Name of the Project
Kayelekera uranium restart project.

Location
Karonga district, northern Malawi.

Project Owner/s
Advanced uranium developer Lotus Resources' 85%-owned subsidiary Lotus Africa.

Project Description
Kayelekera successfully produced uranium in the past, having delivered about 11-million pounds of uranium to the market from 2009 to 2014.

An accelerated restart plan completed in October 2024 indicated positive operational and financial outcomes, assuming a long-term uranium price of $90/lb.

Under the October 2024 plan, the life-of-mine production target is estimated at 19.3-million pounds of triuranium octoxide (U₃O₈) over a ten-year mine life, averaging about two-million pounds a year. The planned steady-state rate is 2.4-million pounds a year for the first seven years before production is sourced from stockpiles.

Mining is undertaken from a shallow openpit using an owner-operated fleet. The refurbished processing plant uses conventional milling, acid leaching and resin-in-pulp circuits.

As at June 30, 2026, Kayelekera contained a mineral resource of 41.60-million tonnes grading 490 parts per million (ppm) U₃O₈ for 44.90-million pounds, including stockpiles. Its ore reserve was 15.40-million tonnes grading 663 ppm U₃O₈ for 22.50-million pounds. The reserve forms part of the resource; these Kayelekera figures exclude Livingstonia.

Potential Job Creation
The project is expected to create about 600 local jobs.

Net Present Value/Internal Rate of Return
The restart plan estimates pretax and after-tax net present values of $439-million and $301-million, respectively, with pretax and after-tax internal rates of return of 80% and 66%, respectively. Payback should be achieved within two years.

Capital Expenditure
The October 2024 accelerated restart plan reduces initial restart capital through a phased approach by focusing on capital items essential to the restart, with the remaining capital expenditure (capex) continuing off the critical path to optimise operations and cost structure.

As a result, the initial restart capex to first uranium production has been reduced to $50-million from $88-million.

Planned Start/End Date
The operation remains in production ramp-up following its 2025 restart. Associated infrastructure works include the refurbished sulphuric acid plant, tailings storage expansion and a national grid connection, with grid energisation targeted for early 2027.

Latest Developments
Lotus announced on November 2, 2026, that its first shipment had left Kayelekera for Walvis Bay. The four containers carried about 145 000 lb of U₃O_8.

Sea departure has been booked for November 2026, with delivery to Orano CE Malvesi, in France, expected by year-end.

Further shipments are expected to leave the mine before year-end, while Lotus continues optimising operations and increasing production.

Key Contracts, Suppliers and Consultants
Orelogy Mining Consultants (pit optimisation, mine design and production scheduling ore reserve); Gill Lane Consulting (mineral resource estimate); Merrill Ford Independent Metallurgical Operations (metallurgical/process design); Steinert (ore sorting); Nagrom (metallurgical testwork); Senet (process plant and infrastructure, and cost estimate compilation); SLR Consulting (tailings and water); Mine Technics (openpit); SLR Consulting (plant); InfinityCorp (financial model); Dhamana (community and environment); and Mine Earth (mine closure plan and cost estimate).

Contact Details for Project Information
Lotus Resources, tel +61 8 9200 3427 or email info@lotusresources.com.au.