Arrow Minerals Obtains Three-Year Industrial Exploration Permit for Niagara Bauxite Project in Guinea After Government Review

Guinea Government Completes Review, Awards New Three-Year Permit for Niagara Project

Arrow Minerals has officially received approval from the Republic of Guinea for a new Industrial Exploration Permit covering the Niagara Bauxite Project. The permit was granted under Ministerial Decree No A/2026/255/MMG/SGG to Arrow's wholly owned subsidiary, Mineralfields Bauxite SARLU, on 15 July 2026. This award followed a comprehensive government review of Arrow's historical exploration activities, operational capacity, and ability to progress the project in line with Guinea's Mining Code.

Managing Director David Flanagan expressed satisfaction with the licence covering the mineralised plateaux hosting the previously reported combined Mineral Resource for Niagara. The government's decision to grant a full three-year term concludes a detailed regulatory process that had placed the project’s tenure under review. The permit area remains identical to the previous Permit 228891, preserving the same beacon coordinates and 499.61 square kilometre surface area, ensuring continuity of Arrow’s exploration data and resource estimates within the new permit boundaries.

Financial Obligations and Minimum Expenditure Over Three-Year Permit Duration

To secure the new Niagara permit, Arrow Minerals paid approximately US$14,000 in fees and taxes to Guinea's Ministry of Mines and Geology following the formal award on 15 July 2026. Beyond these upfront costs, the permit imposes a binding minimum expenditure of US$1,513,300 over the three-year exploration term, with work and spending required to commence within six months of the permit grant date.

This financial commitment significantly influences Arrow's exploration strategy and capital deployment for Niagara through 2029. The six-month deadline mandates fieldwork planning and mobilisation by January 2027. Arrow has already initiated planning for further fieldwork, positioning itself to meet regulatory requirements while advancing exploration. The permit framework allows for two potential renewals of up to two years each, subject to government approval and compliance with the Mining Code, providing operational flexibility.

Existing Mineral Resource Estimate Remains Valid Under New Permit

Arrow Minerals previously reported a Mineral Resource estimate for the Niagara Bauxite Project in a 25 March 2025 update titled "Premium DSO Potential in Maiden Mineral Resource." This estimate was based on exploration conducted under the prior permit. The company confirms that because the new permit area fully coincides with the previous permit—maintaining identical beacon coordinates and 499.61 square kilometres—all material assumptions and technical parameters supporting the resource estimate remain unchanged.

The resource evaluation included a Competent Person's assessment, and Arrow states that the presentation and context of these findings have not been materially altered. This continuity is important for investors assessing the project’s mineral potential, validating the ongoing relevance of the resource estimate under the new permit tenure. Arrow is unaware of any new data materially affecting the March 2025 resource estimate aside from tenure confirmation provided by the new permit.

Advancing Towards Completion of Niagara Acquisition Agreement Post-Permit Award

Following the new permit award, Arrow Minerals plans to finalise an amended agreement to acquire the Niagara Project. The acquisition process has been structured in multiple stages, with the permit award marking a critical regulatory milestone. Earlier company announcements include the original acquisition on 1 August 2024 titled "Arrow Expands Bulks Presence with Major Bauxite Transaction," an amendment on 21 July 2025, and a Notice of General Meeting on 20 May 2026.

These staged disclosures indicate that securing stable mineral tenure in Guinea was a key condition for acquisition completion. The government’s review and issuance of the new three-year permit satisfy this condition, enabling Arrow to proceed with finalising the acquisition. This progress reflects management’s successful navigation of Guinea’s regulatory environment and resolution of government concerns about the project and operational capacity. Investors should expect further updates on completion timelines and any remaining conditions or obligations.

Arrow Minerals’ West African Operations and Project Portfolio

Arrow Minerals Limited is an exploration and development company focused on Guinea, West Africa. Registered in Australia (ABN 49 112 609 846) and listed on the ASX as AMD, Arrow operates from its head office in West Perth, Western Australia. Its project portfolio focuses on bulk commodity exploration in Guinea, with the Niagara Bauxite Project as a major asset alongside the Simandou North Iron project.

The company’s business model involves acquiring, exploring, and developing mineral properties with potential for direct shipping ore (DSO) or conventional mining. Concentrating operations in Guinea allows Arrow to leverage the country’s mining infrastructure and regulatory framework supporting bauxite and iron ore development. The Niagara acquisition through its wholly owned subsidiary Mineralfields Bauxite SARLU underscores Arrow’s commitment to expanding its mineral portfolio in the region. The company maintains active engagement with Guinean authorities and has demonstrated capability in navigating permitting and regulatory processes.

Regulatory and Sovereignty Risks in Guinea Operations

Arrow Minerals’ Guinea operations face regulatory and sovereign risks typical of mineral exploration in West Africa. The company disclosed in its Cleansing Prospectus dated 24 June 2026 that risks for Niagara and Simandou North projects include tenure security, access rights, sovereign risk, and regulatory changes. The prior Niagara permit (Permit 228891) was subject to government review, necessitating the new permit application, illustrating the challenging regulatory environment.

In May 2025, Guinean government media announcements mentioned potential cancellation of multiple exploration permits, including the Simandou North Iron project permit. Despite these statements, Arrow has not received formal government communication regarding changes to Simandou North’s permit status and remains engaged with the Ministry of Mines and Geology to seek clarification. This situation highlights regulatory uncertainty and shifting government stances on mining tenure, which may impact project timelines and planning. The announcement aimed to lift a trading halt on Arrow’s shares, reflecting the material nature of tenure developments.

Exploration Plans and Upcoming Operational Milestones for Niagara

Arrow Minerals has begun planning additional fieldwork at the Niagara Bauxite Project and commits to updating the market on its Guinea exploration activities. Work and expenditure must start within six months of the permit grant, setting a deadline near January 2027. This will drive mobilisation of field teams, equipment deployment, and exploration activities including detailed geological mapping, drilling, sampling, and analysis to build upon the existing mineral resource estimate and further define ore body geometry and potential.

The phased exploration approach, combined with the three-year permit and possible renewals, suggests a staged development path. Initial fieldwork will be critical to demonstrating progress toward the US$1,513,300 minimum expenditure and building confidence in project viability. Investors should monitor updates on fieldwork commencement, drilling results, and any resource estimate or economic assessment revisions. Management emphasizes collaboration with Guinea’s Ministry of Mines and Geology to ensure project advancement aligns with the Mining Code and regulatory requirements.

Bauxite Market Overview and Direct Shipping Ore Potential at Niagara

The Niagara Bauxite Project is developed amid global bauxite market dynamics and emerging direct shipping ore (DSO) opportunities. Arrow’s March 2025 announcement "Premium DSO Potential in Maiden Mineral Resource" identified bauxite mineralisation with potential for DSO production, which offers lower processing costs and quicker cash flow than conventional refining. Bauxite is essential for aluminium production used across aerospace, automotive, construction, and packaging industries.

Guinea ranks among the world’s largest bauxite producers, with established mining infrastructure, port facilities, and logistics supporting exploration and export. The DSO potential at Niagara, combined with its location in a mining-friendly jurisdiction, supports Arrow’s development strategy. The company’s focus on DSO-grade material reflects a market-driven approach to maximise value and reduce development timelines. The new permit award positions Arrow to advance exploration and assess the commercial viability of DSO production at Niagara, offering investors exposure to bauxite market fundamentals and aluminium supply chain trends.