Mr. Darrin Campbell reports

NAMIBIA CRITICAL METALS WELCOMES TOYOTA TSUSHO AS STRATEGIC PARTNER IN THE LOFDAL HEAVY RARE EARTHS PROJECT

Toyota Tsusho Corp. has been selected as the successful bidder in the public tender process conducted by Japan Organization for Metals and Energy Security (JOGMEC) and will join Namibia Critical Metals Inc.'s Lofdal heavy rare earths project as part of JOGMEC's ownership interest.

Toyota Tsusho is the global trading and industrial supply chain arm of the Toyota Group and one of Japan's largest trading houses. The company plays a central role in securing strategic materials for the automotive, energy transition and advanced technology sectors. Toyota Tsusho owns a rare earth separation and refinery facility in India, which has been operating for over 10 years.

The introduction of Toyota Tsusho as a strategic partner further strengthens the industrial foundation of the Lofdal project, and enhances its position as a future supplier of dysprosium and terbium -- two of the most critical and supply-constrained rare earth elements required for high performance permanent magnets.

Strategic highlights:

• Industrial anchor partner added with direct off-take options: Toyota Tsusho brings global supply chain capabilities, downstream market access and deep experience in critical mineral development. The company operates rare earth processing and manufacturing facilities in India.
• Alignment with Japanese industrial demand: The participation of both JOGMEC and Toyota Tsusho strengthens Lofdal's strategic alignment with Japanese industry's long-term requirements for secure heavy rare earth supply.
• Enhanced development pathway: The addition of a major industrial partner provides increased confidence in the project's pathway toward development, financing and future commercialization.
• Positioning Lofdal as a global heavy rare earth supply hub: The Lofdal project represents one of the most significant dysprosium and terbium rich deposits outside of China, and is strategically positioned to support global magnet supply chains.

Darrin Campbell, president of Namibia Critical Metals, stated:

"We are extremely pleased to welcome Toyota Tsusho as a strategic partner in the Lofdal project through JOGMEC's public tender process. Toyota Tsusho is a globally respected leader in building supply chains for critical materials and advanced technologies.

"Toyota Tsusho's participation represents a major strategic milestone for the Lofdal project. Few rare earth development projects globally benefit from the combination of government strategic support and industrial supply chain leadership that this partnership represents. This strengthens the pathway for Lofdal to become a long-term supplier of critical heavy rare earth elements to global markets."

Toyota Tsusho comments, "Toyota Tsusho is pleased to join the Lofdal heavy rare earths project together with JOGMEC and Namibia Critical Metals. We look forward to supporting the development of the project to secure a sustainable supply for Japanese rare earth magnet supply chain."

About Namibia Critical Metals Inc.

Namibia Critical Metals is developing the Tier 1 heavy rare earth project, Lofdal, a globally significant deposit of the heavy rare earth metals dysprosium and terbium. Demand for these critical metals used in permanent magnets for electric vehicles, wind turbines and other electronics is driven by innovations linked to energy and technology transformations. The geopolitical risks associated with sourcing many of these metals have become a repeated concern for manufacturers and end-users. Namibia is a proven and stable mining jurisdiction.

The Lofdal project is fully permitted with a 25-year mining licence and is under a financing agreement with JOGMEC.

About Toyota Tsusho Corp.

Toyota Tsusho is the trading and business development arm of the Toyota Group and one of Japan's leading global trading houses. The company operates across a wide range of sectors, including metals, energy, chemicals, mobility and advanced materials. Toyota Tsusho plays a significant role in building global supply chains for critical minerals and materials used in automotive electrification, renewable energy systems and advanced manufacturing.

About Japan Organization for Metals and Energy Security (JOGMEC) and the JOGMEC agreement

JOGMEC is a Japanese government independent administrative agency that seeks to secure stable resource supplies for Japan. JOGMEC has a strong reputation as a long-term, strategic partner in mineral projects globally. JOGMEC facilitates opportunities with Japanese private companies to secure supplies of natural resources for the benefit of the country's economic development.

Rare earth elements are of critical importance to Japanese industrial interests and JOGMEC has extensive experience with all aspects of the sector. JOGMEC provided Lynas with $250-million (U.S.) in loans and equity in 2011 to ensure supplies of the light rare earths metals suite to the Japanese industry and invested a further $134-million in 2023.

Namibia Critical Metals owns a 95-per-cent interest in the Lofdal project, with the remaining 5 per cent held for the benefit of historically disadvantaged Namibians. The terms of the JOGMEC agreement with the company stipulate that JOGMEC provides $3-million (Canadian) in term 1 and $7-million (Canadian) in term 2 to earn a 40-per-cent interest in the Lofdal project. Term 3 calls for a further $10-million (Canadian) of expenditures to earn an additional 10-per-cent interest. JOGMEC can also purchase another 1 per cent for $5-million (Canadian) and has first right of refusal to fully finance the project through to commercial production and to purchase all production at market prices. The collective interests of Namibia Critical Metals and historically disadvantaged Namibians cannot be diluted below a 26-per-cent carried working interest upon payment of $5-million (Canadian) to JOGMEC for the dilution protection. Namibia Critical Metals may elect to participate up to a maximum of 45 per cent by financing pro rata after the earn-in period is completed.

To date, JOGMEC has completed term 2 and earned a 40-per-cent interest by reaching the $10-million (Canadian) expenditure requirement. Total approved project financing to date is $18,273,000 (Canadian) of the $20-million (Canadian) earn-in requirement to reach a 50-per-cent interest.

We seek Safe Harbor.