• Binding equity funding agreements secured with EFA and GRMF for ~A$230M
• Partnership with Clean TeQ to enhance heavy rare earth recovery
• Acquisition of existing 200+ room camp to support construction
• Continued progress on project execution, engineering, and operational readiness

Arafura Rare Earths Ltd (ASX: ARU) has provided its Quarterly Activities Report for the period ending 31 March 2026. Key highlights include the execution of binding equity funding agreements with Export Finance Australia (EFA) and the German Raw Materials Fund (GRMF) totalling approximately A$230 million. The company also announced a partnership with Clean TeQ to review alternative rare earth separation technologies targeting the further processing of heavy rare earths. Arafura acquired the existing +200 room camp infrastructure at the Nolans Project site, which will enable construction activities to commence shortly after an investment decision. The company continues to make progress on project execution, with the Hatch EPCM team mobilizing and developing the project execution plan. Engineering efforts have focused on the Extraction Plant, with trade-off studies on the Separation Plant. Operational readiness activities have included establishing the strategic approach, awarding early site communications, and developing plans for business readiness. Arafura has also made progress on operational licensing, sustainability reporting, stakeholder engagement, and environmental management. Exploration activities have continued to focus on mining-related studies and operational and business readiness plans. The report also provides an update on the neodymium and praseodymium (NdPr) market, offtake agreements, and project funding.

Arafura has not provided any high-importance, price-sensitive forward-looking financial metrics in this announcement.

Arafura remains focused on forging the diversification of the rare earths sector, securing offtake partners that share in a vision to enhance supply chain resiliency and revitalize in-country manufacturing. The company is working to finalize remaining offtake and funding arrangements required for a final investment decision and to commence construction of the Nolans Project, which has been named as a critical mineral project for support under the Australia-US Critical Minerals Framework.