Mr. Geoff Callow reports

ECORA RESOURCES PLC ANNOUNCES PHALABORWA RARE EARTHS PROJECT UPDATE

Ecora Resources PLC has noted the press release issued today by Rainbow Rare Earths Ltd. announcing that the inclusion of yttrium in the Phalaborwa project's SEG+ mixed rare earth product could add more than $30-million (U.S.) to the project's estimated EBITDA (earnings before interest, taxes, depreciation and amortization).

Ecora holds a 0.85-per-cent gross revenue royalty on the Phalaborwa project.

The full announcement from Rainbow is as follows.

Surge in yttrium pricing materially enhances Phalaborwa economics:

• European yttrium prices surged more than 3,000 per cent due to market shortages further to the April, 2025, Chinese export controls;
• Inclusion of yttrium in Phalaborwa's SEG+ mixed rare earth product could add more than $30-million (U.S.) to the project's annual estimated EBITDA;
• Yttrium is used in the aerospace, energy and semiconductor industries and is critical to certain defence applications.

Rainbow Rare Earths notes the recent reports on the surge in pricing and importance of yttrium, a rare earth element that will be included in the Phalaborwa project's SEG+ product, which is a mix of all the economically important medium and heavy rare earths. As recently announced, yttrium is now included in the Phalaborwa resource and the project is expected to produce around 213 tonnes yttrium oxide per annum as part of the high-purity, mixed SEG+ product.

According to data from Argus Media Ltd., the price of yttrium oxide (99.999 per cent; cost, insurance, freight (CIF)) in Europe started the year at around $6 (U.S.) per kilogram but it has risen to current levels of between $220 (U.S.) per kilogram to $320 (U.S.) per kilogram (the large spread is due to differing pricing contracts). This surge in pricing is due to the issues around export of the metal from China further to the imposition of export controls in April, which have led to major supply chain disruption and shortages in the market.

These shortfalls have highlighted how extensively used yttrium is across civilian high-tech and defence applications.

The pricing increase causes a material positive impact on Phalaborwa economics, with the potential addition of more than $30-million (U.S.) to the project's EBITDA at today's lower range of the European price, based on a conservative SEG+ payability of 70 per cent.

George Bennett, chief executive officer, commented: "The disruption and huge price increase for yttrium has once again highlighted the fragility of global dependence on China for strategic minerals, especially those like yttrium that are essential to high-tech and defence manufacturing. Phalaborwa is a standout project in the rare earth space because it is a near-term and low-capital intensity source of all the economically and strategically important rare earths, including the heavies such as yttrium. This price increase positively impacts annual estimated EBITDA for Phalaborwa as there will be no extra cost to produce it as part of our proposed SEG+ product."

About Ecora Resources PLC

Ecora is a leading critical minerals focused royalty company.

Ecora

s vision is to be globally recognized as the royalty company of choice synonymous with commodities that support trends of electrification by continuing to grow and diversify the company's royalty portfolio in line with its strategy. Ecora will achieve this through building a diversified portfolio of scale over high-quality assets that drives low-volatility earnings growth and shareholder returns.

The mining sector has an essential role to play in the energy transition, with commodities such as copper, nickel and cobalt -- key materials for manufacturing batteries and electric vehicles. Copper also plays a critical role in the electricity grids. All these commodities are mined and there are not enough mines in operation today to supply the volume required to achieve the energy transition.

Ecora's strategy is to acquire royalties and streams over low-cost operations and projects with strong management teams, in well-established mining jurisdictions. Ecora's portfolio has been reweighted to provide material exposure to this commodity basket and the company has successfully transitioned from a coal-oriented royalty business in 2014 to one that by 2026 will be materially coal-free and comprise over 90 per cent exposure to commodities that support a sustainable future. The fundamental demand outlook for these commodities over the next decade is very strong, which should significantly increase the value of the company's royalty portfolio.

Ecora's shares are listed on the London and Toronto stock exchanges (symbol: ECOR) and trade on the OTCQX Best Market (symbol: ECRAF).

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