Lithium Pilot Plant Produces First Lithium Concentrate
Petalite Off-Take Agreement Discussions Advanced

Andrada Mining Limited (AIM: ATM), an African technology metals mining company with a portfolio of mining and exploration assets in Namibia, is pleased to provide an update on the commissioning and first production at its lithium (bulk-sampling) pilot plant (“Pilot Plant”) along with an update on the Company’s lithium strategy.

Highlights

• Commissioning of the Pilot Plant completed successfully with the production of 10 tonnes on-specification saleable lithium concentrate.
• Production ramp up to 250 tonnes per month planned during first quarter of the 2024 calendar year (“Q1 CY2024” and “CY2024”).
• Discussion with glass-ceramics off-taker for supply of high-purity petalite is progressing well.
• On-going metallurgical testwork for production of battery grade lithium hydroxide.
• Metallurgical testwork progressing to optimise production from Uis and preliminary investigations on Spodumene Hill and Lithium Ridge.
• Lithium exploration drilling campaigns for CY2024 have been planned for all mining licence areas.
• Discussions with Strategic Process participants are progressing. Further updates to be provided in due course.

Anthony Viljoen (CEO) commented

“We believe that our efforts throughout the year have the potential to place Andrada at the forefront of lithium development in Africa. The discovery of additional lithium-within the Company owned Lithium Ridge and Spodumene Hill also underscores the possibility that Namibia’s Erongo region could be a key participant in the global lithium landscape, with the potential to host a cluster of significant mines.

The early results from the recently commissioned lithium processing pilot facility have instilled unwavering optimism. We are also pleased by the ongoing negotiations with lithium off-takers that target Andrada’s involvement in all downstream lithium markets, and we look forward to providing further details as these negotiations progress. Overall, we consider the pilot plant serves as a crucial de-risking element in the Company’s lithium portfolio, further bolstering our confidence in Andrada’s lithium strategy.”

Lithium Pilot Plant

The Company’s Pilot Plant is located adjacent to the main tin processing plant at the Uis Mine. It was successfully commissioned in October 2023 producing approximately 10 tonnes of concentrate during the process. The production rate is expected to increase to 250 tonnes per month by the end of March 2024. The initial objective of the Pilot Plant is to produce sufficient bulk samples of petalite concentrate within specifications for the premium specialist glass and ceramics markets. To that effect, the Directors are pleased with the progress being made on discussions for a petalite off-take agreement. Secondly, the Pilot Plant is producing concentrate for metallurgical testwork to determine appropriate specifications for the lithium battery refinery market. Finally, by the end of February 2024 , the intention is to produce concentrate for initial commercial sales into the spot market which the Directors believe is a realistic prospect for the Company. Early internal estimates suggest that the petalite concentrate from the Pilot Plant could be priced between USD1 600 and USD2 200 per tonne in the current spot market (pricing provided for guidance purposes only).