Year in Review and Outlook for 2026

Dear Shareholders,

As we close out 2025, I want to take a moment to reflect on the strong progress we’ve made at Australian Rare Earths.

Our vision remains clear: to become a reliable and responsible supplier of critical minerals for the global energy transition.

This year has marked a turning point—rare earths have shifted from a niche topic to a central pillar of global industry policy, with governments and markets worldwide now recognizing their essential role in both the clean energy future and national security.

In September, Angus Barker and I visited Estonia and North America. These engagements, combined with recent political developments, underscored the strategic importance of securing Australia’s position as a low-risk supplier of heavy rare earth minerals to the U.S. as they work to diversify their supply chain.

AR3’s role as a potential near-term supplier of heavy rare earth elements, in particular Terbium and Dysprosium, has attracted strong interest as we rapidly advance the Koppamurra Project. The progress we’ve achieved this year reflects our commitment to delivering on key milestones and building a foundation for future growth.

Highlights for 2025
At our flagship Koppamurra Project, we achieved several important milestones:

• Secured a $5 million grant under the International Partnerships in Critical Minerals Program, co-funding $10 million of work through 2026.

• Advanced test work to ensure our product meets global demand for magnet rare earths.

• Gained first-mover access to ANSTO’s new pilot-scale processing facility, enabling us to process ~25 tonnes of Koppamurra ore into ~35kg of Mixed Rare Earth Carbonate.

• Received the Koppamurra Scoping Report from the South Australian Department for Energy and Mining, defining environmental and social requirements and streamlining the approvals pathway ahead of our Mining Lease application in 2026.

Beyond rare earths, our Overland Uranium Project expanded its footprint and completed 16,000 meters of drilling, confirming ISR-amenable targets and positioning AR3 as a dual-commodity player in the energy transition space.

Outlook and Priorities for 2026

Looking ahead, AR3 is poised for substantial progress. Our immediate priorities include:

• Completing the Pre-Feasibility Study for Koppamurra to refine project design and economics.

• Establishing our ANSTO pilot program and building a demonstration plant to produce mixed rare earth carbonate and provide samples for potential off takers.

• Submitting our Mining Lease application, working closely with landowners and the community.

• Pursuing strategic partnerships, offtake agreements, and financing options, while advocating for supportive policy initiatives.

• Advancing uranium exploration at Overland and progressing our broader exploration portfolio.

As part of our commitment to investor and industry engagement, AR3 will also be attending the RIU Explorers Conference in Freemantle, WA in late February, providing an opportunity to further discuss our progress and connect with investors and stakeholders.

In Closing
We are committed to deepening engagement with our stakeholders, communities, and potential customers.

Thank you to our team, Board, and shareholders for your commitment and support. Together, we are building something significant—not just for AR3, but for Australia’s role in the clean energy future.

I wish you and your families a safe and happy festive season, and we look forward to keeping you informed as we deliver on our objectives and milestones in 2026 and beyond.

Travis Beinke
Chief Executive Officer
Australian Rare Earths