Mineral Resources Ltd Ashburton Hub - Royalty

As part of the consideration under the sale agreement with Mineral Resources Limited, Red Hill Minerals holds a 0.75% FOB royalty on MRL's entitlement to future iron ore production from ⁽¹⁾;

1. the RHIOJV tenements;
2. the Mineral Resources Limited owned Bungaroo South tenement (M47/1464); and
3. the Australian Premium Iron Joint Venture (APIJV) owned Upper Red Hill Creek tenement (M47/1504) for a period of 10 years from the date that the first commercial shipment of product from any of the RHIOJV tenements, contingent upon MRL acquiring an interest in future iron ore production from that tenement.

The RHIOJV tenements contain Mineral Resources of 820 Mt grading 56.44% iron ore (JORC Code 2012 Edition)⁽²⁾

Payment of the 0.75% royalty will commence from the first commercial shipment of iron ore from any of the RHIOJV tenements. Mineral Resources Ltd is targeting first production of iron ore for December 2023⁽³⁾.