Blencowe Resources - Offtake Agreement Signed

Date: 01 August 2025                     

Blencowe Resources

("Blencowe" or the "Company"),

Offtake Agreement Signed with Established UK Graphene Manufacturer for Orom-Cross Graphite

Deal unlocks higher-value western sales channel and potential UK Government funding support

Blencowe Resources Plc ("Blencowe") is pleased to announce the signing of an additional Non-binding Agreement ("Agreement") for offtake of natural fine flake concentrate from its Orom-Cross Graphite Project with Perpetuus Advanced Materials Limited. ("PAM"). PAM is a UK based advanced materials innovator with more than a decade of expertise in plasma-treated graphene production.

The Agreement covers 19,000 tonnes of +97% TGC fine flake graphite over an initial five-year term, representing a significant portion of Orom-Cross's planned Phase 1 output of 10,000tpa, with volumes likely to rise further as PAM leads the way globally in manufacturing plasma-treated, surface engineered graphenes and sub-micron particles for commercial uses.

PAM's proprietary requirement for high quality graphite validates Orom-Cross's product and provides Blencowe with a valuable additional western offtake partner. Sales into UK markets also create a pathway to access specialist UK Government critical mineral funding for initial project implementation, which requires domestic offtake into export-driven supply chains.

Highlights:

·  19,000 tonnes of +97% fine flake graphite concentrate to be supplied over initial 5-year term, ramping up thereafter.

·    Products tested and validated through PAM's proprietary systems.

·    Agreement supports Blencowe's strategy to prioritise high-value western offtakers.

·  Fine flake sales to western markets currently attract in excess of US$1,200 per tonne which is significantly higher than Asian prices for similar products.

·    Builds case for UK Government funding support via existing critical mineral schemes.

·  Agreement follows a recent, successful UK, US, and EU marketing roadshow with further offtake discussions ongoing.

Strategic Implications

This Agreement represents a major commercial milestone for Blencowe, adding another high-value, long-term offtake partner from a western market and further validating Orom-Cross's premium product quality.

PAM's proprietary dry environmentally friendly, plasma process converts fine flake graphite to industrial scale surface engineered graphenes, currently utilised by manufacturers requiring lighter, stronger and more energy‑efficient products.

Importantly, the Agreement covers a significant component of Blencowe's proposed steady state production of fine flake products from both Phase 1 and Phase 2 production, and it continues the commitment of the Company in diversifying offtakes away from lower-margin bulk markets into higher value applications and cleaner processing technologies. This includes graphene-enabled solutions in automotive, defence, and electronics which are all areas where pricing and margins are typically stronger.

Beyond PAM, Blencowe has engaged in advanced discussions with other OEMs and leading downstream processors in the UK, Europe, and the United States. These firms are conducting quality testing of Orom-Cross material following the Company's recent marketing roadshow. Early feedback is encouraging.

As these discussions progress, Blencowe remains focused on building a robust and diversified offtake book across multiple geographies and end-use sectors. This will support a strong commercial foundation for full Phase 2 production at 50,000tpa - positioning Orom-Cross as a leading supplier into both traditional and emerging graphite markets.

UK Government Support Pathway

UK Government funding schemes linked to domestic critical mineral supply chains require offtake into UK companies that export finished goods. This Agreement with PAM meets that criterion, allowing Blencowe to progress its funding application for P1 production, and potentially reducing future financing risk.

John Buckland, Chief Executive of Perpetuus Advanced Materials, commented:

"Blencowe's premium Orom‑Cross graphite provides a secure, high purity feedstock required to scale our plasma surface engineered graphene manufacturing programme and the commercial launch of our current performance tyre, fertiliser and battery storage products."

"This supply of feedstock will also fast track our next wave of aluminium, polymer and petrochemical graphene enhanced products and enable future commercial development of our extensive panoply of 'pre-production' prototypes."

Blencowe Executive Chairman Cameron Pearce commented:

"This offtake Agreement is one of the most significant to date for Orom-Cross in that it provides substantial sales of fine flake concentrate into a leading western buyer.  Western markets are currently paying considerably more per tonne for fine flake concentrate than Asian markets so the more western contracts we can bring in the better." 

"We understand that PAM intends to leverage its ability to produce industrial quantities of high quality surface engineered graphenes to innovate and develop graphene enabled products. We hope to be providing PAM with considerable quantities of product over a long period into the future as both companies expand our respective operations."

"Once again the high quality of Orom-Cross graphite is clearly differentiating our product from our peers and I cannot stress how important this is in building a successful commercial model.  Added to which this particular sale channel opens the door for Blencowe to pursue niche UK Government funding support, which could provide yet another unique value-add proposition for our Company."

Blencowe CEO, Mike Ralston, talks about this offtake agreement and other Company matters in the following two interviews:

https://media.focusir.com/BlencoweResourcesAnnouncesOfftakePartnerInTheUK

https://www.voxmarkets.co.uk/articles/q-a-with-blencowe-resources-ceo-mike-ralston-00ae062

For further information please contact:

Twitter https://twitter.com/BlencoweRes

LinkedIn https://www.linkedin.com/company/72382491/admin/

Background

Orom-Cross Graphite Project

Orom-Cross is a potential world class graphite project both by size and end-product quality, with a high component of more valuable larger flakes within the deposit.

A 21-year Mining Licence for the project was issued by the Ugandan Government in 2019 following extensive historical work on the deposit and Blencowe is now completing the Definitive Feasibility Study phase as it drives towards first production.

Orom-Cross presents as a large, shallow open-pitable deposit, with a maiden JORC Indicated & Inferred Mineral Resource deposit of 24.5Mt @ 6.0% Total Graphite Content. Development of the resource is expected to benefit from a low strip ratio and free dig operations, thereby ensuring lower operating and capital costs.

Perpetuus Advance Materials Limited.

Perpetuus Advanced Materials is a UK company with over ten years' experience in the development of plasma-treated, surface engineered graphenes, and sub-micron particles for commercial use.  It is considered a global leader in its fields of expertise.

Perpetuus has developed the first in its range of proprietary nano engineered graphene-enhanced masterbatch compounds, formulated specifically for the field of commercial, passenger and industrial tyre manufacturing sectors. The initial offering will be broadened to include other polymer/elastomer masterbatches suitable for industries such as hoses, seals, gaskets, V-belts, and conveyor belts.

Using its environmentally friendly, plasma treatment process, Perpetuus graphenes are integrated into the masterbatch. The resultant masterbatch is now available in industrial quantities, allowing tyre manufacturers to integrate this breakthrough material into their existing production processes.