Boss Energy Quarterly Update - September 30 2025

• Record quarterly drummed production of 385,910 lbs U3O8 at the Honeymoon Operation, representing an 11% increase from the previous quarter
• C1 cash cost of $34/lb and all-in sustaining cost of $50/lb, both tracking below full-year guidance ranges
• Financial position of $212.4 million in liquid assets with zero debt and 1.44 million lbs of drummed uranium inventory
• Sales and loan repayments totalling $57.1 million at an average realised price of $114.3/lb during the quarter
• Honeymoon Review progressing on schedule for completion in the December quarter 2025

Boss Energy Limited (ASX: BOE) is an Australian uranium producer focused on in-situ recovery mining operations. The company owns 100% of the Honeymoon Uranium Project in South Australia and holds a 30% interest in the Alta Mesa Uranium Operation in South Texas through a joint venture with enCore Energy Corp. Operations include multiple wellfields and processing infrastructure at Honeymoon, along with exploration activities and satellite deposit development programmes across its South Australian tenement portfolio.

Record Honeymoon Production Performance and Cost Results

The September quarter marked Boss Energy's highest quarterly drummed production to date, with the Honeymoon Operation producing 385,910 lbs of U3O8, an 11% increase from the June quarter's 349,188 lbs. The facility generated 376,025 lbs of ion exchange production (the intermediate stage before final drumming), with four wellfields now operational and three NIMCIX columns (ion exchange processing units) online. The pregnant leach solution (uranium-bearing fluid extracted from wellfields) averaged 81 mg/l during the quarter, with ion exchange recovery rates reaching 97.8%.

Cost performance tracked favourably against company guidance, with C1 cash costs at $34/lb, below the FY2026 guidance range of $41-45/lb. All-in sustaining costs of $50/lb similarly came in under the guided range of $64-70/lb. Managing Director Mr Matthew Dusci attributed the cost position to higher tenors at the start of the year from new wellfields coming online and initial positive results from optimised reagent consumption in both wellfields and the processing plant. The company acknowledged that some savings reflected timing factors and continues to evaluate the full impact of operational optimisations.

Capital expenditure during the quarter totalled $15 million, comprising $6 million in sustaining capital and $9 million in project and supporting infrastructure. Construction advanced on NIMCIX columns 4-6, with column 4 completing hydro testing and scheduled to come online in the December quarter. Wellfield 4 commenced operations in August, while the wellhouse for wellfield 5 arrived on site. Construction of the East Kalkaroo trunkline progressed, targeting completion in the March quarter 2026.

Financial Position and Sales Activity

Boss Energy closed the quarter with $212.4 million in liquid assets and zero debt, comprising $47.8 million in cash, $53.7 million in investments and other liquid assets, $105.8 million in drummed uranium inventory, and $5.1 million in trade receivables. The company's liquid assets decreased $11.9 million from the June quarter due to operational and capital expenditures, partially offset by sales activity and loan repayment receipts.

The company recorded $57.1 million from the sale of 400,000 lbs and repayment of 100,000 lbs from its loan to enCore Energy during the quarter. This activity achieved an average realised price of $114.3/lb ($74.7/lb in US dollar terms), compared with the June quarter's average of $108.6/lb.

Managing Director Mr Matthew Dusci noted that,

"cash margins were strong, with sales and loan repayments of 500,000 lbs U3O8 at a realised price of US$74.7/lb generating an additional $11.2 million in net cash."

The company's inventory position increased from 1.41 million lbs to 1.44 million lbs during the quarter, with production from Honeymoon contributing 386,000 lbs and Alta Mesa adding 45,000 lbs, while sales reduced inventory by 400,000 lbs. The weighted average cost of inventory decreased from $85/lb to $74/lb, reflecting a higher proportion of lower-cost Honeymoon production. Boss expects sales and cash receipts for the remainder of FY2026 to remain approximately in line with Honeymoon production for each quarter, subject to market conditions.

Honeymoon Review and Satellite Deposits Development

The Honeymoon Review remains on schedule for completion in the December quarter 2025. The review examines the continuity of mineralisation and leachability results compared with assumptions in the Enhanced Feasibility Study from June 2021. The company is progressing multiple parallel workstreams, including reviews of input assumptions, resource domaining, estimation methodology, and wellfield design parameters for Honeymoon, Jason's Deposit, and Gould's Dam.

A resource delineation drilling programme commenced in mid-September to cover the entire Honeymoon domain from Far East Kalkaroo to Brooks Dam North. The programme assumes initial spacing of 35 metres by 35 metres, with approximately 390 holes planned for 49,200 metres of drilling. One drill rig mobilised in September, with a second rig scheduled to commence at the end of November 2025.

Mr Dusci stated:

"Delivery of the Honeymoon Review, which will compare the continuity of mineralisation and leachability results with the assumptions in the Enhanced Feasibility Study, is a priority. The review is on track for completion in the December quarter."

Work commenced during the quarter to advance satellite deposits, with efforts to accelerate permitting for Brooks Dam North, Jason's Deposit, and Gould's Dam. The regulatory approval process requires a Mining Lease, Environment Protection and Biodiversity Conservation approval, and development of the Programme for Environment Protection and Rehabilitation at each site. Baseline studies, assessments, and pre-feasibility stage engineering studies have commenced for each deposit. Following completion of the Honeymoon Review, the delineation drilling programme will continue, with data to be incorporated into refined resource estimates and future wellfield design, extending into the June quarter 2026.

Looking Ahead

Boss Energy remains on track to meet its FY2026 production guidance of 1.6 million lbs of U3O8. The completion of the Honeymoon Review in the December quarter will inform future wellfield planning and development decisions. Construction milestones include bringing NIMCIX column 4 online in the December quarter, completing columns 5 and 6 by the March quarter 2026, and finishing the East Kalkaroo trunkline in the March quarter. Permitting activities and technical studies continue for Brooks Dam North, Jason's Deposit, and Gould's Dam, representing potential future production sources beyond the current Honeymoon footprint.

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