Completion of Geotechnical Works

(AIM:SAV) Savannah Resources Plc announced the completion of geotechnical and hydrogeological investigation works at the Eastern Block of the Barroso Lithium Project in Portugal. The five-month programme included 276 investigation points and 189 test pits, generating hundreds of samples for geotechnical testing at certified laboratories. The investigation also involved 32 boreholes for the installation of piezometers to monitor groundwater levels and 30 geotechnical boreholes to assess foundation conditions and material suitability for earthworks. Approximately 30 external personnel and more than 40 Savannah employees participated in the programme, with several Portuguese companies providing services such as vegetation clearance, earthworks, occupational safety, geological and geotechnical drilling, and security. Over €500,000 was invested in direct services within the local economy during the programme. The Barroso Lithium Project is classified as a 'Strategic Project' under the European Critical Raw Materials Act and is Europe's largest spodumene lithium deposit. The project was approved for a Portuguese State development grant of up to €110m in January 2026. Once operational, the project is expected to produce enough lithium contained in approximately 183,000 tonnes per annum of spodumene concentrate to supply about 500,000 vehicle battery packs per year. This output will contribute significantly to the European Commission's Critical Raw Material Act goal of a minimum 10% of European endogenous lithium production from 2030. Savannah’s CEO, Emanuel Proença, stated that the completion of the programme is a further step in the project's development and highlighted the increasing visibility of local economic benefits. The technical team is prioritising the RECAPE submission, expected next week, and FEED activity with Sedgman, while also progressing financial and commercial relationships and focusing on team expansion ahead of construction. All workstreams are expected to progress significantly before the end of the year.

Project Update and ISO 14001 Certification

(AIM:SAV) Savannah Resources Plc has announced several key milestones for the Barroso Lithium Project in Portugal, including the award of ISO 14001 certification for its Environmental Management Systems following an independent audit by Bureau Veritas. The company has appointed Sedgman as the Front-End Engineering Design (FEED) contractor after a competitive selection process, citing Sedgman's technical capability and experience in lithium and critical minerals projects. Sedgman will lead the FEED programme over the next eight months, focusing on process design, procurement, and management of 13 long-lead equipment (LLE) packages critical to the project schedule and advancement towards Final Investment Decision (FID). Savannah will finance down payments and associated costs for these LLEs from its approximately US$53 million in cash and short-term treasury reserves. The company recently completed a US$40 million fundraise to support these next milestones. Savannah is targeting the recruitment of approximately 30 additional roles across various disciplines in the coming months, which will expand its team by about 75%, with further growth expected in 2027 and 2028. Key positions being recruited include Project Director, Project Manager (EPCM), Technical Integration Manager, Procurement Manager, Contracts Lead, and EPCM Planner, as well as roles in project controls, engineering, HSE, community engagement, IT, finance, and operational support. The Barroso Lithium Project is classified as a 'Strategic Project' under the European Critical Raw Materials Act and is Europe's largest spodumene lithium deposit. The project is expected to produce around 183,000 tonnes per annum of spodumene concentrate, sufficient for approximately half a million vehicle battery packs per year, contributing to the European Commission's goal of a minimum 10% of European endogenous lithium production from 2030. Savannah anticipates further significant news flow during the remainder of the year, including submission of the RECAPE, conditional offers of Project Finance, updates on a second offtake partnership, and additional key hires. The company is listed on the AIM Market of the London Stock Exchange under the ticker SAV.

Good progress made with fieldwork

(AIM: SAV) Savannah Resources Plc announced good progress on its final construction-related field programme at the Barroso Lithium Project in Portugal, which is classified as a 'Strategic Project' under the European Critical Raw Materials Act and is Europe's largest spodumene lithium deposit. All access and groundwork have been completed for over 200 geotechnical test pits, 32 geotechnical drill holes, and 17 hydrogeological boreholes. To date, 189 geotechnical pits have been excavated and logged, with 23 pits pending excavation and logging. Three geotechnical drill holes have been completed at the site of an environmental control reservoir, and one is currently in progress at a water storage reservoir, with approximately 83m drilled out of a planned 300m. Fourteen hydrogeological holes have been completed for a total of 696m out of a planned 800m, with separate 40m and 10m holes planned at each site. The drilling sites include environmental control reservoirs, water storage reservoirs, the Tailings Storage Facility, processing plant site, and waste rock dumps. Two rigs are currently operating on site: a diamond drilling rig for geotechnical investigation and a down hole hammer percussion drill rig for hydrogeological holes. A third rig will be mobilised shortly after the hydrogeological rig is demobilised. 128 pits have been selected for laboratory testing, with all results now received. Drill core sampling is ongoing, with first deliveries to a geotechnical dedicated lab in Madrid scheduled for later this week. Light weight deflectometer in situ testing on 11 pits will be completed this week, with a further 9 pits awaiting specific ground condition testing. The third rig is expected to arrive on site next week, after which geotechnical drilling will commence in the Tailings Storage Facility area. John Pereira, Savannah’s Exploration Manager, stated that the field programme will help confirm ground and groundwater conditions across the Project and that data will feed into detailed engineering work for infrastructure including roads, water storage facilities, and waste storage areas. The programme is expected to be completed in the coming weeks, ahead of the authorisation period granted by the Portuguese State, with remaining lab results expected in early Q4. Once this programme is finalised, all geotechnical and hydrogeological field drilling activity ahead of construction will be complete, and all field inputs for RECAPE, FID, and construction preparation will be finished. The next major field work, not related to construction, will be further geological prospection. The Barroso Lithium Project is expected to produce enough lithium contained in approximately 183,000 tonnes per annum of spodumene concentrate for about half a million vehicle battery packs per year. This will contribute significantly to the European Commission's Critical Raw Material Act goal of a minimum 10% of European endogenous lithium production from 2030. Savannah Resources Plc is listed on the AIM Market of the London Stock Exchange under the ticker 'SAV'.

Project & Stakeholder update

(AIM:SAV) Savannah Resources Plc announced the start of the final pre-construction drilling programme at the Barroso Lithium Project in Portugal, which is classified as a 'Strategic Project' under the European Critical Raw Materials Act and is Europe's largest spodumene lithium deposit. The company has signed a Memorandum of Understanding with Fábrica da Igreja da Freguesia de Boticas, marking the seventh partnership agreement with local entities this year. Recent milestones include the publication of the Definitive Feasibility Study for Phase 1 of the Barroso Lithium Project and the initial 20Mt JORC Reserve Statement, as well as land access and benefit sharing agreements with two local communities, granting access to a further 150 hectares. Two rigs are currently operating on site, with a third and fourth rig expected to arrive soon to accelerate the geotechnical programme, which is expected to take approximately 4 weeks to complete. Data from the drilling will inform the geotechnical study and final detailed engineering designs for key infrastructure. Technical and Environmental & Social due diligence processes for Project Finance are well advanced, with final reports expected to be available to shortlisted potential lenders. Detailed engineering of water reservoirs is also well advanced, and the Process plant Front-End Engineering Design (FEED) vendor has been selected, with FEED workstream expected to start later this week. Team expansion continues, with Jose Almeida joining as FEED engineer in August and ten additional roles expected to be filled by end of 2026. The MoU with Fábrica da Igreja da Freguesia de Boticas includes nominating a representative to the Project's Local Consultative and Monitoring Committee. Savannah sponsored the 16th Quadrennial Symposium of the International Association on the Genesis of Ore Deposits (IAGOD) in Porto from 30 August to 2 September 2026. The Barroso Lithium Project was approved for a Portuguese State development Grant of up to €110m in January 2026 and is expected to produce enough lithium (contained in approximately 183,000tpa of spodumene concentrate) for about half a million vehicle battery packs per year.

Savannah Resources — Additional community agreements and land access

(AIM: SAV) Savannah Resources Plc signed three benefit sharing agreements with local 'baldio' communal land communities in Barroso, securing further access to land required for the Barroso Lithium Project in Portugal. The agreements include a land access and benefit sharing agreement covering 150 hectares with the Baldio of the villages of Alijó, Canedo and Penalonga, an addendum to an agreement with the Baldio of Couto de Dornelas, and a Memorandum of Understanding with the Secretariat of the Baldios of Trás-os-Montes and Alto Douro for the management of approximately 100 hectares. Savannah has purchased 111 land plots from private owners and holds an additional 16 under promissory contracts. GBP2.4m of cash reserves is ring fenced for future compulsory land purchases. The Barroso Lithium Foundation will have a minimum annual budget of €500,000 from the first year of production. The Barroso Lithium Project is Europe's largest spodumene lithium deposit and was approved for a Portuguese State development Grant of up to €110m in January 2026.

Savannah Resources — Corporate & Financing workstreams Update

(AIM: SAV) Savannah Resources Plc announced progress on the financing and commercialisation of the Barroso Lithium Project in Portugal, including a Portuguese State grant of up to €110m awarded in January 2026. The company has received first non-binding offers for project finance debt and expects to receive post-due diligence conditional Project Finance offers from commercial banks in the coming months. Savannah is negotiating a second potential spodumene offtake partnership to complement its existing agreement with AMG Critical Materials N.V., and has signed non-binding Letters of Intent for by-product offtake indicating potential demand of up to approximately 865ktpa, with the Definitive Feasibility Study assuming sales of 600ktpa. The Phase 1 DFS returned a post-tax net present value of US$913m for the Project, and by-product sales are modelled at a weighted average sales price of US$27/t. The company is assessing a dual listing on a regulated market, with the listing expected to take place in 2027, to improve access for investors outside the UK and support future financing plans. Savannah continues discussions with KfW IPEX-Bank and Euler Hermes regarding a potential German Government loan guarantee and debt facility. The Project is expected to produce enough lithium for approximately half a million vehicle battery packs per year.

Barroso Li Project: Definitive Feasibility Study

(AIM: SAV) Savannah Resources Plc announced the key findings from the Phase 1 Definitive Feasibility Study (DFS) for the Barroso Lithium Project in Portugal, confirming a 14-year life of mine producing 2.56Mt of spodumene concentrate (183ktpa) and backed by a €110m Portuguese State grant awarded in January 2026. The DFS outlines an initial CAPEX of US$417 million (including pre-strip and contingencies), with net CAPEX after the grant at US$283 million, and projects LOM revenue of US$4,804 million, LOM EBITDA of US$3,226 million, and LOM post-tax free cash flow of US$1,941 million. The project achieves a post-tax NPV8 of US$913 million, a post-tax IRR of 43.2%, and a post-tax payback period of 1.9 years, with average LOM C1 operating cost of US$473/t and AISC of US$646/t. The project will generate approximately 500 long-term on-site jobs, hundreds of indirect jobs, and US$812 million in taxes and royalties, and includes a US$61 million investment in a 17km national road (Boticas town bypass). The company projects that the project is on track to become a major European producer of low cost, sustainably sourced spodumene concentrate for lithium batteries, with future expansion potential (Phase 2) and significant socio-economic benefits for the region. The DFS is based on a 20Mt Probable Reserve at 0.99% Li₂O and a JORC Resource of 39.2Mt at 1.05% Li₂O, with all orebodies remaining open to further expansion. The project design includes low impact features such as a 'Dry Stack' and lined Tailings Storage Facility, autonomous water sourcing and recycling, and connection to low carbon grid power.