Critical Metals Forms Joint Venture with Al-Qahtani Company

Critical Metals executed a non-binding term sheet for the formation of a 50% / 50% joint venture between CRML and Tariq Abdel Hadi Abdullah Al-Qahtani & Brothers Company. The term sheet outlines the framework for the development, financing, construction, and operation of a rare earth processing facility in the Kingdom of Saudi Arabia, creating a fully integrated mine-to-processing supply chain. The transaction includes long-term offtake rights for 25% of the Tanbreez Project's rare earth concentrate production to Saudi Arabia, supporting secure supply for advanced manufacturing, energy transition, and defense-related industries across allied markets. Highlights: Execution of a term sheet covering offtake, project financing, development, and the formation of a 50/50 joint venture to construct and operate a rare earth processing facility in Saudi Arabia, directly expanding non-Chinese global processing capacity. The partnership will send all finished materials to the United States of America for use in the defense industrial complex of the USA. CRML will not issue equity or incur debt in connection with the JV and will retain its 50% ownership interest on a carried-interest basis, with no capital expenditure obligations related to construction of the processing facility. The JV framework provides for 25% of the Tanbreez Project's rare earth concentrate production to be supplied to Saudi Arabia for the life of mine, under long-term, market-based commercial terms. The processing facility is expected to produce separated rare earth oxides, metals, and downstream products, including magnet-grade materials suitable for aerospace, defense, and high-performance industrial applications. The partnership establishes a resilient and long-term partnership, geopolitically diversified supply chain linking Western-aligned upstream resources with Middle Eastern downstream processing capacity. With the addition of this 25% long-term offtake commitment to Saudi Arabia, and together with previously announced agreements, 100% of the Tanbreez Project's rare earth concentrate production is now allocated under long-term offtake arrangements, providing full revenue visibility and securing supply to strategic, allied markets for the life of mine. Under the terms of the agreement, CRML and TQB will work collaboratively over the coming months to finalize the technical, commercial, and regulatory foundations of the JV, including plant design, development timelines, product specifications, and commercialization strategy. Upon commencement of mining operations at the Tanbreez Project, CRML expects to supply 25% of produced rare earth concentrates to the Saudi-based JV for the full life of mine. A jointly governed development committee will oversee engineering, construction, commissioning, and market entry for processed rare earth products.