5E Advanced Materials, Inc.

5E Advanced Materials, Inc.

Overview

5E Advanced Materials is a development-stage company building a vertically integrated supply of refined borates and advanced boron-based materials. Planned products and capabilities include refined borates (boric acid and related products), calcium-based co-products (calcium chloride and gypsum), potential byproducts such as lithium carbonate, and downstream advanced boron materials (for example, meta boric acid and ferroboron) developed through internal R&D, partnerships, or IP acquisitions.

Primary project — Fort Cady (California)

• Operated through wholly owned subsidiary 5E Boron Americas, LLC.
• Project rights held 100% via ownership and lode claims filed with the U.S. Bureau of Land Management.
• Goal: develop a large-scale boron and lithium complex from a conventional colemanite deposit (hydrated calcium borate in evaporite deposits).

Small-Scale Facility and development progress

• A small-scale facility (SSF) at Fort Cady began operation in April 2024 to support design, engineering, product development, and customer qualification.
• The SSF produced its first batch of boric acid and shipped product, including an initial international shipment to Taiwan in August 2025.
• Fiscal year 2026 activities included producing a stable meta boric acid product (~80% B2O3), filing a provisional patent, and initiating ferroboron development with lab-scale evaluation. Independent tests in 2026 confirmed formation of iron boride (Fe2B) at high temperatures, with ongoing process optimization.
• Approximately 14 customers across eight market segments have qualified the company’s boric acid.

Commercialization and offtake

• May 2026: non-binding offtake heads of agreement with a domestic industrial customer for boric acid (10-year term).
• Post-year-end: non-binding indication of interest with a domestic industrial end-user for boric acid and gypsum (five-year term).
• Post-year-end: two non-binding offtake heads of agreement with chemical distributors for boric acid (initial five-year terms with renewal provisions for up to five additional years each).
• Long-term strategy includes signing definitive offtake agreements and developing commercial partnerships to embed 5E in customer supply chains.

Project economics and development plan (Phase 1 focus)

• Multi-phase development plan:
  • Phase 1: commercial-scale boric acid plant at 130,000 short tons per annum (st/yr).
  • Optional Phases 2 and 3 could expand capacity to 450,000 st/yr.
• Preliminary Feasibility Study (PFS) filed Sept 17, 2026 (Exhibit 96.1):
  • Estimated capital for Phase 1: approximately $435 million (includes about $55 million contingency and $13 million of owner’s costs).
  • Conversion: about 17.5% of total resource converted into roughly 5.1 million short tons (MSTs) of boric acid reserves.
  • Life of mine: ~37.5 years.
  • Proven + Probable boric acid reserves for Phase 1: 5.1 MSTs with an average grade of 7.89% B2O3.
• Schedule and financing:
  • FEL-3 engineering targeted to finalize the final feasibility and Phase 1 decision in calendar year 2027.
  • Initial commercial production targeted for calendar year 2030, subject to FEED completion by January 2027 and financing by January 2028.

Lithium byproduct exploration

• May 2026: Preliminary Economic Assessment (PEA) evaluating potential recovery of lithium as lithium carbonate as a byproduct.
• The PEA is preliminary; the lithium resource has not been converted to mineral reserves. Evaluation is ongoing as part of the broader development strategy.

Corporate history and recent developments

• The company reorganized from Australian origins and is listed on Nasdaq under the ticker FEAM; it was previously listed on the ASX as 5EA (delisted in May 2026).
• September 14, 2026: 5E SVM, LLC (a subsidiary) entered into an Asset Purchase Agreement to acquire SVM assets (including Searles Valley Minerals Inc., Trona Railway Co., real property, brine resources of about 9,000 acres, and related assets) in connection with SVM’s Chapter 11 proceedings.
• Closing is expected in early October 2026, subject to customary conditions and potential appeals. The acquisition contemplates assumption of specified liabilities; the timeline and potential objections or stays could affect closing.

Strategic position and sustainability

• Access to a large conventional colemanite deposit with complementary lithium potential.
• Fort Cady has a DHS CISA Critical Infrastructure designation, and boron is listed on the U.S. Department of the Interior’s 2025 Critical Minerals List.
• Geographic position supports supply to U.S. markets and aims to reduce reliance on foreign boron and lithium sources.
• Emphasis on sustainability, closed-loop water recycling, and in-situ extraction methods with lower above-ground disturbance.
• Long-term vision includes developing downstream advanced boron materials and integrating into U.S. supply chains across decarbonization, energy, and defense sectors.

Financial and risk profile

• Risk disclosures indicate the company has incurred significant losses and expects to incur continued losses in the foreseeable future.

Other operational notes

• The SSF is intended to inform design, engineering, and cost optimization for a future commercial-scale complex and to provide product for customer qualification and offtake efforts.

Bottom line

• What they do: develop and commercialize borates (boric acid and related products), calcium-based co-products (calcium chloride and gypsum), and potentially lithium carbonate and advanced boron materials.
• Key project: Fort Cady in Southern California, supported by an SSF and a planned Phase 1 commercial facility at 130,000 st/yr boric acid with multi-phase expansion potential.
• Market/customers: about 14 customers across eight market segments have qualified the company’s boric acid; several non-binding offtake arrangements are in place.
• Economics: PFS estimates Phase 1 capital at roughly $435 million, 5.1 MSTs of boric acid reserves, and a ~37.5-year life of mine; initial production is targeted for 2030, subject to project milestones and financing.
• Recent actions: pursuing acquisition of SVM assets through bankruptcy proceedings, with a closing anticipated in October 2026.