Construction of Araguaia Nickel Project Now 65% Complete

LONDON, UK - Jeremy Martin, CEO of Horizonte Minerals Plc said, ”We are pleased with progress to date at Araguaia Phase 1, with around 65% of the overall project completed as at quarter-end. We are targeting first metal in Q1 2024. We are proud to have maintained a strong safety record to date and the safe delivery of the rotary kiln to site was a significant milestone during the quarter and a testament to the commitment and dedication of our team.

"Whilst the key focus is the construction activities at Araguaia, we are making good progress on the Line 2 Feasibility Study which is scheduled to be published later this year. The proposed expansion has the potential to double the annual nickel production to 29,000 tonnes per year.

"With the progress made to date, we remain confident in our ability to deliver our world-class project in a safe and responsible manner, continuing to move closer to unlocking the full value of Araguaia, and more broadly across Horizonte's portfolio of Tier 1 assets, realising our objective of becoming a low-cost nickel producer."

The FS for the Vermelho project in Brazil, is currently on-going and is expected to be published in 2024. Vermelho has a high-grade scalable resource with a long mine life. Given Vermelho's geological characteristics, the ore has the ability to be processed either through High-Pressure Acid Leach ("HPAL") or Rotary Kiln Electric furnace ("RKEF") technologies. As part of the study and driven by the evolving market dynamics, Horizonte is evaluating the optimal final nickel product that will supply the critical metals market.

The Company also reported the receipt of authorisation for the commencement of mining at Araguaia. In Brazil, environmental licencing follows a three-stage process: i) preliminary licence (LP), which is issued following assessment and acceptability of the project proposal and impact assessment; ii) installation licence (LI) allowing construction and other preliminary development, such as pre-stripping; and iii) operational licence, allowing the use and operation of the constructed/developed infrastructure. With the issuance of the mining authorisation, Horizonte has commenced extraction and stockpiling of ore in preparation of commissioning.