LINDIAN ACQUIRES REMAINING 49% INTEREST FOR 100% OWNERSHIP IN SARECO OPERATING HYDROMET FACILITY

Lindian Resources Limited has successfully acquired 100% of the SARECO Mixed Rare Earths Carbonate (MREC) hydrometallurgical processing facility for a total deal value of USD 20 million. This acquisition, announced on August 9, 2026, marks a significant increase in Lindian's ownership, elevating it from 51% to full ownership of the facility, which is located in Stepnogorsk, Kazakhstan. The transaction involved the purchase of shares previously held by Sumitomo Corporation and Kazatomprom.

SARECO represents a critical asset in the rare earths sector, being the only operational MREC processing facility of commercial scale outside of China. The facility's strategic importance is underscored by its proven metallurgical performance, achieving a 96% recovery rate of neodymium and praseodymium (NdPr) from Kangankunde concentrate, as validated by the Australian Nuclear Science and Technology Organisation (ANSTO). With this acquisition, Lindian aims to enhance its operational and marketing control over the facility, thereby increasing its exposure to higher-value MREC products and free cash flows.

The acquisition is timely, as demand for rare earth elements continues to rise globally, driven by their essential role in advanced technologies, including electric vehicles and renewable energy systems. Lindian's full ownership of SARECO not only consolidates its position in the rare earths market but also provides a pathway for further vertical integration into downstream processing operations. The company is well-positioned to capitalize on the growing interest from strategic parties and refiners in the United States, Europe, and Japan, which highlights the need for diversified and Western supply chains in the rare earths sector.

Lindian's acquisition strategy is supported by its recent A$100 million institutional capital raising, ensuring that the company is fully funded to complete the SARECO acquisition and advance production at its Kangankunde Rare Earths Project. The capital efficiency of acquiring an operational facility like SARECO, compared to the high costs and lengthy timelines associated with building new processing plants, further reinforces the strategic rationale behind this transaction.

Looking ahead, the successful integration of SARECO into Lindian's operations is expected to accelerate the company's production timelines, with processing at SARECO targeted for the fourth quarter of 2026. This acquisition not only enhances Lindian's production capabilities but also positions the company favorably within the competitive landscape of the rare earths market, where supply chain security and operational efficiency are increasingly paramount. As the global demand for rare earths continues to grow, Lindian's strategic moves may serve as a catalyst for further consolidation and investment in the sector.