Conservation Farming Program in Malawi

- Program aimed at improving livelihoods of local communities:

- Smallholder farmers

- 90 participants

- Low-input cost / high yield / sustainable farming

- 300 farmers to be added during 2024 planting season

Visible Higher Crop Growth

- Preliminary Yield estimates of all 90 farmers:

- Estimated (conservatively) at 3.2 tonnes / Hectare

- x3 average conventional crop yields

- Despite Malawi’s crop yields expected to be down 22.5% due to El Nino weather phenomenon

- Maize crops to be quantified next

Market Intelligence

- Board level Commitment to ESG

- Commercialising the World’s largest rutile resource

- PFS post tax NPV8 of $1.6Bn

- Industry leading cost metrics

- Rio Tinto is a “Strategic Investor” at 15%

- Strong balance sheet with Cash & Equiv. of $39.4m

- Potential to expand MRE at Kasiya

The incredible improvements in expected maize yields is beyond expectations and is another example of the positive impacts the Kasiya Project will have on our local communities. The 90 farmers in the Program comprise 50% women and 10% vulnerable people. We will maintain this equal opportunity policy as the Program is rolled out across Kasiya. At a time when Malawi and other southern African countries are facing severe drought due to weather conditions, Sovereign takes its social responsibility very seriously and is already delivering tangible benefits for the local community.

Frank Eagar, Managing Director, Sovereign Metals