Astron Corporation Limited provided an update on the review of the project configuration for the Donald Mineral Sands and Rare Earth Project. The Donald Project is a tier-1 mineral sands and rare earth project located approximately 300 kilometres north-west of Melbourne in regional Victoria. Given its resource scale, the phased development of the Donald Project has the potential to represent a globally significant, long-life supply of the critical mineral elements of zirconium, titanium, neodymium and praseodymium (rare earth elements).

Project Review ­ Rationale: As previously advised, the Board of Astron considered it appropriate to undertake a comprehensive review of project parameters of the Donald Project as part of defining the final parameters for the Feasibility Study, scheduled for completion at the end of the first quarter of 2023. The review was undertaken with a view to establishing the least risk path towards the commercialization of the Phase 1 development of the Project on Mineral Licence 5532 (MIN5532), while maintaining flexibility to deliver the value that the development of the broader tenement resources is expected to represent. This review has had several objectives, including: Aligning the Phase 1 Project configuration, including physical infrastructure and site services, with the requirements of the Environmental Effects Statement (EES), so as to minimise the risks and time involved in securing the remaining regulatory approvals (most notably, the Work Plan); identifying opportunities to improve the capital-efficiency of the Project; mitigating project execution risks, particularly in terms of the sourcing and procuring of long lead time items; and maintaining the flexibility for subsequent phases of the Project to recover the remaining Resource base and/or enable higher production output, including by consideration of the on- site production of final mineral sands products (subject to further regulatory approvals at a later stage).

Project Review ­ Principal Outcomes: The main review outcomes include: Reduction in ore throughput to 7.5 million tonnes per annum (Mtpa) from 12.5 Mtpa, resulting in a roughly proportionate decrease in HMC and finished product production; production on-site of two product streams: a rare earth element concentrate (REEC) and a valuable heavy mineral concentrate (HMC), instead of the separation of the HMC on-site to produce zircon and titania (66% TiO2 content) final products; the elimination of an on-site Wet High Intensity Magnetic System (WHIMS) plant and a dry mineral separation plant; off-site processing of the HMC product to final zircon and titania products by either a third- party separation facility, or (subject to further evaluation) at the Company's minerals processing facilities at Yingkou, China ­ or a combination of both; and reduction in the scale of the footprint of the processing plant and associated facilities with an attendant reduction in materials required during the construction phase. A preliminary estimate of average annual production for Phase 1 operations over 35 years is between 250 ­ 300 thousand tonnes per annum (ktpa) of HMC and 7­10 kpta of REEC. As detailed below, these preliminary estimates are subject to refinement associated with further geological analysis of the March 2022 drilling programme data, which addressed a finer +20­38 micron fraction of the ore body and, in turn, the total valuable heavy mineral (VHM), as well as rare earth element (including xenotime), component of the ore body.

This analysis, which is expected to result in an updated Mineral Resource Statement in the fourth quarter of 2022, provides the potential for an increase in both the volume and value of minerals recovered in the production process. Staged Development Approach: The Donald Project is based on the staged development of the mineral resources contained within the retention licences RL2002 and RL2003 (See Appendix 1 ­ Donald Project Tenement Map). Phase 1 of the Project will be undertaken on the Mining Licence MIN5532 which is contained wholly within RL2002.

MIN5532 contains VHM Resources of 317 Mt at an average HM grade of 5.3%. At the proposed ore production rate of 7.5 Mtpa, this will support a mine-life of approximately 35 years. Phase 1 development is planned to access approximately 13% of the total Ore Resources for the Donald and Jackson tenements within the total licence areas.

RL2002 and RL2003 contain a combined Mineral Resources of 2.4 billion tonnes at a heavy mineral (HM) grade of 4.8%. At a zircon assemblage of 19%, Phase 1 of the Donald Project contains in-situ zircon resources of 22.1 Mt, representing the largest undeveloped zircon deposit globally.2 Future potential phases of mine development on RL2002 and RL2003, including the on-site separation of HMC into its constituent zircon and titania products, are under consideration. It is expected that decisions to progress further production outcomes will be taken after Phase 1 operations are underway and will be subject to further regulatory approvals.

Astron expects the phased development approach will deliver material, long-term value.