Name of the Project
Monte Muambe rare earths, fluorspar and gallium project.

Location
Tete province, north-western Mozambique.

Project Owner/s
London-listed African critical minerals exploration and development company NeoTerra Group, formerly Altona Rare Earths.

NeoTerra holds 51% of Monte Muambe, which will increase to 70% upon completion of Phase 3 of the earn-in agreement.

Project Description
Monte Muambe hosts rare earths, fluorspar, gallium and heavy rare-earth element (HREE) mineralisation. The project is held under a 25-year mining licence granted in December 2024.

A scoping study on the rare earths component has proposed the openpit mining of Target 1 and Target 4 over a life-of-mine of 18 years.

An estimated 750 000 t/y of ore is planned to be extracted and processed through a beneficiation plant to produce a rare-earth concentrate. The beneficiation process will include crushing, milling and flotation.

The concentrate will be processed through a hydrometallurgical plant to produce an average of 15 000 t/y of mixed rare-earth carbonate. The hydrometallurgical process will involve a weak acid gangue leach, followed by rare earths leaching and purification.

The mixed rare earth carbonate product will be packaged and transported using existing road infrastructure to the Port of Beira, in Mozambique, for export.

Monte Muambe hosts a Joint Ore Reserves Committee- (Jorc-) compliant rare earths mineral resource estimate of 13.6-million tonnes at 2.42% total rare-earth oxides (TREO). Published Jorc estimates for the broader project also include 3.48-million tonnes of fluorspar at 20.6% calcium fluoride (CaF2) for 716 000 t of contained CaF2, and 11.73-million tonnes at 54.7 g/t gallium oxide (Ga2O3) for 641 t of contained Ga2O3. An updated July 2026 mineral resource estimate for the Fluorite Zone and Python orebodies incorporates HREE grades for the first time, reporting 3.47-million tonnes at 3 070 ppm TREO and 770 ppm HREO, all in the inferred category.

The fluorspar estimate supports an initial base case of 50 000 t/y of acid-grade fluorspar concentrate for 9.5 years, assuming a metallurgical recovery of 65% and a concentrate grade of 97.5% CaF2. The gallium mineral resource estimate confirms mineralisation beyond the fluorspar ore envelope and into adjacent fenite zones, but commercial viability remains subject to ongoing extraction testwork.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The October 2023 rare earths scoping study estimates an after-tax net present value, at an 8% discount rate, of $283.3-million and an internal rate of return of 25%, with a payback of 2.5 years. Updated economics for the fluorspar operation have not been stated.

Capital Expenditure
Initial capital expenditure for the rare earths project is estimated at $276.3-million. Capital expenditure for the fluorspar operation has not been confirmed.

Planned Start/End Date
The fluorspar scoping study for the initial 50 000 t/y operation was still being finalised as of September 28, 2026. The expansion assessment does not change its timeline. NeoTerra targets a final investment decision by the end of 2026, with potential mine construction in 2027.

Latest Developments
NeoTerra Group has announced the completion of Phase 3 of a farm-out agreement, with the group having met the minimum expenditure requirement for this phase.

This also triggers an increase of NeoTerra’s interest in subsidiary company Monte Muambe Mining from 51% to 70%.

NeoTerra has initiated the contractual and administrative formalities required to transfer the corresponding share and the company will make a further announcement when they are complete.

Key Contracts, Suppliers and Consultants
Rock and Stock Investments (mineral resource estimates); Comex and SGS Lakefield (gallium testwork); Valentine Enterprises, SGS North America and New Dominion Consulting (USTDA-funded rare earths PFS); and US Trade and Development Agency (grant funding).

Contact Details for Project Information
NeoTerra Group, CEO Cédric Simonet, email Cedric.Simonet@neoterra-group.com; or CFO Louise Adrian, tel +44 7721 492 922 or email Louise.Adrian@neoterra-group.com.