Lotus Resources Achieves Presidential Endorsement as Kayelekera Mine Nears Productio

• Presidential inauguration by Malawi's President Dr Lazarus McCarthy Chakwera on 12 August 2025
• Approximately 1,500 kgs of uranium eluted and ready for precipitation
• Mill throughput rates increasing as commissioning advances, with ore grades meeting expectations
• Tailings Storage Facility works progressing for 10-year mine life operations
• Production target of 200,000 lbs per month by early 2026 maintained

Lotus Resources Limited (ASX:LOT) is an Africa-focused uranium company holding an 85% interest in the Kayelekera Uranium Project in Malawi and 100% ownership of the Letlhakane Uranium Project in Botswana. The company's total uranium mineral resources stand at 164.8 million pounds across all projects. Kayelekera hosts 46.3 million pounds of uranium resources and maintains an ore reserve of 23 million pounds. The project historically produced 11 million pounds of uranium between 2009 and 2014.

Presidential Inauguration and Government Support

Malawi's President Dr Lazarus McCarthy Chakwera officially inaugurated the Kayelekera mine restart on 12 August 2025. The ceremony included Minister of Mining Dr Kenneth Zikhale Ng'oma, Cabinet Ministers, Royal Highness Paramount Chief Kyungu, and traditional leaders from Karonga and Chitipa regions. Managing Director Greg Bittar stated: "We were honoured to welcome His Excellency, Dr Lazarus McCarthy Chakwera, President of the Republic of Malawi, to preside over the official inauguration of the commissioning and restart of the Kayelekera Uranium Mine."

The ceremony acknowledged the involvement of the Government of Malawi, traditional leaders and regional communities in supporting the project restart. Bittar noted that

"His Excellency, the Government of Malawi, the traditional authorities of regions around Kayelekera and the local communities, have all been pivotal in this achievement."

The government seeks to unlock natural resource value for Malawians through the project.

The inauguration occurred as the mine reached the milestone of having uranium inventory ready for precipitation, calcining and packaging. The timing of the presidential visit coincided with this operational milestone in the plant commissioning process.

Mine Restart Progress and Production Milestones

Operations have progressed through several commissioning stages with loaded resins transferred from the resin-in-pulp circuit to the elution circuit, which is now charged for production runs. The first eluate transfer to the precipitation circuit has been completed. As of the announcement date, approximately 1,500 kilograms of uranium had been eluted and is ready for precipitation.

Mill performance shows increasing operating hours and throughput rates as plant commissioning advances. The operation commenced ore stockpile re-handling on 31 July 2025, utilising approximately 300,000 tonnes of stockpiled ore representing three months of mill feed. Ore feed rates and grades from stockpiles are meeting expectations. Operations will transition to freshly mined ore in Q4 2025.

Commissioning focus has shifted to finalising automation of the drying and packaging circuit to enable first yellowcake production. Bittar stated the company continues "to make terrific progress in commissioning the plant and increasing mill throughput, and we are on track to achieve steady state 200,000lbs per month - 2.4M lbs per annum - production in early CY2026."

Infrastructure Development

The Tailings Storage Facility embankment raises are planned across six phases over the mine life period. Phase 1 has been subdivided into Phase 1A and Phase 1B, both currently underway. Phase 1A involves a raise of the north embankment, profiling of the west embankment and lining the downstream perimeter. Phase 1B involves widening the north embankment to its full life of mine footprint.

The TSF design complies with Australian National Committee on Large Dams Guidelines (ANCOLD 2019) and aligns with the Global Industry Standard on Tailings Management (GISTM 2020). The current works establish foundations for subsequent lifts in Phases 2 to 6 over the 10-year mine life.

Bittar noted the company has "ramped up the work on the tailings storage facility infrastructure to form the foundation for future lifts to accommodate the 10-year life of mine." The infrastructure works support the planned production profile and operational timeline.

Looking Forward

Lotus has completed initial uranium elution with 1,500 kgs ready for precipitation and final processing into yellowcake. The company maintains its production target of 200,000 pounds per month by early 2026. Final commissioning focuses on control system automation of the drying and packaging circuit, with TSF infrastructure works continuing to support the 10-year mine life.

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