Pan African Operational update ahead of year ending 30 June 2026

Pan African Resources has provided an operational update ahead of the financial year ending 30 June 2026 (FY26).

HIGHLIGHTS

Record annual and half-year gold production:

• Increase of ~40% in annual gold production to approximately 275,000oz, in line with the lower end of FY26 production guidance of 275,000oz to 292,000oz (FY25: 196,527oz)
• Material increase in gold production in FY26H2 compared to FY26H1 (~14% increase) to 147,000oz (FY26H1: 128,296oz)
• Excellent production performances from the Elikhulu Tailings Retreatment Plant (Elikhulu) and Mogale Tailings Retreatment (MTR) surface operations and the Evander and Barberton Mines underground operations offset slower than anticipated ramp up of production from Tennant Mines
• Tennant Mines FY27 production expected to increase significantly as the operation commences mining of the White Devil deposit

Despite inflationary pressures, the Group is expected to achieve full-year all-in sustaining cost (AISC) guidance of US$1,870/oz (at an exchange rate of US$/ZAR:17.00)

Record operating cash flow generation with Group projected cash position of ~US$220 million at the end of FY26:

• Impacted by strategic investment of US$10.3 million in CuFe Limited and securing strategic cyanide supplies (US$7.0 million)
• The Group is now in a net cash position (net debt of US$46.2 million at 31 December 2025), with the only outstanding debt being the domestic medium-term notes (DMTNs) of US$49.7 million

Measures in place at all operations to mitigate potential fuel and reagent shortages resulting from Middle East conflict

FY27 production guidance of 280,000oz-302,000oz at an AISC of between US$2,075/oz and US$2,175/oz (at an exchange rate of US$/ZAR:17.00):

• AISC estimates allow for above inflation increases for reagents, electricity and other key inputs
• Further production increases are expected in later years, primarily driven by production growth from Tennant Mines and the Mogale Tailings Retreatment (MTR) surface operations

The proposed acquisition of Emmerson Resources Limited (Emmerson) to consolidate the Tennant Creek mineral field is expected to be concluded during July 2026.

FINANCIAL

• The Group is now fully degeared from a net debt perspective, compared to net debt of US$46.2 million at 31 December 2025, with the only current outstanding debt being the DMTNs of US$49.7 million
• Group AISC for FY26 is expected to be in line with the higher end of guidance at approximately US$1,870/oz at an average exchange rate of US$/ZAR:17.00, excluding any year-end adjustments for share-based payment liabilities and other accounting adjustments
• The Group remains fully unhedged