Name of the Project
Bengwenyama platinum group metals (PGM) and chrome project.

Location
The Eastern Limb of South Africa’s Bushveld Complex, near Steelpoort, in Limpopo. It covers 5 279.74 ha on the farms Nooitverwacht 324 KT and Eerstegeluk 327 KT.

Project Owner/s
Dual-listed PGM company Southern Palladium has a 70% indirect ownership interest in the project through Miracle Upon Miracle Investments, with the Bengwenyama community, through the Bengwenyama Traditional Council, holding a 30% indirect ownership interest.

Project Description
The shallow PGM-chrome project hosts the upper group two (UG2) and Merensky reefs. Its Joint Ore Reserves Committee-compliant resource totals 40.25-million ounces on a combined 7E (platinum, palladium, rhodium, iridium, osmium, ruthenium and gold) and 4E (platinum, palladium, rhodium and gold) basis, comprising 24.81-million ounces in UG2 and 15.44-million ounces in Merensky. The unchanged UG2 probable reserve contains 6.29-million ounces of 6E (platinum, palladium, rhodium, iridium, ruthenium and gold) metals and forms part of the resource.

The updated prefeasibility study (PFS), released on October 13, 2026, retains staged underground development focused on UG2.

Stage 1 is planned at 1.2-million tonnes a year from the South decline, increasing to 2.4-million tonnes a year in Stage 2 with the North decline and a second processing module. Steady-state 6E production is forecast at 200 000 oz/y, rising to about 420 000 oz/y, with 7.72-million ounces recovered over 33 years. Chrome concentrate output is forecast at about 450 000 t/y in Stage 1 and one-million tonnes a year in Stage 2, totalling 17.20-million tonnes over the mine life.

The processing design combines dense-media separation, coarser grinding, gravity separation and staged PGM and chromite flotation. About 30% of planned mined tonnage comprises lower-confidence inferred resources; the forecasts are not assured.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The updated PFS estimates an after-tax net present value, at an 8% real discount rate, of $1.96-billion and an internal rate of return of 39.1% on a 100% project basis. Payback is 2.80 years from first plant production.

Capital Expenditure
Peak funding, including contingencies, is estimated at $329-million, or R5.47-billion, compared with $279-million previously reported.

Planned Start/End Date
Early boxcut and decline development are expected to start in the first quarter of 2027, subject to waste management and water-use permits.

The definitive feasibility study (DFS) is expected to be completed by the end of the first quarter of 2027.

Latest Developments
The September quarterly report, released on October 28, 2026, confirms that early works remain subject to permits.

External development funding is still required; no binding offtake agreement has been announced.

Life-of-mine 6E recovery is modelled at 87.50%. Separately, DFS testwork achieved 87.60% PGM recovery and 85.60% chromite recovery at 42.20% chromium oxide concentrate grade. Larger-scale Jameson cell tests remain planned.

Key Contracts, Suppliers and Consultants
Minxcon (optomised PFS and updated PFS consultant); RM Process and MAK Analytical (DFS metallurgical testwork); and Geomech Africa (drill contractor).

Contact Details for Project Information
Southern Palladium, email info@southernpalladium.com