The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the European Union (Withdrawal) Act 2018.

20 May 2026

Strategic Minerals plc

("Strategic Minerals", the "Company" or the "Group")

FINAL RESULTS FOR THE YEAR ENDED 31 DECEMBER 2025

Strategic Minerals (AIM: SML; USOTC: SMCDF), an international mineral exploration and production company, is pleased to announce its results for the year ended 31 December 2025 (the "Period").

The full 2025 Annual Report will shortly be made available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.

Financial Highlights

·    Revenues from the Cobre magnetite operation were $4.2m, the second highest levels since 2017. Margins improved from 82% to 85%

·    Profit before tax reduced to $0.7m from $2.1m primarily due to a non-cash share based payment expense ($0.6m), reduced Cobre profits ($0.3m), costs associated with the Board restructuring and increased Group wide activity levels including investment in the Redmoor Tungsten-Tin-Copper Project in Cornwall.

·    $2.1m invested in the Redmoor Project during the year, offset by $0.8m of UK Government grant funding received in the year from the UK Shared Prosperity Fund.

·    Cash at 31 December 2025 increased to $777k (2024: $621k).  A further £8.7m ($11.7m) raised post year end through two equity placings in Q1 2026 to fund infill drilling and Pre-Feasibility Study at Redmoor.

Operational Highlights (By Subsidiary)

Cornwall Resources Limited ("CRL")

Redmoor Tungsten-Tin-Copper Project, Cornwall, UK

·    Awarded £764,000 UK Government grant funding under the UK Shared Prosperity Fund, matched by proceeds from the April 2025 placing, supporting an accelerated programme towards pre-feasibility.

·    Completed first drilling campaign since 2018, with 5,048.7m drilled between June and December 2025, delivered ahead of schedule and within budget.

·    Exceptional drillhole results with high-grade tungsten, tin and copper intercepts, including 1.10m @ 7.19% WO₃ (7.51% WO₃.Eq) and 0.97m @ 7.52% WO₃ (7.78% WO₃.Eq), among the highest-grade results recorded at Redmoor.

·    Identified multiple mineralised intervals and wide zones within the sheeted vein system, reinforcing Redmoor's position as one of the highest-grade undeveloped tungsten deposits globally.

·    Re-analysis of historical samples confirmed prior underreporting, with an average 9.2% uplift in tungsten grades.

·    Invested in upgrading facilities and expanding the technical team to support the accelerated exploration and development programme.

·    Post financial year-end, reported an ultra-high-grade intercept of 0.60m @ 18.96% WO₃ (22.09% WO₃.Eq), demonstrating the exceptional grade potential of the Redmoor Project.

·    Confirmed discovery of a new mineralised structure ("North Tin Zone") outside the existing deposit, with intercepts including 4.00m @ 0.25% Sn.

·    Announced updated JORC (2012) Inferred Mineral Resource Estimate of 17.4Mt @ 0.65% WO₃.Eq, representing a 49% increase in tonnage and contained metal - confirms status as Europe's highest grade undeveloped tungsten project.

·    Delivered updated Economic Sensitivity Analysis indicating potential after-tax NPV(8%) of $1.54bn and IRR of 40%, highlighting a material improvement in project economics.

Southern Minerals Group LLC ("SMG")

Cobre magnetite stockpile, New Mexico, USA

·    Cobre recorded its 3rd highest annual ore sales in 14 years with 61,279 tons (2024: 70,658 tons) sold to a diversified customer base.

·    Sales generated of approximately $4.23m (2024: $4.7m).

·    Secured an extension of access to the Cobre magnetite operation's stockpile from 31 March 2027 to 31 March 2029.

Leigh Creek Copper Mine Pty Ltd ("LCCM")

Leigh Creek Copper Project, South Australia

·    Signed a non-binding heads of agreement to grant a purchaser a call option to acquire LCCM, which was exercised. Company has received the first instalment of the initial payment.

Board Changes

·    Philip Haydn-Slater appointed as Non-Executive Director on 27 January 2025

·    Peter Wale retired from the Board on 24 March 2025

·    Charles Manners moved from Non-Executive Chairman to Executive Chairman on 12 August 2025

Charles Manners, Executive Chairman, commented:

"We are looking forward to continuing to progress our clearly set out strategic goals in 2026. The Redmoor resource had been largely overlooked for too long, but this is no longer the case. We believe it is now widely recognised as one of the highest grade undeveloped tungsten projects in the world, and we will seek to use our now strong cash position, as well as potential sale proceeds from Leigh Creek and existing and hopefully enhanced positive cash flow from the Southern Minerals Group to advance Redmoor at an ever greater pace through a Pre-Feasibility study and on towards Production."

"I would like to take this opportunity to thank my fellow Directors, our management and staff in Cornwall, New Mexico, and South Australia, along with our advisers, for their support and hard and skilful work on our behalf during the year. Additionally, I would like to thank all of our investors, clients, contractors, suppliers and partners for their continued confidence and backing on this path to delivering a new world-class polymetallic tungsten mine in the UK."

Notes to Editors

About Strategic Minerals plc and Cornwall Resources Limited

Strategic Minerals plc (AIM: SML; USOTC: SMCDY) is an AIM-quoted, producing minerals company, actively developing strategic projects in the UK, United States and Australia.

In 2019, the Company completed the 100% acquisition of Cornwall Resources Limited and the Redmoor Tungsten-Tin-Copper Project.

The Redmoor Project is situated within the historically significant Tamar Valley Mining District in Cornwall, United Kingdom, with a JORC (2012) Compliant Inferred Mineral Resource Estimate published 26 March 2026:

More information on Cornwall Resources can be found at: https://www.cornwallresources.com

In September 2011, Strategic Minerals acquired the distribution rights to the Cobre magnetite project in New Mexico, USA, through its wholly owned subsidiary Southern Minerals Group.  Cobre has been in production since 2012 and continues to provide a sustainable revenue stream for the Company.

In March 2018, the Company completed the acquisition of the Leigh Creek Copper Mine situated in the copper rich belt of South Australia.  The Company has entered into an exclusive Call Option with South Pacific Mineral Investments Pty Ltd trading as Cuprum Metals to acquire 100% of the project.

About the CIOS Good Growth Fund and UK Shared Prosperity Fund

This project is part-funded by the UK Government through the UK Shared Prosperity Fund.  Cornwall Council is responsible for managing projects funded by the UK Shared Prosperity Fund through the Cornwall and the Isles of Scilly Good Growth Programme.

Cornwall and Isles of Scilly has been allocated £184 million for local investment through the Shared Prosperity Fund.  This new approach to investment is designed to empower local leaders and communities, so they can make a real difference on the ground where it's needed the most.

The UK Shared Prosperity Fund proactively supports delivery of the UK-government's five national missions: pushing power out to communities everywhere, with a specific focus to help kickstart economic growth and promoting opportunities in all parts of the UK.

For more information, visit

https://www.gov.uk/government/publications/uk-shared-prosperity-fund-prospectus

For more information, visit https://ciosgoodgrowth.com

Key Extracts from the Company's 2025 Annual Report are set out below:

Chairman's Report for the Year Ended 31 December 2025

2025 was a transformational year for the Company, in particular driven by developments at Cornwall Resources Limited ("CRL") and the Redmoor Tungsten-Tin-Copper Project, supported by strong operational performance and cash flow at the Cobre magnetite operation in New Mexico ("Cobre") and the start of realisation of value from exiting the Leigh Creek Copper Mines ("LCCM") asset in Australia.

Together, the Company is well placed to realise underlying value and take a commanding position as a leading critical mineral developer going forward.

Financial results

The Company delivered significant share price appreciation in 2025, up 472% and one of the top performing companies listed on AIM. 

Cobre recorded its 3rd highest annual ore sales in 14 years with 61,279 tons (2024: 70,658 tons) sold to a diversified customer base, generating sales of approximately $4.23m (2024: US$4.7m), and improved year-end cash balances of $0.78m.

Post period financial events

The Company raised £4.00m before expenses on 22 January 2026 at a price of 1.3p per new ordinary share of 0.1 pence each in the Company ("Ordinary Shares") and a further £4.7m before expenses on 19 March 2026 at a price of 3.5p per new Ordinary share, led by a prominent international investor. On 30 March 2026, it was announced that Gregory Coffey has joined the share register having acquired 3.34% of the Company. 

Cornwall Resources Limited

Redmoor Tin-Tungsten-Copper Project

During the year, the team at Redmoor continued to deliver on the strategy of upgrading the understanding of the ore body and potential economics, targeting a renewed Mineral Resource Estimate ("MRE") and Economic Sensitivity Analysis in Q1 2026.

In detail, the team conducted the following activities:

·    Secured £764,000 of UK Government grant funding from UK Shared Prosperity Fund which, together with matched funds from the Company's April 2025 placing, is enabling the programme to accelerate Redmoor towards pre-feasibility.

·    1st drilling since 2018 commenced in June 2025 with 5,048.70m completed by December 2025, ahead of schedule, within budget, and with exceptional results including;

o  1.10 m @ 7.19% WO3, 0.02% & 1.11% Cu (7.51% WO3.Eq) and 0.97m at 7.52 WO3, 0.03% Sn & 0.87% Cu (7.78% WO3.Eq), including one of the top 10 highest-grade sample results recorded at Redmoor from all previous drilling campaigns.

·    Multiple mineralised intervals and wide zones of mineralisation within the Redmoor sheeted vein systems were identified, reinforcing Redmoor's status as one of the highest-grade undeveloped tungsten deposits globally;

·    Re-analysis of historical samples confirmed previous underreporting of certain samples and an average 9.2% increase in tungsten grades, further solidifying Redmoor's position as Europe's highest-grade undeveloped tungsten deposit;

·    Strategic Minerals Plc ("SML") invested in significantly upgrading facilities and capacity at the Redmoor project and hiring additional team members to support the programme.

Post-period events included:

·    Reporting an ultra-high-grade tungsten, tin, and copper sample intercept containing 0.60m @ 18.96% WO3, 2.76% Sn & 3.19% Cu for a tungsten equivalent grade of 22.09% WO3.Eq from 563.13 m.

·    Confirmation of the discovery of a new, large, mineralised structure separate to the SVS deposit (the "North Tin Zone"), with a sample intersect of 4.00m @ 0.25% Sn, 0.01% Cu from 476.00m, including: 2.00m @ 0.40% Sn, 0.02% Cu & 0.00 WO3 (0.34% WO3.Eq) from 478.00 m.

·    Announcement of updated JORC (2012) Inferred Mineral Resource Estimate of 17.4 Mt @ 0.65% WO3.Eq; Representing a 49% Increase in Tonnage and Contained Metals Increases. Confirms Redmoor at 0.49% WO3 (0.65% WO3.Eq) is Europe's highest-grade, undeveloped, tungsten project compared to other CRIRSCO-compliant projects.

·    Announcement of updated Economic Sensitivity Analysis Results in Standout Economics with Base Case Scenario of Potential After-Tax NPV(8%) of US$1.54bn and 40% IRR.

Southern Minerals Group LLC

Cobre Operations

In 2025, Cobre continued to provide a stable and reliable source of revenue for the Group, building on the strong recovery in demand seen in 2024 following the return of its major client. Revenues remained robust, supported by consistent shipment volumes and disciplined management.

The extension of access to the stockpile through to March 2029 continues to underpin the medium-term outlook for the operation and positions Cobre as a dependable cash-generating asset heading into 2026. The Company continues to consider ways of further increasing magnetite sales and consequently enhancing cash flow.

Leigh Creek Copper Mine Pty Ltd

Leigh Creek Copper Project

In April 2025, the Company signed a non-binding heads of agreement with Axis Mining & Minerals Pty Ltd, which was subsequently novated to South Pacific Mineral Investments Pty Ltd trading as Cuprum Metals ("Cuprum"), based on the following conditions:

·    The purchaser will make a non-refundable payment to Strategic Minerals of A$100,000 within 30 days (subsequently extended by 14 days) from 23 April 2025 (or such further period as may be agreed by the parties), for an exclusive call option to acquire 100% of LCCM (the "Call Option").

·    Under the Call Option, which is exercisable for a period of six months (or such longer period as may be agreed by the parties), the purchaser may elect to acquire 100% of LCCM for an initial payment to Strategic Minerals of A$1.9m in cash.

·    The purchaser anticipates completing a listing on the Australian Securities Exchange upon which it will issue shares to Strategic Minerals equivalent to 19.9% of the listed vehicle up to a maximum value limit of A$3m.

·    The purchaser will pay an earn-out to Strategic Minerals equivalent to A$4m to be paid on a half yearly basis from the commencement of commercial production at the Project with each half yearly payment to be the equivalent of 20% of net free cash flows from the prior period.

The initial payment of A$100,000 was received by the Company, and Cuprum later exercised the Call Option on 22 December 2025. This resulted in the payment by Cuprum of a first instalment of A$150,000 being the initial instalment of the remaining cash payment as a minor variation to the terms. The balancing cash payment of A$1.75m will fall due on the completion of the Definitive Agreement, with the remainder of the terms remaining unchanged.

The Company continues to engage with Cuprum to progress the transaction towards completion and realisation of value for the Leigh Creek Copper Project.

Safety

The Company has a strong focus on safety issues across all its operating subsidiaries and continues to maintain a high level of performance when it comes to safety. In 2025 there were no safety issues reported (2024: one minor).

Conclusion

We are looking forward to continuing to progress our clearly set out strategic goals in 2026. The Redmoor resource had been largely overlooked for too long, but this is no longer the case. We believe it is now widely recognised as one of the highest grade undeveloped tungsten projects in the world, and we will seek to use our now strong cash position, as well as potential sale proceeds from Leigh Creek and existing and hopefully enhanced positive cash flow from the Southern Minerals Group to advance Redmoor at an ever greater pace through a Pre-Feasibility study and on towards Production.

I would like to take this opportunity to thank my fellow Directors, our management and staff in Cornwall, New Mexico, and South Australia, along with our advisers, for their support and hard and skilful work on our behalf during the year. Additionally, I would like to thank all of our investors, clients, contractors, suppliers and partners for their continued confidence and backing on this path to delivering a new world-class polymetallic tungsten mine in the UK.

Charles Manners

Executive Chairman

19 May 2026

Strategic Report for the Year Ended 31 December 2025

The Directors of the Company and its subsidiaries (which together comprise the Group) present their Strategic Report on the Group for the year ended 31 December 2025.

Financial Performance

The Company and the Group's reporting currency is US dollars reflecting that, previously, the Group's revenues, expenses, assets and liabilities were predominantly in US currency and, currently, the bulk of revenues continue to be sourced in US dollars.

The Group recorded a profit before tax including discontinued operations of $0.467m (2024 profit: $1.996m).

The Group undertook a Board restructuring and significantly increased its activities on its Redmoor Project, resulting in increased overheads during the period. Having grown significantly in the previous year, revenue declined 11% from $4.745m in 2024 to $4.231m in 2025.

Alongside the ongoing profitable and cashflow generating magnetite sales activities in SMG, the primary exploration focus of the Group was on the Redmoor Project in Cornwall. $1.287m was spent on the project, after income of $0.791m from the UK Shared Prosperity Fund.

Cash at the end of the year was $0.777m (2024: $0.621m).

PROJECT REVIEW AND ACTIVITIES

Cornwall Resources Limited - Redmoor Tungsten-Tin-Copper Project

During 2025, the Company continued to execute its strategy of improving the understanding of the Redmoor orebody and advancing the economic case for development, targeting the delivery of an updated Mineral Resource Estimate ("MRE") and Economic Sensitivity Analysis in 2026.

A key milestone in the year was the award of £764,000 in grant funding from the UK Government under the UK Shared Prosperity Fund ("SPF"), managed by Cornwall Council through the Cornwall and Isles of Scilly Good Growth Programme. This funding, matched by Company expenditure from the April 2025 placing, supported an accelerated programme of drilling and technical work aimed at progressing the Project towards pre-feasibility.

Drilling recommenced in June 2025, representing the first drilling campaign at Redmoor since 2018. A total of 5,048.7 metres was completed by December 2025, ahead of schedule and within budget, delivering exceptional results. These included high-grade intercepts such as 1.10 metres at 7.19% WO₃, 0.02% Sn and 1.11% Cu (7.51% WO₃ equivalent), and 0.97 metres at 7.52% WO₃, 0.03% Sn and 0.87% Cu (7.78% WO₃ equivalent), including one of the highest-grade sample results recorded at Redmoor across all drilling campaigns.

The drilling programme identified multiple mineralised intervals and wide zones of mineralisation within the Redmoor sheeted vein system, further reinforcing the project's status as one of the highest-grade undeveloped tungsten deposits in Europe. In addition, re-analysis of historical samples confirmed that certain tungsten grades had been previously underreported, with results indicating an average increase of approximately 9.2% in tungsten grades, further enhancing the overall quality of the resource base.

To support this accelerated programme, the Company invested in upgrading facilities and expanding the technical team, ensuring capacity to deliver both the drilling campaign and associated technical studies.

Subsequent to the period end, further significant results were reported, including an ultra-high-grade intercept of 0.60 metres at 18.96% WO₃, 2.76% Sn and 3.19% Cu (22.09% WO₃ equivalent), highlighting the exceptional grade potential within the system. In addition, the discovery of a new mineralised structure, the "North Tin Zone", confirmed further upside potential beyond the previously defined South Vein System, with intercepts including 4.00 metres at 0.25% Sn.

These results contributed to the delivery of an updated JORC (2012) Inferred Mineral Resource Estimate of 17.4 million tonnes at 0.65% WO₃ equivalent, representing a 49% increase in tonnage and contained metals compared to the previous estimate. The updated resource confirms Redmoor, at approximately 0.49% WO₃ (0.65% WO₃ equivalent), as one of the highest-grade undeveloped tungsten projects in Europe among CRIRSCO-compliant projects.

In parallel, an updated Economic Sensitivity Analysis demonstrated a substantial improvement in project economics relative to the 2020 scoping study, which had reported an after-tax NPV8 of $91m and an IRR of 23.4%. The updated analysis indicates a potential base case after-tax NPV (8%) of approximately US$1.54 billion and an IRR of 40%, reflecting the combined impact of increased resource scale, improved grades, enhanced metallurgical performance and stronger prevailing commodity prices.

The Board considers that CRL continues to hold a significant and increasingly valuable asset. The scale, grade and improving technical and economic parameters of the Project, together with its location within the UK, provide a strong foundation for advancing Redmoor towards development for the benefit of stakeholders.

Fig.1 - Exploration License Area Maps include location of Redmoor Project

Fig.2 - Deposit Model Map - MRE 2026 - mineralisation distribution of Tungsten-dominant (red) and Tin-dominant (green) zones within the SVS mineralised envelope (gold)

Cobre performance

In 2025, Cobre continued to provide a stable and reliable source of revenue for the Group, building on the strong recovery in demand seen in 2024 following the return of its major client. Revenues remained robust, supported by consistent shipment volumes and disciplined management.

The extension of access to the stockpile through to March 2029 continues to underpin the medium-term outlook for the operation and positions Cobre as a dependable cash-generating asset heading into 2026.

Cobre continues to benefit from strong operational oversight under the leadership of Tim Klumker. The Board of Strategic Minerals also conducted an in-depth site visit in October 2025.

SMG continues to have an exemplary safety record and has developed an enviable culture that reinforces the highest safety standards. In 2025, there were no safety incidents.

Fig. 3 - View of Cobre resource and open pit under excavation

Fig.4 - Beneficiation of magnetite on surface

Fig.5 - Loading of Cobre product on the weighbridge in preparation for shipping

Leigh Creek Copper Mine Pty Ltd ("LCCM")

During 2025, the Company made tangible progress toward the monetisation of LCCM, following several years of permitting, technical work and engagement with potential counterparties.

In April 2025, the Company signed a non-binding heads of agreement with Axis Mining & Minerals Pty Ltd, which was subsequently novated to South Pacific Mineral Investments Pty Ltd trading as Cuprum Metals ("Cuprum"), based on the following conditions:

·    The purchaser will make a non-refundable payment to Strategic Minerals of A$100,000 within 30 days (subsequently extended by 14 days) from 23 April 2025 (or such further period as may be agreed by the parties), for an exclusive call option to acquire 100% of LCCM (the "Call Option").

·    Under the Call Option, which will be exercisable for a period of six months (or such longer period as may be agreed by the parties), the purchaser may elect to acquire 100% of LCCM for an initial payment to Strategic Minerals of A$1.9m in cash.

·    The purchaser anticipates completing a listing on the Australian Securities Exchange upon which it will issue shares to Strategic Minerals equivalent to 19.9% of the listed vehicle up to a maximum value limit of A$3m.

·    The purchaser will pay an earn-out to Strategic Minerals equivalent to A$4mto be paid on a half yearly basis from the commencement of commercial production at the Project with each half yearly payment to be the equivalent of 20% of net free cash flows from the prior period.

Cuprum exercised the Call Option by 18 June 2025 and subsequently paid a first instalment of A$150,000 of the initial payment as a minor variation to the terms.

The Company continues to engage with Cuprum to progress the transaction towards completion and realisation of value.

LCCM has three approved Mining Leases that cover a number of copper oxide deposits, including Lorna Doone, Lynda, Mountain of Light (Rosmann East and Paltridge North) and the Mount Coffin deposit. All the Mineral Resources are contained within the Mining Leases. They contain a JORC 2012 total resource of 3.61mt @ 0.69% copper for 24,900 of contained copper metal which forms the base of the project and includes the following resource category breakdown.

An existing heap leach and Kennecott cone-based copper processing facility is located at the Mountain of Light deposit (adjacent to Rosmann East and nearby Paltridge North) and was successfully operated for a short period in 2019 to test its capacity to resume full time operations.

Fig. 6 - Tailings ponds and existing infrastructure

The region around the project has excellent infrastructure with a modern town (Leigh Creek), sealed airstrip, sealed and all-weather roads, power and water utilities.

Fig. 7 - Existing mill infrastructure

In addition to the Mining Leases, two approved Exploration Leases, covering an area of 686km² in the northern Flinders Ranges, are included in the project. These provide excellent opportunities for exploration of new copper oxide resources.

Safety

There were no safety incidents in 2025 (2024: one minor).

Board Changes

* Charles Manners was appointed as Non-Executive Director on 1 September 2024 and subsequently appointed as Executive Chairman on 12 August 2025.

* Mark Burnett was appointed as Non-Executive Director on 1 September 2024 and subsequently as Executive Director on 14 November 2024.

Key Risks and Uncertainties

The management of the business and the execution of the Group's strategy are subject to a number of risks. The Group regularly reviews the principal risks and uncertainties that the business faces and assesses appropriate responses to mitigate and, where possible, eliminate potential adverse impact. There is the possibility that if more than one event occurs, that the overall effect of such events would compound the possible adverse effects on the Group.

Our principal risks and uncertainties are as follows:

Commodity prices and currency risk

Although the Group's main income stream at Cobre is focused on localised markets, which minimises the impact of global commodity prices, the value of its development projects can still be subject to changes in global commodity prices. Fluctuations in commodity markets are affected by numerous factors beyond the Group's control, including global demand and supply, international economic trends, currency exchange fluctuations, expectations for inflation, speculative activity, consumption patterns and global or regional political events. The aggregate effect of these factors is impossible to predict. Fluctuations in commodity prices, over the long term, may adversely impact the returns of the Group's investments. The Group monitors commodity prices and structures its portfolio of assets with commodities that are likely to appreciate in the medium to long term.

The Group reports its results in US Dollars, whilst the functional currency of the parent company from which the Group derives most of its funding is Pound Sterling. Fluctuations in exchange rates between currencies in which the Group invest, reports, or derives income may cause fluctuations in its financial results that are not necessarily related to the Group's underlying operations. The Group converts funds to a currency in which funds will be utilised on an as needed basis.

Funding risk

The Group requires funds, both to manage its working capital requirements and fund new and existing projects, as the Group seeks to grow. If the Group is not able to obtain sufficient financial resources, it may not be able to develop new and existing projects. There can be no assurance that such funds will continue to be available on reasonable terms, or at all in the future. The Directors regularly review cash flow expenditure requirements, and the cash flow generated from its Cobre operation to ensure the Company and Group can meet financial obligations as and when they fall due.

Since the year end, the Group has successfully raised £8.7m (approx $12.0m), significantly reducing the funding risk for the foreseeable future.  Funds are expected to allow for the completion of and expanded resource and Pre Feasibility Study at the Redmoor project.

Reserve and resource risk

The mineral reserve and resource relating to CRL are only estimates and no assurance can be given that the estimated reserves and resources will be recovered or that they will be recovered at the rates estimated. Reserve and resource estimates are based on sampling and, consequently, are uncertain because the samples may not be representative. Reserve and resource estimates may require revision (up or down) based on future actual production experience. The discovery of mineral deposits is dependent upon a number of factors including the technical skill of the exploration personnel involved.

The commercial viability of a mineral deposit, once discovered, is also dependent upon several factors, including the size, grade and proximity to infrastructure, metal prices and government regulations, including regulations relating to royalties, allowable production, importing and exporting of minerals, and environmental protection. There can be no guarantee that a mineral deposit will be economically viable. The Group undertakes studies in order to mitigate this risk.

Licence and Permitting risk

The exploration, developing and mining of resources is, usually, governed by licensing and permitting requirements issued, generally, by governments. These normally cover limited periods, and risk may be attached to whether governments permit these periods to be extended or institute "new" conditions on their usage. While this is true for all resource projects it has significant application to SML's primary pre-production asset, namely Redmoor.  The current exploration and evaluation work is reliant on the CRL maintaining the necessary licences and permits in good standing and meeting all obligation set out under them.  Ultimately, a mining licence will need to be obtained. However, for the present, the principal focus is on the current fully funded project activities including drilling and the Pre-Feasibility Study.

The Group are in advanced discussions relating to the sale of LCCM - The PEPR permitting process provides risk, both to costs and timing of projects. While the PEPR for mining copper oxide material from Paltridge North is unconditional, at the time of writing, the variation to encapsulate the transitional ore expected at the bottom of the planned Paltridge North pit has also been submitted and is pending approval. There is also a need for a PEPR for the Lynda/Lorna Doone deposit. Allowance for these undertakings is reflected in our internal plans and valuations, but it is acknowledged that risks to the overall projects value may arise from variations to expectations around the granting of these PEPRs.

Customer risk

The level of profitability of the Group is currently dependant on the performance of the Group's Cobre operation in the United States. The Cobre operation has several major customers and should one or more of these customers choose to not to purchase product it may have a substantial impact on the performance of the Group. The Group continues to look for additional customers at Cobre to address this risk and in addition will develop other projects such as Redmoor to reduce the risk of dependence on any one customer or project.

Operational and Environmental risk

Mining operations are subject to hazards normally encountered in exploration, development, and production. These include unexpected geological formations, rock falls, flooding, dam wall failure and other incidents or conditions which could result in damage to plant or equipment, people, or the environment and which could impact any future production throughput. Although it is intended to take adequate precautions to minimise risk, there is a possibility of a material adverse impact on the Group's operations and its financial results. The Group will develop and maintain policies appropriate to the stage of development of its various projects. In 2020, as a safeguard to both our clients and staff, amendments were made to operational procedures to ensure that delivery of material was contactless. These procedures have continued as standard practice.

Strategic risk

Significant and increasing competition exists for mineral acquisition opportunities throughout the world. As a result of this competition, the Group may be unable to acquire rights to exploit additional revenue generative assets such as Cobre and attractive mining development properties such as Redmoor and LCCM on terms it considers acceptable. Accordingly, there can be no assurance that the Group will acquire any interest in additional operations that would yield reserves or result in commercial mining operations. The Group expects to undertake sufficient due diligence to help ensure opportunities are subjected to proper evaluation.

Uninsurable risk

The Group may become subject to liability for accidents, pollution, and other hazards against which it cannot insure or against which it may elect not to insure because of prohibitive premium costs or for other reasons, such as amounts which exceed policy limits.

Product risk

The Group has a contract for access to magnetite iron ore at the Cobre operation until March 2029. There is a risk that the supplier may terminate the agreement, after this time, in which case the Group would no longer have product to sell. The Group's proactive approach in securing access for the coming years has minimised the impact this risk may have on future operations and the Group's management actively engages with its supplier throughout the year to proactively address any concerns that the supplier may raise.

Dependence on key personnel risk

The Group and Company are dependent upon the executive and local management teams. Whilst it has entered into contractual agreements with the aim of securing the services of these personnel, the retention of their services cannot be guaranteed. The development and success of the Group depends on the Company's ability to recruit and retain high quality and experienced staff. The loss of the service of key personnel or the inability to attract additional qualified personnel as the Group grows could have an adverse effect on future business and financial conditions. The Group incentivises executives and management with market-based remuneration packages, short term and long-term incentive schemes.

Climate Change Risk

While climate change considerations can seriously impact resource companies, the Group considers that there is little downside risk from these considerations, given the metals and minerals in its portfolio, and that these climate change considerations are likely to impact positively on commodity prices for both copper and tin.

Ongoing War Risk

The ongoing Russia- Ukraine and Middle East conflicts continue to raise the possibility of a global conflict. To date, these actions have generally positively impacted on resource prices relevant to SML. However, there is risk, that global economic growth may be severely curtailed, and this would, ultimately, have a negative impact on the demand for resources.

Key Performance Indicators

The Board monitors the activities and performance of the Group on a regular basis. The principal KPI's monitored by the Group are sales of product from Cobre, the cash position of the Group, the investment in project activities, the progress of the primary exploration and evaluation asset (the Redmoor Project), the share price of the Group and the health, safety, and environmental incidents of the Group.

The sales of product at Cobre were 11% lower in 2025 than in 2024, in part due to the 10-day shut down during H1 resulting from the New Mexico wildfires. Revenue in 2025 was $4.231m (2024: $4.745m).

The cash position of the Group as of 31 December 2025 was $0.777m which increased from $0.621m from the previous year.  Broadly speaking, cash generated from the Cobre project covered the working capital requirements of the wider group and also contributed towards the exploration and evaluation work on the Redmoor project, which was largely funded through the funds raised during the year, along with the SPF Grant funding.  Subsequent to the year end the Group has raised significant additional funds (approx.$12.0m) to continue to advance the Redmoor project.

The share price of the Company increased significantly during the year from 0.25p at the start of the year to 1.43p at 31 December 2025, a 472% increase.

At the Redmoor project, a significant drilling campaign was undertaken during 2025 and into 2026, with the maiden MRE on track to be completed in Q1 2026.

The Group had no health and safety or environmental incidents during the year, (2024: one minor health and safety).

Strategy

The principal strategy for the Company is the advancement and development of critical mineral assets in the UK, supported by cash flow generation from its US asset base, while generating long-term value for shareholders.

Outlook and Prospects

The Company is committed to the advancement of the Redmoor Tungsten-Tin-Copper project in Cornwall, UK as a world-class critical minerals project. Robust price performance for critical minerals in 2025, notably tungsten, provide a strong foundation as the Company moves toward completing a pre-feasibility study.

The Company's overheads continue to be supported by cash flow generation from the Cobre magnetite stockpile operation in New Mexico, USA. The Company is also committed to executing a sale of LCCM.

The Group will continue its policy, since the arrival of the current Board members, of maintaining control of its overheads. The Board will also look to reduce costs by simplifying the group structure, especially by focussed on a reduction in the number of Australian subsidiaries.

Directors' section 172 statement

Section 172 of the Companies Act 2006 requires Directors to take into consideration the interests of stakeholders and other matters in their decision making. The Directors continue to have regard to the interests of the Company's employees and other stakeholders, the impact of its activities on the community, the environment and the Company's reputation for good business conduct, when making decisions. In this context, acting in good faith and fairly, the Directors consider what is most likely to promote the success of the Company for its members in the long term. We explain in this annual report, and referenced below, how the Board engages with stakeholders.

Likely consequence of any decision in the long term

The Chairman's Statement, Strategic Report Business Strategy and the Corporate Governance Statement set out the Company's long-term rationale and strategy.

Interests of employees

The Employee section of the Company's Corporate Governance Statement sets out the Company's approach to the interests of its employees.

The Board ensures that the Company's workforce is treated in a manner consistent with its core values of integrity, safety, and responsible stewardship of natural resources. This is monitored through regular reporting from operational management, review of health, safety and wellbeing metrics, and direct engagement with personnel across the Company's sites in Cornwall, New Mexico and Australia. The Board reviews the operation of these arrangements annually and confirms that no material concerns were raised during the year ended 31 December 2025.

Foster business relationships with suppliers, customers, and others

The Company's approach to business relationships with stakeholders and shareholders are set out in the Company's Corporate Governance Statement.

Community and environment

The Company's approach to the community is set out in the Corporate Governance Statement.

Maintain high standards of business conduct

The Corporate Governance Statement sets out the Board and Committee structures and extensive Board and Committee meetings held during 2025, together with the experience of executive management and the Board and the Company's policies and procedures.

Act fairly between shareholders

The Corporate Governance Statement sets out the process the Company follows to ensure it all shareholder interests are preserved and enhanced.

Principal Decisions made by the Board

We define principal decisions as both those that have long-term strategic impact and are material to the Group, but also those that are significant to our key stakeholder groups. In making the following principal decisions, the Board considered the outcome from its stakeholder engagement, the need to maintain a reputation for high standards of business conduct and the need to act fairly between the members of the Company:

a)    Progression of Redmoor Tungsten-Tin-Copper Project

The Board continues to focus its attention on developing the Redmoor Tin-Tungsten-Copper project.  During 2025 the Group undertook a significant drill campaign on the project which concluded in Q1 2026 with the completion of a Mineral Resource Estimate and Economic Sensitivity Analysis. 

b)    Commitment to sale of Leigh Creek

Throughout 2025, the Board has concentrated its efforts to sell LCCM. While the Board is confident that LCCM will be sold, management chose to fully impair the value of the LCCM asset at 31 December 2024, and the asset continues to be impaired.  Cuprum, the proposed buyer of the assets, exercised its option in December 2025, and both parties continue to work towards completion of the sale in H1 2026.

c)    Limiting of dilution in line with investment in value added project progression

The Board has adopted a policy of seeking to minimise shareholder dilution as much as possible and to, generally, ensure that the bulk of funds raised are for value added purposes/projects.  This has been achieved in 2025 through the use of the UK Government Grant matching over £750k of expenditure on the Redmoor project.  Since the year end, the Board have successfully raised funding for the next phase of work at Redmoor, namely the completion of additional infill drilling and a pre-feasibility study, at increasing higher placing prices.

d)    Commitment to funding operating costs from Cobre cash flows

The Board has adopted a long running strategic objective to maintain corporate overheads within after-tax cash flow generated from its Cobre operations. In this manner, any dilutive equity issues are directed at, potentially, valuable accretive investments to progress projects.

In making the above principal decisions, the Directors believe that they have considered all relevant stakeholders, potential impact and conflicts, the Company's business model and its long-term strategic objectives, and have acted accordingly to promote the success of the Company for the benefit of its members as a whole.

The Strategic Report was approved and authorised for issue by the Board of Directors and was signed on its behalf by:

Mark Burnett

Executive Director

19 May 2026

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2025

The above Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.

COMPANY STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2025

As permitted by Section 408 of the Companies Act 2006, the statement of comprehensive income of the parent Company is not presented as part of these financial statements. The parent Company made a loss for the year of $1,083,000 (2024: $673,000).

The above Company Statement of Financial Position should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2025

The above Consolidated Statement of Comprehensive Income should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

COMPANY STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

The above Company Statement of Cash Flows should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2025

All comprehensive income is attributable to the owners of the parent Company.

The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2025

All comprehensive income is attributable to the owners of the parent Company.

The above Company Statement of Changes in Equity should be read in conjunction with the accompanying notes set out in the full 2025 Annual Report, available on the Company's website at: https://www.strategicminerals.net/investors.php#financial-reports.  

Basis of preparation

In preparing these financial statements the presentational currency is US dollars. As the Group's revenues and majority of its costs, assets and liabilities are denominated in US dollars it is considered appropriate to report in this currency. The financial statements are rounded to the nearest $'000.

The principal accounting policies adopted in the preparation of the financial statements are set out below. The policies have been consistently applied to all the years presented, unless otherwise stated.

These financial statements have been prepared in accordance with UK adopted International Accounting Standards in conformity with the requirement of the Companies Act 2006.

The preparation of financial statements in compliance with UK adopted International Accounting Standards requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies. The areas where significant judgments and estimates have been made in preparing the financial statements and their effect are disclosed in note 2.

The financial statements have been prepared on a historical cost basis, except for the acquisition of LCCM and the valuation of certain investments which have been measured at fair value.

Going concern basis

The Directors have considered the Company's and Group's ability to continue as a going concern through review of cash flow forecasts prepared by management for a period of at least 12 months from the date of signing this report and a review of the key assumptions on which these are based and sensitivity analysis.

In January and March 2026, the Company raised £8.7m (approx. $12.0m) principally to advance the Redmoor Project through a Pre Feasibility Study.  As a result, the Group is fully funded for all planned activities for a period of at least 12 months from the date of signing this report, and therefore the Directors do not consider there to be any going concern issues.  Consequently, the financial statements have been prepared on a going concern basis.

Publication of accounts on company website

Financial statements are published on the Company's website. The maintenance and integrity of the website is the responsibility of the Directors. The Directors' responsibility also extends to the financial statements contained therein.