Announcement PDF Annual Financial Report for the twelve months ended 30 June 2025 ASX: FRB firebirdmetals.com.au Firebird Metals Limited ABN 24 610 035 535 Annual Report - 30 June 2025 Corporate Directory Directors Evan Cranston - Non-executive Chairperson Peter Allen - Managing Director Ashley Pattison - Non-executive Director Wei Li - Finance Director Brett Grosvenor - Non-executive Director Company secretary Oonagh Malone Registered office Unit 38, 460 Stirling Highway Peppermint Grove WA 6011 Share registry Automic Registry Pty Ltd Level 5, 191 St Georges Terrace Perth WA 6000 Auditor Grant Thornton Audit Pty Ltd Level 43, 152-158 St Georges Terrace Perth WA 6000 Solicitors Steinepreis Paganin Lawyers & Consultants Level 4, The Read Building 16 Milligan Street Perth WA 6000 Bankers National Australia Bank Level 4 (UB4440), 800 Bourke Street Docklands VIC 3008 Australia Stock exchange listing Firebird Metals Limited securities are listed on the Australian Securities Exchange (ASX code: FRB) Corporate Governance Statement is available on the Company's website at www.firebirdmetals.com.au/corporate-governance/ Website www.firebirdmetals.com.au 2 Annual Report - 30 June 2025 Table of Contents Directors' report Auditor's independence declaration Consolidated statement of profit or loss and other comprehensive income Consolidated statement of financial position Consolidated statement of changes in equity Consolidated statement of cash flows Notes to the consolidated financial statements Consolidated entity disclosure statement Directors' declaration Independent auditor's report to the members of Firebird Metals Limited Shareholder information Mineral resource statement Installation of pilot scale calcining unit at Hunan Firebird Battery Technologies’ Plant 3 4 22 23 24 25 26 27 46 47 48 51 54 Annual Report - 30 June 2025 Directors' report The Directors of Firebird Metals Limited (“Firebird” or “the Company”) present the Consolidated Financial Statements of the Company and its controlled entities (“Group” or “Consolidated Entity”) for the financial year ended 30 June 2025. Directors The names and details of the Company's Directors in office during the financial year and until the date of this report are set out below. Directors were in office for this entire period unless otherwise stated. Evan Cranston – Non-Executive Chairperson Peter Allen – Managing Director Wei Li – Finance Director Brett Grosvenor – Non-Executive Director Ashley Pattison – Non-Executive Director Company Secretary Oonagh Malone Principal activities During the financial year, the principal activities of the Consolidated Entity consisted of: • Exploration and development of its assets in the East Pilbara Manganese Province; and • Development of High Purity Manganese Sulphate (MnSO4) project in Hunan China. Dividends There were no dividends paid or declared during the current financial year. Review of operations LMFP Battery Strategy Overview Firebird Metals is an integrated manganese technology company for the electric vehicle and stationery energy storage markets. The Company’s state-of-the-art, in-house R&D facility demonstrates full ore to cathode capability from manganese ore, through high‑purity manganese sulphate (MnSO4) and manganese tetroxide (Mn3O4), to LMFP (lithium‑manganese‑iron‑phosphate) cathode active material (CAM). Firebird pairs downstream processing expertise with proprietary technologies, most notably an energy‑efficient electric calciner, to target lower cost, lower energy intensity and multiple revenue streams (equipment sales, licensing, and materials sales). The Company has built a proven technical team, recognised as leaders in high-purity manganese development and production. Firebird is advancing an LMFP pathway to near-term production of high-purity manganese sulphate and a manganese rich precursor and cathodes. This execution focus is underpinned by a substantial Western Australia resource base of 234 Mt of manganese across the Oakover Manganese Project (176.7 Mt at 9.9% Mn, including Indicated 105.8 Mt at 10.1% Mn1) and Hill 616 Manganese Project (57.5 Mt at 12.2% Mn2). While the Company can source ore from thirdparty suppliers and stockpiles, these resources preserve valuable mining optionality within its broader portfolio. This near-term execution is aligned with Firebird’s long-term strategy to become a low-cost, vertically integrated producer of manganese-based cathode materials, leveraging its world-class team, proprietary processes and technology, and substantial Western Australian resource base. Operational Highlights • Pilot electric calciner installed (September 2024): Following the June 2024 development agreement between HFBT (a Firebird subsidiary) and Zhongji Sunward Technology Co., Ltd., the pilot unit was installed and test work commenced in China. Initial trials in October 2024 focused on using third-party high-grade ore (>40% Mn) which typically require more than 300 kWh per tonne of feed, FRB’s pilot kiln operates at only 80-100 kWh per tonne — delivering an impressive 70% energy savings. Further trials during May 2025 focused on Taza Metal Technologies own 18–20% Mn ore and indicated ~230 kWh/t total energy use (including drying and pre-heat) versus >400 kWh/t for conventional gas-fired rotary kilns. The Company believes through commercial scale engineering a further ~25% reduction is achievable at commercial scale. Following these results, Firebird 4 Annual Report - 30 June 2025 Directors' report received a non-binding Expression of Interest from Taza Metal Technologies for the purchase of up to five energy-efficient calciners, subject to successful test work and commercial terms. Image: Firebird’s trial kiln • CSU collaboration (October 2024): Firebird entered a binding strategic collaboration entered with Central South University (CSU) to develop LMFP cathode materials using a co‑synthesis approach that bypasses MnSO₄ crystallisation. • R&D centre progress and sampling (FY25): In addition to prior-period commissioning, Firebird produced qualification samples of high-purity manganese sulphate and manganese tetra oxide for potential customers and offtake parties. Additional LMFP equipment now enables laboratory-scale production from ore to cathode in-house (nominal capacity up to ~10 kg/day). Button manufacturing and testing will remain at third party independent laboratory. 5 Annual Report - 30 June 2025 Directors' report Image: Firebird’s R&D centre • First LMFP button batteries (March 2025): As part of a 100‑batch test program with CSU, Firebird produced its first button batteries. The co-synthesis process is expected to deliver ~32% savings in projected MnSO₄ operating costs by eliminating crystallisation and packaging steps. Image: Firebird’s LMFP button Battery 6 Annual Report - 30 June 2025 Directors' report • Oakover mining lease (April 2025): Mining Lease 52/1086 was granted for 100% owned Oakover Manganese Project, located 85km east of Newman. The lease is conditional on approval from the Department of Energy, Mines, Industry Regulation and Safety (DEMIRS) for a mining proposal. Environmental and development studies progressed in line with plan. • Ken Hoffman appointed as Special Advisor to the Board (June 2025): Mr Hoffman is a globally recognised expert in battery materials, with over 30 years of experience across investment management, energy, and the metals and mining sectors. He previously served as Global Head of Battery Materials at McKinsey & Company, where he led strategic planning, supply chain integration, and capital-raising initiatives for clients across the global battery value chain. Ken has conducted over 100 due diligence assessments on battery technologies and critical mineral assets and has developed AI-based evaluation frameworks for leading industry stakeholders. Intellectual Property (after 30 June 2025) After the year end Firebird was granted two LMFP invention patents in China, strengthening the vertically integrated LMFP IP portfolio. A further four patents are progressing through review, and international filings are underway. Resources and Mining Optionality The ongoing development of the Oakover Project, located in Western Australia, remained a critical pillar of Firebird’s manganese battery materials strategy throughout the year. Since listing in 2021, Firebird has delivered significant and rapid progress at Oakover, with key development and environment studies progressing as planned. Firebird holds a substantial Western Australian manganese resource base of 234 Mt, comprising: • Oakover (176.7 Mt at 9.9% Mn, including Indicated 105.8 Mt at 10.1% Mn1); and • Hill 616 (57.5 Mt at 12.2% Mn2). While Firebird can source ore from third parties and stockpiles, these resources preserve valuable future mining optionality within the broader portfolio and provide potential long‑term feedstock for downstream operations. Image: Oakover Manganese Project 7 Annual Report - 30 June 2025 Directors' report Commercialisation Pathways • Equipment and licensing: Royalty-bearing deployment of Firebird’s electric calciner via the Sunward partnership, alongside potential direct equipment sales. • Materials: Progression toward near-term production of high-purity MnSO4, Mn3O4, manganese-rich precursor and LMFP CAM, supported by the R&D centre and CSU collaboration. Sustainability and Safety The electric, counter-current calciner design enables >50% lower specific energy use versus conventional gas-fired kilns, removes major auxiliary equipment, reduces footprint and complexity, and lowers operating and maintenance costs. When powered by renewable electricity, the process has the potential to materially reduce operational emissions. 1, 2 Refer to ASX announcement 7/5/24, Feasibility Study Confirms Potential for Low-Cost, High-Purity Manganese Production. Financial results and financial position The loss for the consolidated entity after providing for income tax amounted to $2,273,176 (30 June 2024: $4,655,088). The net assets of the consolidated entity decreased by $2,070,761 to $10,567,594 (30 June 2024: $12,638,355). The consolidated entity’s working capital, being current assets less current liabilities was $1,411,561 at 30 June 2025 (2024: $5,176,725). During the year the consolidated entity had a negative cash flow from operating activities of $1,919,886 and $1,691,903 from investing activities (2024: $2,125,960 from operating activities and $1,746,741 from capitalised exploration and evaluation activities). During the financial year, operating expenses decreased following a reduction in activity. Administrative and corporate expenses were $1,814,235 (2024: $2,245,592). Significant changes in the state of Affairs On 18 June 2025, the Company entered into a consulting agreement with Mr Ken Hoffman, a leading global battery materials expert and former Global Head of Battery Materials at McKinsey & Company, appointing him as Special Advisor to the Board. His appointment is expected to support the Company’s strategy to expand its activities into Western markets and to develop fully integrated processing solutions for manganese-rich cathode materials. As part of the agreement, Mr Hoffman will be granted performance rights. There have been no changes in the state of affairs of the consolidated entity other than those outlined in the Review of Operations. Matters subsequent to the end of the financial year On 30 July 2025, the Company entered into an agreement with Taza Metals Technologies to co-fund the development of Firebird’s lithium-manganese-rich (LMR) cathode laboratory program and expand this funding to include nickel cobalt manganese (NCM) cathode development. Under the agreement, Taza will fund 50% of the US$1.3 million budget through staged instalments. Firebird retains global rights to LMR, while Taza holds exclusive rights in Kazakhstan. The program is expected to run for 18 months. On 29 September 2025, the Group announced via the ASX its intention to raise $6.0 million (before costs) through a two-tranche placement offer. • • Tranche 1: Approximately $3.2 million to be raised under the Company’s existing placement capacity, in accordance with ASX Listing Rule 7.1. Tranche 2: Approximately $2.8 million, subject to shareholder approval at the Annual General Meeting (“AGM”) scheduled for November 2025. The Placement will be conducted at an Offer Price of $0.150 per share, with up to 40 million New Shares expected to be issued under the Placement. Likely developments and expected results of operations The likely developments in the consolidated entity’s operations in future years and the expected result from those operations are dependent on exploration success in the various exploration areas in which the consolidated entity currently holds an interest. The ability of the consolidated entity to fund the ongoing operations also remains a key dependency. 8 Annual Report - 30 June 2025 Directors' report Operating and financial risk The consolidated entity’s activities have inherent risk and the Board is unable to provide certainly of the expected results of activities, or that any or all of the likely activities will be achieved. The material business risks faced by the Consolidated entity that could influence the consolidated entity’s future prospects, and the consolidated entity manages these risks, are detailed below: Operational risks The consolidated entity may be affected by various operational factors. In the event that any of these potential risks eventuate, the consolidated entity’s operational and financial performance may be adversely affected. No assurances can be given that the consolidated entity will achieve commercial viability through the successful exploration and/or mining of its tenement interests. Until the consolidated entity is able to realise value from its projects, it is likely to incur ongoing operating losses. The operations of the consolidated entity may be affected by various factors, including failure to locate or identify mineral deposits, failure to achieve predicted grades in exploration and mining, operational and technical difficulties encountered in mining, insufficient or unreliable infrastructure such as power, water and transport, difficulties in commissioning and operating plant and equipment, unanticipated metallurgical problems which may affect extraction costs, adverse weather conditions, industrial and environmental accidents, industrial disputes and unexpected shortages or increases in the costs of consumables, spare parts, plant and equipment. The consolidated entity’s Mineral Resource estimates are made in accordance with the 2012 edition of the JORC Code. Mineral resources are estimates only. An estimate is an expression of judgement based on knowledge, experience and industry practice. Estimates which were valid when originally calculated may alter significantly when new information or techniques become available. In addition, by their very nature, resource estimates are imprecise and depend to some extent on interpretations, which may prove to be inaccurate. The tenements are at various stages of exploration, and potential investors should understand that mineral exploration and development are speculative and high-risk undertakings that may be impeded by circumstances and factors beyond the control of the consolidated entity. There can be no assurance that exploration of the Tenements, or any other exploration properties that may be acquired in the future, will result in the discovery of an economic mineral resource. Even if an apparently viable deposit is identified, there is no guarantee that it can be economically exploited. There is no assurance that exploration or project studies by the consolidated entity will result in the definition of an economically viable mineral deposit or that the exploration tonnage estimates, and conceptual project developments discussed in this Prospectus are able to be achieved. In the event the consolidated entity successfully delineates economic deposits on any Tenement, it will need to apply for a mining lease to undertake development and mining on the relevant Tenement. There is no guarantee that the consolidated entity will be granted a mining lease if one is applied for and if a mining lease is granted, it will also be subject to conditions which must be met. Further capital requirements The consolidated entity’s projects may require additional funding in order to progress activities. There can be no assurance that additional capital or other types of financing will be available if needed to further exploration or possible development activities and operations or that, if available, the terms of such financing will be favourable to the consolidated entity. Native title and Aboriginal Heritage There are areas of the consolidated entity’s projects over which legitimate common law and/or statutory Native Title rights of Aboriginal Australians exist. Where Native Title rights do exist, the consolidated entity must obtain the consent of the relevant landowner to progress the exploration, development and mining phases of operations. Where there is an Aboriginal Site for the purposes of the Aboriginal Heritage legislation, the consolidated entity must obtain consents in accordance with the legislation. The consolidated entity’s activities are subject to Government regulations and approvals The consolidated entity is subject to certain Government regulations and approvals. Any material adverse change in government policies or legislation in Western Australia and Australia that affect mining, processing, development and mineral exploration activities, export activities, income tax laws, royalty regulations, government subsidiaries and environmental issues may affect the viability and profitability of any planned exploration or possible development of the consolidated entity’s portfolio of projects. 9 Annual Report - 30 June 2025 Directors' report Global conditions General economic conditions, movements in interest and inflation rates and currency exchange rates may have an adverse effect on the consolidated entity’s exploration, development and production activities, as well as on its ability to fund those activities. General economic conditions, laws relating to taxation, new legislation, trade barriers, movements in interest and inflation rates, currency exchange controls and rates, national and international political circumstances (including outbreaks in international hostilities, wars, terrorist acts, sabotage, subversive activities, security operations, labour unrest, civil disorder, and states of emergency), natural disasters (including fires, earthquakes and floods), and quarantine restrictions, epidemics and pandemics, may have an adverse effect on the consolidated entity’s operations and financial performance, including the Consolidated entity’s exploration, development and production activities, as well as on its ability to fund those activities. General economic conditions may also affect the value of the consolidated entity and its market valuation regardless of its actual performance. Environmental regulation The consolidated entity holds participating interests in a number of exploration tenements. The various authorities granting such tenements require the tenement holder to comply with the terms of the grant of the tenement and all directions given to it under those terms of the tenement. To the best of the Directors' knowledge, the consolidated entity has adequate systems in place to ensure compliance with the requirements of all environmental legislation described above and are not aware of any breach of those requirements during the financial year and up to the date of the Directors' report. 10 Annual Report - 30 June 2025 Directors' report Information on directors Name: Title: Qualifications: Experience and expertise: Other current directorships: ^ Former directorships (last 3 years): ^ Special responsibilities: Interests in shares: Interests in unlisted options: Name: Title: Experience and expertise: Other current directorships:^ Former directorships (last 3 years):^ Special responsibilities: Interest in shares: Interests in performance rights: Interests in unlisted options: Name: Title: Qualifications: Experience and expertise: Other current directorships:^ Former directorships (last 3 years): ^ Special responsibilities: Interest in shares: Interest in performance rights: Interests in unlisted options: Mr Evan Cranston Non-executive Chairperson BComm. LLB Mr Cranston is an experienced mining executive with a background in corporate and mining law. He is the principal of corporate advisory and administration firm Konkera Corporate and has extensive experience in the areas of equity capital markets, corporate finance, structuring, asset acquisition, corporate governance and external stakeholder relations. Benz Mining Corp. (ASX:BNZ) (appointed 17 September 2020) Macro Metals Limited (ASX:M4M) (appointed 5 March 2024) African Gold Limited (ASX:A1G) (appointed 22 March 2018) Torque Metals Limited (ASX:TOR) (appointed 28 January 2025) Carbine Resources Limited (ASX:CRB) (resigned 31 May 2023) Vital Metals Limited (ASX:VML) (resigned 15 February 2023) None 497,230 fully paid ordinary shares (via related entities) 2,000,000 unlisted incentive options (exercise price $1.00, expiry 30/11/26) 2,000,000 unlisted incentive options (exercise price $0.30, expiry 6/12/28) 2,000,000 unlisted incentive options (exercise price $0.40, expiry 6/12/28) Mr Peter Allen Managing Director Mr Allen is a mining executive with more than 20 years’ experience in marketing of manganese, lithium and a range of other commodities. He previously held the role of MD of Marketing for Consolidated Minerals Limited which operates Woodie Woodie mine in WA and Nsuta Manganese mine in Ghana. He assisted manganese focused explorer Element 25 (ASX:E25) and Gulf Manganese Corporation (ASX:GMC) with PFS & product marketing. More recently, he was the marketing manager for AVZ Minerals (ASX:AVZ), a company focused on the Manono lithium project. Summit Minerals Ltd (ASX:SUM) (appointed 1 January 2025) None None 1,470,000 fully paid ordinary shares (via related entities) 1,400,000 (expiry 18/03/26) 2,000,000 unlisted incentive options (exercise price $1.00, expiry 30/11/26) 4,000,000 unlisted incentive options (exercise price $0.30, expiry 6/12/28) 4,000,000 unlisted incentive options (exercise price $0.40, expiry 6/12/28) Mr Wei Li Finance Director MPAcc & CA Mr Li is a Chartered Accountant with extensive professional experience in the resource industry, international trade, capital markets, project managing initial public offers and spin-outs and financial accounting. Mr Li’s experience includes being employed by, and acting as, Director and Chief Financial Officer for several companies, predominantly in the resources sector. Prior to these roles, he managed a private base metal exploration company in the Northern Territory and assisted in commissioning a A$150 million Electrolytic Manganese Dioxide (EMD) plant in Hunan China. None None None 4,746,010 fully paid ordinary shares (via related entities) 800,000 (expiry 18/03/26) 2,000,000 unlisted incentive options (exercise price $1.00, expiry 30/11/26) 4,000,000 unlisted incentive options (exercise price $0.30, expiry 6/12/28) 4,000,000 unlisted incentive options (exercise price $0.40, expiry 6/12/28) 11 Annual Report - 30 June 2025 Directors' report Name: Title: Qualifications: Experience and expertise: Other current directorships: ^ Former directorships (last 3 years): ^ Special responsibilities: Interests in shares: Interests in unlisted options: Name: Title: Qualifications: Experience and expertise: Other current directorships:^ Former directorships (last 3 years): ^ Special responsibilities: Interest in shares: Interests in unlisted options: Mr Brett Grosvenor Non-executive Director B Eng. MBA Mr Grosvenor is an experienced mining executive with over 25 years’ experience in the Mining and Power industry. Holding a dual tertiary qualification in Engineering and a Masters in Business, Mr Grosvenor was most recently the Director of Development of Primero Group, where he led development of projects from an initial concept through to contract delivery and operation. Throughout his time in the mining and minerals sector he has been involved in the development of medium to large CAPEX EPC projects and ensuring the optimal balance across design, construction and operation. Carbine Resources Limited (ASX:CRB)(appointed 7 September 2023) Perpetual Resources (ASX:PEC) (resigned 2 April 2025) Firetail Resources Limited (ASX:FTL) (resigned 29 November 2024) None 650,000 fully paid ordinary shares 2,000,000 unlisted incentive options (exercise price $1.00, expiry 30/11/26) 1,000,000 unlisted incentive options (exercise price $0.30, expiry 6/12/28) 1,000,000 unlisted incentive options (exercise price $0.40, expiry 6/12/28) Mr Ashley Pattison Non-executive Director BBus Accounting & Business Law Mr Pattison qualifies as a Chartered Accountant with over 20 years’ experience in the resource sector across corporate finance, strategy and project operations. Having lived and worked in several countries, he has gained substantial exposure to exploration and producing operations in Australia and South America. He has also held senior executive positions including as Managing Director of a number of listed and private mining companies over the past 10 years and also as CEO of a listed mining service company. Industrial Minerals Limited (ASX:IND) (appointed 23 February 2021) Firefly Resources Limited (ASX:FFR) (resigned 13 April 2022) Macro Metals Limited (ASX:M4M) (resigned 5 March 2024) None 2,460,088 fully paid ordinary shares (via related entities) 2,000,000 unlisted incentive options (exercise price $1.00, expiry 30/11/26) 1,000,000 unlisted incentive options (exercise price $0.30, expiry 6/12/28) 1,000,000 unlisted incentive options (exercise price $0.40, expiry 6/12/28) ^'Other current directorships' and 'Former directorships (last 3 years)' noted above are directorships for listed entities only and excludes directorships of all other types of entities, unless otherwise stated. Meetings of directors The number of meetings of the Company's Board of Directors ('the Board') held during the year ended 30 June 2025, and the number of meetings attended by each Director were: Attended 3 3 3 3 3 Evan Cranston Peter Allen Ashley Pattison Wei Li Brett Grosvenor 12 Held 3 3 3 3 3 Annual Report - 30 June 2025 Directors' report Company Secretary Name: Title: Experience and expertise: Ms Oonagh Malone Company Secretary Ms Malone is a principal of a corporate advisory firm which provides company secretarial and administrative services. She has over 15 years' experience in administrative and company secretarial roles for listed companies and is a member of the Governance Institute of Australia. She currently acts as company secretary for ASX-listed companies African Gold Ltd, Benz Mining Corp, Caprice Resources Ltd, Carbine Resources Ltd, RareX Ltd, and Riversgold Ltd and is a non-executive director of Lion Rock Minerals Ltd. 13 Annual Report - 30 June 2025 Remuneration report (audited) Introduction The Directors of Firebird Metals Limited present the Remuneration Report (“Remuneration Report”) for the Company for the year ended 30 June 2025. This Remuneration Report forms part of the Directors’ Report and has been audited in accordance with section 300A of the Corporations Act 2001. The Remuneration Report details the remuneration arrangements for Firebird Metals Limited’s key management personnel (“KMP”): • Non-executive directors (“NEDs”) • Executive directors and senior executives (collectively the executives). KMP are those persons who, directly or indirectly, have authority and responsibility for planning, directing and controlling the major activities of the Company. The table below outlines the KMP of the Company during the financial year ended 30 June 2025. The individuals were KMP for the entire financial year. NAME Evan Cranston Peter Allen Wei Li Brett Grosvenor Ashley Pattison POSITION Non-Executive Chairperson Managing Director Finance Director Non-Executive Director Non-Executive Director Appointed on 18 March 2021 Appointed on 1 March 2021 Appointed on 15 January 2021 Appointed on 1 March 2022 Appointed on 15 January 2021 Remuneration Governance The Board has decided there are no efficiencies to be gained from forming a separate remuneration committee and hence the current board members carry out the roles that would otherwise be undertaken by a remuneration committee with each director excluding themselves from matters in which they have a personal interest. The Board considers and recommends compensation arrangements for the non-executive chairperson, directors and senior executives; remuneration policies and practices; retirement and termination policies and practices; Company share schemes and other incentive schemes; Company superannuation arrangements and remuneration arrangements for members of the Board. The Board obtains professional advice where necessary to ensure that the Company attracts and retains talented and motivated directors, executives and employees who can enhance Company performance through their contributions and leadership. Remuneration Framework The Board recognises that the Company’s performance and ultimate success in project delivery depend very much on its ability to attract and retain highly skilled, qualified and motivated people in an increasingly competitive remuneration market. At the same time, remuneration practices must be transparent to shareholders and be fair and competitive, taking into account the nature and size of the organisation and its current stage of developmen