Pilbara Minerals to Acquire Latin Resources in Strategic Lithium Expansion

Pilbara Minerals Limited and Latin Resources have entered into a binding Scheme Implementation Agreement (SIA), under which Pilbara Minerals will acquire 100% of Latin Resources' shares through a Court-approved scheme of arrangement under the Corporations Act 2001. This acquisition positions Pilbara Minerals to significantly enhance its lithium production capabilities.

Highlights of the Acquisition:

- Strategic Acquisition: Pilbara Minerals will acquire Latin Resources’ flagship Salinas Lithium Project, located in Minas Gerais, Brazil. Salinas has the potential to become a top 10 hard rock lithium operation globally (excluding Africa), offering Pilbara Minerals development flexibility to supply emerging markets.

- Mutually Beneficial Transaction: Latin Resources shareholders are set to benefit from an immediate premium and the unlocking of Salinas' value. The transaction de-risks funding and development by leveraging Pilbara Minerals’ proven expertise in developing and operating hard rock lithium projects. Additionally, Latin Resources shareholders will gain exposure to Pilbara Minerals’ Tier 1 Pilgangoora operation.

- On-Strategy, Counter-Cyclical Move: This transaction is expected to be accretive to Pilbara Minerals across key metrics, including net asset value (NAV), Mineral Resources, and future production.

- Significant Contribution to Pilbara Minerals: The Salinas project is anticipated to immediately add approximately 20% to Pilbara Minerals' Mineral Resources and could contribute up to 30% of the company’s pro-forma steady-state production.