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$15M vote of confidence: QIC Backs Austral's copper comeback

JMM

Key Facts:

• $15M non-dilutive investment from QCMF via royalty financing - no equity dilution for shareholders
• Stage 2 expansion study to assess lifting Rocklands capacity from 3.0Mtpa to 4.5–6.0Mtpa
• Production booked solid to 2034 - existing plant capacity fully committed to Austral's own ore
• Alternative power study running in parallel to improve long-term operating efficiency
• Restart on track - first production still targeted for Q3 2027

QIC Invests $15 Million to advance Rocklands growth initiatives; Production full until 2034

7 August 2026 — Austral Resources Australia Ltd (ASX:AR1) has secured a $15 million non-dilutive investment from the QIC Queensland Critical Minerals Fund (QCMF), structured as a royalty financing arrangement, to fund the next phase of growth at its Rocklands processing facility in North West Queensland.

The capital will kick off a Stage 2 expansion scoping study, examining a lift in Rocklands' processing capacity from its current 3.0Mtpa to between 4.5Mtpa and 6.0Mtpa - alongside a parallel study into alternative power solutions to boost operating efficiency.

The timing is telling: recent mine planning confirms Rocklands' existing capacity will be fully committed to processing Austral's own sulphide ore from Western and Eastern Operations through to at least 2034, underpinning the case for expansion now.

Under the royalty deed, QCMF will receive tiered royalty payments on Gross Revenue from Rocklands production, capped once 400,000 tonnes of contained copper has been produced.

Restart activities remain on track, with first production still targeted for Q3 2027. 

Austral’s Chairman, David Newling, says:

“Securing the support of the QIC Queensland Critical Minerals Fund is a significant milestone for Austral and a strong endorsement of both the Rocklands processing facility and our long term strategy. 

Our immediate focus remains the successful restart of Rocklands, but this investment also allows us to look beyond restart and plan for the next phase of the operation. The studies will help us better understand how Rocklands can continue to evolve as a strategic processing asset while supporting the long-term growth of our business. 

North West Queensland is one of Australia's premier copper provinces and we believe Rocklands is uniquely positioned to play an increasingly important role in its future. This investment gives us the opportunity to plan for that future while continuing to deliver value for our shareholders.”

Austral’s Chief Operating Officer, Shane O’Connell, says:

“Recent mine planning has confirmed our existing 3.0 million tonne per annum processing facility is expected to be fully utilised processing Austral's own sulphide resources through to at least 2034. That provides a strong foundation for evaluating the next stage of expansion. The Stage 2 study will assess opportunities to increase processing capacity to between 4.5 and 6.0 million tonnes per annum, while the alternative power study will examine opportunities to improve operating efficiency and support the long-term competitiveness of the operation.”

QCMF Fund Manager Joshua Risson, says:

“The Fund’s initial investment was based on the opportunity to bring strategically important processing infrastructure back into production. Since then, Austral has continued to execute against its strategy, giving us confidence to increase QCMF’s support as the company progresses to its next phase of growth. Rocklands has the potential to become critical regional infrastructure, providing much-needed processing capacity that can unlock stranded copper resources across the North West while supporting Austral's own long-term growth.”

About us:

Austral Resources Australia Ltd is an ASX listed copper cathode producer operating in the Mt Isa region, Queensland, Australia. Its Mt Kelly copper oxide heap leach and solvent extraction electrowinning (SX-EW) plant has a nameplate capacity of 30,000tpa of copper cathode. The recent acquisition of the Rocklands Facility enables the dual processing capabilities for copper sulphides and copper oxides, as well as an increased exposure to gold. Austral has recently embarked on an aggressive growth and consolidation strategy across the World Class Mount Isa Region, which includes the Lady Loretta and Rocklands Deposit. Austral now owns a significant copper inventory with a JORC compliant Mineral Resource Estimate standing at 64 Mt @ 0.73% Cu (468,414t of contained copper)(comprising of 52.8Mt @ 0.74% Cu at the Lady Annie Project – 8.8Mt at 0.75% Cu Measured MRE, 33.0Mt at 0.76% Cu Indicated MRE and 11.0Mt at 0.69% Cu Inferred MRE and 11.26Mt at 0.69% Cu at the Rocklands Project – 9.12Mt at 0.72% Cu Indicated MRE and 2.14Mt at 0.55% Cu Inferred MRE), two processing facilities, as well as 2,101km 2 of highly prospective exploration tenure in the heart of the Mt Isa district, a world class copper and base metals province. The Company intends to implement an intensive exploration and development program designed to extend the life of mine, increase its resource base and continually review options to commercialise its copper resources.

Contact details:

Austral Resources Corporate Affairs and Stakeholder Relations: Emma Godfrey, 0419 523 719, [email protected]

Jane Morgan Management Investor and Media Relations: Wilamina Russo, 0450 646 609, [email protected]