Operational Update, Off Take & Mineralogical Study

596/2014 (as it forms part of UK law pursuant to the European Union (Withdrawal) Act 2018).

Ironveld PLC

("Ironveld" or the "Company")

Operational Update, Commercial Sales and Layer 21 Mineralogical Study Progress

Ironveld (AIM: IRON), the mining development company focused on producing high-value strategic metals and products for mineral processing applications, is pleased to provide an operational update regarding its DMS Plant, highlighting significant progress in production stability, product quality, off take of finished product and the identification of potential new revenue streams, alongside an update on the Layer 21 mineralogical study.

Sustained Production

The Company is delighted to confirm that the plant has now entered sustained production, currently operating continuously for 16 hours per day on a double shift basis.

Current processing throughput is between 2.5 to 3.5 tonnes per hour (tph), against a design level of 5 tph throughput. The plant is consistently producing an average of 1.4 tph of in-specification DMS grade Magnetite product, together with approximately 1 tph of Maghemite.

Maghemite possesses valuable industrial properties and has established applications as a weighting material in drilling muds for the oil, gas, and mining industries. The successful recovery of this material could provide an additional revenue stream and further enhance the overall economics of the DMS plant.

Plant parameters are currently being tuned with the objective of achieving 5 tph of throughput, while maintaining DMS Magnetite quality, by the end of July 2026.

Strong Client Demand & Pricing

Ironveld remains fully committed to delivering a high-quality product that meets customer specifications in order to capture important market share with premium pricing. The Company is pleased to report strong commercial demand, with three clients already secured. Two of these clients, who received approximately 100 tonnes of material, have confirmed their satisfaction with the quality specification and continue to place repeat orders. The third client, a significant off-taker with a monthly consumption requirement of approximately 5,000 tonnes, is scheduled to receive its first batch of sample product shortly. Importantly, whilst the detail is confidential, all material is being sold at the projected pricing levels, confirming the Company's ability to achieve top-tier market prices for its product. Current stock on the ground of in-specification product is approximately 350 tonnes.

While the immediate priority remains firmly focused on achieving the short /mid-term targets, the Company is evaluating options for plant expansion in the face of strong market demand.

Layer 21 Mineralogical Study Update

Work on the Layer 21 core at Mintek, South Africa's national mineral research organisation, is progressing well and on schedule. Detailed examination and description of the core have identified sections of interest. Samples are currently being selected and will be prepared for scanning electron microscope (SEM) examination to determine the precise mineralogy and will subsequently be submitted to the laboratory for comprehensive grade analysis.

Initial results are expected within 30 days, following which a process flow sheet will be developed and an economic analysis of the viability of processing the Layer 21 ore will be undertaken. Understanding the composition and variability of Layer 21 will inform future mine planning, potential by-product recovery and the possibility of selectively mining higher-value zones.

Kris Andersson, CEO of Ironveld, commented:

"I am pleased to report that the ongoing technical reconfigurations of the DMS plant have now been successful and important operational progress has been made. Achieving sustained production and consistent product quality is a significant milestone and is testament to the engineering ability and hard work of our teams. Furthermore, the unexpected potential to recover maghemite adds the potential for a new revenue stream that could significantly enhance the overall project economics.

"Commercially, we are seeing very strong market validation. Not only do we have three clients secured with repeat orders already flowing, but the level of inbound interest suggests that market demand could outstrip what we can produce with the current plant, even at full capacity. While it is early days, this gives us confidence to evaluate future capacity expansions of the proven plant system as we continue to de-risk the operation.

"With the Layer 21 study also advancing on schedule at Mintek, there is a tangible sense of momentum across the entire business. Beyond our immediate operational priorities, we are continuously exploring other strategic opportunities and proactively engaging in conversations surrounding the full potential of our asset base. We look forward to keeping our shareholders and the broader market informed as we continue to progress on all fronts. Exciting times lie ahead for Ironveld."

Next Steps

The Company will provide further updates as required, including the initial Layer 21 assay results and ongoing production ramp-up milestones.

Maghemite is a state of magnetite where the ore has undergone weathering and the ore has partially weathered from Fe304 (magnetite) to Fe2O3 (haematite). In Ironveld's case there is rubble or elluvial ore lying on surface adjacent to the main magnetite layers this rubble ore and certainly the first 1-2 meters of the outcropping ore contained some partially weathered areas maghemite content is about 19% of the magnetite. Generally, at a depth of 2 metres the maghemite decreases to irrelevant amounts.

It is interesting to note that the oldest use of maghemite was in the recording industry where it formed the basis of magnetic tapes and recording media. It is also its used in the iron and chrome industries to upgrade final products, in particular ferro-chrome. In addition, it is used in the medical industry for MRI contrast and targeted drug delivery.

It has an extensive use in the environmental industry to filter and purify waste water and is used in the pigment and ceramic industries.

In the case of the DMS plant, the Maghemite reports to the waste stream from the magnetic separator which captures the highly magnetic magnetite. To enhance recoveries a secondary, more powerful magnetic separator could be installed.