5E Advanced Materials Announces $6.35 Million Private Placement

Funding to provide capital to stage-gate to the next stage of FEED engineering with an update to the technical report on track in the near term

5E plans to issue 1,789,779 shares of common stock at $3.55 per share

HESPERIA, CA / ACCESS Newswire / May 13, 2025 / 5E Advanced Materials, Inc. (Nasdaq:FEAM)(ASX:5EA) ("5E" or the "Company"), a boron and lithium company with U.S. government Critical Infrastructure designation for its 5E Boron Americas Complex, today announced it has entered into a securities purchase agreement to issue and sell 1,789,779 shares of common stock at a price of $3.55 per share in a private placement. The transaction is expected to close on May 15, 2025, subject to satisfaction of customary closing conditions. The Company remains on track to issue an update to its technical report summary in the near term and expects the funding from this equity issuance to provide the capital to stage-gate to the next phase of commercial engineering design, after the publishing of the Company's anticipated technical report update.

Paul Weibel, Chief Executive Officer of 5E Advanced Materials, stated, "We are pleased to secure additional funding that provides 5E with the ability to progress towards commercialization of our large-scale boron facility. This capital will allow 5E to play our role in strengthening domestic supply chains to ensure that the United States no longer has a single point of failure in the strategically important boron supply chain. Recent executive orders have stressed the importance of mining in the United States, and 5E boasts a multi-generational resource that is progressing towards shovel-ready status and is targeting to reach commercial scale during the current administration's term. We believe 5E's project and commercialization can catalyze skilled job creation in America while bolstering US exports and the national industrial base, and this funding drives us towards our business goals."

Additional details regarding the private placement will be included in filings with the Securities and Exchange Commission ("SEC").

The securities to be issued in the private placement have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or securities laws of any state or other jurisdiction, and may not be resold absent registration under, or exemption from registration under, the Securities Act of 1933. 5E has agreed to file a registration statement with the SEC following the closing of the private placement to register the resale of the shares of common stock to be sold in the transaction.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities of 5E, nor shall there be any sale of such securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.

About 5E Advanced Materials, Inc.

5E Advanced Materials, Inc. (NASDAQ: FEAM)(ASX:5EA) is focused on becoming a vertically integrated global leader and supplier of boron specialty and advanced materials, complemented by lithium co-product production. The Company's mission is to become a supplier of these critical materials to industries addressing global decarbonization, food and domestic security. Boron and lithium products will target applications in the fields of electric transportation, clean energy infrastructure, such as solar and wind power, fertilizers, and domestic security. The business strategy and objectives are to develop capabilities ranging from upstream extraction and product sales of boric acid, lithium carbonate and potentially other co-products, to downstream boron advanced material processing and development. The business is based on our large domestic boron and lithium resource, which is located in Southern California and designated as Critical Infrastructure by the Department of Homeland Security's Cybersecurity and Infrastructure Security Agency.

Forward Looking Statements

This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. All statements other than statements of historical fact included in this press release regarding the Company's business strategy, plans, goals, and objectives, including regarding the expected closing date of the private placement transaction and the anticipated benefits of the private placement transaction, are forward-looking statements. When used in this press release, the words "believe," "project," "expect," "forecast," "anticipate," "estimate," "intend," "seek," "budget," "target," "aim," "strategy," "plan," "guidance," "outlook," "intent," "may," "should," "could," "will," "would," "will be," "will continue," "will likely result," and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on the Company's current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. We caution you that these forward-looking statements are subject to all of the risks and uncertainties, most of which are difficult to predict and many of which are beyond our control, incident to the extraction of the critical materials we intend to produce and advanced materials production and development. These risks include, but are not limited to: our limited operating history in the borates and lithium industries and no revenue from our proposed extraction operations at our properties; our need for substantial additional financing to continue as a going concern and to execute our business plan and our ability to access capital and the financial markets; our status as an exploration stage company dependent on a single project with no known Regulation S-K 1300 mineral reserves and the inherent uncertainty in estimates of mineral resources; our lack of history in mineral production and the significant risks associated with achieving our business strategies, including our downstream processing ambitions; our incurrence of significant net operating losses to date and plans to incur continued losses for the foreseeable future; risks and uncertainties relating to the development of the Fort Cady project, including our ability to timely and successfully complete our proposed Commercial Scale Boron Facility, and related matters on a timely manner or at all; our ability to obtain, maintain and renew required governmental permits for our development activities, including satisfying all mandated conditions to any such permits; the implementation of and expected benefits from certain reduced spending measures; and other risks and uncertainties set forth in our filings with the U.S. Securities and Exchange Commission from time to time. Should one or more of these risks or uncertainties occur, or should underlying assumptions prove incorrect, our actual results and plans could differ materially from those expressed in any forward-looking statements. These risks are not exhaustive and the information in this press release may be subject to additional risks. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets, and opinions contained herein, and no liability whatsoever is accepted as to any errors, omissions, or misstatements contained herein. You are cautioned not to place undue reliance on any forward-looking statements, which speak only as to the date of this press release.

For additional information regarding these various factors, you should carefully review the risk factors and other disclosures in the Company's Form 10-K filed on September 9, 2024 and subsequent filings with the U.S. Securities and Exchange Commission, as well as in its filings under the Australian Securities Exchange. Any forward-looking statements are given only as of the date hereof. Except as required by law, 5E expressly disclaims any obligation to update or revise any such forward-looking statements. Additionally, 5E undertakes no obligation to comment on third party analyses or statements regarding 5E's actual or expected financial or operating results or its securities.

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SOURCE: 5E Advanced Materials, Inc.