The HCK Project

Lithium Joint Venture with Rio Tinto in Rwanda

Aterian has a Joint Venture Agreement and Operating Agreement with HCK Mining Company Limited, a private non-related Rwandan registered entity over a 2,750-hectare exploration licence in southern Rwanda.

Aterian holds a 70% interest in Kinunga Mining Limited, which holds the licence for the Project, with HCK Mining Company Limited holding a 30% interest. The licence is located approximately 65 km southwest of Kigali and 20 km northwest of Huye, within the Southern Province, straddling the Nyanza and Huye District boundaries.

the Rio Tinto Joint Venture in Southern Rwanda

Lithium Joint Venture with Rio Tinto

The HCK licence is underlain by schists and minor intrusive bodies of the Palaeoproterozoic granitic-metamorphic Butare Complex, lying to the west of the Gitarama granitic massif.

The Complex is surrounded by low-grade metasedimentary terrains and is bordered to the north by a significant NW-SE left-lateral shear zone, the Mwogo Structure. Prospecting has identified 19 zones of potentially rare metal hosting pegmatite, frequently with multiple pegmatite dykes observed at most locations.

See Operational Update: Rio Tinto Drilling Update, Rwanda – 28 January 2025

HCK : Reported Highlights (28 January 2025)

The HCK Project: Lithium
Exploration in Rwanda

Drilling operations on the Project have now recommenced after the New Year holidays. Before the year-end cessation, Rio Tinto successfully completed two holes on the HCK-1 target, with a third hole currently in progress on the HCK-1 target. Multiple pegmatite dykes were intersected in the initial two holes, which were drilled to depths of 251.6 m and 251.5 m, respectively.

At this stage, there are no detailed geological or geochemical recordings from these two completed holes. The drilled core has been transported to the Rio Tinto yard in Kigali and is undergoing detailed geological and mineralogical logging. Once completed, the samples will be shipped to an external international laboratory, with initial geochemical assay results expected before the end of Q1/2025.

See Operational Update: Rio Tinto Drilling Update, Rwanda – 28 January 2025

Update: Rio Tinto Drilling Update, Rwanda

The HCK Project – A Key Lithium Exploration Venture

Charles Bray, Chairman of Aterian, commented:

“This is a very exciting period of progress and opportunity for Aterian plc. In recent months, we have made significant strides in advancing our strategic objectives, one of which was to see our Rwanda exploration portfolio advance. The joint venture with Rio Tinto will in every case further our knowledge of Rwanda and the viability of the HCK project as a potential development based on its lithium and/or tantalum potential. The experience and knowledge gained will better position us as a player in the ever evolving landscape of natural resource exploration and development. The assay results will not only provide valuable insights into the quality and scope of HCK as a lithium project but will also guide our next steps toward unlocking the project’s full value for all stakeholders.

While we await these results, I want to highlight and commend the collaborative efforts of our team and our partners’ teams who have worked tirelessly to ensure the success of this exploration campaign. We remain steadfast in our mission to create sustainable value for our shareholders and will utilise the knowledge gained at HCK across the entire Aterian exploration portfolio. Our ongoing projects in Morocco and Botswana continue to demonstrate exceptional potential.

I thank you for your continued trust and support in Aterian plc. We will keep you updated on the exploration efforts at HCK as they become available. In the meantime, we are focussed on creating value from all of our assets and committed to delivering long-term success to our shareholders.”

See Operational Update: Rio Tinto Drilling Update, Rwanda – 28 January 2025

Background: Lithium JV with Rio Tinto in Rwanda

The HCK Project: A
Strategic Partnership in Lithium Mining

Charles Bray, Chairman of Aterian, commented:

“This is a transformative deal for Aterian and highlights our ability to identify potential world-class deposits in critical minerals such as lithium. We have identified 19 separate LCT (lithium-caesium-tantalum) pegmatite zones across the 2,750-hectare project offering the prospective scale necessary to attract such a major partner as Rio Tinto.”

“I am very proud of the Aterian team and their work to identify and unlock strategic mineral assets in Africa and to make this transaction possible. I would like to thank Rio Tinto for their time working with us to enable this investment in the significant lithium potential in Rwanda. I am also grateful for the support from our partner, HCK Mining Company Limited and for the continued partnership with the Rwanda Mines, Petroleum and Gas Board who have been crucial to completing the transaction. We believe this investment highlights the opportunity and transformational potential of the Rwanda mining sector.”

“Lithium is a key commodity for global electrification ambitions, as it is the central chemical element of dominant battery chemistries. Benchmark Minerals Intelligence forecasts that in 2023 lithium demand will reach 900,000 tonnes, a jump of 27% year-over-year and further forecast to reach 1.5 million tonnes in 2026.”

“The Agreement with Rio delivers material value to Aterian shareholders endorsing Aterian’s capital efficient business model as well as demonstrating the potential of Rwanda as a mining jurisdiction. The Agreement is subject to conditions, including the addition of lithium as an exploration commodity on the licence, which is expected in due course.”

“While we focus on working closely with Rio Tinto and our Rwandan stakeholders to ensure the success of this project, we will also look to replicate the capital efficient exploration and development business model in our other project concessions in Rwanda and Morocco.”