Announcement PDF Market Update 06 June 2025 Highlights Cobalt Blue Holdings Limited Halls Creek Project Scoping Study delivers a near-term copper-zinc opportunity ASX Code: COB Directors & Management: Robert Biancardi Non-Exec Chairman Hugh Keller Non-Exec Director Joe Kaderavek Deputy Chairman Dr Andrew Tong Chief Executive Officer Kelvin Bramley CFO & Company Secretary Cobalt Blue Holdings Limited (ASX: COB) (‘COB’, ‘Cobalt Blue’ or ‘the Company’) is pleased to announce the completion of the Halls Creek Project (‘Halls Creek Project’ or the ‘Project’) Scoping Study (the ‘Scoping Study’ or the ‘Study’) (refer to COB’s ASX announcements dated 24 March 2025 and 18 February 2025). The Study supports an attractive, low-cost, near-term copper-zinc project in an established mining jurisdiction in Western Australia. The scoping study reveals several key aspects: KEY POINTS: Cobalt Blue Holdings Limited ACN: 614 466 607 Address:  Suite 12.01, Level 12, 213 Miller Street North Sydney NSW 2060 Ph: (02) 8287 0660 Website: www.cobaltblueholdings.com Email: info@cobaltblueholdings.com Social: Cobalt.Blue.Energy cobalt-blue-holdings a The project plans to develop both the Onedin and Sandiego deposits in sequence. a Material is planned to be mined by open-cut methods from Onedin deposit, and treated via heap leaching, solvent extraction, and electrowinning to produce copper metal, and crystallisation to produce zinc sulphate monohydrate. a Material is planned to be mined by underground methods from the Sandiego deposit, and treated via a concentrator to produce separate copper and zinc concentrates. a A photovoltaic solar grid with battery storage is a key enabler of the operation providing sustainable, on-site power. The Halls Creek Project contribution: 1. Diversification & Commodity cycle resilience The Project provides exposure to major metals such as copper, zinc and silver. This diversification strengthens our ability to weather price swings, optimise capital allocation, and seize new opportunities in shifting market conditions. 2. Strong investment return, with a relatively small start-up funding envelope The Project requires a modest up-front capital expenditure for potentially near dated cashflows, whilst COB develops its critical minerals focused business in parallel. COB will continue to work through staging and capital equipment reduction opportunities throughout the course of Project development. 3. Low technical risk The Project utilises conventional metallurgical flowsheets, engineering and equipment selection with low levels of development and operational risk. Further, due to COB’s strong background in metallurgical flowsheet development and process engineering, in-house testing at the Broken Hill Technology Centre and plant design will speed up project development. MARKET UPDATE 1 COB’s CEO, Andrew Tong, commented: “This is a fresh, modern look at an undeveloped project. We believe that the Halls Creek Project can be developed for a moderate investment to profitably produce copper and zinc, which are forecast to be in high demand in the coming decade. While remaining focused on the Kwinana Cobalt Refinery, we are thrilled to have acquired a robust project to potentially deliver near-term value to our shareholders.” Cautionary statement The Scoping Study referenced in this announcement has been undertaken to assess the potential viability of the Halls Creek Project and to determine whether advancement to more definitive study phases is justified. The Study has been prepared on a 100% basis. COB currently has a 51% in the Project under a joint venture agreement with AuKing Mining Limited,1 with the right (but not the obligation) to increase its interest in the Project to 75% subject to satisfying certain expenditure thresholds. The Study considers a mining and processing operation at the Project targeting copper and zinc production from oxide/ transitional mineralisation, and copper, zinc and silver from sulphide mineralisation. It is a preliminary technical and economic study of the potential viability of the Halls Creek Project and specifically the Onedin and Sandiego deposits. It is based on low level technical and economic assessments that are not sufficient to support the estimation of ore reserves. The Scoping Study has been completed to a level of accuracy of +35 / – 15%. Further evaluation and supporting studies are required before COB will be in a position to estimate any ore reserves or to provide any assurance of an economic development case at this stage or to provide certainty that the conclusions of the Scoping Study will be realised. The Company believes that it has a reasonable basis for providing the forward-looking statements and the forecast financial information. The Scoping Study is based on the material assumptions outlined below. These include assumptions about the availability of funding. While COB considers all of the material assumptions to be based on reasonable grounds, there is no certainty that they will prove to be correct or that the range of outcomes indicated by the Scoping Study will be achieved. As a staged development, cash-flow generated by the first stage of the Project will be used to fund development costs associated with the second stage. Therefore, to achieve the range of outcomes indicated in the Scoping Study, initial up-front capital of approximately A$73million (on a 100% project basis) will be required along with additional funding of up to A$67 million (on a 100% project basis) to meet estimated initial working capital requirements. COB intends to fund its share of the Project through equity, or a mix of equity and debt, with subsequent funding to be met by cash flow generated by the Project itself. COB has successfully raised equity for capital projects in the past and has a strong track record of attracting supportive development partners if required. COB believes it’s joint venture partner will be successful in raising the necessary equity to fund its interest in the Project. However, investors should note that there is no certainty that COB will be able to raise the required funding when needed or obtain the funding on terms acceptable to COB at all. It is also possible that such funding may only be available on terms that may be dilutive to or otherwise affect the value of COB’s existing shares. COB may elect to pursue other funding strategies including a partial sale of its interest in the Halls Creek Project. Should it do so, this could materially reduce COB’s proportionate interest in the Halls Creek Project and negate the advantages of holding a majority interest. Investors should note that COB’s beneficial interest in the Project is currently 51% under the existing joint venture agreement with Koongie Park Pty Ltd (a wholly owned subsidiary of AuKing Mining Limited). Retention or augmentation of this interest is subject to the fulfilment of the following key terms: a To retain the 51% beneficial interest COB must meet a minimum expenditure threshold of A$500,000 by 30 June 2027. a COB will then have the right (but not the obligation) to earn up to a 75% interest (an additional 24%) in the project by incurring an additional A$1.5 million of expenditure on the tenements by 30 June 2028. The Mineral Resources scheduled for extraction in the Scoping Study production target are based on approximately 91% Indicated Mineral Resources and 9% Inferred Mineral Resources. The Inferred Mineral Resources do not feature as a significant proportion in the earlier years of the proposed mine plan. There is a low level of geological confidence associated with Inferred Mineral Resources, and there is no certainty that further exploration work will result in the determination of Indicated Mineral Resources for the current Inferred portion, or that the production target itself will be realised. The Company confirms that the financial viability of the Project is not dependent on the inclusion of Inferred Mineral Resources in the production schedule. The Mineral Resource Estimates underpinning the production target in the Scoping Study have been prepared by a competent person in accordance with the requirements of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 edition (‘JORC Code (2012)’). Given the uncertainties involved, investors should not make any investment decisions based solely on the results of the Scoping Study. Key Outcomes Key outcomes of the Scoping Study: a 10.5 year project life, underpinned by the existing Onedin and Sandiego Mineral Resource Estimates,2 with the first year being construction, followed by 5 years mining and processing the Onedin deposit, and then a further 4.5 years mining and processing the Sandiego deposit. a The Onedin deposit will be mined via an open-cut method, delivering up to 1,000,000 tpa of material to a heap leach pad. Copper metal will be produced by solvent-extraction and electrowinning, with a maximum production rate of 5,000 tonnes per annum. Zinc sulphate monohydrate will be produced by solvent-extraction and crystallisation, with an average production rate of 15,000 tpa contained zinc. 1,2 See ASX announcement ‘COB Diversifies – Major Copper Project Earn In’ dated 18 February 2025. MARKET UPDATE 2 a The Sandiego deposit will be mined via an underground method, delivering up to 700,000 tpa of material to a flotation concentrator plant. Separate copper and zinc concentrates will be produced, at 25% copper and 51% zinc respectively. The average annual copper concentrate will contain 7,300 tpa of copper and 72,600 oz of silver. The average annual zinc concentrate will contain 13,300 tpa of zinc and 12,100 oz of silver. a Life of project estimated mining and production summary (100% project basis)3 Onedin Deposit Maximum Mining Rate 1.0 Mtpa Total Mining Production Target 3.1 mt Total waste mined 21.3 mt Copper metal production 19,400 t Life of operation Zinc production (contained in zinc sulphate monohydrate) 59,000 t Life of operation Mine/plant life 5 years Sandiego Deposit a Maximum Mining Rate 0.7 Mtpa Total Mining Production Target 2.3 mt Total development 1.0 mt Copper production (contained in concentrate) 33,000 t Typical grade of copper at 25% in concentrate Silver production (contained in copper concentrate) 326,800 oz Average silver grade of 77 g/t in copper concentrate Zinc production (contained in zinc concentrate) 59,900 t Typical grade of zinc at 51% in concentrate Silver production (contained in zinc concentrate) 54,500 oz Average silver grade of 14 g/t in zinc concentrate Mine life 4.5 years Life of project estimated financial summary (100% project basis)4 Parameter Economic evaluation Estimated outcome 5 Pre-tax NPV 8% (real) A$172m Post-tax NPV 8% (real) A$121m Pre-tax Internal Rate of Return 28.0% Post-tax Internal Rate of Return 21.4% Life of mine (including initial construction) 10.5 years Onedin Life of Onedin mining costs A$112m (~ $4.59/t combined process feed + waste) Onedin copper sales A$298m Onedin zinc sales A$185m Life of mine Processing costs, freight, packaging A$145m Onedin plant + infrastructure + mine + sustaining capex A$73m Sandiego Life of Sandiego mining costs A$180m (~ $77.34/t) Sandiego copper sales A$483m Sandiego silver sales in copper concentrate A$8m Sandiego zinc sales A$216m Life of mine Processing costs A$130m Sandiego plant + infrastructure + mine + sustaining capex A$43m Sandiego underground mine development cost A$106m Pricing assumptions FX (AUD/USD) 0.65 Copper USD$10,022/t LT Zinc USD$2,780/t LT Silver USD $26.48/oz LT 3, 4 Investors should note that COB’s beneficial interest in the Project is currently 51% under the existing joint venture agreement with Koongie Park Pty Ltd (a wholly owned subsidiary of AuKing Mining Limited). 5 Sensitivity analysis demonstrating a range of potential economic outcomes is set out in Table 2 and Table 3. MARKET UPDATE 3 Economic Evaluation The Scoping Study reflects a staged mining and processing operation to minimise start-up capital requirements and prioritise early cash flow: a Stage 1: an open-cut mine at Onedin, with material to be processed via heap leaching to produce copper cathode and zinc sulphate monohydrate; and a Stage 2: an underground mine at Sandiego, with material to be treated in a flotation plant to produce separate copper and zinc concentrates. Life of project capital cost estimates have been estimated including contingencies ranging from 10% to 20%. The initial up-front investment required is approximately A$73m. A breakdown of the life of project capital costs estimates are as follows: a Onedin plant and infrastructure A$73m (including sustaining capital) required upfront a Sandiego plant and infrastructure A$43m (including sustaining capital) from operational cashflow a Sandiego underground mine decline and orebody access development A$106m from operational cashflow This Study describes engineering, capital costs, and operating costs to a level of accuracy of +35%, -15%. Budget prices from vendors were received for approximately 85% of major plant equipment items. Suitable factors were applied for estimating costs for installation, piping, electrical, EPCM as outlined in Table 12, Table 13 and Table 16. A summary of the key outcomes of the economic evaluation of the Project is set out below: Table 1 – Key economic evaluation outcomes (100% owned basis) Parameter Estimated outcome Pre-tax NPV 8% (real) A$172m Post-tax NPV 8% (real) A$121m Pre-tax Internal Rate of Return 28.0% Post-tax Internal Rate of Return 21.4% Life of mine (including initial construction) 10.5 years Sensitivity Analysis A range of sensitivities have been applied to the key input assumptions, as follows: Table 2 – Pre-tax NPV (A$m) vs FX and discount rate AUD/USD Discount Rate 0.61 0.62 0.63 0.65 0.68 0.70 0.75 7% 237 224 212 188 155 135 88 8% 218 206 194 172 140 121 77 9% 200 189 178 156 127 108 66 10% 184 173 162 142 114 96 57 Table 3 – Pre-tax NPV (A$m) vs copper and zinc price (USD/t) Copper Price (USD/t) Zinc Price (USD/t) 9,000 9,250 9,500 10,002 10,400 11,000 11,500 12,000 2,300 95 107 118 142 161 189 213 236 2,450 109 121 133 156 175 203 227 251 2,611 124 136 148 172 190 219 242 266 2,750 137 149 161 185 203 232 255 279 2,950 156 168 180 204 222 251 274 298 3,300 189 201 213 237 255 284 307 331 MARKET UPDATE 4 The Scoping Study makes the following project parameters and macroeconomic assumptions: Table 4 – Scoping Study key parameters and assumptions Parameter Estimated outcome Economic evaluation Pre-tax NPV 8% (real) A$172m Post-tax NPV 8% (real) A$121m Pre-tax Internal Rate of Return 28.0% Post-tax Internal Rate of Return 21.4% Life of mine (including initial construction) 10.5 years Onedin Life of Onedin mining costs A$112m (~ $4.59/t combined process feed + waste) Onedin copper sales A$298m Onedin zinc sales A$185m Life of mine Processing costs, freight, packaging A$145m Onedin plant + infrastructure + mine + sustaining capex A$73m Sandiego Life of Sandiego mining costs A$180m (~ $77.34/t) Sandiego copper sales A$483m Sandiego silver sales in copper concentrate A$8m Sandiego zinc sales A$216m Life of mine Processing costs A$130m Sandiego plant + infrastructure + mine + sustaining capex A$43m Sandiego underground mine development cost A$106m Pricing assumptions* * FX (AUD/USD) 0.65 Copper USD$10,022/t LT Zinc USD$2,780/t LT Silver USD $26.48/oz LT A full commodity price profile is presented in Table 5 Table 5 – Commodity and exchange rate assumptions, 2027–2030 and Long-term6 6 2027 2028 2029 2030 LT Copper US$/t $10,002 $10,550 $10,624 $10,828 $10,022 Zinc US$/t $2,611 $2,578 $2,523 $2,536 $2,780 Silver US$/oz $29.73 $26.27 $24.72 $20.70 $26.48 AUD A$:US$ 0.65 0.65 0.65 0.65 0.65 Based on consensus forecasts. Sources: Macquarie, Standard Chartered, Morgan Stanley, UBS, Citi, Jefferies, Canaccord, BMO, Goldman Sachs, BAML, Wood Mackenzie, Fastmarkets. Historical long-term price average source: USGS MARKET UPDATE 5 Halls Creek Project delivers value to COB While remaining focused on the Kwinana Cobalt Refinery, COB believes the Halls Creek Project possesses compelling characteristics, including the capacity to deliver additional near-term value to shareholders. The Halls Creek Project strengthens our asset portfolio for three key reasons: 1. Commodity cycle resilience The Project expands our exposure to metals such as copper, zinc and silver. This diversification strengthens our ability to weather price swings, optimise capital allocation, and seize new opportunities in shifting market conditions. 2. Strong investment return, with a relatively small start-up funding envelope The Project requires a modest up-front capital expenditure for potentially near dated cashflows, whilst COB develops its critical minerals focused business in parallel. COB will continue to work through staging and capital equipment reduction opportunities throughout the course of Project development. 3. Conventional processing flowsheets, with low technical risk The Project utilises conventional metallurgical flowsheets, engineering and equipment selection with low levels of development and operational risk. Further, due to COB’s strong background in metallurgical flowsheet development and process engineering, in-house testing at the Broken Hill Technology Centre and plant design will speed up project development. Compelling Copper and Zinc Market Outlook The global outlook for copper and zinc remain strong, driven by robust fundamentals. Copper and zinc are metals with constrained supply benefiting from healthy demand in traditional industrial sectors, as well as technologies vital to the energy transition. Copper prices are currently trading near record highs, and consensus forecasts7 suggest higher annual pricing through to 2030. While the consensus forecast forward curve for zinc is not as steep as copper’s, the price outlook remains resilient. Demand for both metals has typically remained closely aligned with global economic growth, historically driven by industrial sectors such as construction and infrastructure. While the global industrial growth outlook remains supportive in the medium to long term, the consumption patterns of copper and zinc are increasingly shifting toward critical roles in energy transition technologies, creating a more diversified demand mix. Essentially, the “metal of electrification,” copper is a critical material for electrical infrastructure, renewable energy systems, electric vehicles (EVs), and AI-driven data centres. Zinc is primarily consumed in galvanised steel products used in buildings, but its use in energy storage (e.g., zinc-ion batteries), wind turbines, solar panels, and transmission towers is an increasingly positive driver of demand. Meanwhile, supply growth for both metals remain challenged. For copper, the combination of rising capital costs, declining ore grades, limited resource discoveries, lengthy project lead times, and increasing resource nationalism has made it challenging for output to keep pace with demand. In the case of zinc, supply is concentrated among just four countries (China, Peru, Australia, and India, which comprise ~60% of the supply) and has suffered from mine closures, reserve depletion, and high operating costs. 2025 Scoping Study Summary and Assumptions Location and Ownership The Project is located in the Kimberley region of Western Australia, approximately 15 kilometres (km) southwest of Halls Creek and 380 km south of Wyndham Port. The Project lies within a region that has historically supported mining operations and is serviced by established road and port infrastructure. Halls Creek Project Pty Limited (a wholly owned subsidiary of Cobalt Blue Holdings Limited) has entered into an Exploration Farm-In Joint Venture Agreement with Koongie Park Pty Limited (a wholly owned subsidiary of ASX listed AuKing Mining Limited) to acquire a majority interest in the Project (see ASX release 18 February 2025, COB Diversifies – Major Copper Project Earn in). COB’s beneficial interest in the Project is currently 51% under the existing joint venture agreement with Koongie Park Pty Ltd. 7 Based on consensus forecasts. Sources: Macquarie, Standard Chartered, Morgan Stanley, UBS, Citi, Jefferies, Canaccord, BMO, Goldman Sachs, BAML, Wood Mackenzie, Fastmarkets. Historical long-term price average source: USGS MARKET UPDATE 6 Figure 1 – Halls Project, 300km regional setting 0km 100kmCreek200km 100km 200km 300km TIMOR SEA Kununurra Wyndham Port Argyle Diamond Mine Derby Darwin N O NT Gold Mine QLD WA Brisbane Fitzroy Crossing SA Perth Browns Range Rare Earths Project Halls Creek Project NSW Adelaide Savannah Nickel-Copper -Cobalt Mine Sydney Melbourne Imagery © 2025 TerraMetrics NORTHERN TERRITORY 0km The Project comprises an extensive tenement portfolio covering some 250 km2 with the main deposits (Sandiego and Onedin) hosted within existing Mining Leases (M 80/276 and M 80/277 respectively) (Figure 1). For the purposes of the Study, Mining Leases M 80/276 and M 80/277 are considered to define the Project area (Table 6). Table 6 – Mining Lease details Tenement Grant Date Mining Leases Expiry Date Area (km2) 2027 2028 M 80/276 2/04/1989 5/04/2031 2.2 M 80/277 2/04/1989 5/04/2031 3.2 Mineral Resources The Scoping Study has supported development of a production target upon which the forecast financial information is based. The production target is derived from the application of modifying factors to Indicated and Inferred Mineral Resources: a Onedin – Total of 4.8Mt (Indicated) at 0.7% Cu, 1.1% Pb, 3.1% Zn and 38g/t Ag for 33kt contained Cu, 51kt Pb, 151kt Zn, 5.9Moz Ag and 20koz Au; and a Sandiego – Total of 4.1Mt (3.7Mt Indicated / 0.4Mt Inferred) at 1.4% Cu, 0.4% Pb, 4.2% Zn and 25g/t Ag for 56kt contained Cu, 18kt Pb, 175kt Zn, 3.3Moz Ag, and 25koz Au The Mineral Resources are summarised in Table 7 and Table 8 and were originally reported by COB on 18 February 2025 in the report titled ‘COB Diversifies – Major Copper project Earn in’. The production target which includes a modest proportion of Inferred Mineral Resources of approximately 9%. The Inferred Mineral Resources are derived from the Sandiego underground and mined over a period of 18-months commencing in year 8 of the production target. There is a low level of geological confidence associated with Inferred Mineral Resources and there is no certainty that further exploration work will result in the determination of Indicated Mineral resources or that the production target itself will be realised. MARKET UPDATE 7 Table 7 – Mineral Resource estimate for the Onedin deposit detailed by classification Grade Classification Tonnes (Mt) Copper (%) Lead (%) Zinc (%) Contained Metal Silver (g/t) Gold (g/t) Copper (kt) Lead (kt) Zinc (kt) Silver (Moz) Gold (Koz) 47 0.2 16.5 18.0 9.0 2.27 9.7 34 0.1 16.5 33.0 141.9 3.61 10.6 Onedin (Copper zone reported at a 0.4% copper cut-off grade) Indicated 1.5 1.1 1.2 0.6 Onedin (Zinc zone reported at a 1% zinc cut-off grade) Indicated 3.3 0.5 1.0 4.3 Table 8 – Mineral Resource estimate for the Sandiego deposit detailed by classification Grade Classification Tonnes (Mt) Copper (%) Lead (%) Zinc (%) Contained Metal Silver (g/t) Gold (g/t) Copper (kt) Lead (kt) Zinc (kt) Silver (Moz) Gold (Koz) 18 5 16 0.3 0.2 0.3 39.1 4.8 43.9 3.4 – 3.4 13.6 9.0 22.6 0.98 0.05 1.03 16.4 1.9 18.3 35 10 34 0.1 0.1 0.1 12.0 0.2 12.2 14.0 0.1 14.1 146.0 6.1 152.1 2.25 0.03 2.28 6.4 0.3 6.7 Sandiego (Copper zone reported at a 0.8% copper cut-off grade) Indicated Inferred Total 1.7 0.3 2.0 2.3 1.6 2.2 0.2 – 0.1 0.8 3.0 1.1 Sandiego (Zinc zone reported at a 3% zinc cut-off grade) Indicated Inferred Total 2.0 0.1 2.1 0.6 0.2 0.6 0.7 0.1 0.7 7.3 6.1 7.3 Project Staging Following a conceptual mining study by AMDAD, the Company adopted a simplified development strategy comprising two distinct stages. The optimum project sequence is considered to minimise start-up capital requirements and prioritise early cash flow. Financial modelling of the project has assumed metal price forecasts from 2027 onwards and assumes a decision to mine occurring in 2028 following completion of feasibility studies. As outlined below, the Scoping Study proposes a staged development, commencing with mining and processing operations at Onedin, with development of the underground mine at Sandiego commencing 5 years later. a Stage 1 – Onedin Open Pit and Heap Leach: A two-stage open pit operation at Onedin, supplying oxide and transition feed to a heap leach facility located at Onedin for production of copper metal and zinc sulphate monohydrate via solvent extraction and electrowinning / crystallisation. a Stage 2 – Sandiego Underground and Concentrator: An underground mining operation at Sandiego, delivering transition and primary feed to a concentrator to produce separate copper and zinc concentrates. The production target commences with heap leach operations at Onedin. Underground development at Sandiego and construction of the concentrator are timed to align with the depletion of the Onedin open pit, enabling a seamless transition in production and potential cashflow generation (see Figure 2). MARKET UPDATE 8 Figure 2 – Combined open pit (Onedin) and underground (Sandiego) mining production (process feed) Production – Process Feed (tonnes) 1,200,000 Oxide – open cut Transition – underground Transition – open cut 1,000,000 Primary – underground Primary – open cut 800,000 600,000 400,000 200,000 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Figure 3 – Mined material by Mineral Resource classification per month 100,000 Onedin Indicated Sandiego Indicated Sandiego Inferred Mined tonnes per month 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 – month Stage 1 – Onedin Open Pit and Heap Leach Mining Mining will be undertaken using conventional drill, blast, load, and haul methods, with up to 1 mtpa of mineralised feed scheduled for delivery to the heap leach facility. The average grade of the production target is estimated at 0.8% copper and 3% zinc, with the mining operations expected to extend over a four-year period, and processing over a five-year period. The mine schedule has been developed based on optimised pit. At this early stage, detailed designs incorporating ramps, berms, and final pit wall geometries have not been prepared. The schedule is therefore based on idealised shells, used to support preliminary assessments of feed tonnage, grade, and sequencing (Figure 4). The proposed pit has a crest diameter of approximately 500 metres and reaches a maximum depth of around 190 metres. Due to limited geotechnical data from historical drilling, slope design inputs for pit optimisation have been conservatively assigned based on weathering profiles, with overall slope angles of 30° in oxide, 40° in transition, and 42° in primary rock units. A life-of-mine (LOM) strip ratio of 1:7 (ore to waste) is projected for the Onedin open pit. Material below the economic cut-off grade has been classified as waste and further subdivided based on sulphur content as a proxy for acid-forming potential (Table 9): a Non-Acid Forming (NAF): < 0.2% sulphur a Potentially Acid Forming (PAF): ≥ 0.2% sulphur This preliminary classification informs early waste rock management strategies, although further geochemical testing will be required in later study phases to refine these assumptions. MARKET UPDATE 9 Table 9 – Anticipated volumes of NAF and PAF waste rock derived from the Onedin open pit Waste Rock Classification Volume (BCM) Tonnes (t) Average Sulphur Grade (%) NAF 9,219,000 21,036,000 0.02% PAF 91,000 231,000 0.57% PAF waste will be sent to the heap leach circuit for disposal. NAF waste will be transported to a waste rock emplacement located adjacent to the pit. The emplacement is expected to reach a final elevation of RL 475–480 m—standing approximately 35–45 metres above existing ground level and 10–20 metres above nearby ridgelines. A portion of NAF material will be used for intended to be used during initial site construction, and for closure of the heap leach circuit. Mining is expected to be conducted by a specialist contractor, responsible for both load and haul operations and drill and blast activities. Operations are proposed to run on a dual-shift basis, seven days per week, throughout the calendar year. Figure 4 – Onedin optimised pit shells (starter pit and final) MARKET UPDATE 10 Processing Mineralised material from the Onedin open pit will be processed via a heap leach facility to recover copper metal by electrowinning and zinc sulphate monohdyrate by crystallisation (Figure 4). Figure 5 – Block flow diagram for the Onedin heap leach process Mining/ ROM Pad Crushing HEAP Cells Copper Solvent Extraction Electrowinning Copper Metal Zinc Solvent Extraction Crystallisation Zinc Sulphate The copper electrowinning capacity was fixed at up to 5,000 tpa metal. This caps the production of copper in some operating months. On the other hand, the production of zinc sulphate by crystallisation is more flexible from month-to-month, as the equipment is not constrained by fixed electrical components. The Scoping Study adopted metal recoveries of 80% copper and 65% zinc, based on historical testwork results8. The monthly production rates are shown in Figure 6, with the nominal capacities being 5,000 tpa