Ionic Rare Earths (IXR) Investor update summary

Strategic progress, positioning, and technology

• Advancing magnet recycling technology in the U.K., U.S., and Brazil, leveraging government grants, partnerships, and patented, feedstock-agnostic processes for rare earth separation and recycling.

• Only Western producer of recycled, separated, high-purity magnet rare earth oxides, with demonstration-scale validation and plans for a commercial Belfast plant by 2028.

• Strong engagement with U.K. and U.S. governments, positioning as a key enabler for Western supply chains amid rising geopolitical tensions and export controls.

• Modular technology enables rapid scaling, recycling of end-of-life magnets and swarf to >99.5% purity REOs, and significant carbon and cost advantages over mining.

• Strategic partnerships with JS Link (South Korea), EMR (UK), and USSM (US) secure feedstock, offtake, and expansion opportunities.

Market dynamics and financial outlook

• Rare earth demand is growing at a 7-8% CAGR, driven by energy transition, defense, AI, and robotics, with Western supply chains under pressure from Chinese export controls.

• Western REO price premiums are widening, especially for heavy elements like dysprosium, terbium, and yttrium.

• Feasibility study for the Belfast plant shows a post-tax NPV of US$502m, 43.6% IRR, and 2.4-year payback, with £12m UK government grant and additional funding from DRIVE35 CirculaREEconomy.

• Market cap remains low relative to Northern Hemisphere peers, with significant re-rating potential as milestones are achieved.

• Recycling delivers higher returns and lower risks than mining, with shorter supply chains, lower capex, and strong OEM support.

Business units, partnerships, and project milestones

• Three core business units: Belfast recycling plant (UK), Viridion JV (Brazil), and Makuutu rare earths project (Uganda), each with distinct supply chain roles.

• Belfast facility is the most advanced, with permitting underway, GBP 12 million in UK government funding, and additional financing expected to close by Q3 2026.

• Viridion JV shortlisted for $1.4 billion Brazilian government program, aiming to establish a recycling and refining footprint and capitalize on proximity to US and Europe.

• Makuutu project in Uganda is shovel-ready, with a 45% heavy REO basket and all major permits secured.

• Key milestones include construction, commissioning, and ramp-up of the Belfast plant, and advancing US and Brazil projects.