The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR"), which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

30 October 2025

Ironveld PLC

("Ironveld" or the "Company")

Ironveld and Daemaneng Minerals Sign Binding Term Sheet to Accelerate Major Production Expansion at Joint Venture DMS Plant

Output expected to reach 15,000 tonnes per month by April 2026, while eliminating all capital and operating exposure for Ironveld and Joint Venture Partners.

Ironveld PLC (AIM: IRON) is pleased to announce that its subsidiary, Altona Processing (Pty) Ltd ("Altona"), has entered into a binding term sheet with Daemaneng Minerals (Pty) Ltd ("Daemaneng"), appointing Daemaneng as the exclusive manager of operations at Ironveld's joint-venture DMS-grade magnetite processing facility in Limpopo, South Africa (the "Plant").

This agreement has been entered into under the joint-venture framework with Sable Platinum Holdings (Pty) Ltd ("Sable"), marking a further step in the shared strategy to deliver a self-funded, high-throughput beneficiation operation.

The binding term sheet follows the recently signed Mining Operations Agreement between Ironveld's subsidiary Lapon Mining (Pty) Ltd ("Lapon Mining") and Daemaneng (see press release dated 7 October 2025), together representing a major strategic milestone in establishing a fully integrated, performance-driven, and capital-light production model across Ironveld's mining and processing operations.

Key Highlights

Altona Processing

Altona Processing (Pty) Ltd, a wholly owned subsidiary of Ironveld Holdings (Pty) Ltd will continue in its capacity as the operator of the Plant, while Daemaneng has been appointed as the sub-contracted manager, overseeing operations, logistics, and sales activities.

Exclusive Plant Management and Funding

Daemaneng will assume full responsibility for all Plant operations, optimisation, and expansion, funding all associated capital and operational expenditure at its own cost and risk.

Production Ramp-Up to 15,000 Tonnes per Month

The Plant will be optimised to reach a sustained production rate of approximately 6,000 tonnes per month within three months, expanding to 15,000 tonnes per month by April 2026, subject to market demand.

Performance-Linked Commercial Model

Daemaneng will act as the exclusive marketing and sales agent for all DMS-grade magnetite produced. Revenues will be distributed according to a transparent profit-sharing waterfall between Altona, Sable and Daemaneng, with a guaranteed base revenue per tonne for Altona and Sable in equal parts.

No Capex or Opex for Ironveld, Sable or the Joint-Venture

All operating and capital costs are borne entirely by Daemaneng, allowing both Ironveld and Sable to benefit directly from production upside while fully de-risking the joint-venture and their respective balance sheets.

Alignment of Interests and Operational Transparency

The arrangement operates on an open-book basis, ensuring full visibility of Plant performance and financial results, with Daemaneng's upside entirely linked to efficiency, optimisation, and market performance.

·      Key Obligations of Daemaneng include:

o  Fund all capital and operational expenditures (Capex and Opex).

o  Optimise and expand Plant production to a minimum of 15,000 tonnes per month.

o  Act as the exclusive marketing and sales agent for all DMS-grade magnetite produced.

o  Assume full responsibility for ore supply, quality, and logistics.

·      Commercial Model: The revenue distribution for each tonne of DMS-grade magnetite sold is as follows:

o  The base revenue per tonne is allocated for the benefit of Altona and Sable in a 50:50 ratio.

o  Daemaneng receives a commission of 6% of the Actual Sales Price.

o  Any remaining Additional Profit (Actual Sales Price minus Base Revenue and Commission) is shared equally in three parts between Altona, Sable, and Daemaneng.

This arrangement is designed to ensure the Plant's rapid expansion and operational efficiency while securing a stable and attractive revenue stream for the joint venture.

Prepayment Commitment:

Daemaneng will provide an initial prepayment of ZAR 1.6 million, split equally between Altona and Sable, further demonstrating commitment to near-term cash-flow support.

Mobilisation and Operational Start Up

Daemaneng is set to deploy its fleet and operational equipment to the DMS Plant and mine site by the end of next week. On-site teams will commence mobilisation and early commissioning immediately thereafter, leading to the full handover of management of operations by mid-November 2025.

Kris Andersson, Chief Executive Officer of Ironveld PLC, commented:

"This binding term sheet marks another significant milestone in Ironveld's ongoing transformation into a lean, agile, and revenue-generating business. It represents the next major step in establishing a fully integrated and self-sustaining operating model across our mining and processing activities. By once again partnering with Daemaneng Minerals, now also at the DMS Plant level, we are achieving true vertical integration from mine to magnetite concentrate, creating a capital-light structure that fully de-risks Ironveld's financial exposure while maintaining direct participation in future operational upside.

"This partnership is built on alignment and accountability. It brings together complementary expertise and shared ambition to unlock the full operational potential of our assets and deliver tangible production growth to 15,000 tonnes per month.

"The dedication and sustained effort of our team over recent months has delivered the tangible progress we have all been working toward. At the end of the day, success is always a team effort, and this achievement reflects the collective hard work, determination, and commitment of everyone involved.

"I want to congratulate the entire team on the significant progress made in developing and advancing the DMS Plant, which has directly enabled the conclusion of this highly attractive technical and commercial agreement

"We look forward to updating the market more frequently as the results of these agreements begin to bear fruit and the real potential of our operations unfolds."

Glenn Norton, Chief Executive Officer of Daemaneng Minerals (Pty) Ltd, added:

"We are very pleased to strengthen our partnership with Ironveld through this binding term sheet, which formalises Daemaneng's role as the exclusive manager of operations at the JV DMS Plant. Our immediate focus will be on optimisation, operational excellence, and achieving a rapid production ramp-up leading to sustained growth.

"Daemaneng is fully committed to funding, managing, and optimising the Plant's operations to realise its full commercial potential and ensure production reaches and maintains 15,000 tonnes per month on a consistent basis.

"I would like to extend my sincere appreciation to Kris Andersson, CEO of Ironveld PLC, and Ulrich Bester, CEO of Sable Platinum Holdings, for their trust and confidence in Daemaneng.

"We have already established a strong and collaborative working relationship with Ironveld, which we view as long-term and founded on trust, mutual respect, and shared values. We also see significant potential for future collaboration and additional commercial opportunities with Ironveld across diversified areas, as our organisations continue to align operationally and strategically."

Outlook

The execution of this binding term sheet builds directly on the Mining Operations Agreement signed earlier in October 2025, collectively forming a unified framework across Ironveld's upstream and downstream operations.

With mining, logistics, marketing and processing now under Daemaneng's operational leadership, the Company anticipates an accelerated ramp-up of production and cash-flow generation across the value chain.

Daemaneng's optimisation programme includes enhancements to crushing efficiency, water recovery systems, and throughput reliability.

Full-scale production of 15,000 tonnes per month is targeted for March / April 2026 according to Daemaneng's projections. 

Timeline and Implementation

Daemaneng has confirmed that it will mobilise its fleet and operational equipment to the DMS Plant and to the mine site by the end of next week, with personnel deployment and initial commissioning activities commencing immediately thereafter. The parties expect the handover of on-site management and operational control to be completed by mid-November 2025.

Production ramp-up targets, as agreed under the Binding Term Sheet, are as follows:

Further announcements will be made as key milestones are achieved, and production volumes progressively increase through Q4 2025 and into 2026.

For further information, please contact: