Summer Moon Capital Opposes Metals X's 15p Proposal for First Tin

Summer Moon Capital

Key Facts:

The proposal was made as Taronga entered the final stage of development approval in New South Wales, seven weeks after an updated feasibility study more than doubled the project's base-case value.
Taronga's post-tax net present value (NPV) is approximately £128 million (23.6p per share) at a conservative tin price of US$40,000 per tonne, and approximately £302 million (55.7p per share) at the August 2026 spot price.
Zeus Capital, one of First Tin's joint brokers, values the Company's German projects at £121.7 million (22.5p per share) on an unrisked basis.
Zeus Capital's fair value for First Tin is 33.8p per share after risk adjustments and corporate costs, more than twice the proposed price.
SMC will not support an offer at 15p and believes any offer must be substantially improved. SMC will publish its analysis for fellow shareholders at FirstTinShareholders.com

FOR IMMEDIATE RELEASE

Proposal is opportunistically timed ahead of Taronga's development approval and does not reflect the value of First Tin's Australian or German assets

AUSTIN, Texas (October 14, 2026) Summer Moon Capital ("SMC"), a shareholder in First Tin PLC (LSE: 1SN) ("First Tin" or "the Company"), today announced that it opposes the indicative cash proposal of 15 pence per share from Metals X Limited (ASX: MLX) ("Metals X") and does not intend to support an offer at that price.

The non-binding proposal, which First Tin received on October 8, 2026, values the Company at approximately £81.3 million. SMC believes the proposal is opportunistic, materially undervalues First Tin, and would transfer to Metals X the value that shareholders have funded and are close to realizing.

Summary of SMC's Position

The proposal was made as Taronga entered the final stage of development approval in New South Wales, seven weeks after an updated feasibility study more than doubled the project's base-case value.
Taronga's post-tax net present value (NPV) is approximately £128 million (23.6p per share) at a conservative tin price of US$40,000 per tonne, and approximately £302 million (55.7p per share) at the August 2026 spot price.
Zeus Capital, one of First Tin's joint brokers, values the Company's German projects at £121.7 million (22.5p per share) on an unrisked basis.
Zeus Capital's fair value for First Tin is 33.8p per share after risk adjustments and corporate costs, more than twice the proposed price.
SMC will not support an offer at 15p and believes any offer must be substantially improved. SMC will publish its analysis for fellow shareholders at FirstTinShareholders.com

Timing of the Proposal

Metals X made its proposal shortly before Taronga's expected development approval and before First Tin's share price reflects that approval.

First Tin's September 2026 investor presentation shows that every permitting step for Taronga has been completed except the final approval. Completed steps include the mining lease application and native title clearance, the Secretary's Environmental Assessment Requirements, the Environmental Impact Statement (EIS) and the response to public submissions.
The EIS public exhibition closed in November 2025 with only four objections. The response to submissions was lodged on June 1, 2026. In August 2026, the Company told local media that it hoped to receive development consent by October.
On August 17, 2026, First Tin published an updated Definitive Feasibility Study (DFS) that increased Taronga's base-case post-tax NPV from A$98 million to A$246 million.
First Tin holds a letter of interest from the Export-Import Bank of the United States for up to US$120 million of project financing. In SMC's view, development approval is the step that unlocks this financing and supports a re-rating of the shares.

Metals X is First Tin's largest shareholder, with 29.95% of the issued share capital, and has two nominees on the First Tin board. Much of its stake was acquired at between 4p and 7p per share from 2024 to December 2025. As the shareholder best placed to assess how close Taronga is to approval, Metals X has chosen to make its proposal now.

The stated 30% premium is calculated against a closing price of 11.5p, which does not reflect the expected approval. The proposed price of 15p is also below the high of 18.0p at which First Tin shares traded in the twelve months to August 2026.

Taronga Alone Is Worth More Than the Proposed Price

On First Tin's own conservative assumptions, the value of Taronga exceeds the value Metals X has placed on the entire Company.

Taronga is a 100%-owned open-pit tin project in northern New South Wales, Australia. It has Proved and Probable Reserves containing 55,000 tonnes of tin, a strip ratio below 1:1, freehold land, secured water and life-of-mine C1 cash costs of US$17,203 per tonne. The updated DFS assumes a tin price of US$40,000 per tonne, 28% below the spot price of US$55,675 per tonne on August 4, 2026.

Measure	Value (£m)	Pence per share	Multiple of offer
Metals X proposal at 15p	81.3	15.0	1.0x
Taronga Phase 1 only, post-tax NPV8 at US$40,000/t	98.8	18.2	1.2x
Taronga Phase 1 + 2, post-tax NPV8 at US$40,000/t	128	23.6	1.6x
Zeus Capital Taronga NPV10 at US$35,000/t long-term, unrisked	143.6	26.5	1.8x
Taronga Phase 1 + 2, post-tax NPV8 at spot US$55,675/t	302	55.7	3.7x

Australian dollar figures are converted at GBP:AUD 0.52, the rate used in First Tin's September 2026 presentation. Per-share figures are based on 541.8 million shares in issue.

The Phase 1 mine, as currently submitted for approval and valued at a tin price well below today's, is on its own worth more than the price Metals X has proposed for the whole Company. These figures exclude potential copper and silver by-products (66.1kt of copper and 13.3Moz of silver in Inferred Resources), a fine tin recovery circuit and a mine life extended toward 20 years. First Tin estimates that these could increase Taronga's NPV at spot prices to A$653 million.

The Proposal Ascribes No Value to the German Projects

First Tin's German projects in Saxony hold the majority of its contained tin, yet the proposed price does not cover even the value of Taronga.

Tellerhäuser: 27.9Mt at 0.50% Sn containing 138,600 tonnes of tin, together with zinc, indium and an 18.71-tonne germanium resource. A Pre-Feasibility Study has been published and the mining licence runs to 2070. The Life-of-Mine Plan was submitted in the fourth quarter of 2025 under a fast-track process that does not require a formal environmental impact assessment. It is awaiting planning approval, with production targeted approximately one year after approval.
Gottesberg: 37.0Mt at 0.25% Sn containing 90,900 tonnes of tin.
Together, the German projects contain 229,500 tonnes of tin, or 61% of First Tin's total resource of 377,300 tonnes. First Tin describes this as the largest undeveloped tin resource base in the OECD.

German asset	Zeus Capital valuation (£m)	Pence per share	Multiple of offer
Tellerhäuser (NPV10, unrisked)	95.7	17.7	1.2x
Gottesberg (peer analysis)	26.0	4.8	0.3x
Germany total	121.7	22.5	1.5x

On Zeus Capital's unrisked valuation, Tellerhäuser alone is worth more than the entire proposal, and the German projects together are worth approximately 50% more. Even after Zeus Capital applies a 60% risk discount to Tellerhäuser, the German projects contribute 11.9p per share to its 33.8p fair value.

SMC's Position

SMC opposes the proposal at the current price and does not intend to support or accept an offer at 15p per share. SMC calls on the independent directors of First Tin to reject the proposal.

SMC is open to a transaction that properly recognizes the value of First Tin. Any offer would need to be substantially improved to receive SMC's support, and SMC reserves the right to support an offer at a materially higher price.

Sara Konstantine of Summer Moon Capital said:

"Metals X has made this approach just before Taronga's development approval, at a price that does not even cover the value of Taronga, let alone the German projects that hold most of the Company's tin. First Tin's shareholders have funded the Company through feasibility and permitting, and they should not transfer the value of that work to the largest shareholder at 15 pence. We will not support this proposal unless it is substantially improved."

Under the UK Takeover Code, Metals X must announce a firm intention to make an offer, or confirm that it does not intend to make one, by 5:00 p.m. (London time) on November 6, 2026.

SMC will publish its analysis, supporting documents and updates for shareholders at FirstTinShareholders.com

Important Information

SMC is a shareholder in First Tin. This announcement reflects SMC's opinions and is not an offer, solicitation or recommendation to buy, sell or hold any security, or investment advice. NPV figures are project-level values before corporate costs and financing, and depend on assumptions for tin prices, exchange rates and discount rates. Sources for all figures are available at FirstTinShareholders.com

About us:

Summer Moon Capital is an investment firm based in Austin, Texas, and a shareholder in First Tin PLC.

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