IONIC RARE EARTHS LIMITED — AGM Information 2024

Nov 26, 2024

==> picture [142 x 51] intentionally omitted <==

==> picture [74 x 74] intentionally omitted <==

ASX: IXR | FSE: 6UH

Sustainably Sourcing Magnet and Heavy Rare Earths for the New Economy IonicRE Annual General Meeting 27 November 2024

==> picture [141 x 51] intentionally omitted <==

Cautionary Statement

IMPORTANT NOTICE AND DISCLAIMER

This presentation should be considered in its entirety. If you do not understand the material contained in this presentation, you should consult your professional advisors. The sole purpose of this presentation is to provide shareholders with an update on current activities of the Company and the current state of technology development at Ionic Technologies in the UK and exploration at the Makuutu Rare Earths Project in the Uganda.

Any statements which may be considered forward looking statements relate only to the date of this presentation document. Such forward looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company’s control that could cause actual results, performance or achievements of the Company to be materially different from future results, performance, or achievements expressed or implied by such forward looking statements. As a result of these factors, the events described in the forward-looking statements in this document may not occur.

Notwithstanding the material in this presentation, shareholders should consider that any investment in the Company is highly speculative and should consult their professional advisers – whether scientific, business, financial or legal – before deciding whether to make any investment in the Company.

The Company may at its absolute discretion, but without being under any obligation to do so, update, amend or supplement this presentation or any other information to the recipient. No person has been authorised to give any information or make any representation other than contained in this document and if given or made, such information or representation must not be relied on as having been so authorised.

Competent Person Statement

Information in this report that relates to previously reported Exploration Targets and Exploration Results has been crossed-referenced in this report to the date that it was originally reported to ASX. Ionic Rare Earths Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcements.

The information in this report that relates to Mineral Resources for the Makuutu Rare Earths deposit was first released to the ASX on 15 May 2024 and is available to view on www.asx.com.au. Ionic Rare Earths Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcement, and that all material assumptions and technical parameters underpinning the estimates in the announcement continue to apply and have not materially changed.

The information in this report that relates to Ore Reserves for the Makuutu Rare Earths deposit was first released to the ASX on 20 March 2023 and is available to view on www.asx.com.au. Ionic Rare Earths Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcement, and that all material assumptions and technical parameters underpinning the estimates in the announcement continue to apply and have not materially changed.

The information in this report that relates to Production Targets or forecast financial information derived from production the production target for the Makuutu Rare Earths deposit was first released to the ASX on 20 March 2023 and is available to view on www.asx.com.au. Ionic Rare Earths Limited confirms that all material assumptions and technical parameters underpinning the Production Targets or forecast financial estimates in the announcement continue to apply and have not materially changed.

2

REE Supply Chain and IonicRE Integration

IONICRE IS LEADING THE SECURE SUPPLY OF MAGNET RARE EARTHS, LEVERAGING OUR SUSTAINABLE TECHNOLOGY, PIONEERING MAGNET RECYCLING TO DRIVE THE NEXT GENERATION OF WIND TURBINES, ELECTRIC VEHICLES, DEFENCE, AND ADVANCED MANUFACTURING

==> picture [105 x 38] intentionally omitted <==

Long loop recycling to take metal and magnet back to high purity, separated magnet REOs

==> picture [120 x 38] intentionally omitted <==

==> picture [849 x 141] intentionally omitted <==

----- Start of picture text -----

Mining and processing to produce value added
MREC to supply new supply chains emerging
RE Concentrate RE Oxide RE Metal Nd-Fe-B Magnet Electric Motor
Exploration & Mining & Separation & Metal Magnet
Components Final Products
Development Production Refining Reduction Production
----- End of picture text -----

Makuutu Rare Earths Project (60% IonicRE  94% IonicRE in H2 2024)

• March 2023 FS[1] indicated low capital, modular development IAC enables IonicRE to bring on highly sought-after, value added MREC basket of magnet and heavy REEs

• Mining Licence LML00334 Awarded[2] , Environmental Permits issued[3]

• Demonstration Plant has produced MREC – offtake negotiations underway

• Expandable asset through free cash flow and growing market demand

IonicRE/ VMM Refinery (50% IonicRE)

• 50/50 JV with Viridis Mining & Minerals Ltd (ASX: VMM) to develop refining and recycling footprint in Brazil[4]

• Leveraging Ionic Technologies IP to be an early mover and first step towards establishing greater presence in emerging Brazilian rare earth market

• Signed MOU[5] with CIT SENAI to accelerate NdFeB magnet capacity in Brazil via magnet recycling

Magnet Recycling (100% IonicRE)

• November 2024 FS[4] indicates low capex development to recycle spent magnets and swarf to produce separated and refined 99.9%+ REOs

• Demonstration Plant operating – Magnet REO production now (Nd, Pr, Dy and Tb)

• Addressing domestic supply chain / sovereign capability need with global opportunities, focus on EU and US

• First to revenue, supply independent of mine permitting, lower capital and technical, and supply chain risk

• Several JVs and partnerships on the table

3

1. ASX 20[th] March 2023. 2. ASX 18[th] January 2024. 3. 27[th] October 2023. 4. ASX 3[rd] April 2024. 5. ASX 6[th] November 2024. ASX 18[TH] November 2024.

==> picture [203 x 72] intentionally omitted <==

==> picture [177 x 63] intentionally omitted <==

Makuutu Rare Earths Project

• 60% owned by IonicRE

• Mining Licence awarded in January 2024[1]

• Updated Mineral Resource Estimate in May 2024[2]

• Updated Exploration Target in May 2024[2]

• Demonstration Plant has produced MREC to support offtake negotiations[3]

• ASX 18[th] January 2024. 2. ASX 15[th] May 2024. 3. ASX 7[th] March 2024.

==> picture [556 x 540] intentionally omitted <==

Leading Magnet Recycling and the Circular Economy of Rare Earths Belfast now first producer of recycled magnet REOs in Western world

Recycling Supply Chain and IonicRE Integration an early leader

RECYCLING OFFERS A STEP CHANGE TO UNLOCK LOW CAPEX ALTERNATIVE SUPPLY CHAIN SOLUTIONS FOR IMMEDIATE MAGNET REO SOURCES TO CREATE INSULATED, SOVEREIGN CAPABILITY FOR WESTERN END USERS ACROSS DEFENCE, ENERGY TRANSITION AND ADVANCED MANUFACTURING

Long loop recycling to take metal and magnet back to high purity, separated magnet REOs

==> picture [119 x 38] intentionally omitted <==

==> picture [850 x 140] intentionally omitted <==

----- Start of picture text -----

RE Oxide RE Metal Nd-Fe-B Magnet Electric Motor
Exploration & Mining & Separation & Metal Magnet
Components Final Products
Development Production Refining Reduction Production
----- End of picture text -----

Ionic Technologies Belfast Magnet Recycling Feasibility Study[1] designed for 1,200 tpa end-of-life (EOL) NdFeB magnet and swarf feedstock, producing 400 tpa separated magnet REOs

• NPV7.5 (post-tax) = US$502 million

• CAPEX (Belfast) = US$108.7 million

• IRR (post-tax) = 43.6%

• Net Revenue = US$2.12 billion

• EBITDA = US$1.78 billion

• OPEX (Belfast) = US$27.68 / kg REO (ex-Magnet feedstock)

• Payback = 2.4 years

6

1. ASX 18[TH] November 2024.

REO Price Sensitivity

==> picture [107 x 34] intentionally omitted <==

==> picture [334 x 18] intentionally omitted <==

----- Start of picture text -----

NPV7.5 (post tax) Sensitivity to REO Prices
----- End of picture text -----

	NPV7.5 (post tax) Sensitivity to REO Prices
- 100 200 300 400 500 600 700 NPV7.5(post tax) US$m
	644
	502 547
	389
	313
	218
	83
	Scenario 1 Scenario 2 Scenario 3 Scenario 4 Scenario 5 Scenario 6 Scenario 7 REO Pricing NPV7.5 (post tax) Average Project Life REO Prices (US$ / kg) Scenario US$m Nd2O3 Pr6O11 Dy2O3 Tb4O7 Scenario 1 (REO spot) 83 61 61 248 842 Scenario 2 218 90 90 400 1,200 Scenario 3 313 120 120 400 1,500 Scenario 4 389 133 131 492 1,758 Scenario 5 502 160 159 618 1,958 Scenario 6 547 181 172 549 1,745 Scenario 7 644 212 201 615 1,955

7

==> picture [86 x 13] intentionally omitted <==

Global OPEX Potential

ESTIMATED OPERATING COST HAS POTENTIAL FOR FURTHER REDUCTIONS IN OTHER JURISDICTIONS

Conversion Cost from Alloy Feedstock to REO Product

==> picture [48 x 283] intentionally omitted <==

----- Start of picture text -----

$30
$25
$20
$15
$10
$5
$0
Operating Cost Estimate US$/kg REO
----- End of picture text -----

==> picture [603 x 250] intentionally omitted <==

Belfast US

==> picture [42 x 11] intentionally omitted <==

----- Start of picture text -----

Brazil
----- End of picture text -----

Reagents Energy Labour Maintenance G&A

8

Note: All jurisdictional ranges are estimated based on preliminary data collected by the Company.

Policy Supporting Domestic Capability & Recycling

==> picture [107 x 34] intentionally omitted <==

UK refreshed the Critical Minerals Strategy in 2023 highlighting the Circular Critical Materials Supply Chains as a key area of focus

EU CRMA 2023 Regulation sets clear benchmarks for domestic capacities along the strategic raw material supply chain and to diversify EU supply by 2030:

EU’s Critical Raw Material Act (CRMA) 2023, a €300 billion initiative aimed at countering the Chinese Belt and Road Initiative implemented into law earlier this year

• The Act identifies a list of strategic raw materials crucial to Europe’s green and digital ambitions and for defence and space applications

• In late 2023, the co-legislators reached a political agreement on the EU CRMA and increased the recycling component from 15% to 25%

USA highlighted recycling as art of its America’s Supply Chains Executive order in 2021 as part of Federal Plan to ensure secure and reliable supplies of critical minerals

==> picture [70 x 52] intentionally omitted <==

At least 10% of the EU's

annual consumption for extraction

At least 25% of the EU's annual consumption from recycling

==> picture [52 x 53] intentionally omitted <==

At least 40% of the EU's annual consumption for processing

==> picture [63 x 71] intentionally omitted <==

Not more than 65% of the EU annual consumption at any stage of processing from a single third country

9

Our Path to Commercialisation

==> picture [107 x 34] intentionally omitted <==

Rapid acceleration of our technology ready to scale globally

Scale Up Factor 20x 40x Lab scale Pilot scale Demonstration scale Commercial scale April 2022 July 2022 2023 / 2024 Funding discussions

Funding discussions underway Planned Construction expected to be completed late 2026

Demonstration Plant @ 24/7 plant operations Full program for next 18 months

Examining de-bottlenecking to scale up capacity now FS Completed

FS to support scale out globally via JVs and commercial partnerships

10

Peer Comparison

==> picture [107 x 34] intentionally omitted <==

Peers offering medium or long loop recycling offering from metal alloy feedstock (EOL magnets or swarf) back to either a mixed REO product or individually separated magnet REOs

==> picture [107 x 34] intentionally omitted <==

==> picture [111 x 48] intentionally omitted <==

==> picture [111 x 29] intentionally omitted <==

==> picture [50 x 50] intentionally omitted <==

			Demonstration
Product	Location	Status	Plant Feed	Valuation
			Capacity (tpa)
Separated magnet REOs		Demonstration Plant, Feasibility Study Completed	30	A$34m1 / US$22m (ASX: IXR)
				Private
Mixed magnet REOs		Demonstration Plant	100	Series B Funding raised US$53m (09/2024) Series A Funding raised
				US$27m (04/2023)
REOs (Formates)		Pilot Plant	N/A	Private US$25m
Separated magnet REOs		Pilot Plant	N/A	US$95m1 (NASDAQ: AREC)

11

1. 26[TH] November 2024.

Viridion – Brazilian Joint Venture – Refining and Recycling

• IonicRE and Viridis Mining and Minerals Ltd (ASX: VMM) announced 50/50 JV[1]

• Viridion JV aims to construct a refinery and magnet recycling facility in Brazil utilising Ionic Technologies’ separation technology

==> picture [143 x 51] intentionally omitted <==

50%

==> picture [169 x 51] intentionally omitted <==

50%

• Magnet Recycling likely the first step in developing a domestic integrated supply chain in Brazil  MOU signed[2] with CIT Senai, FIEMG TO ESTABLISH to progress establishment of secure Brazilian Magnet supply chain

JV Company

• Magnet and Heavy Rare Earth Refinery

Long loop recycling to take metal and magnet back to high purity, separated magnet REOs

==> picture [86 x 31] intentionally omitted <==

==> picture [106 x 33] intentionally omitted <==

==> picture [554 x 125] intentionally omitted <==

----- Start of picture text -----

RE Oxide RE Metal Nd-Fe-B Magnet Electric Motor
Separation & Metal Magnet Final
Components
Refining Reduction Production Products
----- End of picture text -----

• Magnet Recycling Facility

• Further integration into Brazilian RE footprint

==> picture [289 x 173] intentionally omitted <==

12

1. ASX 3[rd] April 2024; 2. ASX 6[th] November 2024.

Cost Reduction

SPEND ACROSS PROJECT REDUCED SIGNIFICANTLY THROUGH 2024 WITH DELIVERY OF DEMONSTRATION PLANTS

IXR Quarterly Spend (A$m) – excluding Grant Funding

==> picture [840 x 346] intentionally omitted <==

----- Start of picture text -----

$8
Ionic Technologies Makuutu Corporate
$7
$6
$5
$4
$3
$2
$1
$0
Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024
Ionic Technologies Makuutu Corporate Total Invested Total less Grants
Q4 2023 [1] $1.66m $3.95m $1.57m $7.19m $6.94m
Q3 2024 [2] $1.55m $1.02m $0.60m $3.17m $1.81m
Percentage Change (7%) (74%) (62%) (56%) (74%)
A$m
----- End of picture text -----

13

1. ASX 31[st] January 2024. 2. 31[st] October 2024. Totals exclude grant funding and rebates received.

==> picture [291 x 103] intentionally omitted <==

ASX: IXR | FSE: 6UH

Ionic Rare Earths Limited Level 5 South 459 Collins Street Melbourne, Victoria, 3000, Australia

www.ionicre.com investors@ionicre.com

T +61 3 9776 3434