a streamlined and well-managed project implementation plan. Operational Improvements The project team has made strategic improvements to the initial plant design, enhancing operational efficiency and maximising productivity. Integrating a second stage crushing system will process larger materials directly into the primary circuit. The feed bin and apron feeder have been upsized to optimise truck cycling times and minimise feed disruptions, which has the potential to increase plant utilisation and reduce bottlenecks. The secondary crushing stage has been optimised to handle specific material sizes, ensuring a seamless process flow and eliminating the need for additional screening and material re-handling, a key focus of the design methodology. El t 25 Li it d Mining equipment sizing optimisation modelling has confirmed equipment selection to minimise unit mining costs, rehandling and ensure continuous plant feed availability. Further studies will investigate the potential to introduce electrified mining equipment and mine site light vehicles to reduce carbon emissions. Process controls are being designed to ensure that each principal processing stage can operate as close to maximum performance as possible whilst allowing for in-process surge points and redundancy to allow for scheduled maintenance without interrupting production. Automation is being implemented at each stage to optimise equipment set points and performance. Water consumption reduction through the potential introduction of a thickener and intelligent recycling will reduce the impact on the local water resources while reducing bore field operational costs. Inline analysers will enable dynamic feedback to process control systems based on desired product specifications and allow for the optimisation of product blends and sales pricing based on customer requirements. Crushing and Screening Circuit Through extensive review, E25 has identified significant improvements to the crushing circuit at Butcherbird. These enhancements are designed to streamline operations, reduce the frequency of plant stoppages, and optimise material handling efficiencies. Key consideration was given to the clay-rich nature of the ROM feed, and several design modifications have been made to the flowsheet to eliminate the impact of these materials. Consideration has also been given to minimising double handling of material, with direct truck dump feed as the principal feed method into a feed hopper. Figure 4. Crushing circuit process flow diagram. El t 25 Li it d Key Crushing Circuit Upgrades During post-FS design optimisation, several changes have been made to improve crushing circuit performance and reliability including: • Upgraded Apron Feeder: The apron feeder has been expanded from 1.5m to 2m wide, enhancing its capacity to handle larger particles. This adjustment allows direct feeding into the mineral sizer, reducing the likelihood of bridging and associated process disruptions. • Two-Stage Crushing Circuit: Installation of a larger mineral sizer replaces the need for a roller screen. This new sizer is ideal for processing larger particles, with an increased open area that allows undersize materials to pass through effortlessly. The sizer can reduce material up to 1m to a nominal size of 180mm. A secondary, smaller mineral sizer will process oversize feed (>80mm) to ensure product sizing aligns with customer requirements. • Streamlined Screening Process: After stage 1 crushing, feed material will be screened via a flexible media double-deck dry screen, where particles over 80mm are redirected to the secondary sizer. The screen removes material smaller than 8mm from the system. This “dry fines” material is used to construct tails storage facility (TSF) walls. Operational Benefits The enhancements are expected to minimise the impact of clay-rich laterite ROM feed material, minimise double handling with the truck-dumping strategy, and maximise plant utilisation and throughput. They aim to minimise potential blockages and to future-proof the plant against expected expansions, ensuring sustained operational excellence and reduced downtime. Implementing strategic upgrades allows E25 to continue prioritising efficiency and reliability, demonstrating the Company’s commitment to innovation and leadership in the manganese industry. Logwashing System E25 is improving the processing capabilities of its log washing system by introducing technical enhancements that optimise material handling and increase water recovery efficiency. El t 25 Li it d Figure 5. Washing circuit process flow diagram. Enhanced Logwashing System Features • Adjustable Washing Angles: The logwasher features variable angles, allowing precise control over the residence time of materials in the washer, thereby optimising the scrubbing efficiency. • Upgraded Washing and Screening Equipment: The washing screen has been increased in size, ensuring thorough rinsing of slimes following log washing. This larger screen facilitates effective particle rollover, enhancing the washing coverage on all material surfaces scrubbed by the log washer. • Strategic Screening of Oversized Materials: Material exceeding 8mm is screened out and directed to an oversized trash and organics screen, which has been expanded to manage additional material from the logwasher rinse screen. This screen is equipped with 1.2mm x 12mm polyurethane panels, optimising the separation of particles down to -1.2mm. • Improved Slimes Management: The undersized fraction from this screening stage, primarily comprising slimes, is transferred to the TSF. Incorporating this additional screening step will effectively reduce ~35% of the mass destined for the TSF, streamlining the pumping process and tailings deposition. El t 25 Li it d Water Recovery and Operational Efficiency The system enhancements will also improve the water recovery rate above the initial recovery of 83% at Stage 1 operations, with further water savings anticipated from reduced material being pumped to the TSF. This optimised process aligns with the Company’s sustainability goals and enhances the project's overall efficiency. Dense Media Separation (DMS) E25 is nearing the final design stages for a new Dense Media Separation (DMS) circuit, which will use results from ongoing test work with typical feed material. Recent Test Work Overview The latest test work involved recombined product and waste samples from the Stage 1 pilot plant operations, re-processed through a DMS drum at a test facility in South Africa at selected cut densities of 3.0, 2.9, and 2.7 t/m³. The data resolution was enhanced using 10mm tracers distributed across 20 density bins ranging from 2.64 to 4.54 t/m³, with approximately 50 tracers per bin. The test work was performed on a DMS drum identical to the technology selected for E25’s flowsheet, ensuring consistency and relevancy in the results and operational forecasts. This work was undertaken on the <40mm sample fraction. The second phase of the work, which is currently being completed, involves individual particle density measurement and modelling for material >40mm. The outcomes of this test program will provide essential data to guide the DMS plant design and operating parameters. Figure 6. Dense media separation circuit process flow diagram. El t 25 Li it d Anticipated Outcomes The visual observations from the test work are encouraging, and the team is awaiting the analytical results and results from the subsequent tests of the >40mm fraction to further validate the effectiveness of the DMS process under these operational parameters. These findings will play a crucial role in optimising the final design of the DMS circuit to enhance both the efficiency and Figure 7. DMS test work sample trays showing sinks (dark) and floats (light). throughput of the processing operations. Next Steps Upon receipt of the complete analytical results, E25 will refine the DMS circuit design to ensure maximum operational efficiency and material handling capacity. The Company aims to implement a system that meets and exceeds its operational requirements. Dust Suppression Systems The Company is committed to maintaining a safe and efficient workplace. To that end, significant improvements have been made with respect to on-site dust suppression and containment systems. The proactive approach involves collaborating with multiple technology providers to integrate the most suitable solution(s). Key Features of Dust Suppression System • Innovative Suppression Technologies: Incorporating atomised and dry fog systems that effectively suppress dust with minimal water usage. These systems are designed to significantly reduce water consumption while maintaining optimal dust control. • Electrostatic Dust Mitigation: Utilising cutting-edge electrostatic technology for dust mitigation further enhances operational cleanliness and safety. Operational and Environmental Benefits Dust suppression technologies are essential to ensure that the Company’s personnel and machinery operate in an environment where airborne dust hazards are minimised. Implementing these systems supports E25’s commitment to environmental stewardship and occupational health, ensuring operations exceed industry standards for safety and efficiency. Control Optimisation and IIoT Integration Element 25 plans to integrate an Industrial Internet of Things (IIoT) system into the Butcherbird operations. This strategic upgrade is designed to enhance data integration and operational control both onsite and remotely from E25’s Perth office, ensuring high-level oversight and efficiency. El t 25 Li it d Key Features and Integration Strategy Advanced Data Management and Analysis The platform will enable enterprise-wide data integration and reporting. Leveraging the Historian software and Vision analytics platform, the team will have access to efficient data storage and analysis tools that will integrate with existing data sources in the E25 Perth office. Enhanced Operational Visib ility Utilising simple, intuitive dashboards, graphs, and Key Performance Indicators (KPIs), the platform will allow real-time analysis and live operational oversight, significantly improving decision-making capabilities. Real- time Analysis of Material and Automated Pr ocess Contr ol Integrating Prompt-Gamma Neutron Activation Analysis (PGNAA) analysers into the processing plant marks a leap forward in realtime material stream analysis. This technology provides in-line, Figure 8. Inline PGNAA analyser provides real-time analysis. real-time whole rock analysis for key elements, providing an opportunity for immediate adjustments in process parameters to align with feed composition. This allows the process plant control algorithm to optimise mineral recovery and grade and eliminates the need for manual intervention, leading to near-complete plant automation and remote monitoring. Secur e and Efficient Oper ational Contr ol As a result of the Insights feature, operations will benefit from secure storage and robust analysis of operational data, facilitating improved strategies and processes across the value chain. Remote Access and Exper t Collaboration The VIP Platform supports remote access to real-time standardised data, enabling the team in Perth to collaborate with global specialists and OEM suppliers. This promotes a collaborative environment, extending E25’s remote consulting and decision making capabilities. Continuous Improvement and Customisation The Company’s approach includes a systematic, data-driven methodology that begins with quality data collection and extends through information analysis, control, and optimisation. This system will support ongoing adaptation and improvement and be tailored to the specific needs of the operations. Integration Acr oss the Value Chain The data platform connects people and processes and integrates with a wide range of instruments, products, and advanced process control solutions. This comprehensive integration is essential for optimising every aspect of the operations, enhancing efficiency, and reducing downtime. El t 25 Li it d Futur eproofing Oper ations Investing in the VIP Platform ensures the Company has a scalable and adaptable system that can evolve with technological advancements and operational needs. This forward-thinking approach guarantees the Company’s data management and process optimisation infrastructure remain at the cutting edge, providing a sustainable competitive advantage. Through the deployment of the VIP Platform, E25 reinforces its commitment to technological innovation, operational excellence, and environmental stewardship, setting new standards in the mining industry. Project Scheduling, Procurement and Cost Management The Company is initiating the FEED design stage before the final funding allocation, which allows E25 to control initial costs and avoid timeline delays. This proactive strategy ensures that plant design advances efficiently to 3D modelling, effectively managing equipment selection risks, ordering long-lead items, layout design, and permitting. Detailed project scheduling has identified several long-lead procurement requirements, particularly the vendor selection and ordering of the principal equipment for the crushing circuit. The project team has confirmed mineral sizers as the technology of choice, and a bid package has been prepared to source crushing equipment from reputable suppliers who can provide ongoing support and maintenance services. Other long-lead items are being approached similarly to minimise project execution schedules. Indigenous Engagement As part of the Company’s commitment to ongoing engagement with Traditional Owners, an Indigenous Engagement Plan (IEP) is being developed to provide a strategy to enhance Indigenous groups' participation, procurement, and employment in relation to the project. The IEP will include processes for engaging with local Indigenous groups to assess their capabilities and capacity to participate and ensure that they have an opportunity to participate in procurement and contracting opportunities as they arise throughout project execution. Element 25 has agreements in place with Traditional Owners on whose lands the project will operate, but the intention is to expand the level of Indigenous engagement into other opportunities through construction and operations. Environmental and Operational Innovations E25 is actively pursuing strategies to reduce water usage and dust emissions. The Company’s innovative approaches demonstrate commitment to environmental stewardship, such as advanced dewatering screening systems, optimised log washers for reduced water consumption, and high-pressure mist systems for dust suppression. Furthermore, the Company have streamlined material handling processes to significantly reduce dust generation, enhancing operational efficiency and workplace safety. El t 25 Li it d Reducing double handling is a key focus of the engineering team’s design initiatives. Where this can be achieved, it will reduce cost and overall energy consumption from diesel-powered mobile plants. Additionally, E25 is exploring the opportunity to deploy an electric or hybrid mining fleet further to reduce fossil fuel usage during mining operations. Power generation is likely to be a hybrid diesel-solar system, and discussions have been initiated with potential suppliers to optimise the energy mix and explore a range of contracting strategies, including engaging with an IPP to minimise upfront capital. Commitment to Excellence and Sustainability E25's commitment to building a state-of-the-art processing plant that sets new standards in performance, reliability, emission reduction, safety and operational efficiency is unwavering. By leveraging industry-leading expertise and lessons learned from the Butcherbird pilot plant, the Company targets a high level of operational readiness and smooth project execution and commissioning. The Stage 2 Butcherbird Expansion Project aims to harness lessons learned from the Stage 1 Pilot Plant to extract the maximum value from the process-proven resource at the Butcherbird Project, deploying cutting-edge technologies with a view to generating shareholder returns whilst demonstrating a core focus on safety, sustainability, Indigenous engagement and operational excellence. The expanded Butcherbird Mine has the potential to supply high-quality, low-carbon, sustainable manganese ore supply over many years to the Company’s planned HPMSM refineries to provide a critical raw material for the electrification of the world energy systems as the world looks to reduce its dependency on fossil fuels and fight climate change. HPMSM PROJECT EXECUTION Site Secured for Louisiana HPMSM Refinery In May 2024, the Company signed a binding term sheet (TS) with Veolia North America (Veolia) to secure a site for E25’s planned high-purity manganese sulphate monohydrate (HPMSM) refinery in Louisiana, USA. The TS contemplates several parallel definitive agreements, and completion is conditional on the execution of these contract documents as well as securing project financing and the Company’s Board reaching FID before 30 August 2024 (or such later date as the parties may agree). The definitive agreements to be executed no later than 30 August 2024 in the TS include: 1. the Land Purchase Agreement; 2. the Sulphuric Acid Supply Agreement; 3. the Road Easement Agreement; and 4. the Utilities and Services Agreement and Temporary Lease Agreement. E25’s civil engineering works for the HPMSM project have to date been based on the Veolia site. It brings together a number of important synergies to support the long-term competitiveness of the E25 facility. Under the Sulphuric Acid Supply Agreement, Veolia will provide long-term secure sulphuric acid supply and agreed tariffs. El t 25 Li it d Figure 9. The proposed construction site for the Louisiana HPMSM facility is close to the Veolia North America acid plant. Key Permit Secured for USA HPMSM Site In May 2024, the Company advised that it has been issued a Title V Air Permit for the construction of an Electric Vehicle (EV) battery-grade high-purity manganese sulphate monohydrate (HPMSM) refinery in Louisiana, USA (Project) via its subsidiary Element 25 (Louisiana) LLC (E25LA). As part of the process, E25 completed a detailed assessment of expected emissions from the HPMSM refinery and provided this information along with supporting documentation to the Louisiana Department of Environmental Quality (LDEQ). The E25 HPMSM refinery has been defined as a "minor source" for New Source Review, 6 federal hazardous air pollutant (HAP), Louisiana toxic air pollutant, or Title V (Part 70) purposes. Any source, including a temporary source, which emits or has the potential to emit any air contaminant (defined as particulate matter, dust, fumes, gas, mist, smoke, or vapour, or any combination thereof produced by the process(es) other than natural) requires an air permit. LDEQ issued the draft Air Permit to E25 in early February 2024 and the final stage of the permitting process, prior to issuance, was a statutory public consultation period. This included a public meeting held in the local community on 18th April 2024 where feedback was supportive of the Project and the permit has now been issued. CORPORATE Share Purchase Plan Completed During the quarter, the Company completed a SPP following the closing of applications on 26 June 2024. The SPP raised $643,145. All eligible Directors of Element 25 participated in the SPP 7. 6 Reference: https://www.epa.gov/sites/default/files/2015-12/documents/nsrbasicsfactsheet103106.pdf 7 E25 Company ASX Release dated 3 July 2024 El t 25 Li it d Proceeds of the SPP will be used to enable the Company to progress its current prime projects at the Butcherbird mine site (located in the southern Pilbara region of Western Australia), as part of the Butcherbird Stage 2 Expansion Project, as well as continuing to support the high purity manganese sulphate monohydrate (HPMSM) project to be built in Louisiana, USA in partnership with General Motors LLC and Stellantis NV. 8 ASX ADDITIONAL INFORMATION The ASX Appendix 5B quarterly report covering the 12 month period ending 30 June 2024 is attached and lodged with this report. In accordance with ASX Listing Rule 5.3.5, payments to the Company's related parties and associates during the quarter totalled $219,000 comprising salary, directors’ fees, consulting fees, and superannuation. In accordance with ASX Listing Rule 5.3.1, payments relating to Mining Exploration for the quarter totalled $488,000. ABOUT ELEMENT 25 Element 25 is an ASX-listed company (ASX: E25) that operates the world-class 100%-owned Butcherbird Manganese Project in Western Australia and is currently undertaking activities to expand production to approximately 1.1Mtpa of medium-grade high silica manganese ore for use in traditional and new energy markets. E25 is also commercialising innovative proprietary technology to produce battery-grade high-purity manganese sulphate monohydrate (HPMSM) for use in Electric Vehicle (EV) battery manufacturing. The Company is planning to build its first HPMSM refinery in Louisiana USA to produce raw materials for the US EV market, in partnership with General Motors LLC (GM) and Stellantis N.V. (Stellantis). E25 aims to become an industry leading, world class, low-carbon battery materials manufacturer. Company information, ASX announcements, investor presentations, corporate videos, and other investor material in the Company’s projects can be viewed at: www.element25.com.au. Justin Brown Media Inquiries: Managing Director Nathan Ryan Email: admin@e25.com.au Email: nathan.ryan@nwrcommunications.com.au Phone: +61 (8) 6375 2525 Phone: +61 (0) 420 582 887 Competent Persons Statement The Company confirms that in the case of estimates of Mineral Resource or Ore Reserves, all material assumptions and technical parameters underpinning the estimates in the market announcement dated 29 Septe