ALARA RESOURCES LIMITED — Capital/Financing Update 2025

May 13, 2025

Alara Resources Limited ABN: 27 122 892 719 Tele +61 8 9240 4211 Suite 1.02 110 Erindale Road Email info@alararesources.com Balcatta Western Australia 6021 Web www.alararesources.com

ASX / MEDIA RELEASE 14 May 2025

Al Wash-hi Project Update

Alara Resources Limited (ASX: AUQ) ( Alara or the Company ), a base and precious metals exploration and development company with projects in Oman, is pleased to provide an update in response to shareholder queries regarding information in the Company’s Quarterly Activities and Cash-flow Report for the March 2025 quarter released on 30 April 2025 ( Quarterly Report ) regarding the Wash-hi Majaza Copper-Gold Project operated by Al Hadeetha Resources LLC ( AHRL ). Alara holds a 51% equity interest in AHRL.

Installation of Tailings Filter Presses – Forecast Output

The Quarterly Report stated that the installation of two new Tailings Filter Presses ( TFP s) is currently underway. Once commissioned these TFPs, in conjunction with the existing unit, are expected to improve the efficiency of the tailings processing and potentially increase recovery rates to 90-92%.

The following information is provided in response to a request for provide more details of the expected impact of the replacement TFT program. After the installation and “bedding down” of the new TFPs, monthly copper concentrate production is expected to increase to approximately 3200 – 3400 wet metric tons ( WMT ).

That range represents 90-92% of the plant’s design-rated production capacity. After a future implementation of a long-term solution for the TFP issue, AHRL expects to achieve 100% of that rated capacity: 3500 – 3600 WMT per month.

Further updates on the outcome of the TFP replacement will be provided once commissioning commences.

Change in Production-Related Payments

In its Appendix 5B (Quarterly Cash Flow Report) in the Quarterly Report, Alara reported a substantial rise in production-related payments compared to the previous quarter. This increase primarily reflects the resumption of mining operations in September 2024, following a period of reduced mining activity due to inventory buildup and less-than-optimal TFP performance.

Key factors contributing to the increased payments include:

• Resumption of mining operations : While mining activities resumed in September 2024, the cash impact of this became more evident in the March 2025 quarter as AHRL commenced paying suppliers’ invoices for services rendered earlier – the earliest of which were dated December 2024. The large majority of these invoices were settled during the March 2025 quarter, contributing to the increase in production payments, as reported on a cash basis consistently with the accounting basis for this report.

ASX Code | AUQ

Alara Resources Limited ABN 27 122 892 719

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• Consumables and spare parts : The purchase of critical consumables and spare parts required for ongoing operations also contributed to the rise in production expenses.

Looking ahead, Alara expects similar expenditure patterns to continue as mining operations have now stabilised following the initial ramp-up phase.

ENDS

This announcement is authorised by:

Atmavireshwar Sthapak T | +968 2449 1162 Managing Director E | avsthapak@alararesources.com Dinesh Aggarwal T | +61 8 9240 4211 Company Secretary E | cosec@alararesources.com

About Alara Resources

Alara Resources Limited (ASX: AUQ) is an Australian-based precious and base metals producer and explorer.

Alara is currently focused on operating the Al Wash-hi Majaza Copper-Gold mine and concentrate production facility in Oman. The Company is also continuing exploration activities at its other Omani projects, including the Block 7 exploration licence under the Daris JV, the Mullaq and Al Ajal exploration licences under the Al Hadeetha JV, the Block 8 exploration license under the Awtad Copper-Power Metal JV and the recently awarded Block 22B exploration licence under the Al Hadeetha Mining LLC JV.

Alara’s mission is to become a mid-tier minerals producer which will deliver maximum shareholder value through profitable growth driven by low-cost, sustainable operations.

To learn more, please visit www.alararesources.com.

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ASX Code | AUQ