Memorandum of Understanding

Amigo Resources PLC (LSE: AMGO), the Africa-focused gold and critical minerals company, is pleased to announce that it has entered into a Memorandum of Understanding ("MOU") with the State Mining Corporation of Tanzania (the Tanzanian state enterprise mandated to co-develop, manage, and commercialise key mineral resources across Tanzania) ("STAMICO"). The MOU establishes a strategic collaboration framework to evaluate a significant graphite tailings recovery and beneficiation project within the project areas in Tanzania (the "Project").

Highlights

• High-Value Strategic Collaboration: Establishment of a collaborative framework for technical, commercial, and regulatory assessment, aiming to transform historical graphite-bearing material into a saleable mineral product.
• Resource Efficiency & Circular Mining: Evaluation of graphite-bearing tailings, dumps, and stockpiles to optimise resource efficiency and promote value-addition within Tanzania.
• Exclusivity: STAMICO has granted Amigo exclusivity regarding third-party discussions for the term of the MOU, providing the parties time to negotiate definitive long-form agreements.
• Amigo to Lead Operations: Amigo will direct and finance a comprehensive technical due diligence programme, including sampling, metallurgical testing, and independent laboratory analysis.
• National Stakeholder Engagement: STAMICO will coordinate engagement with relevant Tanzanian Government institutions and local artisanal mining communities to ensure inclusive participation.

Project Rationale

The Project is centred on the productive reuse of graphite-bearing material that is currently regarded as having limited value. Subject to satisfactory due diligence, the Project aims to deliver superior resource efficiency, support the environmental management of historical residues, and create an additional source of income for eligible local miners and material owners.

Principal Terms of the MOU

The MOU records the parties' present intentions to determine the feasibility of the Project and establishes a pathway toward binding long-form contracts:

• Responsibilities: Amigo is responsible for directing technical due diligence. STAMICO will coordinate engagement with relevant authorities and facilitate physical access to the Project area and non-confidential technical data.
• Intellectual Property: Amigo retains sole and exclusive ownership of its pre-existing intellectual property, including proprietary methodologies.
• Legal Status: While the broader MOU is non-binding regarding the ultimate development of the Project, specific provisions relating to exclusivity, confidentiality, costs, term, governing law, and dispute resolution are legally binding.

Next Steps & Definitive Agreements

The assessment period provides STAMICO and Amigo time to negotiate definitive long-form agreements. Amigo intends to begin a structured due-diligence programme comprising representative sampling, mineralogical testing, and preliminary technical and commercial evaluation. If results are satisfactory, the parties intend to negotiate exclusively and in good faith toward a definitive agreement for the development of the Project.

Craig Ransley, Executive Chair of Amigo Resources PLC, commented:

"This MOU gives Amigo and STAMICO the opportunity to determine whether graphite-bearing material that is currently unused or regarded as waste can be transformed into a valuable mineral product. The potential significance of the Project extends beyond graphite recovery; if successful, it could improve the productive use and management of historical mining residues while creating an additional income opportunity for eligible local miners and material owners.

Our approach combines resource efficiency, local participation and Tanzanian value addition. We will now focus on verifying the quantity, grade, mineralogy and metallurgical characteristics of the available material before determining whether the Project can progress to a definitive development agreement."

Venance Mwasse, Managing Director of STAMICO commented:

"STAMICO welcomes this cooperation with Amigo Resources PLC to evaluate the recovery and beneficiation of graphite from historical tailings, dumps and stockpiles within the Project area. This initiative has the potential to support Tanzania's objectives of mineral beneficiation, environmental responsibility and inclusive participation in the mining sector. Recovering value from currently unused material could improve resource efficiency while creating additional economic opportunities for miners and surrounding communities. STAMICO will work with Amigo and local stakeholders to ensure the opportunity is assessed transparently and in accordance with Tanzanian law. This is a good beginning, and we should treat it as a stepping stone towards a wider scope of collaboration, given the many opportunities available."

About the State Mining Corporation of Tanzania (STAMICO)

The State Mining Corporation of Tanzania (STAMICO) is a Tanzania state-owned entity established under the Public Corporations Act of Tanzania. STAMICO is tasked with participating in, and advancing commercial development across Tanzania's mining sector. It is the primary government vehicle for partnership with strategic investors in the mining sector, and its mandate is to invest in the entire mineral value chain from exploration, mining, value addition and trading.