Maginito And Cotec Appoint Lead Engineers

MKANGO SUBSIDIARY, MAGINITO, AND COTEC APPOINT LEAD ENGINEERS BBA AND PEGASUS

TO COMPLETE THE FEASIBILITY STUDY FOR HYPROMAG USA

London / Vancouver: March 11, 2024 - CoTec Holdings Corp. (TSXV: CTH; OTCQB: CTHCF) ("CoTec") and Mkango Resources Ltd. (AIM/TSX-V: MKA) ("Mkango") are pleased to announce that Canada-based BBA USA Inc. ("BBA") and US-based PegasusTSI Inc. ("PegasusTSI") have been engaged to complete the HyProMag USA, LLC ("HyProMag USA") bankable feasibility study ("Feasibility Study") to engineer and design its REE magnet recycling plants and a production facility in the United States.

The Feasibility Study is expected to be completed during H2 2024. HyProMag USA has the potential to supply the United States with a sustainable, long term domestic supply of neodymium/iron/boron (NdFeB) permanent magnets to enable the creation of secure, low carbon and traceable rare-earth supply chains.

Julian Treger, CoTec CEO commented: "The Feasibility Study represents a significant milestone towards the construction of commercial-scale magnet recycling and production facilities in the United States. HyProMag is supported by the Minerals Security Partnership[1] which aims to accelerate the development of secure, diverse and sustainable supply chains for critical energy minerals. We are looking forward to working with BBA and PegasusTSI to develop these facilities using HyProMag's considerable experience from the plants being developed at Tyseley in the UK and in Germany following extensive piloting at the University of Birmingham. As the Feasibility Study progresses, HyProMag USA will be working and collaborating closely with local, state and federal stakeholders."

Will Dawes, Mkango CEO commented: "We see the United States as a major growth opportunity, underpinned by ongoing development of HyProMag's operations in the UK and Germany, and leveraging off HyProMag's competitive advantages in the rare earth magnet recycling sector - the ability to cost effectively liberate magnets from end-of-life scrap streams and to produce recycled rare earth magnets with a significantly reduced carbon footprint."

"As a result, HyProMag is receiving strong interest and numerous enquiries for recycled magnets and recycling solutions, and is engaged in multiple discussions on potential collaboration, with test work trials being completed for a number of major multinational companies.

HyProMag USA plans to develop a low cost, low carbon, sustainable rare earth magnet recycling and production business underpinned by HyProMag Limited's ("HyProMag") patented Hydrogen Processing of Magnet Scrap ("HPMS") recycling technology. HyProMag has sublicenced the HPMS technology to HyProMag USA, which is 50:50 per cent owned by CoTec and Maginito.

The Feasibility Study will be based on a hub and spoke model using three HPMS vessels and one magnet manufacturing hub which will based in Texas (together the "US Project"). The Feasibility Study will include the completion of detailed engineering designs, as well as permitting and potential site acquisition by the end of 2024, in line with the initial project schedule, which targets initial revenue in 2025/2026. Environment and permiting studies will be supported by US based Weston Solutions, Inc.

Following completion of the Feasibility Study, CoTec and Mkango will make a joint decision as to whether HyProMag USA will proceed with the construction of the US Project. CoTec is responsible for funding the Feasibility Study and the project development costs. Funding provided by CoTec would be in the form of shareholder loans to HyProMag USA.

In parallel, HyProMag USA has also started working on securing US Government funding and strategic partnerships for feed supply and recycled NdFeB magnet offtake.

HyProMag is commercialising HPMS recycling technology in the UK, Germany and United States. HPMS technology was developed at the University of Birmingham, underpinned by approximately US$100 million of research and development funding, and has major competitive advantages versus other rare earth magnet recycling technologies, which are largely focused on chemical processes but do not solve the challenges of liberating magnets from end-of-life scrap streams - HPMS provides the solution. HyProMag's company presentation can be viewed via the following link: HyProMag Corporate Presentation.

About Mkango Resources Ltd.

Mkango is listed on the AIM and the TSX-V. Mkango's corporate strategy is to develop new sustainable sources of neodymium, praseodymium, dysprosium and terbium to supply accelerating demand from electric vehicles, wind turbines and other clean technologies.

Mkango aims to become a market leader in the production of recycled rare earth magnets, alloys and oxides, through its interest in Maginito, which is owned 79.4 per cent by Mkango and 20.6 per cent by CoTec.

It also owns the advanced stage Songwe Hill rare earths project and an extensive rare earths, uranium, tantalum, niobium, rutile, nickel and cobalt exploration portfolio in Malawi and the Pulawy rare earths separation project in Poland.

About CoTec Holdings Corp.

For more information, please visit www.cotec.ca.

CoTec Holdings Corp.

Braam Jonker

Chief Financial Officer

Canada: +1 604 992-5600