#1ABx Group ASX Announcement 21 March 2023 Presentation - ABX's ionic adsorption clay rare earth deposits in Tasmania Australian Institute of Geoscientists - REE Seminar ASX: ABX In accordance with the requirements of Listing Rule 3.1 we submit the attached material being presented to the AIG REE Seminar by lan Levy, Director on 21 March 2023 at Burswood On Swan, Perth. lan Levy has more than thirty years senior management experience with small to large mining companies, including WMC, Pancontinental Mining, Gympie Gold and CEO of Allegiance Mining, involving development of bauxite, gold, coal, base metals, nickel and industrial minerals projects from discovery to marketing. He was a founding Director of Gloucester Coal. He was a member of the Joint Ore Reserves Committee (JORC) for 11 years including 4 years as Vice Chairman and Federal President, Australian Institute of Geoscientists. ASX Release authorised by Mark Cooksey, Managing Director and CEO. For further information please contact: Dr Mark Cooksey Managing Directorand CEO ABX GroupLimited Mobile: +61 447 201 536 Email: [email protected] Website: abxgroup.com.au ABX Group Limited ABN 14 139 494 885 Level 5 52 Phillip Street Sydney NSW 2000 P: +61 2 9251 7177 F: +61 2 9251 7500#2ABx Group ABX's ionic adsorption clay rare earth deposits in Tasmania lan Levy, Director 0407 189 122 [email protected] AIG REE Seminar, Perth 21 March 2023 Level 5 52 Phillip St Sydney 2000 ASX ABX#32 Qualifying statements Disclaimer Regarding Forward Looking Statements This ASX announcement (Announcement) contains various forward-looking statements. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements are inherently subject to uncertainties in that they may be affected by a variety of known and unknown risks, variables and factors which could cause actual values or results, performance, or achievements to differ materially from the expectations described in such forward-looking statements. ABX does not give any assurance that the anticipated results, performance, or achievements expressed or implied in those forward-looking statements will be achieved. General The information in this report that relate to Exploration Information and Mineral Resources are based on information compiled by lan Levy who is a member of The Australasian Institute of Mining and Metallurgy and the Australian. Institute of Geoscientists. Mr Levy is a qualified geologist and a director of ABX Group Limited. Mr Levy has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity, which they are undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of exploration Results, Mineral Resources and Ore Reserves. Mr Levy has consented in writing to the inclusion in this report of the Exploration Information in the form and context in which it appears.#43 ABX rare earth discoveries in Tasmania Ticks all boxes True ionic adsorption clay IAC REE deposits * Rich in permanent magnet REES Can be developed quickly at low cost □ Shallow depth, typically 1 to 6m from surface Favourable land setting Progress Deep Leads & Rubble Mound combined REE deposit ☐ Metallurgical testing confirmed IAC REE* 150 new drillholes in progress January to early April ☐ Resources TRIPLED to 13.9M tonnes - more to come Devonport Launceston TASMANIA Hobart A Bx tenements EL 9/2010 EL18/2014 EL 10/2021 Wind Break REE Deep Leads REE 52km REE Targets Rubble Mound REE discovery LAUNTON Portrush REE 7.5 15 km *Not all clay-hosted rare earths are created equal. Only ionic adsorption clay REE deposits (IAC REE) achieve high extraction rates at low cost and are the most sought-after deposits, delivering extraction rates of 50% to 75% of REE using benign, low-cost processing. ABX is the first to discover true IAC REE in Tasmania. See ASX Announcement dated 31 May 2022. AB Group x 3#54 ABX rare earth resources tripled to 13.9Mt See ASX release 20 March 2023 Permanent Magnet REOs Resource Million From To Category Tonnes (m) (m) Thick- TREO TREO- Perm ness (m) Total Inferred 11.2 3.6 10.7 7.2 Indicated 2.7 4.8 11.2 6.4 13.9 3.8 10.8 7.0 avg CeO2 Mag ppm ppm ppm 689 512 170 772 490 174 Nd2O3 Pr011 Tb07 Dy203 CeO2 Er203 Eu₂03 Gd2O H0203 La₂O, Lu2O3 Sm₂O Tm20 Yb₂O Y2O3 ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm 113 28 4.1 25 177 14 116 30 6.9 4.2 24 283 13 7.8 26 5.0 99 26 4.5 101 1.9 25 2.0 12 149 1.6 27 1.8 11 123 705 507 171 114 29 4.1 24 198 1 14 7.0 26 4.9 100 1.8 26 2 2.0 12 144 Parameters Cut-off grade = 250ppm TREO-CeO2 Minimum thickness = 2 metres Maximum extrapolation = 80 metres Density = 1.9 tonnes/cubic metre TREO = total rare earth elements as oxides. TREO-CeO2 = TREO minus cerium oxide 720 holes, 5,825m drilled and 2,091m assayed High extraction rates 30% to 83% in ANSTO desorption tests GOOD MIX OF REE Permanent magnet REOs, La and Y = High Value REES = 58% of the REE mix (relatively high) ✰ Non-radioactive: Free of Uranium & Thorium CeO2 28% Nd203 16% Pr6011 4% Tb407 1% Dy203 3% Y203 20% La203 14% 58% permanent mags + La & Y#6• Deep Leads-Rubble Mound REE prospect is significantly enlarged REE extends 6.5km x 7km = 36.6km² Thicker mineralisation identified . • • • . Drill technique modified for difficult drilling Thick REE zones discovered 30m, 21m, 13m thick Economic assessment of thickened zones begun Overburden ranges from 0 - 6m, averaging 3.8m REE horizon averages 7.0m thick = low stripping ratio TASMANIA Deep Leads 5 Rubble Mound ABx Group Rare Earth Element Exploration Rare Earth Element Exploration Total Rare Earth Oxide Grades (TREO) REE Mineralisation Zone Greater than 700ppm REE Mineralisation Zone Extension • Between 300 and 700ppm 0 2 km Exploration Drilling Target • Less than 300ppm New Drill Holes - Assays Pending#7High extraction 71 tests by ANSTO • • 70% of samples averaged 50% extraction Clay-rich samples gave highest extractions 60-83% . Gravels had low extractions 11% Deep Leads 55% 23% 80% 73% 9% 38% 58% 21% 61% 31% 40% 75% 33% 71% 5%70% 52% 60% 4% 71% 65% 53% 65% 4% 5% 67% 47% 13% 61% 5% 7% 54% -79% 51% 20% • • CaO content reduces extraction rates Metallurgical tests to assess recovery vs concentrate grade economics As good as best Chinese REE projects TASMANIA Hoban 13% 32% 6 63% 13% 11% 3% 29% 9% 11% 2% 55% 50% 58% 6% 24% 83% 18% 51% 4% 1% Rubble Mound#8Compared to China's Deposits 2,500 Grade TREO ppm 2,000 1,500 1,000 Deep Leads - Rubble Mound 500 0 TREO grades for selected Chinese ionic clay deposits ||||||||||||||||||||||||||| Minimum size is typically ~10 million tonnes which is less than ABX's current resource. ABX will select higher grade zone(s) for economic assessment (increasing cut-off grade) 7#9Deep Leads-Rubble Mound business concepts 8 Mine Concentrate Rehabilitate Improve Dredge & Simple, low- Sell bulk REE concentrates to downstream pump cost leachate processors Hydraulic mine Clay only? Tank leach Australia or overseas Vat leach Heap leach? & slurry Dig & truck? Deposit specific Achieves 50% of the revenue for 25% of the costs Fastest, lowest-cost start-up Better drainage plantations, offsets, forests? Water treated Clays dewatered Contour land Infrastructure Reinstated to Pasture, usable land Replanting#10Regional Geology 1. Cenozoic erosion, soils developed 2. Alkali Basalts filled rivers and gullies 20 to 30Ma. Heavily eroded and bauxitised in places. 9 Basalts & dolerite in northern Tasmania Basalt ages in Ma 3.3 Alkali Basalts 3. Tholeiitic dolerite sills intruded 170Ma 26.7 "Ferrar large igneous province" in Tasmania, Antarctica, NZ & Sth Africa formed as Gondwana broke up 4. Paleozoic strata 5. Precambrian basement further west Deep Leads 30.7 24.72 38.1 46.66 32.53 $25.9 36.95 33.74 29.37 36.92 Tholeiitic Dolerite 22.4 22.9 23.5 S#1110 10 Deep Leads - Rubble Mound Geology 1. Shallow clay layer: Bauxite-laterite & clays with bauxite & dolerite grains 2. REE clay layer 3. River gravel layers in a few places 4. Weathered dolerite 5. Fresh dolerite - columnar jointed sills hundreds of metres thick Note: Remnant alkali basalt along the river valley has been largely eroded away Tertiary laterite & bauxite Jurassic dolerite Alluvial flats Bauxite Source: MRT Tas geological map + ABx bauxite discoveries#12Deep Leads - Rubble Mound Interpretation REE clay layer Reworked alluvials Mature alluvials Bx Immature alluvials Juvenile alluvials Active river alluvials Young alluvials Major river flats Reworked IAC REE. Hi & lo extractions IAC REE. High extraction IAC REE + fragments of source rock Headwater gullies Fragments of source rock (low extraction) 11#13Deep Leads - Rubble Mound drilling Good access on highway and all-weather logging roads ALL TOO EASY? 12 Open land on recently harvested hardwood plantations and farmland. Supportive landholders#14Deep Leads - Rubble Mound drilling challenges Clay + high water flow = mud Mud + river gravel = clogged line Mud + gravel + hard dolerite = X#$! We still managed to drill 37.5m of dry clay samples High grade REE clay N NI 13 5 10 12 14 15 16 21 23 23 24 25 26 27 28 29 33 34 35 36 37 37