Latrobe Magnesium (ASX: $LMG) Announcement

13 May 2024, Sydney, Australia: Latrobe Magnesium Limited (ASX: $LMG) has successfully completed the commissioning for the first phase of its 1,000 tonnes per annum, Stage 1 Demonstration Plant, marking a significant milestone in producing the world's first environmentally sustainable MgO from fly ash - a waste resource from brown coal power generation.

Executive Commentary

We are incredibly proud of the results from our Demonstration Plant and the achievement of MgO production. The world's first flow sheet using a hydromet process is a testament to our technology, our staff and contractors involved in the process to date. As the only new Western producer, the importance of Latrobe Magnesium's production is globally significant, and this achievement validates our patented hydrometallurgical technology and years of research and development to get to this stage. I would also like to take this opportunity to thank all the aforementioned employees and contractors, who have worked tirelessly to make this achievement possible and look forward to our continued success.

Summary

Latrobe Magnesium Limited (ASX: $LMG) has successfully produced the world's first environmentally sustainable Magnesium Oxide (MgO) from brown coal fly ash, marking a significant milestone in pioneering a sustainable magnesium extraction method. The company's patented hydrometallurgical extraction/thermal reduction technology is the only process capable of extracting magnesium from brown coal fly ash, and ferro-nickel slag tailing feedstocks, producing magnesium metal with accompanying valuable secondary products at no incremental cost. This achievement validates the company's commitment to sustainable manufacturing and positions it as the only new magnesium producer in the western world since 2015. With the successful production of MgO from the Demonstration Plant, Latrobe Magnesium can now officially commence a bankable feasibility study and financing discussions for the 10,000 tonnes per annum Stage 2 Commercial Plant. The company's ambitions align with the growing demand for magnesium, particularly ex-China, with a significant portion of this demand expected from the automotive sector. The project is at the forefront of environmental benefit, recycling power plant waste, avoiding landfill, and adopting the principles of a circular economy.