Mr. Kiril Mugerman reports

GEOMEGA CORPORATE UPDATE

Geomega Resources Inc. has provided an update on the advancement of its key technology platforms and development activities. Geomega's rare earth magnet recycling demonstration plant is approaching the completion of construction, with commissioning expected to begin in November. In parallel, the corporation continues to advance commercial discussions related to feed supply, rare earth oxide offtake, toll processing and potential technology licensing for NdFeB magnet recycling. Geomega has also achieved further technical progress with its bauxite residue valorization technology and expanded its sulphide tailings valorization program using materials supplied by global mining companies.

Demonstration plant construction update

Construction activities at Geomega's rare earth magnet recycling demonstration plant continued to advance throughout the summer, with the project entering its final installation and integration phase.

Process piping installation is more than 75 per cent complete and is expected to be finalized during the fall. Piping insulation is expected to be completed by the end of October. Subject to the completion of these activities and associated precommissioning work, the corporation expects to begin commissioning of the related process equipment in November. Significant progress has also been made on plant control, which is essential to the safe and integrated operation of the plant's process circuits.

The corporation's approach of progressively testing individual systems and equipment allows the project team to identify and incorporate practical improvements before integrated plant commissioning. This work is intended to support a more efficient transition from construction into staged commissioning and subsequent start-up.

In parallel with plant construction activities, Geomega is continuing discussions with several prospective customers in western markets, including multinational companies, regarding the potential purchase of rare earth oxides expected to be produced at the demonstration plant. The corporation is also advancing discussions with potential suppliers of magnet scrap and other suitable feed materials and evaluating potential toll processing arrangements for the facility.

Geomega is separately engaged in early-stage discussions with several groups regarding the potential licensing of the rare earth recycling technology for magnet scrap and swarf applications outside of Canada. Geomega expects to participate in several coming industry conferences to advance these discussions with companies that are planning, developing or operating rare earth magnet manufacturing facilities.

"The project made meaningful progress over the summer, and is now moving through the final stages of installation and system integration ahead of commissioning," commented Kiril Mugerman, president and chief executive officer of Geomega. "At the same time, discussions with potential feed suppliers, oxide customers, toll processing partners and technology licence partners highlight the growing commercial opportunities around the demonstration plant and Geomega's rare earth recycling technology."

Bauxite residue valorization technology developments

During 2026, Geomega continued to advance the development and potential deployment of its bauxite residue valorization technology. The corporation received and evaluated additional BR samples from alumina refineries in several jurisdictions, including both legacy stored residue and freshly generated residue. Bench and pilot testing was completed at Geomega's facilities.

To date, Geomega has tested 12 BR samples originating from eight alumina refineries in multiple jurisdictions, assessing process performance across a broader range of BR compositions. Results obtained have remained consistent across the samples evaluated, supporting the potential robustness and adaptability of the corporation's process to different bauxite residue sources.

Over the past 12 months, Geomega has advanced its bauxite residue valorization technology, improving recovery and valorization of caustic, alumina, titanium, rare earth elements, scandium and gallium, alongside iron recovery and reagent recycling. The development and validation of Circuit 3 (see April 16, 2025, press release) in bench and pilot scale are complete, marking Geomega's first production, using its integrated flow sheet, of titanium dioxide of greater-than-98-per-cent purity and a rare earth concentrate of greater-than-90-per-cent purity from bauxite residue. Techno-economic assessments continue to indicate a potentially robust economic profile, supported by multiproduct recovery and process optimization, while discussions continue with alumina refineries globally regarding next-stage demonstration and on-site development opportunities.

"The completion of Circuit 3 is a major milestone as we move the technology toward demonstration," commented Mr. Mugerman. "For the first time, our integrated process has produced both titanium dioxide and a rare earth and scandium concentrate while results across an expanding range of refinery samples continue to support the potential applicability of the technology. Our focus is increasingly shifting toward refinery-specific demonstration opportunities with prospective partners."

Sulphide tailings valorization technology development

In 2026, Geomega restarted and expanded its sulphide tailings valorization program following renewed interest from major mining companies seeking potential alternatives for the treatment of complex sulphide tailing materials from precious metal and base metal mining operations. Since restarting the program, Geomega has made significant progress in advancing the process, building on both its previous sulphide tailings testwork and the process knowledge and operating experience gained through several years of bauxite residue valorization work.

Sulphide tailings can contain unrecovered precious and base metals while their treatment is often complicated by mineralogical complexity, low grades, iron content and sulphur-bearing minerals. Conventional approaches for treatment such as roasting and pressure oxidation can require specialized equipment and significant capital investment, without providing a pathway for sulphur valorization.

Testwork completed to date has demonstrated the potential to liberate and recover target precious and base metals from selected sulphide tailings samples. The work has also demonstrated the potential to recover iron in a form suitable as a feed material for direct reduced iron production while separating sulphur into a stream suitable for conversion into sulphuric acid or elemental sulphur, offering significant waste volume reduction.

Initial results indicate that Geomega's process may offer an alternative for certain refractory sulphide materials, including tailings and other primary ores, for which conventional treatment routes may be technically impractical or uneconomic. By enabling the potential recovery of value from materials that might otherwise remain unprocessed, the corporation's approach could expand the range of sulphide-bearing feedstocks available for valorization. The corporation's process is also designed to recover and recycle its principal process reagents, consistent with the reagent recovery approach incorporated into other technologies developed by Geomega.

"Our renewed sulphide tailings program is progressing rapidly, and the developments to date are encouraging because they point to a potential multiproduct solution: recovering valuable metals while also creating potential value from iron and sulphur," commented Mr. Mugerman. "We are already applying the process to sulphide tailings materials supplied by major global mining companies and are actively expanding the program with additional industry participants as we aim to advance toward demonstration-scale validation. Our immediate focus is to validate the process across a range of sulphide tailings materials, optimize recoveries and reagent recycling, and complete preliminary techno-economic work needed to identify the most compelling commercial applications."

About Geomega Resources Inc.

Geomega develops technologies for the extraction, separation and recovery of rare earth elements and other critical metals from industrial and end-of-life feedstocks. The corporation's technology platforms include rare earth magnet recycling, bauxite residue valorization and sulphide tailings processing.

Geomega's strategy is to progressively derisk its technologies through laboratory-, pilot- and demonstration-scale development and to pursue commercial deployment with industry participants in the relevant value chains. Across its technology platforms, Geomega seeks to recover valuable metals and recycle key process reagents, with the objective of reducing environmental impacts and supporting more circular materials supply chains.

Geomega also owns the Montviel rare earth carbonatite deposit and holds more than 16.8 million shares of Auriginal Mining Corp., a mineral exploration company focused on copper and gold projects in Quebec, Canada.

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