Announcement PDF ASX ANNOUNCEMENT ASX: AXL | FSE: HN8 6 November 2026 ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au info@axelreelimited.com.au MINASGERAISGOVERNMENT FORMALISESSUPPORT FOR CALADÃO REEISRANDGALLIUMDEVELOPMENT Highlights • Axel REE and its Brazilian subsidiary Axel REE Ltda have executed a Protocol of Intent with the Minas Gerais State Secretariat of Economic Development (SEDE) and Invest Minas • The Protocol formalises Invest Minas’ commitment to support Axel’s rare earth and gallium development at the 100%-owned Caladão Project, and recognises the project’s strategic importance to the State • The Protocol identifies two investment workstreams: o In situ recovery (ISR) field validation testing of rare earth elements, scheduled to commence in 2027 o Continued development of economically viable gallium extraction and processing techniques • Prospective products include rare earth products (such as mixed rare earth carbonate or concentrate) and gallium products, subject to the results of the research and pilot stage • Invest Minas to support Axel through the licensing, implementation and operation phases, including attracting and expanding suppliers to build a regional supply base for field-scale activities • Builds on the Company’s March 2025 MoU with the State, moving from a general State-wide framework to a project-specific investment programme for Caladão Axel REE Limited (ASX: AXL, FSE: HN8, Axel or the Company) is pleased to announce that it and its Brazilian subsidiary, Axel REE Ltda, have executed a Protocol of Intent (Protocolo de Intenções) (Protocol) with the Government of the State of Minas Gerais, represented by the State Secretariat of Economic Development (SEDE) and the Integrated Development Institute of Minas Gerais (INDI), the State Government's investment promotion agency, which operates as Invest Minas (Invest Minas). Axel REE Managing Director, Dr Patience Mpofu, commented: “This Protocol marks an important step in our relationship with the State of Minas Gerais. It moves our engagement with the Government from general support to a defined investment programme that specifically recognises our planned ISR field validation at Caladão and our gallium development work. Having SEDE and Invest Minas formally aligned with that programme is significant because it provides recognised State level support for our planned investment in ISR field validation and gallium development. It establishes a framework through which Invest Minas can assist with supplier development, industry engagement and implementation support as we progress towards larger-scale field activities. In practical terms, it gives us a formal point of engagement within the ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au investors@axelreelimited.com.au State Government as we move from the laboratory to the field, and an agency partner working to build the regional supply base that field-scale ISR will need. Having that framework in place ahead of our 2027 field validation programme is an important step as we advance Caladão towards an assessment of commercial-scale feasibility. We thank SEDE Secretary Mila Corrêa da Costa, Invest Minas Chief Executive Officer Milena Andrade Pedrosa and their teams for their continued support of Axel and of critical minerals development in Minas Gerais.” Image: Protocol of Intent signing. Left to right: Mr Ronaldo Barquette (Investment Director, Invest Minas), Ms Ana Sullato (Strategic Advisor, Invest Minas), Dr Patience Mpofu (Managing Director, Axel REE), Mr Pat Volpe (Director, Axel REE) The Protocol formalises the commitment of Invest Minas, as an entity of the Government of Minas Gerais, to support Axel’s rare earth and gallium development at the 100%-owned Caladão Project, located in the municipality of Padre Paraíso, Minas Gerais, through the licensing, implementation and operation phases. This includes working to attract new suppliers to the region and expand existing ones to service the project. The Protocol also represents formal recognition by the State of the strategic importance of the project. The Protocol builds on the Company’s March 2025 MoU with the State, moving the relationship from a general cooperation framework covering Minas Gerais to a project-specific investment programme for ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au investors@axelreelimited.com.au Caladão, with defined ISR and gallium workstreams, identified prospective products and a stated role for Invest Minas in implementation. A DEFINED INVESTMENT PROGRAMME FOR CALADÃO The Protocol identifies two investment workstreams at the Caladão Project: • ISR field validation: field validation testing of in situ recovery of rare earth elements, scheduled to commence in 2027; and • Gallium development: the continued development of economically viable techniques for the extraction and processing of gallium. Both workstreams are directed at establishing the technical and economic feasibility of future commercial production of rare earth products, such as a mixed rare earth carbonate or concentrate, and gallium products. The Protocol notes that these products are prospective and subject to the results of the research and pilot stages. SUPPLY CHAIN AND IMPLEMENTATION SUPPORT Under the Protocol, Invest Minas intends to provide support and assistance to Axel during the implementation and operation phases of the project, with the aim of attracting and expanding suppliers in the project’s supply chain. The aim is to help build a regional supply base with the specialised equipment, services and contractor capability required for field-scale ISR and gallium activities.This support is expected to assist the Company as it moves towards controlled field-scale testing. In addition to its role under the Protocol, Invest Minas’ services to investors include assistance in obtaining the licences and authorisations required to develop Axel’s projects in Minas Gerais. ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au investors@axelreelimited.com.au KEY TERMS OF THE PROTOCOL OF INTENT The key terms of the Protocol are summarised in Table 1. Term Detail Parties SEDE, Invest Minas, Axel REE Limited and Axel REE Ltda. Scope Research, development and field validation activities at the Caladão Project, being: (a) ISR field validation testing of rare earth elements, and (b) the continued development of gallium extraction and processing techniques Investment value To be determined by Axel on completion of the research and pilot stage, covering pilot-scale machinery, equipment and civil works and research, development and field validation activities. The annual disbursement schedule is to be defined by Axel based on the results of each stage State support Invest Minas to provide support and assistance during the implementation and operation phases, with the aim of attracting and expanding suppliers in the supply chain Binding effect The Protocol does not constitute a binding contract or agreement Term and termination No fixed term. Any party may terminate on 30 days’ written notice Other Customary anti-corruption and data protection undertakings. Disputes to be resolved by mutual agreement Table 1: Key terms of the Protocol of Intent The Protocol is non-binding and does not commit the Company, SEDE or Invest Minas to any minimum level of expenditure. It is not a permit, licence or approval, nor a funding agreement, and any future development of the project remains subject to the usual regulatory approvals. NEXT STEPS The Protocol is intended to support the Company's progression from laboratory and pilot-scale studies towards controlled field-scale validation and future assessment of commercial development opportunities at Caladão. It aligns with the Company’s planned work programme at Caladão, which includes: • ISR field test development: progressing the technical design and preparatory studies for a controlled field test, including hydrogeological, geotechnical and environmental assessments; • Metallurgical optimisation: continued precipitation and product quality testwork on leach-derived solutions; • Gallium development: continued development of gallium extraction and processing techniques; and • Supply chain engagement: working with Invest Minas to identify suppliers and services required for field-scale activities. ABOUT SEDE AND INVEST MINAS SEDE is the department of the Government of Minas Gerais responsible for planning, coordinating and implementing the State’s economic development policy, including investment attraction, the strengthening of production chains, regionaldevelopment and the promotion of science,technology and innovation.Invest Minas is linked to SEDE, which works with Invest Minas to formulate and implement the State’s economic development and investment attraction policy. ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au investors@axelreelimited.com.au Invest Minas’ purpose is to attract investment to the State of Minas Gerais, Brazil. Its services to investors include guidance on tax incentives, support in identifying land and facilities, and assistance in obtaining required licences and authorisations. To achieve this goal, it seeks, among other actions, to facilitate cooperation between private companies, investors, and the public administration. One of its main objectives is to increase the level of employment and reduce the regional and social inequalities in the State, for which it is essential to protect existing investments, encourage new ones that streamline and modernise production in the State and form partnerships with the private sector. Invest Minas is focused on not only supporting companies to develop their projects, but also to extend this support towards building an integrated critical minerals sector. This extends investment beyond the mine to include downstream activities such as the processing and refining of rare earths and other strategic minerals. Invest Minas’ role is to enable future investment and partnerships that support the expansion and growth of the sector. This announcement was authorised by the Board of Directors. For enquiries regarding this release please contact: Dr Patience Mpofu Managing Director E: patience@axelreelimited.com.au Gabriella Hold The Capital Network E: gaby@thecapitalnetwork.com.au Julia Maguire The Capital Network E: julia@thecapitalnetwork.com.au About Axel REE Axel REE is a critical minerals exploration company which is primarily focused on developing the Caladão REE-Gallium and Caldas REE Projects in Brazil, the second largest country globally in terms of REE reserves. Axel is advancing a modular development concept at Caladão based on in situ recovery (ISR) of ionic clay-hosted rare earth mineralisation using magnesium sulphate leaching. This approach aims to minimise surface disturbance and capital intensity by deploying modular hydrometallurgical plants within wellfields. In parallel, Axel is progressing metallurgical programmes to unlock additional value from gallium and scandium within the near-surface oxidised profile. Deposit JORC Category Tonnes (Mt) TREO (ppm) Caladão Area A Inferred 233.00 2,133 Marambaia Inferred 126.00 1,154 Tiger Creek Inferred 85.00 1,050 Woolrich Inferred 154.51 1,120 Woolrich Indicated 110.08 1,073 Total Caladão Inferred 598.51 1,512 Total Caladão Indicated 110.08 1,073 Total MRE Inferred + Indicated 708.6 1,443 Global REE Mineral Resource Estimate at the Caladão Project, Minas Gerais https://axelreelimited.com.au/link/eW1GJP ASX : AXL | FSE: HN8 ACN: 665 921 273 832 High St Kew East VIC Australia 3102 www.axelreelimited.com.au investors@axelreelimited.com.au Deposit JORC Category Tonnes (Mt) Gallium (ppm) Caladão Area A Inferred 100.00 42.23 Marambaia Inferred 126.07 35.80 Tiger Creek Inferred 85.02 40.10 Woolrich Inferred 154.51 34.48 Woolrich Indicated 110.08 35.05 Total Caladão Inferred 465.60 37.53 Total Caladão Indicated 110.08 35.05 Total MRE Inferred + Indicated 575.68 37.05 Global Gallium Mineral Resource Estimate at the Caladão Project, Minas Gerais Refer AXL release 24 September 2026, “Caladão Project global REE resource growth and Woolrich resource upgrade” for further information. Forward Looking Statement This announcement contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company. These risks and uncertainties could cause actual results and the Company’s plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking information should circumstances or management’s estimates or opinions change.