Hypromag Usa Expands Feedstock Supply Agreement

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HYPROMAG USA EXPANDS FEEDSTOCK SUPPLY AGREEMENT

WITH GLOBAL ELECTRONICS RECYCLER, INTELLIGENT LIFECYCLE SOLUTIONS

London / Vancouver: 19 November 2025 - Mkango Resources Ltd. (AIM/TSX-V: MKA) ("Mkango" or the "Company") is pleased to announce that HyProMag USA, LLC ("HyProMag USA") has expanded its feedstock supply agreement[i] with global electronics recycling company, Intelligent Lifecycle Solutions, LLC ("ILS") (the "Supply Agreement").

ILS is currently securing and storing neodymium iron boron ("NdFeB") feedstock from hard disk drives ("HDDs") at the ILS pre-processing sites in Williston, South Carolina and Reno, Nevada (the "ILS pre-processing sites") in advance of the commissioning of HyProMag USA's advanced stage rare earth magnet recycling and manufacturing plant to be located in Fort Worth, Texas.

In addition to HDDs, ILS will start to procure bulk NdFeB feedstock including rotors from electric motors, wind turbine magnets, speaker assemblies and MRIs. ILS and HyProMag USA have agreed to create a joint "Technical Procurement" team to accelerate all purchases and complete the onboarding of the INSERMA ANOIA SL ("Inserma") "3rd generation" HDD magnet separation system at its sites. HyProMag USA is targeting delivery of the machines to the ILS pre-processing sites by the end of December 2025[ii].

Julian Treger, Chief Executive of CoTec commented: "The ILS supply agreement continues to progress multiple NdFeB feedstocks that have been successfully tested through the accelerated piloting programme at the University of Birmingham's HPMS pilot facility which will support the technical procurement team as it continues to target and purchase bulk NdFeB feedstock sources across the United States. HyProMag USA is continuing to work closely to build long-term partnerships with commercial suppliers and federal and state government's to facilitate these feedstock sources."

Graham Davy, ILS CEO commented: "ILS is excited to expand its procurement efforts to other NdFeB sources in partnership with HyProMag USA. The additional procurement and pre-processing operations will assist the recovery and recycling of critical strategic materials within the U.S. and provide a platform for further ILS growth. We look forward to working collaboratively with manufacturers and with their supply and vendor chains to facilitate the growth of rare earth material recycling using HyProMag's innovative magnet recycling technology in the USA."

HyProMag USA Feasibility Study

The Feasibility Study includes the Texas Hub, and two pre-processing facilities located in South Carolina and Nevada respectively. In March 2025, HyProMag USA announced the expansion of the detailed engineering phase to include three HPMS vessels[iii] and that it was initiating concept studies for further expansion and complementary "Long Loop" recycling[iv]. The Texas Hub's annual production is expected to be 750 metric tonnes per annum of recycled sintered NdFeB magnets and 807 metric tonnes per annum of associated NdFeB co-products (total payable capacity - 1,557 metric tonnes NdFeB within five years of commissioning) over a 40-year operating life. It is expected the production facility will provide significant optionality to supply the U.S. market with additional NdFeB alloy powder while assisting in revitalising the U.S. magnet sector with the creation of 90-100 skilled magnet manufacturing jobs.

In March 2025, HyProMag USA announced the results of an independent ISO-Compliant product carbon footprint study which confirmed an exceptionally low CO2 footprint of 2.35 kg CO2 eq. per kg of NdFeB cut sintered block product.[v]

In August 2025, HyProMag USA announced ILS had formally commenced its stockpiling of feedstock initiative pursuant to the recently announced feedstock supply and pre-processing site share agreement between HyProMag USA and ILS.

In September 2025, HyProMag USA announced the commissioning of a Concept Study to evaluate the expansion of its operations into Nevada and South Carolina in collaboration with ILS.[vi]

In September 2025, HyProMag USA announced the commissioning of a Concept Study to evaluate long-loop recycling with Worley Group Inc.[vii]

About Mkango Resources Ltd.

Maginito and CoTec are also rolling out Hydrogen Processing of Magnet Scrap ("HPMS") recycling technology into the United States via the 50/50 owned HyProMag USA LLC joint venture company.

Mkango also owns the advanced stage Songwe Hill rare earths project in Malawi ("Songwe") and the Pulawy rare earths separation project in Poland ("Pulawy"). Both the Songwe and Pulawy projects have been selected as Strategic Projects under the European Union Critical Raw Materials Act. Mkango signed a business combination agreement dated 2 July 2025 (the "BCA") with Crown PropTech Acquisitions to list the Songwe Hill and Pulawy rare earths projects on NASDAQ via a SPAC Merger. Completion of the BCA remains subject to satisfaction of certain conditions, including approval of the TSX-V.

[i] https://mkango.ca/news/hypromag-usa-enters-into-agreement-with-global-electronics-recycler-intelligent-lifecycle-solutions-for-feedstock-supply-and/

[ii] https://mkango.ca/news/hypromag-usa-purchases-inserma-pre-processing-units-for-texas-nevada-and-south-carolina-rare-earth-magnet-recycling-hubs-in-the

[iii] https://mkango.ca/news/hypromag-usa-expands-detailed-engineering-phase-to-include-three-hpms-vessels-and-initiates-concept-studies-for-further/

[iv] Conventional leach, extraction purification and precipitation process

[v] https://mkango.ca/news/hypromag-usas-iso-compliant-product-carbon-footprint-study-confirms-exceptionally-low-co-sub-2-sub-footprint-of-2.35-kg-co-sub/

[vi] https://mkango.ca/news/hypromag-usa-to-commission-scoping-study-to-triple-capacity-in-the-united-states-expanding-into-nevada-and-south-carolina/

[vii] https://mkango.ca/news/hypromag-usa-project-update-for-its-rare-earth-magnet-recycling-and-manufacturing-plants-in-the-united-states/