Sovereign Joins UK Critical Minerals Association

TITANIUM METAL MARKETS CONTINUE TO SEE TIGHTENING SUPPLY

-          Sovereign has become a member of the UK’s Critical Minerals Association which works to increase the self-sufficiency of supply chains for the UK’s industrial strategy

-          Discussions with governmental groups are ongoing as Sovereign’s Chairman attended the UK Government’s Critical Minerals Strategy Roundtable

-          Sovereign’s Kasiya project in Malawi will produce rutile - the purest natural source of titanium, and natural graphite as a by-product – both designated Critical Raw Materials for the US and the EU

-          Importance of robust supply chains and security of supply for titanium metal and feedstocks highlighted by recent instability in Eastern Europe

-          Rutile market fundamentals including current and forecast pricing remaining very strong

10 March 2022 - Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce that it has become a member of the UK’s Critical Minerals Association (CMA). Sovereign’s Kasiya Rutile Project (Kasiya) is the world’s largest undeveloped rutile deposit, the purest natural form of titanium, as well as containing a natural graphite by-product. Titanium and natural graphite have already been identified as Critical Raw Materials by the United States, the European Union and Australia.

Recent developments in Eastern Europe have highlighted the importance of robust supply chains and security of supply for critical raw materials. Sovereign’s membership of the CMA is part of the Company’s ambition of supporting sustainable, socially responsible, and environmentally beneficial supply of natural rutile and natural graphite. With an urgency to identify new sources of critical minerals, the CMA’s objectives include increasing the self-sufficiency of supply chains for the UK’s low-carbon, sustainability-driven industrial strategy. To this end, the CMA will provide a direct line of communication between Industry and Government.

Last week, Sovereign’s Chairman Ben Stoikovich attended the Critical Minerals Strategy Roundtable held by the UK’s Department for Business, Energy and Industrial Strategy. Sovereign’s attendance follows a number of discussions between the Company and the UK’s Department of International Trade focussing on Sovereign’s potential to supply high purity titanium feedstocks and natural graphite as critical raw materials required by the UK.

Sovereign’s Chairman Ben Stoikovich commented: “The world’s economies are rightly focusing on developing sustainable and secure supply chains of raw materials deemed critical based on their economic, environmental, and social importance. In this regard, Sovereign’s Kasiya project in Malawi is well positioned to potentially supply two critical raw materials to economies across the globe over several decades.”

ENQUIRIES

Dr Julian Stephens (Perth)

Managing Director

+61(8) 9322 6322

Sam Cordin (Perth)

+61(8) 9322 6322

Sapan Ghai (London)

+44 207 478 3900

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About Sovereign Metals

Sovereign Metals Limited (ASX:SVM & AIM:SVML) is an ASX and AIM-listed company focused on the exploration and development of its Kasiya rutile project in Malawi.

Kasiya is a strategic and globally significant natural rutile deposit with substantial additional resource growth expected. Kasiya’s Mineral Resource Estimate is 605Mt at 0.98% rutile (0.7% cut-off, indicated + inferred).

Natural rutile is the purest, highest-grade natural form of titanium dioxide (TiO2) and is the preferred feedstock in manufacturing titanium pigment and producing titanium metal.

The Company completed an initial Scoping Study in December 2021 which confirms Kasiya as a globally significant natural rutile project. It is the largest undeveloped rutile deposit in the world and therefore is highly strategic in a market characterised by extreme supply deficit. The initial Scoping Study developed the concept for a multi-decade mine providing a stable supply of a highly sought-after rutile (TiO2) and graphite whilst contributing significantly to the economy of Malawi.

Sources

1.                 Iluka Resources Limited – Quarterly Report period ended 31 December 2021
2.                 Iluka Resources Limited – 2021 Full Year Results Presentation
3.                 TZMI
4.                 U.S. Geological Survey (USGS)
5.                 Reuters: https://www.reuters.com/business/importance-russian-titanium-global-industry-2022-03-01/
6.                 SP Angel contribution to Proactive Investors’ “Todays Market View” dated 25 February 2022
7.                 Titanium Dioxide Manufacturers Association
8.                 TZMI

Forward Looking Statement

This release may include forward-looking statements, which may be identified by words such as "expects", "anticipates", "believes", "projects", "plans", and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.

Competent Persons Statement

The information in this announcement that relates to Sovereign’s Mineral Resource Estimate is extracted from the ASX announcement dated 16th December 2021 which is available to view at Sovereign’s website at www.sovereignmetals.com.au. Sovereign confirms that a) it is not aware of any new information or data that materially affects the information included in the ASX announcement; b) all material assumptions included in the ASX announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this report have not been materially changed from the ASX announcement.

This ASX Announcement has been approved and authorised for release by the Company’s Managing Director, Dr Julian Stephens.