WESTWATER RESOURCES, INC.

The Kellyton Graphite Plant is located near Kellyton, Alabama and five miles northwest of Alexander City, Alabama. AGP executed a land lease with the Lake Martin Area Industrial Development Authority, providing AGP rights to approximately 70 acres to construct and operate the Kellyton Graphite Plant. Westwater plans to develop the Kellyton Graphite Plant in two phases (Phases I and II). Construction activities for Phase I of the Kellyton Graphite Plant began in the fourth quarter of 2021 and are expected to continue in 2026. For more developments of construction items seeItem 1, Business.

A plan and design for Phase II is in place at a DFS level. The future estimated costs to develop and the anticipated production for each phase of the Kellyton Graphite Plant is based on Westwater’s completed DFS, as optimized for Phase I, and for Phase II. The estimated economics for both Phase I and Phase II, assume that graphite concentrate will be purchased from a third-party rather than assuming any potential production from the Coosa Graphite Deposit.

Production Pilot Operations

The Company completed its pilot program in 2021, during which it produced multi-ton batches of battery-grade graphite products in an effort to reduce scale up risk. During the pilot program, graphite concentrates were purified and converted into advanced battery-grade graphite products. The majority of the pilot program was performed at contracted laboratories. The purified material was manufactured into our three products, purified micronized graphite, coated spherical purified graphite and delaminated expanded graphite. The results of the pilot program were used to inform the results of the Company’s DFS, and to provide samples to potential customers. As a result of the construction of the R&D Lab in 2023 and the qualification line in 2025, both at the Kellyton Graphite Plant, the Company now performs its production for customer samples, qualification, and product optimization on-site.

Project Development Plan

Phase I: After testing and commissioning, the Kellyton Graphite Plant is anticipated to have annual production capacity of approximately 12,500 mt of ULTRA-CSPG™ and approximately 14,000 mt of SG Fines. Graphite concentrate feedstock is anticipated to be supplied by Syrah Resources Limited until at least 2028. To reduce dependency, mitigate risk and help ensure supply chain continuity, the Company also entered into a backup feedstock supplier agreement in 2025 with a non-FEOC supplier.

Phase II: Upon completion of Phase II, the Company anticipates annual production capacity of approximately 50,000 mt of ULTRA-CSPG™ and 56,000 mt of SG Fines.