[Ferro-Alloys.com] Butcherbird Expansion Project Receives Final Regulatory Approval to Proceed

HIGHLIGHTS

•E25 receives formal Works Approval from WA Department of Water and Environmental Regulation (DWER) for the Butcherbird Expansion Project.

• Project now fully approved under WA Regulatory Framework to construct 1.1Mpta manganese concentrate production operation1.
• Butcherbird manganese will be the primary feedstock for E25’s planned battery grade, high purity manganese sulphide monohydrate (HPMSM) processing facility in Louisiana, USA.
• E25 will also sell Butcherbird manganese concentrate product to customers in the manganese alloy and steel industries.

Element 25 Limited (E25, Element 25 or Company) (ASX: E25; OTCQX: ELMTF) is pleased to announce its planned expansion of the 100%-owned Butcherbird Manganese Mine in Western Australia (Butcherbird Project or Butcherbird) to 1.1Mpta1 manganese concentrate production has received the final statutory approval from the WA Department of Water and Environmental Regulation (DWER). This is an important milestone and now sees the Butcherbird Expansion Project (BBX) fully approved under the Western Australian mining regulatory framework.

An updated Feasibility Study for the project released in January 20251 estimated a capital cost of A$64.8M with a pre-tax Net Present Value (NPV) of $561M with a 96% pre-tax Internal Rate of Return (IRR), generating an average of $70.5M per year cashflow over a mine life of more than 18 years.

Receipt of the Works Approval follows the Mining Proposal and Mine Closure Plan approval by WA Department of Energy, Mines, Industry Regulation and Safety (DEMIRS) in January 20252 and now enables construction to commence for the Butcherbird Expanded Project processing facility.

All other required approvals and access agreements are in place and established from Butcherbird’s Stage 1 pilot operations including water abstraction, heritage clearances, Native Title and pastoral agreements.

This final approval in the regulatory framework strengthens E25’s expansion plans and the Company will continue to finalise funding for BBX.

BUTCHERBIRD PROJECT

The Butcherbird Project is E25’s flagship manganese asset, located in Western Australia’s Pilbara region. The Company is currently working to develop an expanded processing facility to increase manganese concentrate production to 1.1Mtpa (Butcherbird Expansion Project)3.

E25 intends to construct a large-scale processing facility at Butcherbird to produce a nominal 1.1Mtpa of high-quality manganese oxide concentrate, which will be targeted at customers in the downstream steel industry. It will also be the feedstock for E25’s first-of-its-kind battery grade high purity manganese sulphate monohydrate (HPMSM) processing facility, which it plans to construct in Louisiana, USA, in partnership with General Motors LLC (GM) and Stellantis N.V. (Stellantis) (HPMSM Project). The HPMSM Project has strong support from the US Government’s Department of Energy (DoE), and was recently awarded US$166M in DoE grant funding.

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• [Editor:tianyawei]