Mr. Ramon Barua reports

ACLARA INTRODUCES SUPER PURE RARE EARTH CARBONATE ("SPREC")

Aclara Resources Inc. has successfully developed superpure rare earth carbonate (SPREC), a rare earth carbonate product containing approximately 99 per cent of rare earths content, representing a significant advancement over conventional mixed rare earth carbonate (MREC).

SPREC has been developed through Aclara's pilot plant in Santiago, Chile, where the company is fine-tuning its processing technology. This new stage is intended to be applied to the Carina project in Brazil and the Penco module in Chile. The innovation leverages its solvent extraction (SX) know-how developed through Aclara's U.S. downstream separation platform and applies it upstream within its circular mineral harvesting (CMH) process. The resulting product will be a carbonate of unique quality and heavy rare earths concentration, projected to be markedly reliable during its separation into rare earth oxides. The capex and opex of the process are not expected to be material when added to the CMH process.

Production of SPREC at Aclara's pilot plant in Chile

Compared with conventional MREC, SPREC is expected to offer several strategic and technical advantages, including:

• Approximately 99 per cent of rare earths content, compared with conventional MREC, where rare earth concentration can be as low as 40 per cent;
• Elimination of impurities that may affect downstream separation into individual rare earth oxides;
• Improved flexibility to blend production from the Carina project and Penco module, so that products from both operations can be efficiently separated together using the same SX circuit;
• Significantly upgraded heavy rare earths concentration;
• Reduced logistics costs through the transportation of a lower-volume, higher-value product;
• Increased value creation in Brazil and Chile by incorporating advanced processing SX technology within the circular mineral harvesting process.

By upgrading the quality of its intermediate product at the source, the company expects to improve the efficiency, flexibility and competitiveness of its downstream processing operations. Aclara will continue advancing pilot-scale validation and process optimization in Santiago as part of its broader engineering and development work for the Carina project and the Penco module. The company expects SPREC to become the standard intermediate rare earth product produced from both projects upon commencement of commercial operations.

Ramon Barua, chief executive officer of Aclara, commented: "SPREC is a value-added product that results from applying its solvent extraction technology within our operations in Brazil and Chile. Our objective is to reduce operational risk at the separation plant, and this new stage allows us to significantly reduce impurities, which are precisely the main source of complexity in the solvent extraction plant. Also, as we intend to separate the rare earths coming from Brazil and Chile as a blend, having the purest possible carbonate reduces variability in the separation stage. Finally, this innovation not only simplifies downstream separation but also allows Brazil and Chile to capture more value from their mineral resources, as they will be exporting a higher value-added product. At Aclara, we are building a competitive advantage by designing together all the stages, from mine to alloys, of our integrated supply chain, resulting in evident advantages in costs, efficiencies and speed to production."

About Aclara Resources Inc.

Aclara Resources, a Toronto Stock Exchange-listed company, is focused on building a vertically integrated supply chain for rare earths alloys used in permanent magnets. This strategy is supported by Aclara's development of rare earth mineral resources hosted in ionic clay deposits, which contain high concentrations of the scarce heavy rare earths, providing the company with a long-term, reliable source of these critical materials. The company's rare earth mineral resource development projects include the Carina project in the state of Goias, Brazil, as its flagship project and the Penco Module in the Biobio region of Chile. Both projects feature Aclara's patented technology named circular mineral harvesting, which offers a sustainable and energy-efficient extraction process for rare earths from ionic clay deposits. The circular mineral harvesting process has been designed to minimize the water consumption and overall environmental impact through recycling and circular economy principles. Through its wholly owned subsidiary, Aclara Technologies Inc., the company is further enhancing its product value by developing a rare earths separation plant in the United States. This facility will process mixed rare earth carbonates sourced from Aclara's mineral resource projects, separating them into pure individual rare earth oxides. Additionally, Aclara through a joint venture with CAP, is advancing its alloy-making capabilities to convert these refined oxides into the alloys needed for fabricating permanent magnets. This joint venture leverages CAP's extensive expertise in metal refining and special ferro-alloyed steels. Beyond the Carina project and the Penco module, Aclara is committed to expanding its mineral resource portfolio by exploring greenfield opportunities and further developing projects within its existing concessions in Brazil, Chile and Peru, aiming to increase future production of heavy rare earths.

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