Southern Palladium Ltd

Southern Palladium (ASX:SPD, JSE:SDL) is advancing project development at its 70% owned Bengwenyama Platinum Group Metals (PGM) asset with its partner the Bengwenyama Community (30% owner) - one of the last genuine world-class Tier-1 low-cost, high grade, close to surface PGM opportunities in South Africa's Bushveld Complex (home to 70% of global PGM production), and one of the only pure-play PGM opportunities on the ASX. The project already includes a Reserve of over 6.3Moz (Jorc12) which is part of an overall resource of 40Moz. The Company delivered an optimised PFS (OPFS) with a project NPV of US$857m (A$1.3bn) and 26% IRR through a phased development approach which lowers up-front total peak funding requirements by 38% to US$279m. The post tax NPV number and IRR are based on the OPFS price deck which was ~23% lower than current spot PGM prices. SPD has just raised A$20mwith great support of cornerstone shareholders and new institutional shareholders and is fully-funded to complete the Definitive Feasibility Study (DFS) in Q1 2026 and is planning early decline development ahead of a planned Final Investment Decision in Q3 2026. Short term value drivers include the imminent award of the Mining Right, further DFS metallurgical and geotech drilling and early decline development. The DFS is already well advanced. Project delivery at Bengwenyama is being led by SPD Executive Chairman Roger Baxter - former CEO of the Minerals Council of South Africa from 2015-2023 and a recent inductee into the South African Mining Hall of Fame, alongside very experienced Managing Director Johan Odendaal and a board that has over 180 years of mining and commercial experience.