[Ferro-Alloys.com] Eramet: taking decisive actions to address continued challenging market conditions and unlock value

 Launch of “ReSolution”, a group-wide performance improvement programme to unlock full poten-tial, providing a renewed foundation for focused, disciplined and responsible growth

A comprehensive, hands-on diagnostic conducted by new management analysing operational per-formance in detail with clear value drivers and areas identified

Global macro-economic headwinds and core commodities at cyclical lows, maintaining pressure on the operations and weighing on the Group’s cash generation

Eramet’s Tier-1 asset portfolio positioned for long-term growth, driven by the energy transition and resilient demand in carbon and stainless-steel

Three main strategic pillars, a clear path forward and initiatives started in Q3, focusing on: Safety and positive mining: embed a ‘zero harm’ culture across all operations

Operational excellence & productivity: drive operational and commercial excellence through targeted initiatives: initial run rate EBITDA1 improvement potential of €130-170m within two years (at 2025 economic conditions2); implementation costs to be incurred primarily in 2026

Financial resilience: in 2025, a cash boost programme has been implemented to deliver a one-off €60-70m impact on FCF by year-end, with further financial levers and a broader trans-formation programme expected to bring additional cash flow benefits over the two-year plan period

Focus on maintaining adequate liquidity, activating further financial levers as required, and deleveraging as a key priority to strengthen the balance sheet

Centenario lithium ramp-up on track, targeting production rate at c.90% of design capacity by mid-2026; volume impact to contribute on top of the potential EBITDA uplift presented above

Paulo Castellari, Eramet group CEO, commented:

ReSolution is the outcome of the thorough diagnostics we conducted during my first months at

Eramet. It is the first step in our turnaround journey: a disciplined and action-driven programme to

restore performance and unlock the full potential of our unique asset base.

The successful and on-time ramp-up of our Centenario lithium plant already exemplifies how we will

lead the Group: with determination, operational discipline, supported by a performance culture and a

relentless focus on delivering tangible results that strengthen both our operational and financial performance.

As we move forward, our commitment to working safely and responsibly remains absolutely

non-negotiable - it is the foundation of how we operate and the first lens through which every decision

is made. We are also considering all available options to accelerate the execution of our improvement

plan and reinforce our deleveraging efforts.

Together with Eramet’s highly engaged and talented team, we are building the conditions to redirect

the Group on a path toward a safe and responsible performance.

Today at 2:30 p.m. CET, Eramet will host an Investor Call, broadcast by webcast on the Group’s

website (Click here). Paulo Castellari, CEO, and Abel Martins-Alexandre, CFO, will present “ReSolution”,

Eramet performance improvement programme.

A challenging macro-economic environment

Ongoing global macro-economic and pricing headwinds have maintained pressure on the operations and weighed on the Group’s cash generation over the past months.

Core commodities prices - including manganese, nickel and mineral sands (zircon and ilmenite) - remain at cyclical lows, driven by slowing Chinese industrial activity, global macro uncertainty and persistent inflationary pressures.

Since January 2023, Eramet’s core commodity prices have materially declined3: -6% for manganese ore, -48% for LME nickel, -83% for lithium carbonate, -21% for ilmenite and -25% for zircon. In partic-ular, the mineral sands industry is currently navigating challenging market conditions, marked by sig-nificant price pressure from demand reduction and consequent supply adjustments.

This environment is expected to continue weighing on demand and on prices across the Group’s markets. In 2026, as supply and demand conditions gradually rebalance, market conditions should show signs of stabilisations, while potentially also benefitting from short-term support in the event of supply chain disruptions in certain commodities.

A Tier-One portfolio with long-term growth fundamentals

Eramet benefits from an exceptional asset base: long-life, high-grade and highly competitive mines across manganese (Gabon), nickel (Indonesia), mineral sands (Senegal), and lithium (Argentina). These are positioned in the first quartile of their respective cash-cost curves and strategically aligned with structural demand trends driven by the global economic development and the energy transition.

These assets provide resilience in downturns and strong earnings capacity when the cycle turns. They are supported by highly committed teams and a deeply rooted culture of responsible mining.

Looking ahead, medium-term demand remains favourable:

•Manganese should benefit from steady carbon steel production growth,

•Nickel is expected to move toward a balanced supply-demand environment with strong under-lying stainless-steel demand,

•Lithium demand should accelerate with the expansion of electric vehicles and energy storage systems.

#2 Pillar - Operational Excellence & Productivity

The Performance Review has established a rigorous baseline for improvement across three themes: productivity, cost and process efficiency, and procurement optimisation.

Asset-specific priorities have been set to drive operational performance and deliver EBITDA uplift, with full impact targeted in 2028:

Manganese ore: improve maintenance and operational excellence, as well as debottleneck transport capacity

Manganese alloys: improve productivity and optimize costs

Mineral sands: optimise mining throughput and costs

Lithium: optimise Centenario ramp-up and improve grade quality

Nickel (PT Weda Bay Nickel): strengthen safety and contractor management.

For manganese ore, targeted actions include investment in upgrading rail infrastructure to support an increase in transported volumes compared to 2025.

Appendix 1: 2025 Guidance

1 Definitions in the financial glossary in Appendix 3.

2 For an exchange rate of $/€1.13 as of 30/07/2025 and as of 30/10/2025.

• [Editor:tianyawei]