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DIRECTORS’ REPORT

30 JUNE 2026

ANNUAL REPORT 2026 1

The Directors of Berkeley Energia Limited submit their report on the Consolidated Entity consisting of Berkeley Energia

Limited (Company or Berkeley or Parent) and the entities it controlled at the end of, or during, the year ended 30 June

2026 (Consolidated Entity or Group).

OPERATING AND FINANCIAL REVIEW

Introduction

Berkeley is a high impact, clean energy company focused on bringing its wholly owned Salamanca Uranium Project

(Salamanca Project) into production. This world class uranium project is located in an historic mining area about three

hours west of Madrid, Spain. This initiative will guarantee Spain and the European Union as an internal supplier, delivering

more than four million pounds of uranium per year, equivalent to the 10% of European total consumption or more than a

third of the energy generated in Spain.

Berkeley is also continuing with its exploration program focusing on critical minerals in Spain. The exploration initiative is

targeting lithium, rubidium, tin, tantalum, niobium, tungsten, and other battery and critical metals, within the Company’s

existing tenements in western Spain that do not form part of Berkeley’s main undertaking being the development of the

Salamanca Project.

The Salamanca Uranium Project

The Salamanca Project located in a historic uranium mining area in Western Spain (Figure 1) has the potential to generate

measurable social and environmental benefits in the form of jobs and skills training in a depressed rural community. It can

also make a significant contribution to the security of supply of Europe’s zero carbon energy needs.

The Project hosts a Mineral Resource of 89.3Mlb uranium, with more than two thirds in the Measured and Indicated

categories. In 2016, Berkeley published the results of a robust Definitive Feasibility Study (DFS) for Salamanca confirming

that the Project may be one of the world’s lowest cost producers, capable of generating strong after-tax cash flows.

Figure 1: Location of the Salamanca Project, Spain

DIRECTORS’ REPORT

30 JUNE 2026

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2 BERKELEY ENERGIA LIMITED

The Conchas Project

The Investigation Permit (IP) Conchas (Conchas Project) is located in the very western part of the Salamanca province,

close to the Portuguese border (Figure 2). The tenement covers an area of ~31km

and, based on small-scale historical

mining, historical exploration, and recent exploration activities and drilling by Berkeley, is considered highly prospective for

several critical and strategic raw materials including lithium and rubidium.

Subsequent to the end of the year, the Company announced a maiden Inferred Mineral Resource Estimate (MRE) for

Conchas which totals 11.8Mt at 0.41% Li

O and 0.21% Rb

O for ~49,000t of contained Li

O and ~25,200t of contained

O (above a US$100/t Net Smelter Return (NSR) cut-off).

Figure 2: Conchas Location Plan

Summary and Highlights during and subsequent to the year end

• International Arbitration against Spain

In May 2024, Berkeley advised that its wholly owned subsidiary, Berkeley Exploration Limited (BEL), had filed a

Request for Arbitration (Request) for its investments in Spain through its Spanish subsidiary, Berkeley Minera España

SA (BME), initiating arbitration proceedings against the Kingdom of Spain (Respondent) before the International

Centre for Settlement of Investment Disputes (ICSID).

Subsequently, in February 2026, the Company filed a Memorial of Claim at the ICSID in Washington, D.C. alleging

that the Respondent’s actions against BME and the Salamanca project (Salamanca Project) have violated multiple

provisions of the Energy Charter Treaty (ECT), and therefore BEL is seeking compensation in the order of US$1.25

billion (US$1,250,000,000) for these violations.

The Memorial of Claim included:

• Factual background to the Salamanca Project and the dispute;

• A detailed statement of the legal basis for the claim brought against Respondent;

• A number of key witness statements; and

• Reports from several independent experts covering technical and regulatory aspects, and an assessment of

damages.

Since the Memorial of Claim was submitted, the Respondent filed a request to bifurcate the proceedings, pursuant to

the ICSID Convention and Arbitration Rules. The Tribunal has now advised that the proceedings will be bifurcated and

conducted in two phases: first, jurisdictional objections concerning the denial of benefits; and second, merits and

quantum of damages. Subsequent to the end of the year, an updated procedural timetable was established. The

hearing for the bifurcated denial of benefits procedure has been scheduled for mid-2027, which will follow the

customary exchange of written submissions comprising statements for a memorial, counter-memorial, reply and

rejoinder.

ANNUAL REPORT 2026 3

Notwithstanding the investment dispute, BEL remains committed to the Salamanca Project and continues to be open

to a constructive dialogue with Spain. BEL is ready and open to collaborate with the relevant Spanish authorities to

find an amicable resolution to the permitting situation and remains hopeful discussions can take place in the near term.

• Spanish Nuclear Power Industry:

• Almaraz Nuclear Power Plant Extension

o In October 2025, Iberdrola, Endesa and Naturgy, the owners of the Almaraz nuclear power plant in

Extremadura, submitted a formal request that the Ministry for Ecological Transition and Demographic

Challenge (MITECO) modify the operating licence for both Almaraz units so they could continue operating

until June 2030, instead of closing in November 2027 under the current schedule.

o MITECO subsequently referred the modification request to the Spanish Nuclear Safety Council (NSC) for the

required preceptive report on nuclear safety, radiological and physical protection.

o In July 2026, the NSC approved the extension of the Almaraz nuclear power plant's operating license saying

it meets the conditions to operate safely until June 2030 and submitted its favourable report to MITECO for

its final decision.

o MITECO subsequently granted the renewal of the operating licence for the Almaraz nuclear power plant until

June 2030 in August 2026.

• Juzbado Nuclear Fuel Fabrication Plant

o In July 2026, MITECO renewed the operating authorisation for Enusa’s Juzbado Nuclear Fuel Fabrication

Plant for a further ten-year period, following a favourable report from the NSC in April 2026.

o The extension decision comes at a time when security of supply and reducing external energy dependence

have become increasingly important priorities in EU policy.

• Vandellós I Nuclear Power Plant

o In May 2026, the NSC issued a favourable report, to authorise construction of a temporary radioactive-waste

storage facility at the Vandellós I nuclear power plant.

o Vandellós I has been in a latency phase since 2005, following completion of the first stage of its

decommissioning. Once the necessary ministerial authorisation has been granted, excavation and

construction of the facility will begin, which is scheduled to enter service in 2027.

• Nuclear Fuel Agreements

o In April 2026, Poland’s Synthos Green Energy announced that it had signed cooperation agreements with

Spanish nuclear fuel manufacturers Enusa Industrias Avanzadas SA and GNF Enusa Nuclear Fuel SA to

support the deployment of small modular reactors across Europe.

• Nuclear debate continues in Spain

o Debate over Spain’s current nuclear power phase-out plan has intensified after the Iberian blackout in April

2025 that plunged much of Spain and Portugal into darkness and exposed vulnerabilities in the Iberian power

system. Following the Iberian blackout, industry representatives highlighted nuclear energy’s contribution to

system inertia and grid stability.

o Adding to the debate, the European Commission has urged member states, including Spain, to avoid the

premature closure of nuclear power plants that can still produce reliable, cheap, and low-emission electricity.

This comes within the framework of the new AccelerateEU energy plan, communicated in April 2026, through

which Brussels aims to strengthen security of supply and reduce dependence on imported fossil fuels amidst

international instability in energy markets.

Nuclear generates about a fifth of Spain's electricity.

• Conchas Project

During the year, Berkeley continued to advance its ongoing exploration initiative targeting critical minerals in Spain at

its Conchas Project.

• Maiden MRE announced subsequent to the year-end.

• Shallow, thick zones of lithium (Li) and rubidium (Rb) mineralisation, with accessory tin (Sn), caesium (Cs),

beryllium (Be), niobium (Nb) and tantalum (Ta) hosted within a muscovitic leucogranite unit.

• MRE of 11.8Mt at 0.41% Li

O & 0.21% Rb

o Totals ~49,000t of contained Li

O and ~25,200t of contained Rb

o 100% of MRE classified in the Inferred Mineral Resource category

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

4 BERKELEY ENERGIA LIMITED

• Mineralisation from surface and remains open at depth, supporting resource growth potential.

• MRE amenable to bulk-tonnage, open-pit mining.

• Preliminary metallurgical testing demonstrated very good recoveries of Li and Rb at acceptable grades using

flotation and magnetic separation methods.

• MRE demonstrates Conchas hosts a globally significant Rb

O resource.

• Rb is a critical raw material for advanced technology and industrial applications used in key sectors including

defence and military, aerospace, communications, medical and renewable energy. The USA, Japan and NZ have

both classified Rb as a Critical Mineral due to its strategic importance and growing demand in high-tech

applications. It is also of strategic importance in Europe and Canada.

• Li is designated as both a Critical and Strategic Material for the European Union (EU) as batteries are central to

decarbonisation, energy security, and industrial competitiveness.

• Former Endesa Chief Executive Joins Berkeley Board

• Subsequent to the end of the year, Mr José Bogas Gálvez, the former Chief Executive Officer (CEO) of Endesa

S.A. (Endesa), was appointed as a Non-Executive Director of Berkeley.

• Endesa is a Spanish multinational electric utility company and one of the largest energy companies in the country,

with interests in several nuclear power plants.

• Mr Bogas has over 40 years experience in the Spanish and EU nuclear and electricity sector.

• Mr Bogas’ appointment substantially strengthens Berkeley’s position and influence in Spain.

Operations

Salamanca Project Update

The Company continues with its commitment to health, safety and the environment as a priority.

During the year, the Company’s carbon footprint goal was achieved, the 2024–2025 Sustainable Performance Report

prepared, and the 2026 Sustainability Goals defined. An internal audit of the Sustainable Environmental and Mining

Management System was also conducted during June.

Carbon Footprint Goal

Notification of the successful registration in the Carbon Footprint Registry, along with the corresponding certificate and

seal, as evidence of the calculation of the Company’s CO

emissions in 2024, was received in June 2026.

ANNUAL REPORT 2026 5

2024-2025 Sustainable Performance Report

The 2024–2025 Sustainable Performance Report has been prepared to facilitate communication of the Company's

sustainability performance to its stakeholders. The information presented in the report was compiled using standardised

indicators established in accordance with the applicable reference standards. The 2024–2025 Sustainable Performance

Report is available to view at the Company’s website.

2026 Sustainability Goals

Based on an analysis of risks and opportunities, the Company’s goals and improvements in sustainability for 2026 have

been defined, and include Adaptation of the Environmental and Sustainable Mining Management System to the new ISO

14001:2026 Standard, Adaptation of the Environmental and Sustainable Mining Management System to the new UNE

22480/70:2025 Standard, Retortillo Project Development, Research of New Mineral Resources, Communication with

Stakeholders, and Calculation of the Carbon Footprint for 2025.

Internal Audit

An internal audit of the Sustainable Environmental and Mining Management System was conducted in June to verify the

System’s compliance with the requirements of the ISO 14001:2015 Environmental Management Standard and the UNE

22480/70:2019 Sustainable Mining Management Standards.

No non-conformities were identified during the evaluation of the Sustainable Mining and Environmental Management

System, and the auditors concluded that the System has been correctly implemented and maintains an adequate level of

effectiveness. The Company’s high degree of commitment, excellent work performed, and capacity to continue advancing

in sustainability performance improvements were highlighted.

Cooperation Agreement with Municipality of Retortillo

During the previous year, the Company executed a new cooperation agreement with the Municipality of Retortillo which

recognises that the exploitation of the Project involves substantial investments and that these investments will undoubtedly

bring significant benefits to the Municipality.

It is the Parties' intention that Berkeley contributes to the development of the Municipality, demonstrating its commitment

to generating the greatest possible positive impact within the Project’s host municipality, and as part of its firm

environmental, social, and governance (ESG) commitment. Berkeley started to collaborate with the City Council on the

development of various social and common interest initiatives that contribute to improving the quality of life for the citizens

of Retortillo, including a Drinking Water and Sanitation Project (including the renewal of drinking water pipes), rehabilitation

of the local Health Centre, installation of a waste classification centre, and other similar initiatives.

International Arbitration against Spain

In May 2024, Berkeley advised that its wholly owned subsidiary, BEL, had filed its Request for its investments in Spain

through its Spanish subsidiary, BME, initiating arbitration proceedings against the Respondent before ICSID.

Subsequently, in February 2026, the Company filed a Memorial of Claim at the ICSID in Washington, D.C. alleging that

the Respondent’s actions against BME and the Salamanca Project have violated multiple provisions of the ECT, and

therefore BEL is seeking compensation in the order of US$1.25 billion (US$1,250,000,000) for these violations.

The Memorial of Claim included:

• Factual background to the Salamanca Project and the dispute;

• A detailed statement of the legal basis for the claim brought against Respondent;

• A number of key witness statements; and

• Reports from several independent experts covering technical and regulatory aspects, and an assessment of

damages.

Since the Memorial of Claim was submitted, the Respondent filed a request to bifurcate the proceedings, pursuant to the

ICSID Convention and Arbitration Rules. The Tribunal has now advised that the proceedings will be bifurcated and

conducted in two phases: first, jurisdictional objections concerning the denial of benefits; and second, merits and quantum

of damages. Subsequent to the end of the year, an updated procedural timetable was established. The hearing for the

bifurcated denial of benefits procedure has been scheduled for mid-2027, which will follow the customary exchange of

written submissions comprising statements for a memorial, counter-memorial, reply and rejoinder.

Notwithstanding the investment dispute, BEL remains committed to the Salamanca Project and continues to be open to a

constructive dialogue with Spain. BEL is ready and open to collaborate with the relevant Spanish authorities to find an

amicable resolution to the permitting situation and remains hopeful discussions can take place in the near term.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

6 BERKELEY ENERGIA LIMITED

Critical Minerals Exploration Initiative

During the year, the Company continued to advance its exploration initiative targeting Li, Rb, Sn, Ta, Nb, tungsten (W),

and other battery and critical metals, within its existing tenements in western Spain. Further analysis of the mineral and

metal endowment across the entire mineral rich province and other prospective regions in Spain is also being undertaken,

with a view to identifying additional targets and opportunities.

Conchas Project

Subsequent to the end of the year, the Company announced a maiden Inferred MRE for Conchas which totals 11.8Mt at

0.41% Li

O and 0.21% Rb

O for ~49,000t of contained Li

O and ~25,200t of contained Rb

O (above a US$100/t Net

Smelter Return (NSR) cut-off).

The MRE is constrained by an open pit Whittle optimisation pit shell using appropriate mining and processing costs,

processing recovery, and metal concentrate payability and revenue values.

The MRE has been prepared by independent consultants, Maja Mining Limited, and is reported in accordance with the

JORC Code (2012 Edition).

Overview

The Conchas Investigation Permit covers an area of 31km

in the southwest of the province of Salamanca, close to the

Portuguese border (Figure 2). The Project is located ~21km from Ciudad Rodrigo and ~110km from Salamanca, in the

municipalities of Espeja and Fuentes de Oñoro, and is readily accessible from established roads.

The tenement is largely covered by Cenozoic aged sediments. Only the north-western part of the tenement is uncovered

and dominated by the Guarda Batholith intrusion. In the outer rim of the eastern edge of the Guarda granitic batholith, a

muscovite-rich leucogranite hosts Li and Rb mineralisation, with accessory Sn, Cs, Be, Nb and Ta (Figure 3).

Figure 3: Conchas Geological Map

Since 2021, the Company has completed systematic exploration at Conchas, including soil sampling (2021, 2022),

geological mapping (2024), geophysics (2025), and drilling over two campaigns in 2022 (5 reverse circulation (RC) holes

for 282m) and 2024 (33 RC holes for 1,857m and 3 diamond (DD) holes for 230m for metallurgical sampling), which has

provided subsurface data with which to develop 2D and 3D geological and mineralisation interpretations which have fed

into the evaluation of Mineral Resources.

Drilling activities have delineated sub-horizontal layers of the different lithotypes, with altered igneous basement,

mineralised muscovitic leucogranite (LGM) and non-mineralised regional biotitic porphyritic granite (GMG) the dominant

lithologies modelled, along with zones of intercalated GMG/LGM (Figure 4).

Mineralised LGM vertical thicknesses range from 8m to 45m over southern and central portions of the deposit, thickening

up to 70m to the north. The surface boundary of the LGM is defined based on the most recent (2025) geological mapping.

This contact is generally steep, tending towards vertical, but with a slight dip inward.

ANNUAL REPORT 2026 7

Figure 4: Conchas Cross Section

The drillhole database, relevant surface digital terrain models, and geology volume models, were used for the MRE. The

elements estimated were Be, Cs, Li, Rb (recovered in a Mica float) and Nb, Ta and Sn (recovered as gravity concentrate).

The Competent Person (CP) determined appropriate mineralisation domains, completed statistical analysis, grade

estimation, reasonable prospects for eventual economic extraction (RPEEE) and resource classification based on the

guidelines defined in the JORC Code (2012).

Figure 5: 3D Perspective View looking NW showing Volume Block Model

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

8 BERKELEY ENERGIA LIMITED

Figure 6: 3D Perspective View looking NW of MRE blocks >=US$100/t NSR, within RPEEE optimised pit shell (with drillhole collars)

The whole MRE has been classified as Inferred and is reported at a NSR cut-off of US$100/t (Table 1). RPEEE have been

satisfied through the application of appropriate revenue, mining and processing parameters.

Table 1: Conchas MRE (July 2026)

Notes:

• MRE includes all resource model blocks >= US$100/t NSR based on 5% payability of metals within the mica float concentrate.

• MRE is constrained by an open pit Whittle optimisation pit shell using appropriate mining and processing costs, processing recovery

and metal concentrate payability and revenue values.

• Mineral Resources are not Mineral Reserves – further detailed economic studies and additional modifying factors are required.

• The MRE was classified following the guidelines presented in JORC Code 2012. The CP is Malcolm Titley of Maja Mining Limited.

• Totals may not add up due to rounding.

The NSR cut-off and tonnage relationship within the RPEEE constraints based on a breakeven NSR cut-off of US$18/t is

presented in Table 2.

Table 2: Conchas NSR Cut-off Grade-Tonnage Tabulation

ANNUAL REPORT 2026 9

Next Steps

The Company will continue to systematically advance the Project’s development, with additional infill drilling to increase

the resource classification, and a second phase of metallurgical test work to optimise the flotation and magnetic separation

processes.

Conchas Portugal

Given the interpreted continuity of the host muscovite leucogranite at Conchas into Portugal, the Company has submitted

an application for the granting of prospecting and exploration rights for copper (Cu), lead (Pb), zinc (Zn), silver (Ag), gold

(Au), antimony (Sb), Sn, W, Ta, Li, and other minerals, within an area referred to herein as “Conchas Portugal” to the

Directorate General for Energy and Geology of the Ministry of Environment and Energy of Portugal.

The Conchas Portugal application, which covers an area of 219 km², is located in the District of Guarda and includes the

municipalities of Sabugal and Almeida.

Oliva and La Majada Projects

These projects comprise three tenements within two project areas in Spain which are considered prospective for W, Sb,

cobalt (Co) and other metals.

The Company has designed exploration programs for both projects, communicated with the relevant authorities, and

conducted the required studies e.g. a birdlife study at the La Majada Project, to progress the pending grant of the IPs for

two of the tenements.

Berkeley management met with the mining authorities of Badajoz province during the year, who confirmed that the IP

application for Ampliación de Los Bélicos (Oliva project) is currently under environmental review, with the final grant of the

IP expected in the coming months.

Regarding the IP application for La Majada, the mining authorities of Ciudad Real province have confirmed that sectorial

reports required as part of the environmental review process have been completed and are all favourable. The

Rehabilitation Plan has now been floated for a 30 day public consultation period.

Former Endesa Chief Executive Joins Berkeley Board

Subsequent to the end of the year, Berkeley announced that highly respected Spanish businessmen Mr José Bogas Gálvez

had been appointed as an independent Non-Executive Director of the Company.

Mr Bogas joins the Company’s Board of Directors after a long and successful career at Endesa, including 12 years as

CEO, during which he spearheaded the company’s transformation to maintain its leadership in the Spanish electricity

sector. He stepped down as CEO of Endesa in April 2026 but remains as a Director of the Company.

Endesa is a Spanish multinational electric utility company and one of the largest energy companies in the country. It has

a substantial presence in the nuclear energy sector in Spain, contributing significantly to the country's nuclear energy

capacity with interests in several nuclear power plants.

Mr Bogas has also been actively involved in energy sector institutions including being a former member of the Board of

Directors of AELEC (Association of Electric Power Companies) and currently the Honorary Vice-Chairman and Board

Member of the Spanish Energy Club.

Mr Bogas appointment will substantially strengthen Berkeley’s position and influence in Spain, with his 40+ years

experience in the Spanish and broader European energy sectors plus extensive business and government networks greatly

assisting the Company as it continues to focus on resolving the current permitting situation and ultimately advancing the

Salamanca Project towards production.

Business Development

The Company is actively assessing and reviewing further opportunities in the clean energy and critical minerals sectors,

as well as other opportunities to expand and complement its current exploration portfolio. However, no agreements have

been reached or licences granted and the Directors are not able to assess the likelihood or timing of a successful acquisition

or grant of any opportunities.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

10 BERKELEY ENERGIA LIMITED

Results of Operations

The Consolidated Entity’s net loss after tax for the year ended 30 June 2026 was $8,698,000 (2025: $5,433,000).

Significant items contributing to the year end loss and substantial differences from the previous year include the following:

(i) Interest income of $2,113,000 (2025: $3,024,000), which is largely attributable to the decrease in interest rates

from 3.6% to 2.9% on the US$42 million held in cash by the Company;

(ii) Exploration and evaluation expenses of $3,394,000 (2025: $4,153,000), which is attributable to the Group’s

accounting policy of expensing exploration and evaluation expenditure incurred subsequent to the acquisition of

the rights to explore and up to and until a decision to develop or mine is made;

(iii) Non-cash share-based payment reversal of $1,361,000 (2025: expense $884,000) was recognised in respect of

incentive securities granted to directors, employees and key consultants as part of the long-term incentive plan to

reward directors, employees and key consultants for the long-term incentive of the Group. The Company’s policy

is to expense the incentive securities over the vesting period. During the year, it was determined that the vesting

condition attached to 7,600,000 Incentive Options would not be satisfied prior to their expiry on 30 June 2026. As

a result, previously recognised share-based payment expense of $2,242,000 was reversed to profit or loss. The

Incentive Options subsequently expired unvested on 30 June 2026. This has been offset slightly following the

issue of 3,300,000 Incentive Options (2025: nil) during the year;

(iv) Arbitration expenses of $4,690,000 (2025: $2,164,000) relating to BEL’s ongoing arbitration proceedings against

Spain; and

(v) Foreign exchange loss of $3,376,000 (2025: loss of $888,000) largely attributable on the US$42 million (30 June:

US$48 million) held in cash by the Group following the strengthening of the AUD against the USD during the

period by some 4% during the year.

Financial Position

At 30 June 2026, the Group is in a strong financial position with cash reserves of $62,443,000 (2025: $73,594,000). The

Company had net cash outflows during the year totalling $7,782,000 (2025: $4,610,000), and a foreign exchange loss of

$3,369,000 (2025: gain $859,000).

The Group had net assets of $70,721,000 at 30 June 2026 (2025: $81,368,000), a decrease of 13% compared with 30

June 2025. The decrease is consistent with the decrease in cash.

Business Strategies and Prospects for Future Financial Years

Berkeley’s strategic objective is to create long-term shareholder value with the Company's primary focus continuing to be

on progressing the approvals required to commence construction of the Salamanca mine and bring it into production.

To achieve its strategic objective, the Company currently has the following business strategies and prospects:

• Continue in the defence of the Company’s rights through an established and enforceable legal framework, ICSID,

in relation to the international arbitration for the investment dispute between BEL and Spain following Spain’s

actions against BME and the Salamanca Project that are alleged to have violated multiple provisions of the ECT;

• Continue with exploration activities at the Conchas Project;

• Continue to diversify exploration activities into battery and critical metals within Spain; and

• Continue to assess other business and development opportunities in the resources sector.

All of these activities are inherently risky and the Board is unable to provide certainty that any or all of these activities will

be able to be achieved. The material business risks faced by the Company that are likely to have an effect on the

Company’s future prospects, and how the Company manages these risks, include but are not limited to the following:

• Litigation risk – All industries, including the mining industry, are subject to legal and arbitration claims. Specifically,

in May 2024, the Company’s wholly owned subsidiary, BEL filed a Request for Arbitration for its investments in

Spain through its Spanish subsidiary, BME, initiating arbitration proceedings against Spain, the Respondent before

ICSID.

In November 2022, BEL submitted a written notification of an investment dispute to the Prime Minister of Spain and

the MITECO informing them of the nature of the dispute and the ECT breaches, and that it proposed to seek prompt

negotiations for an amicable solution pursuant to article 26.1 of the ECT. The Spanish government has not engaged

in any discussions related to the dispute to date, and BEL filed its Request in order to enforce its rights at the

Salamanca Project through international arbitration.

In February 2026, the Company filed a Memorial of Claim at the ICSID alleging that the Respondent’s actions

against BME and the Salamanca Project have violated multiple provisions of the ECT, and therefore BEL is seeking

compensation in the order of US$1.25 billion (US$1,250,000,000) for these violations.

ANNUAL REPORT 2026 11

Since the Memorial of Claim was submitted, the Respondent filed a request to bifurcate the proceedings, pursuant

to the ICSID Convention and Arbitration Rules. The Tribunal has now advised that the proceedings will be bifurcated

and conducted in two phases: first, jurisdictional objections concerning the denial of benefits; and second, merits

and quantum of damages. Subsequent to the end of the year, an updated procedural timetable was established.

The hearing for the bifurcated denial of benefits procedure has been scheduled for mid-2027, which will follow the

customary exchange of written submissions comprising statements for a memorial, counter-memorial, reply and

rejoinder

Notwithstanding the investment dispute, BEL remains committed to the Salamanca Project and continues to be

open to a constructive dialogue with Spain. BEL is ready to collaborate with the relevant Spanish authorities to find

an amicable resolution to the permitting situation and remains hopeful discussions can take place in the near term.

The Group will strongly defend its position and continue to take relevant actions to pursue its legal rights regarding

the Salamanca Project. However, there is no certainty that the arbitration proceedings will be successful which may

have a material impact on the Company’s securities.

• Mining licences and government approvals required – In 2021, the Company received formal notification from

MITECO that it had rejected the NSC II application at the Salamanca Project. This decision followed the

unfavourable NSC II report issued by the NSC in July 2021.

Berkeley strongly refutes the NSC's assessment and, in the Company's opinion, the NSC has adopted an arbitrary

decision with the technical issues used as justification to issue the unfavourable report lacking in both technical and

legal support.

Berkeley submitted documentation, including an 'Improvement Report' to supplement the Company's initial NSC II

application, along with the corresponding arguments that address all the issues raised by the NSC, and a request

for its reassessment by the NSC, to MITECO in July 2021.

Further documentation was submitted to MITECO in August 2021, in which the Company, with strongly supported

arguments, dismantled all of the technical issues used by the NSC as justification to issue the unfavourable report.

The Company again restated that the project is compliant with all requirements for NSC II to be awarded and

requested its NSC II Application be reassessed by the NSC.

In addition, the Company requested from MITECO access to the files associated with the Authorisation for

Construction and Authorisation for Dismantling and Closure for the radioactive facilities at La Haba (Badajoz) and

Saelices El Chico (Salamanca), which are owned by ENUSA Industrias Avandas S.A., in order to verify and

contrast the conditions approved by the competent administrative and regulatory bodies for other similar uranium

projects in Spain.

Based on a detailed comparison of the different licensing files undertaken by the Company following receipt of these

files, it is clear that Berkeley, in its NSC II submission, has been required to provide information that does not

correspond to: (i) the regulatory framework, (ii) the scope of the current procedural stage (i.e., at the NSC II stage),

and/or (iii) the criteria applied in other licensing processes for similar radioactive facilities. Accordingly, the Company

considers that the NSC has acted in a discriminatory and arbitrary manner when assessing the NSC II application

for the Salamanca Project.

In Berkeley's strong opinion, MITECO has rejected the Company's NSC II Application without following the legally

established procedure, as the Improvement Report has not been taken into account and sent to the NSC for its

assessment, as requested on multiple occasions by the Company.

In this regard, the Company believes that MITECO have infringed regulations on administrative procedures in Spain

but also under protection afforded to Berkeley under the ECT, which would imply that the decision on the rejection

of the Company’s NSC II Application is not legal.

In April 2023, the Company’s wholly owned Spanish subsidiary, BME submitted a contentious-administrative appeal

before the Spanish National Court in an attempt to overturn the MITECO decision denying NSC II.

Whilst the Company’s focus is on resolving the current permitting situation, and ultimately advancing the Salamanca

Project towards production, the Company and BME will continue to strongly defend its position and take all

necessary actions to preserve its rights.

Initiation of the contentious-administrative appeal was necessary to preserve BME’s rights however, the Company

reiterates that it is prepared to collaborate with the relevant authorities and remains hopeful that the permitting

situation can be resolved amicably.

Further, Berkeley received formal notifications from the TSJ in December 2023 which upheld the appeals submitted

by a non-governmental organisation, Plataforma Stop Uranio, and the city council of Villavieja de Yeltes (the

appellants) to revoke the first instance judgements related to the Authorization of AEUL and the UL, which annulled

both the AEUL and UL.

The AEUL and the UL were granted to the Company in July 2017 and August 2020 by the Regional Commission

of Environment and Urbanism, and the Municipality of Retortillo respectively.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

12 BERKELEY ENERGIA LIMITED

The appellants subsequently filed administrative appeals against the AEUL and the UL at the first instance courts

in Salamanca. The administrative appeals against the AEUL and UL were dismissed in September 2022 and

January 2023 respectively.

One of the appellants subsequently lodged appeals before the TSJ, with the TSJ delivering judgements in

December 2023 to revoke the first instance judgements and declare the AEUL and the UL null.

The Company strongly disagrees with the fundamentals of the TSJ’s judgement and having previously submitted

cassation against the TSJ judgements before the Supreme Court under Spanish law to defend its position. BME

has withdrawn the appeals to preserve the Group’s rights under international arbitration.

Further, various appeals and adverse judgements have also been made against other permits and approvals (such

as the waste water discharge permit) the Company had previously received for the Salamanca Project, as allowed

for under Spanish law. The Company expects that further appeals will be made against these and any future permits

and approvals.

However, the successful development of the Salamanca Project will be dependent on the granting, or re-granting

of all permits and licences necessary for the construction and production phases, in particular the grant of NSC II,

UL and AEUL which will allow for the construction of the plant as a radioactive facility. In this regard, the Company

has entered into an advisory agreement on a fixed and success fee basis to assist with the grant, or re-grant, of all

permits and licences necessary for the construction phase at Salamanca.

However, with any development project, there is no guarantee that the Company will be successful in applying for

and maintaining all required permits and licences to complete construction and subsequently enter into production.

If the required permits and licences are not granted, or are granted, appealed against and withdrawn (as in the case

of the UL, AEUL and surface water capture and waste water discharge permits), then this could have a material

adverse effect on the Group’s financial performance, which could lead to a reduction in the carrying value of assets

which may materially jeopardise the viability of the Salamanca Project and the price of its ordinary shares.

• The Company may not successfully acquire new projects – In conjunction with seeking to overturn the negative

MITECO decision through international arbitration, the Company is also searching for and assessing other new

business opportunities at the Salamanca Project, as well as new business opportunities in the resources sector

which could have the potential to build shareholder value. These new business opportunities may take the form of

direct project acquisitions, joint ventures, farm-ins, acquisition of tenements/permits, or direct equity participation.

The Company’s success in its acquisition activities depends on its ability to identify suitable projects, acquire them

on acceptable terms, and integrate the projects successfully, which the Company’s Board is experienced in doing.

However, there can be no guarantee that any proposed acquisition will be completed or be successful and the

Directors are not able to assess the likelihood or timing of a successful acquisition. If a proposed acquisition is

completed the usual risks associated with a new project and/or business activities will remain. Further, any new

acquisition may require the establishment of a new business.

The Company’s ability to generate revenue from a new business will depend on the Company being successful in

exploring, identifying mineral resources and establishing mining operations in relation to a new project. Whilst the

Directors have extensive industry experience, there is no guarantee that the Company will be successful in exploring

and developing a new project.

• The Company’s activities are subject to Government regulations and approvals – The Company’s exploration and

any future mining activities are dependent upon the maintenance and renewal, from time to time, of the appropriate

title interests, licences, concessions, leases, claims, permits, environmental decisions, planning consents and other

regulatory consents which may be withdrawn or made subject to new limitations. The maintaining or obtaining of

renewals or attainment and grant of title interests often depends on the Company being successful in obtaining and

maintaining required statutory approvals for its proposed activities. The mining licence for the Salamanca Project

was granted in April 2014 and is valid until April 2044 (and renewable for two further periods of 30 years each).

Given the current permitting situation at the Salamanca Project, the Company applied for, and has been granted a

temporary suspension of activity work at the Retortillo mining licence by the regional mining authorities, whilst the

NSC II related and abovementioned appeals processes are ongoing.

The Company closely monitors the status of its mining and exploration permits and licences and works closely with

the relevant government departments in Spain (as discussed above) to ensure the various licences are maintained

and renewed when required. However, there is no assurance that such title interests, licenses, concessions, leases,

claims, permits, decisions or consents will not be revoked, significantly altered or not renewed to the detriment of

the Company or that the renewals and new applications will be successful.

If such title interests, licences, concessions, leases, claims, permits, environmental decisions, planning consents

and other regulatory consents are not maintained or renewed then this could have a material adverse effect on the

Company’s financial performance and the price of its Ordinary Shares.

There can also be no assurances that the Company’s interests in its properties and licences are free from defects.

The Company has investigated its rights and believes that these rights are in good standing. There is no assurance,

however, that such rights and title interests will not be revoked or significantly altered to the detriment of the

Company.

ANNUAL REPORT 2026 13

In April 2021, the parliament in Spain (the Spanish Parliament) approved an amendment to the draft climate

change and energy transition bill relating to the investigation and exploitation of radioactive minerals (e.g. uranium).

The Spanish Parliament reviewed and approved the amendment to Article 10 under which: (i) new applications for

exploration, investigation and direct exploitation concessions for radioactive materials, and their extensions, would

not be accepted following the entry into force of this law; and (ii) existing concessions, and open proceedings and

applications related to these, would continue as per normal based on the previous legislation. The new law was

published in the Official Spanish State Gazette and came into effect in May 2021.

The Company currently holds legal, valid and consolidated rights for the investigation and exploitation of its mining

projects, including the 30-year mining licence (renewable for two further periods of 30 years) for the Salamanca

Project, however any new proceedings opened by the Company is now not allowed under the aforementioned new

law. This could create uncertainty and pose a risk on future applications, renewals or proceedings the Company

may have to make in the future at the Salamanca Project or elsewhere, which if unfavourable could have a

detrimental effect on the viability of the Salamanca Project or the Company’s pursuit of other development

opportunities.

Therefore, there can be no assurances that the Company’s rights and title interests will not be challenged or

impugned by third parties or governments in the future. To the extent that any such rights or title interests are

revoked or significantly altered to the detriment of the Company, then this could have a material adverse effect on

the Group’s financial performance and the price of its ordinary shares.

• The Company may be adversely affected by fluctuations in commodity prices – The price of commodities (in the

case of the Group – critical metals (such Li, Rb, Sn, Ta, Nb and W) and uranium) fluctuates widely and is affected

by further numerous factors beyond the control of the Company. Future production, if any, from the Group’s mineral

properties will be dependent upon commodity prices being adequate to make these properties economic. The Group

currently does not engage in any hedging or derivative transactions to manage commodity price risk. As the Group’s

operations change and advance, this policy will be reviewed periodically.

• The Group’s projects are not yet in production – As a result of the substantial expenditures involved in mine

development projects, mine developments are prone to material cost overruns versus budget. The capital

expenditures and time required to develop new mines are considerable and changes in cost or construction

schedules can significantly increase both the time and capital required to build the mine.

• Global financial conditions may adversely affect the Company’s growth and profitability – Many industries, including

the mineral resource industry, are impacted by these market conditions. Some of the key impacts of the current

financial market turmoil include contraction in credit markets resulting in a widening of credit risk, devaluations and

high volatility in global equity, commodity, foreign exchange and energy markets, and a lack of market liquidity. A

slowdown in the financial markets or other economic conditions may adversely affect the Company’s growth and

ability to finance its activities.

DIRECTORS

The names of Directors in office at any time during the financial year or since the end of the financial year are:

Directors

Mr Ian Middlemas Chairman

Mr Robert Behets Executive Director

Mr Adam Parker Non-Executive Director

Mr José Bogas Gálvez Non-Executive Director (appointed 27 July 2026)

Unless otherwise disclosed, Directors held their office from 1 July 2025 until the date of this report.

CURRENT DIRECTORS AND OFFICERS

Ian Middlemas

Chairman

Qualifications – B.Com, CA

Mr Middlemas is a Chartered Accountant who also holds a Bachelor of Commerce degree. He worked for a large

international Chartered Accounting firm before joining the Normandy Mining Group where he was a senior group executive

for approximately 10 years. He has had extensive corporate and management experience, and is currently a director with

a number of publicly listed companies in the resources sector.

Mr Middlemas was appointed a Director and Chairman of Berkeley Energia Limited on 27 April 2012. During the three year

period to the end of the financial year, Mr Middlemas has held directorships in GBM Resources Limited (June 2025 –

present), NGX Limited (April 2021 – present), Constellation Resources Limited (November 2017 – present), Apollo Minerals

Limited (July 2016 – present), GreenX Metals Limited (August 2011 – present), Salt Lake Potash Limited (Receivers and

Managers Appointed) (January 2010 – present), Equatorial Resources Limited (November 2009 – present), Sovereign

Metals Limited (July 2006 – present) and Odyssey Gold Limited (September 2005 – present).

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

14 BERKELEY ENERGIA LIMITED

Robert Behets

Executive Director

Qualifications – B.Sc (Hons), FAusIMM, MAIG

Mr Behets is a geologist with over 35 years’ experience in the mineral exploration and mining industry in Australia and

internationally. He was instrumental in the founding, growth and development of Mantra Resources Limited, an African

focused uranium company, through to its acquisition by ARMZ for approximately A$1 billion in 2011. Prior to Mantra, Mr

Behets held various senior management positions during a long career with WMC Resources Limited.

Mr Behets has a strong combination of technical, commercial and managerial skills and extensive experience in

exploration, mineral resource and ore reserve estimation, feasibility studies and operations across a range of commodities,

including uranium, gold and base metals. He is a Fellow of The Australasian Institute of Mining and Metallurgy, a Member

of the Australian Institute of Geoscientists and was also previously a member of the Australasian Joint Ore Reserve

Committee (JORC).

Mr Behets was appointed a Director of the Company on 27 April 2012. During the three year period to the end of the

financial year, Mr Behets has held directorships in GBM Resources Limited (June 2025 – present), Odyssey Gold Limited

(August 2020 – present), Constellation Resources Limited (June 2017 – present), Apollo Minerals Limited (October 2016

– present) and Equatorial Resources Limited (February 2016 – present).

Adam Parker

Non-Executive Director

Qualifications – MA.Chem (Hons), ASIP

Mr Parker joined the Company after a long and successful career in institutional fund management in the City of London

spanning almost three decades, including being a co-founder of Majedie Asset Management. Mr Parker began his career

in 1987 at Mercury Asset Management (subsequently acquired by Merrill Lynch and now part of BlackRock) and left in

2002 when he co-founded Majedie Asset Management.

Mr Parker was instrumental in building Majedie Asset Management into the successful investment boutique that it is today.

He managed funds including the Majedie UK Opportunities Fund, the Majedie UK Smaller Companies Fund and a quarter

of the Majedie UK Focus Fund. He left Majedie in 2015 and Majedie Asset Management has since been acquired by

Liontrust Asset Management in 2022.

Mr Parker was appointed a Director of Berkeley Energia Limited on 14 June 2017. Mr Parker has not been a Director of

another listed company in the three years prior to the end of the financial year.

Mr José Bogas Gálvez

Non-Executive Director

Qualifications – Industrial Engineer (ICAI)

Mr Bogas joined the Company after a long and successful career at Endesa, including 12 years as Chief Executive Officer,

during which he spearheaded the company’s transformation to maintain its leadership in the Spanish electricity sector. He

stepped down as CEO of Endesa in April 2026 but remains as a Director of company.

Mr Bogas has also been actively involved in energy sector institutions including being a former member of the Board of

Directors of AELEC (Association of Electric Power Companies) and currently the Honorary Vice-Chairman and Board

Member of the Spanish Energy Club

Mr Bogas was appointed a Director of Berkeley Energia Limited on 27 July 2026. Other than being a Director, of Endesa,

Mr Bogas has not been a Director of another listed company in the three years prior to the end of the financial year.

OTHER KMP

Francisco Bellón del Rosal (Francisco Bellón)

Chief Operations Officer

Qualifications – M.Sc, MAusIMM

Mr Bellón is a Mining Engineer with more than 25 years of experience in the resources sector, including specialisation in

mineral processing. During his career, Mr Bellón has participated in the construction, commissioning and operation of four

mines in Spain, two in South America and two in West Africa, working at an executive level for Toronto, New York or Madrid

Stock Exchange listed companies, such as Rio Narcea Gold Mines, Lundin Mining, ENDESA and Duro Felguera.

Mr Bellón who is based in Salamanca, joined Berkeley in 2011 as General Manager of Operations, and was subsequently

promoted to Chief Operations Officer in 2017. During this period, Mr Bellón has been responsible for the Company’s day-

to-day operations in Spain, and has overseen the development of the Salamanca Project from the Scoping Study stage

through to the completion of the Definitive Feasibility Study and Front End Engineering Design. He has also been a Director

of the Company’s Spanish subsidiaries since 2011.

Mr Bellón has a Masters Degrees in Mining Engineering and Occupational Health and Safety, Investor Relations

Certification from the Madrid Stock Exchange, and is Member of the Australasian Institute of Mining and Metallurgy

(AusIMM).

ANNUAL REPORT 2026 15

Dylan Browne

Chief Financial Officer (CFO) and Company Secretary

Qualifications – B.Com, CA, AGIA ACG

Mr Browne is a Chartered Accountant and Associate Member of the Governance Institute of Australia (Chartered

Secretary) who is currently Company Secretary for a number of ASX and European listed companies that operate in the

resources sector. He commenced his career at a large international accounting firm and has since been involved with a

number of exploration and development companies operating in the resources sector, based in London and Perth, including

Sovereign Metals Limited, GreenX Metals Limited and Papillon Resources Limited. Mr Browne successfully listed GreenX

on the Main Board of the London Stock Exchange and the Warsaw Stock Exchange in 2015 and oversaw Berkeley’s

listings on the Main Board London Stock Exchange and the Spanish Stock Exchanges. Mr Browne was appointed

Company Secretary of the Company on 29 October 2015.

PRINCIPAL ACTIVITIES

The principal activities of the Consolidated Entity during the year consisted of mineral exploration and development and

the defence of its investments in Spain through international arbitration.

There was no significant change in the nature of

those activities.

DIVIDENDS

No dividends have been declared, provided for or paid in respect of the financial year ended 30 June 2026 (2025: nil).

EARNINGS PER SHARE

2026

Cents

2025

Cents

Basic and diluted loss per share

(1.95)

(1.22)

SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS

There were no significant changes in the state of affairs of the Consolidated Entity during the year not otherwise disclosed

in this report.

SIGNIFICANT EVENTS AFTER THE BALANCE DATE

(i) On 21 July 2026, the Company announced maiden MRE for its 100% owned Conchas Project, as part of the

Company’s Critical Minerals Exploration Initiative in Spain; and

(ii) On 27 July 2026, Mr José Bogas Gálvez was appointed as an independent Non-Executive Director of the Company.

As at the date of this report there are no other matters or circumstances, which have arisen since 30 June 2026 that have

significantly affected or may significantly affect:

• the operations, in financial years subsequent to 30 June 2026, of the Consolidated Entity;

• the results of those operations, in financial years subsequent to 30 June 2026, of the Consolidated Entity; or

• the state of affairs, in financial years subsequent to 30 June 2026, of the Consolidated Entity.

ENVIRONMENTAL REGULATION AND PERFORMANCE

The Consolidated Entity's operations are subject to various environmental laws and regulations under the relevant

government's legislation. Full compliance with these laws and regulations is regarded as a minimum standard for all

operations to achieve. Instances of environmental non-compliance by an operation are identified either by external

compliance audits or inspections by relevant government authorities.

There have been no significant known breaches by the Consolidated Entity during the financial year.

In September 2012, Berkeley qualified for certification in accordance with ISO 14001 of Environmental Management, which

sets out the criteria for an environmental management system, and UNE 22470-40 of Sustainable Mining Management,

which allows for the systematic monitoring and tracking of sustainability indicators, and is useful in the establishment of

targets for constant improvement. These certificates are renewed following completion of audits established by the

regulations, with the most recent renewal audit successfully completed in 2024.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

16 BERKELEY ENERGIA LIMITED

INFORMATION ON DIRECTORS' INTERESTS IN SECURITIES OF BERKELEY

Interest in Securities at the Date of this Report

Current Directors

Ordinary Shares

(i)

Incentive Options

(ii)

Ian Middlemas

12,100,000

Robert Behets

2,490,000

Adam Parker

300,000

José Bogas

2,000,000

Notes:

(i) ‘Ordinary Shares’ means fully paid ordinary shares in the capital of the Company.

(ii) ‘Incentive Options’ means an unlisted option to subscribe for one Ordinary Share in the capital of the Company.

CONVERTIBLE SECURITIES

At the date of this report 3,300,000 Incentive Options exercisable at $0.80 each on or before 30 June 2028 have been

issued over unissued Ordinary Shares of the Company.

These securities do not entitle the holders to participate in any share issue of the Company or any other body corporate.

During the year ended 30 June 2026, 496,428 (2025: nil) Ordinary Shares have been issued as a result of the exercise of

Incentive Options. Subsequent to year end and up until the date of this report, no Ordinary Shares have been issued as a

result of the exercise/conversion of Incentive Options or Performance Rights.

MEETINGS OF DIRECTORS

The following table sets out the number of meetings of the Company's Directors and the board committees held during the

year ended 30 June 2026, and the number of meetings attended by each director.

The Board as a whole currently performs the functions of a Risk Committee, however this will be reviewed should the size

and nature of the Company’s activities change.

Subsequent to the year end a separate Audit Committee has been set up.

Board Meetings

Remuneration and

Nomination Committee

(i)

Audit Committee

(ii)

Current Directors

Eligible to

Attend

Number

Attended

Eligible to

Attend

Number

Attended

Eligible to

Attend

Number

Attended

Ian Middlemas

Robert Behets

Adam Parker

Notes:

(i) Remuneration and Nomination Committee meetings are generally considered and approved by means of written resolutions of

committee members.

(ii) On 29 June 2026, the Company established an Audit Committee to oversee the Company’s financial reporting and quality of the

audits conducted by both external and internal auditors.

ANNUAL REPORT 2026 17

REMUNERATION REPORT (AUDITED)

This report details the amount and nature of remuneration of each director and executive officer of the Company.

Details of Key Management Personnel

The Key Management Personnel (KMP) of the Group during or since the end of the financial year were as follows:

Directors

Mr Ian Middlemas Chairman

Mr Robert Behets Executive Director

Mr Adam Parker Non-Executive Director

Mr José Bogas Gálvez Non-Executive Director (appointed 27 July 2026)

Other KMP

Mr Francisco Bellón Chief Operations Officer

Mr Dylan Browne CFO and Company Secretary

There were no other KMP of the Company or the Group. Unless otherwise disclosed, the KMP held their position from 1

July 2025 until the date of this report.

Remuneration Policy

The remuneration policy for the Group's KMP has been developed by the Board taking into account the size of the Group,

the size of the management team for the Group, the nature and stage of development of the Group's current operations

and market conditions and comparable salary levels for companies of a similar size and operating in similar sectors.

In addition to considering the above general factors, the Board has also placed emphasis on the following specific issues

in determining the remuneration policy for KMP:

• the Group is currently focused on undertaking development and construction activities;

• risks associated with resource companies whilst exploring, pursuing arbitration claim and developing projects; and

• other than profit which may be generated from asset sales (if any), the Group does not expect to be undertaking

profitable operations until sometime after the successful commercialisation, production and sales of commodities

from one or more of its current projects, or the acquisition of a profitable mining operation.

Remuneration and Nomination Committee

The Board has established an independent Remuneration and Nomination Committee (Remcom) to oversee the Group’s

remuneration and nomination responsibilities and governance. The remuneration committee members currently consist of

two directors being Mr Parker (as Chair) and Mr Behets.

The Remcom’s role is to determine the remuneration of the Company’s executives, oversee the remuneration of KMP, and

approve awards under the Company's long-term equity incentive plan (Plan).

The Remcom reviews the performance of executives and KMP and sets the scale and structure of their remuneration and

the basis of their service/consulting agreements. In doing so, the Remcom will have due regard to the interests of

shareholders.

In determining the remuneration of executives and KMP, the Remcom seeks to enable the Company to attract and retain

executives of the highest calibre. In addition, the Remcom decides whether to grant incentives securities in the Company

and, if these are to be granted, who the recipients should be.

Remuneration Policy for Executives

The Group's remuneration policy is to provide a fixed remuneration component and a performance based component

(Incentive Options, Performance Rights and cash bonuses, see below). The Board believes that this remuneration policy

is appropriate given the considerations discussed in the section above and is appropriate in aligning KMP objectives with

shareholder and business objectives.

Fixed Remuneration

Fixed remuneration consists of base salaries, as well as employer contributions to superannuation funds and other non-

cash benefits. Non-cash benefits may include provision of motor vehicles, housing and health care benefits.

Fixed remuneration will be reviewed annually by the Remcom. The process consists of a review of Company and individual

performance, relevant comparative remuneration externally and internally and, where appropriate, external advice on

policies and practices.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

18 BERKELEY ENERGIA LIMITED

Performance Based Remuneration – Short Term Incentive

Some KMP may be entitled to an annual cash bonus upon if various key performance indicators (KPI’s), as set by the

Board, are achieved. Having regard to the current size, nature and opportunities of the Company, the Board may determine

that these KPI’s will include measures such as, for example, successful completion of exploration activities (e.g. completion

of exploration programmes within budgeted timeframes and costs), development activities (e.g. completion of feasibility

studies and initial infrastructure), corporate activities (e.g. recruitment of key personnel and project financing) and business

development activities (e.g. project acquisitions and capital raisings). On an annual basis, after consideration of

performance against KPI’s, the Board determines the amount, if any, of the annual cash bonus to be paid to each KMP.

Given the current status of the Salamanca Project, no bonus (2025: nil) was paid, or is payable to KMP during the financial

year.

Performance Based Remuneration – Long Term Incentive

The Group has adopted a Plan comprising the grant of Incentive Options and/or Performance Rights to reward KMP and

key employees and contractors for long-term performance of the Company. Shareholders approved to renew the Plan in

November 2025.

The Plan enables the Group to: (a) recruit, incentivise and retain KMP and other key employees and contractors needed

to achieve the Group's business objectives; (b) link the reward of key staff with the achievement of strategic goals and the

long-term performance of the Group; (c) align the financial interest of participants of the Plan with those of Shareholders;

and (d) provide incentives to participants of the Plan to focus on superior performance that creates Shareholder value.

To achieve its corporate objectives, the Group needs to attract, incentivise, and retain its key employees and contractors.

The Board believes that grants of Performance Rights and/or Incentive Options to KMP will provide a useful tool to underpin

the Group's employment and engagement strategy.

(i) Incentive Options

The Group has a Plan that provides for the issuance of Incentive Options to eligible participants. The Board’s policy is to

grant Incentive Options to KMP with exercise prices at or above market share price (at the time of agreement). As such,

Incentive Options granted to KMP are generally only of benefit if the KMP perform to the level whereby the value of the

Group increases sufficiently to warrant exercising the Incentive Options granted.

Other than service-based or performance based vesting conditions (if any) and the exercise price required to exercise the

Incentive Options, there are generally no additional criteria applied on the Incentive Options granted to KMP, as given the

speculative nature of the Group’s activities and the small management team responsible for its running, it is considered

that the performance of the KMP and the performance and value of the Group are closely related. The Company prohibits

executives entering into arrangements to limit their exposure to Incentive Options granted as part of their remuneration

package.

During the last two financial years, no Incentive Options were granted to KMP. During the financial year, 5,500,000 (2025:

nil) Incentive Options previously granted to KMP expired unvested.

(ii) Performance Rights

The Plan also enables the Group to issue unlisted Performance Rights which, upon satisfaction of the relevant performance

conditions attached to the Performance Rights, will result in the issue of an Ordinary Share for each Performance Right.

Performance Rights are issued for no consideration and no amount is payable upon conversion thereof.

Performance Rights granted under the Plan to eligible participants will be linked to the achievement by the Group of certain

performance conditions as determined by the Board from time to time. These performance conditions must be satisfied in

order for the Performance Rights to vest. Upon Performance Rights vesting, Ordinary Shares are automatically issued for

no consideration. If a performance condition of a Performance Right is not achieved by the expiry date then the

Performance Right will lapse. During the last two financial years, no Performance Rights were granted, exercised, or lapsed

to KMP.

(iii) Management Incentive Program

During the period and in order to retain and incentivise key management personnel who are essential to the management

and progression of the arbitration claim for the entire claim process and timetable, BEL has established a long-term

Management Incentive Program (Management Incentive Program) which provides that if the claim is successful, whether

through the international arbitration proceedings or settlement and BEL receives any damages, awards, judgments,

settlements, compromises or other proceeds in relation to or arising from the claim (Damages Proceeds), six per cent of

any Damages Proceeds will be distributed to participants in the Management Incentive Program and if BEL or BME is

granted the licence to commence construction at the Salamanca Project, US$10,000,000 will be distributed to participants

in the Management Incentive Program (MIP Distribution). In this regard, of the six per cent of any future MIP Distribution,

Mr Bellon (or his nominee personal services entity) will be entitled to 30% of the MIP Distribution (i.e. 30% of the 6% MIP

Distribution), and Mr Behets and Mr Browne (or their nominee personal services entities) will be entitled to 20% of the MIP

Distribution (i.e. 20% of the 6% MIP Distribution). The remaining 30% of the MIP Distribution is currently unallocated and

reserved for future allocation to any other key staff identified as contributing to the claim process.

ANNUAL REPORT 2026 19

Remuneration Policy for Non-Executive Directors

The Board policy is to remunerate Non-Executive Directors at market rates for comparable companies for time,

commitment and responsibilities. Given the current size, nature and risks of the Company, incentive options have been

used to attract and retain Non-Executive Directors. The Board determines payments to the Non-Executive Directors and

reviews their remuneration annually, based on market practice, duties and accountability. Independent external advice is

sought when required.

The maximum aggregate amount of fees that can be paid to Non-Executive Directors is subject to approval by shareholders

at a General Meeting. The maximum aggregate amount that may be paid to Non-Executive Directors in a financial year is

$350,000, as approved by shareholders at a Meeting of Shareholders held on 6 May 2009. Director’s fees paid to Non-

Executive Directors accrue on a daily basis. Fees for Non-Executive Directors are not directly linked to the performance of

the economic entity. However, to align Directors’ interests with shareholder interests, the Directors are encouraged to hold

shares in the Company. Given the size, nature and opportunities of the Company, Non-Executive Directors may receive

Incentive Options or Performance Rights in order to secure and retain their services.

Fees for the Chairman were set at $50,000 per annum (2025: $50,000) (excluding post-employment benefits).

Fees for Non-Executive Directors’ were set at $45,000 per annum (2025: $45,000) (excluding post-employment benefits).

These fees cover main board activities only. Non-Executive Directors may receive additional remuneration for other

services provided to the Company, including but not limited to, membership of committees.

During the 2026 financial year, no Incentive Options or Performance Rights were granted to Non-Executive Directors

(2025: nil).

Relationship between Remuneration and Shareholder Wealth

During the Group's exploration and development phases of its business, the Board anticipates that the Company will retain

future earnings (if any) and other cash resources for the operation and development of its business. Accordingly, the

Company does not currently have a policy with respect to the payment of dividends and returns of capital. Therefore, there

was no relationship between the Board’s policy for determining, or in relation to, the nature and amount of remuneration of

KMP and dividends paid and returns of capital by the Company during the current and previous four financial years.

The Board does not directly base remuneration levels on the Company's share price or movement in the share price over

the financial year and the previous four financial years. Discretionary annual cash bonuses are based upon achieving

various non-financial KPIs as detailed under ‘Performance Based Remuneration – Short Term Incentive’ and are not based

on share price or earnings. As noted above, a number of KMP have also been granted Performance Rights and Incentive

Options, which generally will be of greater value should the value of the Company's shares increase (subject to vesting

conditions being met), and in the case of options, increase sufficiently to warrant exercising the Incentive Options granted.

Relationship between Remuneration of KMP and Earnings

As discussed above, the Group is currently undertaking exploration activities, and does not expect to be undertaking

profitable operations until sometime after the successful commercialisation, production and sales of commodities from one

or more of its current projects.

Accordingly, the Board does not consider earnings during the current and previous four financial years when determining,

and in relation to, the nature and amount of remuneration of KMP.

The maximum aggregate amount of fees that can be paid to Non-Executive Directors is subject to approval by shareholders

at a General Meeting. Fees for Non-Executive Directors are not linked to the performance of the economic entity. However,

to align Directors' interests with shareholder interests, the Directors are encouraged to hold shares in the Company and

Non-Executive Directors have received Performance Rights and Incentive Options in order to secure their services and as

a key component of their remuneration.

General

Where required, KMP receive superannuation contributions (or foreign equivalent), currently equal to 12% (2025: 11.5%)

of their salary, and do not receive any other retirement benefit. From time to time, some individuals have chosen to sacrifice

part of their salary to increase payments towards superannuation.

All remuneration paid to KMP is valued at cost to the Company and expensed. Incentive Options and Performance Rights

are valued using an appropriate valuation methodology. The value of these Incentive Options and Performance Rights is

expensed over the vesting period.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

20 BERKELEY ENERGIA LIMITED

KMP Remuneration

Details of the nature and amount of each element of the remuneration of each Director and other KMP of the Company or

Group for the financial year are as follows:

Short-term Benefits

Non-Cash

Percentage

of Total

Remunerat-

ion that

Consists of

Options

2026

Salary &

Fees

Cash

Incentive

Other

Non-

Cash

Benefits

(3)

Post

Employ-

ment

Benefits

(4)

Share-

Based

Payments

(5)

(6)

Total

Percent-

age

Perform-

ance

Directors

Ian Middlemas

45,000

Robert Behets

(1)

298,800

5,400

(575,561)

(271,361)

Adam Parker

50,483

3,317

53,800

Other KMP

Francisco Bellón

385,143

67,763

36,751

(719,451)

(229,794)

Dylan Browne

(2)

(194,551)

Total

779,426

67,763

45,468

(1,489,563)

(596,906)

Short-term Benefits

Non-Cash

Percentage

of Total

Remunerat-

ion that

Consists of

Options

2025

Salary &

Fees

Cash

Incentive

Other

Non-

Cash

Benefits

(3)

Post

Employ-

ment

Benefits

(4)

Share-

Based

Payments

(5)

Total

Percent-

age

Perform-

ance

Directors

Ian Middlemas

45,000

5,175

50,175

Robert Behets

(1)

270,000

5,175

280,855

556,030

50.5

Adam Parker

74,394

3,404

77,798

Other KMP

Francisco Bellón

375,722

64,785

32,079

351,069

823,655

42.6

Dylan Browne

(2)

94,935

100.0

Total

765,116

64,785

45,833

726,859

1,602,593

Notes:

(1)

Mr Behets has a services agreement with the Company, which provides for a consultancy fee at the rate of $1,200 per day for

management and technical services provided by Mr Behets.

(2)

Mr Browne provided services as the CFO and Company Secretary through a services agreement with Apollo Group Pty Ltd

(Apollo Group). Mr Browne is an employee of Apollo Group. During the year, Apollo Group was paid or is payable $420,000 for

the provision of administrative, secretarial and corporate services to the Group.

(3)

Other Non-Cash Benefits includes payments made for housing and car benefits.

(4)

Contains statutory superannuation and social security.

(5)

Share-based payments are measured for by using a Black-Scholes option pricing valuation method and are expensed over the

vesting period of the incentive Options on issue.

(6)

During the year, it was determined that the vesting condition attached to 5,500,000 Incentive Options granted to KMP would not

be satisfied prior to their expiry on 30 June 2026. As a result, previously recognised share-based payment expense of $1,855,979

was reversed to profit or loss.

ANNUAL REPORT 2026 21

Employment Contracts with Directors and KMP

Current Directors

Mr Ian Middlemas, Chairman, has a letter of appointment dated 29 June 2015 confirming the terms and conditions of his

appointment. Effective from 1 July 2013, Mr Middlemas has received a fee of $50,000 per annum exclusive of

superannuation.

Mr Robert Behets, Executive Director, has a letter of appointment dated 6 March 2026 confirming the terms and conditions

of his appointment as an Executive Director. Pursuant to the terms of this appointment letter, Mr Behets receives a fee of

$45,000 per annum exclusive of statutory superannuation. Mr Behets also has a services agreement with the Company

dated 18 June 2012, which provides for a consultancy fee at the rate of $1,200 per day for management and technical

services provided by Mr Behets. Either party may terminate the agreement without penalty or payment by giving two

months’ notice.

Mr Adam Parker, Non-Executive Director, has a letter of appointment with Berkeley dated 5 June 2017 confirming the

terms and conditions of his appointment. Effective from 28 August 2017, Mr Parker receives a fee of $45,000 per annum

for his Board duties and $15,000 for chairing the Remcom and Audit Committee.

Mr José Bogas Gálvez, Non-Executive Director, has a letter of appointment with Berkeley effective from 27 July 2026

confirming the terms and conditions of his appointment. Mr Bogas receives a fee of $45,000 per annum for his Board duties

and $15,000 for being a member of the Remcom.

Current other KMP

Mr Francisco Bellón, has a contract of employment dated 14 April 2011 and amended on 1 July 2011, 13 January 2015

and 16 March 2017. The contract specifies the duties and obligations to be fulfilled by the Chief Operations Officer. The

contract has a rolling term and may be terminated by the Company giving six months’ notice, or 12 months in the event of

a change of control of the Company. Mr Bellón received a fixed remuneration component of €220,000 per annum plus

compulsory social security contributions regulated by Spanish law, as well as the provision of accommodation in

Salamanca and a motor vehicle. Mr Bellón will also be entitled to receive an amount equivalent to statutory unemployment

benefits (approximately €25,000) and statutory severance benefits (equivalent to 45 days remuneration per year worked

from 9 May 2011 to 11 February 2012, and 33 days remuneration per year worked from 12 February 2012 until termination).

Equity instruments held by Key Management Personnel

Incentive Option holdings of KMP

2026

Held at

1 July 2025

Granted as

Compen-

sation

Vested

securities

exercised

Expired/

Lapsed

Held at

30 June 2026

Vested and

exercisable at 30

June 2026

Directors

Ian Middlemas

Robert Behets

2,000,000

(2,000,000)

Adam Parker

Other KMP

Francisco Bellón

2,500,000

(2,500,000)

Dylan Browne

1,000,000

(1,000,000)

Shareholdings of KMP

2026

Held at

1 July 2025

Granted as

Compensation

Options

exercised

On market

purchase/(sale)

Held at

30 June 2026

Directors

Ian Middlemas

12,100,000

Robert Behets

2,490,000

Adam Parker

300,000

Other KMP

Francisco Bellón

1,150,000

Dylan Browne

End of audited Remuneration Report.

DIRECTORS’ REPORT

30 JUNE 2026

(Continued)

22 BERKELEY ENERGIA LIMITED

AUDITOR’S AND OFFICERS' INDEMNITIES AND INSURANCE

Under the Constitution the Company is obliged, to the extent permitted by law, to indemnify an officer (including Directors)

of the Company against liabilities incurred by the officer in that capacity, against costs and expenses incurred by the officer

in successfully defending civil or criminal proceedings, and against any liability which arises out of conduct not involving a

lack of good faith.

During the financial year, the Company has paid an insurance premium to insure Directors and Officers of the Company

against certain liabilities arising out of their conduct while acting as a Director or Officer of the Company. Under the terms

and conditions of the insurance contract, the nature of liabilities insured against cannot be disclosed.

To the extent permitted by law, the Company has agreed to indemnify its auditors, Ernst & Young, as part of the terms of

its audit engagement agreement against claims by third parties arising from the audit (for an unspecified amount). No

payment has been made to indemnify Ernst & Young during or since the financial year.

NON-AUDIT SERVICES

During the year, the Company’s auditor, Ernst & Young, received, or is due to receive, $145,282 (2025: $132,094) for the

provision of non-audit services. The Directors are satisfied that the provision of non-audit services is compatible with the

general standard and independence for auditors imposed by the Corporations Act 2001 (Corporations Act). The nature

and scope of each type of non-audit service provided means the auditor independence was not compromised.

ROUNDING

The amounts contained in the financial report have been rounded to the nearest $1,000 (where rounding is applicable)

where noted ($000) under the option available to the Company under ASIC Corporations (Rounding in Financial/Directors’

Reports) Instrument 2026/183. The Company is an entity to which this legislative instrument applies.

AUDITOR'S INDEPENDENCE DECLARATION

The auditor's independence declaration is on page 51 of the Annual Financial Report.

This report is made in accordance with a resolution of the Directors made pursuant to section 298(2) of the Corporations

Act.

For and on behalf of the Directors

ROBERT BEHETS

Director

27 August 2026

ANNUAL REPORT 2026 23

Forward Looking Statement

Statements regarding plans with respect to Berkeley’s mineral properties are forward-looking statements. There can be no

assurance that Berkeley’s plans for development of its mineral properties will proceed as currently expected. There can

also be no assurance that Berkeley will be able to confirm the presence of additional mineral deposits, that any

mineralisation will prove to be economic or that a mine will successfully be developed on any of Berkeley’s mineral

properties.

Competent Persons Statements

The information in this announcement that relates to prior Exploration Results and Metallurgical Test Work is extracted

from an announcements dated 29 January 2025, 28 October 2025, 31 October 2025, 29 January 2026 and 29 April 2026,

which are available to view at www.berkeleyenergia.com. Berkeley confirms that: a) it is not aware of any new information

or data that materially affects the information included in the original announcements; b) all material assumptions and

technical parameters underpinning the Exploration Results and Metallurgical Test Work in the original announcements

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 announcement have not been materially modified from the original announcements.

The information in this announcement that relates to the Mineral Resource Estimate (Conchas Project) is extracted from

an announcement dated 21 July 2026 entitled ‘Maiden Lithium & Rubidium Mineral Resource Estimate for Conchas

Project’, which is available to view at www.berkeleyenergia.com and is based on, and fairly represents information compiled

by Mr Malcolm Titley, a Competent Person who is a Member of the Australasian Institute of Mining and Metallurgy. Berkeley

confirms that: a) it is not aware of any new information or data that materially affects the information included in the original

announcement; b) all material assumptions and technical parameters underpinning the Mineral Resource Estimate in the

original 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 announcement have not been materially modified from the original

announcement.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

28 BERKELEY ENERGIA LIMITED

1. SUMMARY OF MATERIAL ACCOUNTING POLICIES

The material accounting policies adopted in preparing the financial report of Berkeley Energia Limited (Berkeley or

Company or Parent) and its consolidated entities (Consolidated Entity or Group) for the year ended 30 June 2026 are

stated to assist in a general understanding of the financial report.

Berkeley is a company limited by shares incorporated in Australia whose shares are publicly traded on the Australian

Securities Exchange (ASX), the Main Board of the London Stock Exchange (LSE) and the Madrid, Barcelona, Bilbao and

Valencia Stock Exchanges (together the Spanish Stock Exchanges).

The financial report of the Company for the year ended 30 June 2026 was authorised for issue in accordance with a

resolution of the Directors.

(a) Basis of Preparation

The financial report is a general purpose financial report, which has been prepared in accordance with Australian

Accounting Standards (AASBs) adopted by the Australian Accounting Standards Board (AASB) and the Corporations Act

2001. The financial statements comprise the consolidated financial statements of the Group. For the purposes of preparing

the consolidated financial statements, the Company is a for-profit entity.

The financial report has been prepared on a historical cost basis. The financial report is presented in Australian dollars.

The consolidated financial statements have been prepared on a going concern basis which assumes the continuity of

normal business activity and the realisation of assets and the settlement of liabilities in the ordinary course of business.

(b) Statement of Compliance

The financial report complies with International Financial Reporting Standards (IFRS) as issued by the International

Accounting Standards Board.

In the current period, the Group has adopted all of the new and revised Accounting Standards and Interpretations issued

by the Australian Accounting Standards Board (the AASB) that are relevant to its operations and effective for the current

annual reporting period. The adoption of these new and revised Standards or Interpretations has had an immaterial impact

(if any) on the Group. Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not

been early adopted.

Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet effective

have not been adopted by the Group for the annual reporting period ended 30 June 2026. Those which may be relevant

to the Group are set out in the table below. The impact of these standards are still being assessed.

Standard/Interpretation

Application

date of

standard

Application

date for Group

AASB 2024-2 Amendments to AASs – Classification and Measurement of Financial

Instruments

1 January 2026

1 July 2026

AASB 2024-3 Amendments to AASs – Annual Improvements Volume II. Amendments to

AASB 1, AASB 7, AASB 9, AASB 10 and AASB 107

1 January 2026

1 July 2026

AASB 2025-2 Amendments to AASs – Classification and Measurement of Financial

Instruments: Tier 2 Disclosures

1 January 2026

1 July 2026

AASB 18 Presentation and Disclosure in Financial Statements

1 January 2027

1 July 2027

The consolidated financial statements incorporate the assets, liabilities and results of entities controlled by Berkeley

Energia Limited at reporting date. Control is achieved when the Company has power over the investee, is exposed, or has

rights, to variable returns from its involvement with the investee and has the ability to use its power to affect its returns.

The Company reassesses whether or not it controls an investee if facts and circumstances indicate that there are changes

to one or more of the three elements of control listed above. When the Company has less than a majority of the voting

rights of an investee, it has power over the investee when the voting rights are sufficient to give it the practical ability to

direct the relevant activities of the investee unilaterally. The Company considers all relevant facts and circumstances in

assessing whether or not the Company's voting rights in an investee are sufficient to give it power.

Where controlled entities have entered or left the group during the year, the financial performance of those entities are

included only for the period of the year that they were controlled. A list of controlled entities is contained in Note 15 to the

financial statements. In preparing the consolidated financial statements, all inter-group balances and transactions between

entities in the consolidated group have been eliminated on consolidation. Accounting policies of subsidiaries have been

changed where necessary to ensure consistency with those adopted by the parent entity.

ANNUAL REPORT 2026 29

(d) Business Combinations

The acquisition method of accounting is used to account for business combinations regardless of whether equity

instruments or other assets are acquired. The cost of a business combination is measured as the fair value of the assets

given, shares issued or liabilities incurred or assumed at the date of exchange and the amount of any non-controlling

interest in the acquiree. For each business combination, the acquirer measures the non-controlling interest in the acquiree

either at fair value or at the proportionate share of the acquiree's identifiable net assets. Acquisition-related costs are

expensed as incurred.

Where equity instruments are issued in a business combination, the fair value of the instruments is their published market

price as at the date of exchange unless, in rare circumstances, it can be demonstrated that the published price at the date

of exchange is an unreliable indicator of fair value and that other evidence and valuation methods provide a more reliable

measure of fair value.

Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured

initially at their fair values at the acquisition date, irrespective of the extent of any non-controlling interest. The excess of

the cost of the business combination over the fair value of the Group’s share of the identifiable net assets acquired is

recorded as goodwill. If the cost of acquisition is less than the fair value of the net assets acquired, the difference is

recognised directly in the income statement, but only after a reassessment of the identification and measurement of the

net assets acquired.

If the business combination is achieved in stages, the acquisition date fair value of the acquirer's previously held equity

interest in the acquiree is remeasured at fair value as at the acquisition date through profit or loss.

Where settlement of any part of cash consideration is deferred, the amounts payable in the future are discounted to their

present value as at the date of exchange. The discount rate used is the entity’s incremental borrowing rate, being the rate

at which a similar borrowing could be obtained from an independent financier under comparable terms and conditions.

(e) Revenue Recognition

Interest revenue is recognised as it accrues, taking into account the effective yield on the financial asset.

(f) Foreign Currency Translation

Both the functional and presentation currency of Berkeley at 30 June 2026 was Australian Dollars.

The following table sets out the functional currency of the subsidiaries (unless dormant) of the Group:

Company Name

Functional Currency

Berkeley Exploration Limited

Berkeley Minera Espana, S.L.U

Euro

Exploración De Recursos Minerales, S.L.U

Euro

Berkeley Investments

Berkeley Exploration Portugal Unipessoal LDA

Euro

Each entity in the Group determines its own functional currency and items included in the financial statements of each

entity are measured using that functional currency.

Transactions in foreign currencies are initially recorded in the functional currency at the exchange rates ruling at the date

of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exchange

ruling at the balance sheet date.

All exchange differences in the consolidated financial report are taken to the income statement with the exception of

exchange differences on intercompany loans which are not expected or planned to be repaid. These are taken to other

comprehensive income (OCI) until the disposal of the net investment, at which time they are recognised in the income

statement.

Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange

rate as at the date of the initial transaction. Where the functional currency of a subsidiary of Berkeley Energia Limited is

not Australian Dollars the assets and liabilities of the subsidiary at reporting date are translated into the presentation

currency of Berkeley at the rate of exchange ruling at the balance sheet date and the income statements are translated by

applying the average exchange rate for the year.

Any exchange differences arising on this retranslation are taken directly to the foreign currency translation reserve in equity.

On disposal of a foreign entity, the deferred cumulative amount recognised in equity and relating to that particular foreign

operation is recognised in the Statement of Profit or Loss and Other Comprehensive Income.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

30 BERKELEY ENERGIA LIMITED

(g) Income Tax

The income tax expense for the year is the tax payable on the current period's taxable income based on the national

income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to temporary

differences between the tax bases of assets and liabilities and their carrying amounts in the financial statements, and to

unused tax losses.

Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to apply when the

assets are recovered or liabilities are settled, based on those tax rates which are enacted or substantively enacted for each

jurisdiction. The relevant tax rates are applied to the cumulative amounts of deductible and taxable temporary differences

to measure the deferred tax asset or liability. An exception is made for certain temporary differences arising from the initial

recognition of an asset or a liability. No deferred tax asset or liability is recognised in relation to these temporary differences

if they arose on goodwill or in a transaction, other than a business combination, that at the time of the transaction did not

affect either accounting profit or taxable profit or loss.

Deferred tax liabilities and assets are not recognised for temporary differences between the carrying amount and tax bases

of investments in controlled entities where the Parent Entity is able to control the timing of the reversal of the temporary

differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that

future taxable amounts will be available to utilise those temporary differences and losses.

The carrying amount of deferred income tax assets is reviewed at each balance sheet date and reduced to the extent that

it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to

be utilised.

Unrecognised deferred income tax assets are reassessed at each balance date and are recognised to the extent that it

has become probable that future taxable profit will allow the deferred tax asset to be recovered.

Current and deferred tax balances attributable to amounts recognised directly in equity are also recognised directly in

equity.

Deferred tax assets and deferred tax liabilities are offset only if a legally enforceable right exists to set off current tax assets

against tax liabilities and the deferred tax liabilities relate to the same taxable entity and the same taxation authority.

(h) Cash and Cash Equivalents

Cash and cash equivalents’ includes cash on hand, deposits held at call with financial institutions, and other short-term

highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant

risk of changes in value. For the purposes of the Statement of Cash Flows, cash and cash equivalents consist of cash and

cash equivalents as defined above.

(i) Impairment of Non-Current Assets

The Group assesses at each reporting date whether there is an indication that a non-current asset may be impaired. If

any such indication exists, or when annual impairment testing for an asset is required, the Group makes an estimate of the

asset's recoverable amount. An asset's recoverable amount is the higher of its fair value less costs to dispose and its

value in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely

independent of those from other assets of groups of assets and the asset's value in use cannot be estimated to be close

to its fair value. In such cases the asset is tested for impairment as part of the cash-generating unit to which it belongs.

When the carrying amount of an asset or cash-generating unit exceeds its recoverable amount, the asset or cash-

generating unit is considered impaired and is written down to its recoverable amount.

In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount

rate that reflects current market assessments of the time value of money and the risks specific to the asset. Impairment

losses relating to continuing operations are recognised in those expense categories consistent with the function of the

impaired asset unless the asset is carried at a revalued amount (in which case the impairment loss is treated as a

revaluation decrease).

An assessment is also made at each reporting date as to whether there is any indication that previously recognised

impairment losses may no longer exist or may have decreased. If such indication exists, the recoverable amount is

estimated. A previously recognised impairment loss is reversed only if there has been a change in the estimates used to

determine the asset's recoverable amount since the last impairment loss was recognised. If that is the case the carrying

amount of the asset is increased to its recoverable amount.

The increased amount cannot exceed the carrying amount that would have been determined, net of depreciation, had no

impairment loss been recognised for the asset in prior years. Such reversal is recognised in profit or loss unless the asset

is carried at a revalued amount, in which case the reversal is treated as a revaluation increase. After such a reversal the

depreciation charge is adjusted in future periods to allocate the asset's revised carrying amount, less any residual value,

on a systematic basis over its remaining useful life.

ANNUAL REPORT 2026 31

(j) Trade and Other Receivables

Trade receivables are recognised and carried at original invoice amount less any Expected Credit Loss (ECL).

Receivables from related parties are initially recognised at fair value and subsequently measured at amortised cost using

the effective interest method, less an allowance for expected credit losses and are interest free.

(k) Financial Assets

(i) Initial recognition and measurement

Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value through OCI,

and fair value through profit or loss.

The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow

characteristics and the Group’s business model for managing them. The Group initially measures a financial asset at its

fair value plus, in the case of a financial asset not at fair value through profit or loss, less transaction costs.

(ii) Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

• Financial assets at amortised cost (relevant to the Group);

• Financial assets at fair value through OCI with recycling of cumulative gains and losses (not relevant to the Group);

• Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon

• derecognition (equity instruments – not relevant to the Group); and

• Financial assets at fair value through profit or loss (relevant to the Group).

Financial assets at amortised cost (debt instruments)

The Group measures financial assets at amortised cost if both of the following conditions are met:

• The financial asset is held within a business model with the objective to hold financial assets in order to collect

contractual cash flows; and

• The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of

principal and interest on the principal amount outstanding.

Financial assets at amortised cost are subsequently measured using the effective interest rate (EIR) method and are

subject to impairment. Gains and losses are recognised in profit or loss when the asset is derecognised, modified or

impaired.

The Group’s financial assets at amortised cost includes GST and other taxes receivables, interest receivable and security

deposits.

Impairment

The Group recognises an allowance for ECLs for all debt instruments not held at fair value through profit or loss. ECLs are

based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that

the Group expects to receive, discounted at an approximation of the original EIR. ECLs are recognised in two stages. For

credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided

for credit losses that result from default events that are possible within the next 12-months (a 12-month ECL). For those

credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is

required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime

ECL).

For receivables due in less than 12 months, the Group recognises a loss allowance based on the financial asset’s lifetime

ECL at each reporting date.

Given the nature of financial assets held by the Group, it considers a financial asset to be in default when internal or

external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking

into account any credit enhancements held by the Group. A financial asset is written off when there is no reasonable

expectation of recovering the contractual cash flows.

At each reporting date, the Group assesses whether financial assets carried at amortised cost are credit impaired. A

financial asset is credit-impaired when one or more events that have a detrimental impact on the estimated future cash

flows of the financial asset have occurred.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

32 BERKELEY ENERGIA LIMITED

(l) Property, Plant and Equipment

Property, plant and equipment is stated at historical cost less accumulated depreciation and any accumulated impairment

losses. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only

when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item

can be measured reliably. All other repairs and maintenance are charged to the income statement during the financial

period in which they are incurred.

Property, plant and equipment is depreciated on a reducing balance or straight line basis at rates based upon the individual

assets effective useful life as follows:

Life

Plant and equipment

2 - 13 years

Property (buildings)

50 years

The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each balance date.

An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater

than its estimated recoverable amount.

An item of plant and equipment is derecognised upon disposal or when no further economic benefits are expected from its

use or disposal. Gains and losses on disposals are determined by comparing the net disposal proceeds with carrying

amount of the asset. These are included in the profit or loss in the period the asset is derecognised.

(m) Trade and Other Payables

Trade payables and other payables are carried at amortised cost and represent liabilities for the goods and services

provided to the Group prior to the end of the financial year that are unpaid and arise when the Group becomes obliged to

make future payments in respect of the purchase of these goods and services. The amounts are unsecured and are usually

paid within 30 days. Payables are carried at amortised cost.

(n) Financial liabilities

(i) Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and

borrowings or payables.

All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of

directly attributable transaction costs.

The Group’s financial liabilities include trade and other payables and financial instruments.

(ii) Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading, derivative liabilities and

financial liabilities designated upon initial recognition as at fair value through profit or loss.

Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term.

Gains or losses on liabilities held for trading are recognised in the statement of profit or loss.

Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of

recognition, and only if the criteria in AASB 9 are satisfied. The Group has designated the unlisted options (and in prior

years the convertible note) as a financial liability at fair value through profit or loss.

Financial liabilities at amortised cost (loans and borrowings)

After initial recognition, loans and borrowings are subsequently measured at amortised cost using the EIR method. Gains

and losses are then recognised in profit or loss when the liabilities are derecognised as well as through the EIR amortisation

process.

Amortised cost is calculated by taking into account any discount or premium on initial recognition and fees or costs that

are an integral part of the EIR. The EIR amortisation is included as finance costs in the statement of profit or loss.

ANNUAL REPORT 2026 33

(iii) Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an

existing financial liability is replaced by another liability on substantially different terms, or the terms of an existing liability

are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the

recognition of a new liability. The difference in the respective carrying amounts is recognised in the statement of profit or

loss.

(o) Employee Benefits

Liabilities for wages and salaries, including non-monetary benefits and annual leave expected to be settled within twelve

months of the reporting date are recognised in provisions in respect of employees' services up to the reporting date, and

are measured at the amounts expected to be paid when the liabilities are settled. Liabilities for personal leave are

recognised when the leave is taken and measured at the rates paid or payable. Employee benefits payable later than 12

months have been measured using the projected unit credit valuation method.

(p) Issued Capital

Ordinary shares are classified as equity. Issued and paid up capital is recognised at the fair value of the consideration

received by the Company.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax,

from the proceeds.

(q) Dividends

Provision is made for the amount of any dividend declared on or before the end of the year but not distributed at balance

date.

(r) Earnings per Share (EPS)

Basic earnings per share is calculated by dividing the profit or loss attributable to equity holders of the Company, excluding

any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding

during the year, adjusted for bonus elements in ordinary shares issued during the year. Diluted earnings per share adjusts

the figures used in the determination of basic earnings per share to take into account the after tax effect of interest and

other financing costs associated with dilutive potential ordinary shares and the weighted average number of shares

assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.

(s) Exploration and Evaluation Expenditure

Expenditure on exploration and evaluation is accounted for in accordance with the 'area of interest' method.

Exploration and evaluation expenditure encompasses expenditures incurred by the Group in connection with the

exploration for and evaluation of mineral resources before the technical feasibility and commercial viability of extracting a

mineral resource are demonstrable.

For each area of interest, expenditure incurred in the acquisition of rights to explore is capitalised, classified as tangible or

intangible, and recognised as an exploration and evaluation asset. Exploration and evaluation assets are measured at

cost at recognition and are recorded as an asset if:

(i) the rights to tenure of the area of interest are current; and

(ii) at least one of the following conditions is also met:

• the exploration and evaluation expenditures are expected to be recouped through successful development

and exploitation of the area of interest, or alternatively, by its sale; and

• exploration and evaluation activities in the area of interest have not at the reporting date reached a stage

which permits a reasonable assessment of the existence or otherwise of economically recoverable reserves,

and active and significant operations in, or in relation to, the area of interest are continuing.

Exploration and evaluation expenditure incurred by the group subsequent to the acquisition of the rights to explore is

expensed as incurred, up to until a decision to develop or mine is made.

A provision for unsuccessful exploration and evaluation is created against each area of interest by means of a charge to

the income statement.

The recoverable amount of each area of interest is determined on a bi-annual basis and impairment recorded in respect

of that area adjusted so that the net carrying amount does not exceed the recoverable amount. For areas of interest that

are not considered to have any commercial value, or where exploration rights are no longer current, the capitalised amounts

are derecognised and any remaining balance charged against profit or loss.

When a decision is made to proceed with development, the accumulated exploration and evaluation asset will be tested

for impairment and transferred to development properties, and then amortised over the life of the reserves associated with

the area of interest once mining operations have commenced. Recoverability of the carrying amount of the exploration and

evaluation assets is dependent on successful development and commercial exploitation, or alternatively, sale of the

respective areas of interest.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

34 BERKELEY ENERGIA LIMITED

Impairment

Capitalised exploration costs are reviewed each reporting date to establish whether an indication of impairment exists. If

any such indication exists, the recoverable amount of the capitalised exploration costs is estimated to determine the extent

of the impairment loss (if any).

Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of

its recoverable amount, but only to the extent that the increased carrying amount does not exceed the carrying amount

that would have been determined had no impairment loss been recognised for the asset in previous years.

(t) Goods and Services Tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST except:

• when the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which

case the GST is recognised as part of the cost of acquisition of the asset or as part of the expense item as applicable;

and

• receivables and payables are stated with the amount of GST included.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables

in the statement of financial position.

Cash flows are included in the Statement of Cash Flows on a gross basis and the GST component of cash flows arising

from investing and financing activities, which are recoverable from, or payable to, the taxation authority, are classified as

operating cash flows.

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation

authority.

(u) Share Based Payments

(i) Equity settled transactions:

The Group provides benefits to directors, employees, consultants and other advisors of the Group in the form of share-

based payments, whereby the directors, employees, consultants and other advisors render services in exchange for shares

or rights over shares (equity-settled transactions).

The cost of these equity-settled transactions is measured by reference to the fair value of the equity instruments at the

date at which they are granted. The fair value is determined by an external valuer using an appropriate method (e.g.

binomial model or Black-Scholes option pricing model).

In valuing equity-settled transactions, no account is taken of any performance conditions, other than conditions linked to

the price of the shares of Berkeley (market conditions) if applicable.

The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period in

which the performance and/or service conditions are fulfilled, ending on the date on which the relevant employees become

fully entitled to the award (the vesting period).

The cumulative expense recognised for equity-settled transactions at each reporting date until vesting date reflects (i) the

extent to which the vesting period has expired and (ii) the Group's best estimate of the number of equity instruments that

will ultimately vest. No adjustment is made for the likelihood of market performance conditions being met as the effect of

these conditions is included in the determination of fair value at grant date. The income statement charge or credit for a

period represents the movement in cumulative expense recognised as at the beginning and end of that period. No expense

is recognised for awards that do not ultimately vest, except for awards where vesting is only conditional upon a market

condition.

If the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not been

modified. In addition, an expense is recognised for any modification that increases the total fair value of the share-based

payment arrangement, or is otherwise beneficial to the employee, as measured at the date of modification.

If an equity-settled award is cancelled, it is treated as if it had vested on the date of cancellation, and any expense not yet

recognised for the award is recognised immediately. However, if a new award is substituted for the cancelled award and

designated as a replacement award on the date that it is granted, the cancelled and new award are treated as if they were

a modification of the original award, as described in the previous paragraph.

The dilutive effect, if any, of outstanding options is reflected as additional share dilution in the computation of earnings per

share.

ANNUAL REPORT 2026 35

(v) Provisions

Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is

probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable

estimate can be made of the amount of the obligation. When the Group expects some or all of a provision to be reimbursed,

for example, under an insurance contract, the reimbursement is recognised as a separate asset, but only when the

reimbursement is virtually certain. The expense relating to a provision is presented in the statement of profit or loss net of

any reimbursement.

Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the

present obligation at the reporting date. If the effect of the time value of money is material, provisions are discounted using

a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the

increase in the provision due to the passage of time is recognised as a finance cost.

(w) Significant Accounting Judgements, Estimates and Assumptions

The preparation of the financial report requires management to make judgements, estimates and assumptions that affect

the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results

may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions

to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period,

or in the period of the revision and future periods if the revision affects both current and future periods.

In particular, information about significant areas of estimation uncertainty and critical judgements in applying accounting

policies that have the most significant effect on the amount recognised in the financial statements are described in the

following notes.

Exploration and Evaluation Assets (Note 6) – the Group’s accounting policy for exploration and evaluation assets is set

out in Note 1(s). The application of this policy requires management to make certain judgements and estimates as to future

events and circumstances, in particular, the assessment of whether economic quantities of reserves have been found and

the point at which exploration and evaluation assets should be transferred to mine development properties. The

determination of an area of interest also requires judgement.

Share-Based Payments (Note 17) - The Group initially measures the cost of equity-settled transactions with employees by

reference to the fair value of the equity instrument at the date at which they are granted. Estimating fair value for share-

based payment transactions requires the determination of the most appropriate valuation model.

This estimate also requires the determination of the most appropriate inputs to the valuation model including the expected

life of the share option, volatility and dividend yield. The assumption and models used for estimating the fair value for

share-based payment transactions are disclosed in Note 17.

Functional currency of foreign operations (Note 1(f)) - determination of the functional currency of foreign subsidiaries

requires judgement regarding the primary currency of labour, material and exploration spend in that subsidiary.

2026

$000

2025

$000

2. REVENUE

Interest income

2,113

3,024

2026

$000

2025

$000

3. EXPENSES

Loss from ordinary activities before income tax expense includes the

following specific expenses:

(a) Employee Benefits Expense

Salaries, wages and fees (included in exploration and evaluation

expenses and corporate and administration expenses)

(1,090)

(1,030)

Social Security (included in exploration and evaluation expenses)

(268)

(254)

Share-based payments (refer Note 17(a))

1,361

(884)

Total Employee Benefits Expense

(2,168)

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

36 BERKELEY ENERGIA LIMITED

2026

$000

2025

$000

4. INCOME TAX EXPENSE

(a) Recognised in the Income Statement

Current income tax

Current income tax expense in respect of the year

Deferred income tax

Relating to origination and reversal of temporary differences

(1)

(742)

742

Income tax reported in the income statement

(742)

742

(b) Reconciliation Between Tax Expense and Accounting

Profit/(Loss) Before Income Tax

Accounting loss before income tax

(9,440)

(4,691)

At the domestic income tax rate of 30% (2025: 30%)

(2,832)

(1,407)

Expenditure not allowable for income tax purposes

1,019

2,104

Income not assessable for income tax purposes

Adjustments in respect of current income tax of previous years

Temporary differences previously not brought to account

Temporary differences not brought to account

1,071

Income tax (benefit)/expense reported in the income statement

(742)

742

Deferred income tax relates to the following:

Deferred Tax Liabilities

Unrealised foreign exchange

580

1,731

Deferred tax assets used to offset deferred tax liabilities

(580)

(989)

742

Deferred Tax Assets

Accrued expenditure

Capital allowances

21,456

20,544

Tax losses available to offset against future taxable income

11,366

11,686

Deferred tax assets used to offset deferred tax liabilities

(580)

(989)

Deferred tax assets not brought to account

(32,298)

(31,281)

Note:

(1)

During the year, the Group recognised a deferred tax liability of nil (30 June 2025: $742,000), which related to unrealised foreign

exchange movements on the US dollars held in cash by the Group.

The benefit of deferred tax assets not brought will only be brought to account if:

• future assessable income is derived of a nature and of an amount sufficient to enable the benefit to be realised;

• the conditions for deductibility imposed by tax legislation continue to be complied with; and

• no changes in tax legislation adversely affect the Company in realising the benefit.

(d) Tax Consolidations

The Company and its wholly owned Australian tax resident entities have not implemented the tax consolidation legislation.

ANNUAL REPORT 2026 37

2026

$000

2025

$000

5. CURRENT ASSETS – OTHER RECEIVABLES

GST and other taxes receivable

244

116

Other

353

206

597

322

2026

$000

2025

$000

6. NON-CURRENT ASSETS – EXPLORATION

EXPENDITURE

The Group has mineral exploration costs carried forward in respect of

areas of interest

(1)(2)

Areas in exploration at cost

8,206

Impairment provision

(8,206)

Notes:

(1)

The value of the exploration interests is dependent upon the discovery of commercially viable reserves and the successful

development or alternatively sale, of the respective tenements. An amount of €6m (A$8.994m) was previously capitalised in

respect of fees paid to ENUSA under the Co-operation Agreement relating to the tenements within the State Reserves. The

Company reached agreement with ENUSA in July 2012 in the form of an Addendum to the Consortium Agreement signed in

January 2009. The Addendum includes the following terms which are relevant to the Salamanca Project:

• The Consortium consists of State Reserves 28 and 29 (which form part of the Salamanca Project);

• Berkeley holds a 100% stake in the Consortium

• ENUSA is the owner of State Reserves 28 and 29, however the exploitation rights were assigned to Berkeley, together

with authority to submit all applications for the permitting process;

• The Company is the sole and exclusive operator in the Addendum Reserves, and has the right to exploit the contained

uranium resources and full ownership of any uranium produced;

• ENUSA has a production fee equivalent to 2.5% of the net sale value (after marketing and transport costs) of any uranium

produced within the Addendum Reserves; and

• The Co-operation Agreement with ENUSA, signed on 29 January 2009, was terminated.

The Group’s accounting policy is to account for contingent consideration on asset acquisitions as contingent liabilities.

(2)

In June 2016, the Company completed an upfront royalty sale. The royalty financing comprised the sale of a 0.375% fully secured

net smelter royalty over the project for US$5 million (A$6.7million) which was deducted from previously capitalised exploration

expenditure. Any future royalty payments will be recognised in the period in which they are incurred.

7. NON-CURRENT ASSETS – PROPERTY, PLANT AND EQUIPMENT

Land

$000

Carrying amount at 1 July 2025

10,475

Foreign exchange differences

(777)

Carrying amount at 30 June 2026

9,698

- at cost

9,698

- accumulated depreciation and amortisation

Carrying amount at 1 July 2024

9,444

Foreign exchange differences

1,031

Carrying amount at 30 June 2025

10,475

- at cost

10,475

- accumulated depreciation and amortisation

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

38 BERKELEY ENERGIA LIMITED

2026

$000

2025

$000

8. NON-CURRENT ASSETS – OTHER FINANCIAL

ASSETS

Security bonds

128

134

9. CURRENT LIABILITIES – TRADE AND OTHER

PAYABLES

Trade creditors

1,567

1,791

All trade and other payables are current. There are no overdue amounts. Trade creditors are non-interest bearing and

settled on 30-day terms. Accrued expenses are non-interest bearing and have an average term of six months.

2026

$000

2025

$000

10. CURRENT LIABILITIES – OTHER LIABILITIES

Provisions

(1)

578

624

Note:

(1)

Reforestation provision to plant 30,000 young oak trees as part of the environmental licence at the Salamanca Project.

11. CONTINGENT ASSETS AND LIABILITIES

In 2024, Berkeley advised that its wholly owned subsidiary, BEL, had filed a Request for arbitration for its investments in

Spain, initiating arbitration proceedings against Spain before ICSID. In February 2026, BEL filed its Memorial of Claim at

the ICSID alleging that Spain’s actions against BME and at the Salamanca Project have violated multiple provisions of the

ECT and are therefore seeking compensation in the order of US$1.25 billion (US$1,250,000,000). In pursuing the

arbitration claim against Spain, BEL has engaged specialist legal teams to represent it against Spain on a reduced and

capped fee basis. The arrangement also includes a capped three percent success fee which is payable only in the event

of a successful award and BEL receiving monetary damages. The capped success fee is structured so that if BEL is

awarded US$1.25 billion in damages, the maximum success fee payable would be capped at €15 million (i.e., three percent

of US$1.25 billion, subject to the cap, where 1USD:1EUR). In the event of a US$400 million award (for example), the

success fee payable would be €12 million (i.e., three percent of the award amount). As there is a possible obligation that

will only be confirmed by uncertain future events (i.e., a successful arbitration award), the success fee has been classified

as a contingent liability.

Notwithstanding the investment dispute and arbitration claim discussed above, the Group and BEL remains committed to

the Salamanca Project and continues to be open to a constructive dialogue with Spain. The Group is ready and open to

collaborate with the relevant Spanish authorities to find an amicable resolution to the permitting situation and remains

hopeful discussions can take place in the near term. In this regard, the Company has entered into a separate advisory

agreement on a fixed and success fee basis to assist with the grant, or re-grant, of all permits and licences necessary for

the construction phase at the Salamanca Project.

In the event that all permits required for the full construction of the Salamanca Project are granted to the Group, a success

fee of €4.5 million would be payable. As there is a possible obligation that will only be confirmed by uncertain future events,

the success fee in relation to the advisory agreement has been classified as a contingent liability.

During the period and in order to retain and incentivise key management personnel who are essential to the management

and progression of the arbitration claim for the entire claim process and timetable, BEL has established a long-term

Management Incentive Program (Management Incentive Program) which provides that if the claim is successful, whether

through the international arbitration proceedings or settlement and BEL receives any damages, awards, judgments,

settlements, compromises or other proceeds in relation to or arising from the claim (Damages Proceeds), six per cent of

any Damages Proceeds will be distributed to participants in the Management Incentive Program and if BEL or BME is

granted the licence to commence construction at the Salamanca Project, US$10,000,000 will be distributed to participants

in the Management Incentive Program. As there is a possible obligation that will only be confirmed by uncertain future

events, the Management Incentive Program has been classified as a contingent liability.

ANNUAL REPORT 2026 39

2026

$000

2025

$000

12. ISSUED CAPITAL

(a) Issued and Paid up Capital

446,293,000 (2025: 445,797,000) fully paid ordinary shares

206,775

206,404

(b) Movements in Ordinary Share Capital During the Past Two Years:

Date

Details

Number of

‘000

$000

1 Jul 25

Opening Balance

445,797

206,404

24 Dec 25

Exercise of A$0.40 Incentive Options (cashless) (Note

13(b))

496

Jul 25 to Jun 26

Transfer from share-based payment reserve upon

exercise of options

374

Jul 25 to Jun 26

Share issue costs

(3)

30 Jun 26

Closing Balance

446,293

206,775

30 Jun 25

Closing Balance

445,797

206,404

Terms and conditions of Ordinary Shares

(i) General

The ordinary shares (Shares) are ordinary shares and rank equally in all respects with all ordinary shares in the Company.

The rights attaching to the Shares arise from a combination of the Company's Constitution, statute and general law. Copies

of the Company's Constitution are available for inspection during business hours at its registered office.

(ii) Reports and Notices

Shareholders are entitled to receive all notices, reports, accounts and other documents required to be furnished to

shareholders under the Company's Constitution, the Corporations Act and the Listing Rules.

(iii) Voting

Subject to any rights or restrictions at the time being attached to any shares or class of shares of the Company, each

member of the Company is entitled to receive notice of, attend and vote at a general meeting. Resolutions of members will

be decided by a poll.

On a poll each eligible member has one vote for each fully paid share held and a fraction of a vote for each partly paid

share determined by the amount paid up on that share.

(iv) Variation of Shares and Rights Attaching to Shares

Shares may be converted or cancelled with member approval and the Company's share capital may be reduced in

accordance with the requirements of the Corporations Act.

Class rights attaching to a particular class of shares may be varied or cancelled with the consent in writing of holders of

75% of the shares in that class or by a special resolution of the holders of shares in that class.

(v) Unmarketable Parcels

The Company may procure the disposal of Shares where the member holds less than a marketable parcel of Shares within

the meaning of the Listing Rules (being a parcel of shares with a market value of less than $500). To invoke this procedure,

the Directors must first give notice to the relevant member holding less than a marketable parcel of Shares, who may then

elect not to have his or her Shares sold by notifying the Directors.

(vi) Changes to the Constitution

The Company's Constitution can only be amended by a special resolution passed by at least three quarters of the members

present and voting at a general meeting of the Company. At least 28 days' written notice specifying the intention to propose

the resolution as a special resolution must be given.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

40 BERKELEY ENERGIA LIMITED

(vii) Listing Rules

Provided the Company remains admitted to the Official List of the Australian Securities Exchange Ltd, then despite anything

in the Constitution, no act may be done that is prohibited by the Listing Rules, and authority is given for acts required to be

done by the Listing Rules. The Company's Constitution will be deemed to comply with the Listing Rules as amended from

time to time.

13. RESERVES

2026

2025

Note

$000

Share-based payments reserve

13(b)

434

2,170

Foreign currency translation reserve

(1,480)

(896)

(1,046)

1,274

(a) Nature and Purpose of Reserves

Share-based payments reserve

The share-based payments reserve records the fair value of share-based payments made by the Company.

Foreign currency translation reserve

Exchange differences arising on translation of a foreign controlled entity are taken to the foreign currency translation

reserve, as described in Note 1(f). The reserve is recognised in profit and loss when the net investment is disposed of.

(b) Movements in Incentive Options and Performance Rights during the Past Two Years:

Number of Incentive

Options

Date

Details

‘000

$000

1 Jul 25

Opening Balance

9,600

2,170

Various

Issue of Incentive Options

3,300

24 Dec 25

Exercise of A$0.40 Incentive Options (cashless)

(2,000)

(374)

30 Jun 26

Expiry of Unvested Incentive Options

(1)

(7,600)

(2,242)

Jul 25 to Jun 26

Share-based payment expense

880

30 Jun 26

Closing Balance

3,300

434

1 Jul 24

Opening Balance

9,600

1,286

Jul 24 to Jun 25

Share-based payments expense

884

30 Jun 25

Closing Balance

9,600

2,170

Notes:

(1)

During the year, it was determined that the vesting condition attached to 7,600,000 Incentive Options would not be satisfied prior to

their expiry on 30 June 2026. As a result, previously recognised share-based payment expense of $2,242,000 was reversed to profit

or loss. As at 30 June 2026, the incentive options expired unvested.

Incentive Options granted as share-based payments have the following terms and conditions:

• Each Incentive Option entitles the holder to the right to subscribe for one Share upon the exercise of each Incentive

Option;

• The Incentive Options granted as share-based payments at the end of the financial year have an exercise price of

$0.80 and an expiry date of 30 June 2028;

• The Incentive Options are exercisable at any time prior to the expiry date, subject to vesting conditions being

satisfied (if applicable);

• Shares issued on exercise of the Incentive Options rank equally with the then Shares of the Company;

• Application will be made by the Company to ASX for official quotation of the Shares issued upon the exercise of

the Incentive Options;

• If there is any reconstruction of the issued share capital of the Company, the rights of the Incentive Option holders

may be varied to comply with the ASX Listing Rules which apply to the reconstruction at the time of the

reconstruction; and

ANNUAL REPORT 2026 41

• No application for quotation of the Incentive Options will be made by the Company.

14. PARENT ENTITY INFORMATION

2026

$000

2025

$000

Current assets

62,049

73,454

Total assets

62,049

73,454

Current liabilities

259

201

Total liabilities

259

943

Net Assets

61,790

72,511

Issued Capital

206,775

206,404

Reserves

435

2,171

Accumulated losses

(145,420)

(136,064)

Total equity

61,790

72,511

Loss of the parent entity

(9,356)

(4,684)

Total comprehensive Loss of the parent entity

(9,356)

(4,684)

The Parent Company had no guarantees, commitments or contingencies at 30 June 2026 other than as disclosed

elsewhere in this report (2025: None).

15. RELATED PARTY DISCLOSURES

(a) Subsidiaries

The consolidated financial statements include the financial statements of the Company and the subsidiaries listed in the

following table:

Name of Controlled Entity

Place of

Incorporation

Equity Interest

2026

2025

Berkeley Exploration Ltd

100

Berkeley Minera España S.L.U

Spain

100

Exploración de Recursos Minerales S.L.U

Spain

100

Berkeley Investments

Mauritius

100

Berkeley Exploration Portugal Unipessoal LDA

Portugal

100

(b) Ultimate Parent

Berkeley Energia Limited is the ultimate parent of the Group.

Details relating to KMP, including remuneration paid, are included at Note 16.

(d) Transactions with Related Parties in the Consolidated Group

Balances and transactions between the Company and its subsidiaries, which are related parties of the Company, have

been eliminated on consolidation and are not disclosed in this note.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

42 BERKELEY ENERGIA LIMITED

16. KEY MANAGEMENT PERSONNEL

(a) Details of Key Management Personnel

The KMP of the Group during or since the end of the financial year were as follows:

Directors

Ian Middlemas Chairman

Robert Behets Executive Director

Adam Parker Non-Executive Director

Mr José Bogas Gálvez Non-Executive Director (appointed 27 July 2026)

Other KMP

Francisco Bellón Chief Operations Officer

Dylan Browne CFO and Company Secretary

There were no other KMP of the Company or the Group. Unless otherwise disclosed, the KMP held their position from 1

July 2025 to 30 June 2026.

(b) Key Management Personnel Compensation

2026

2025

Short-term benefits

(847,189)

(829,901)

Post-employment benefits

(45,468)

(45,833)

Share-based payments

1,489,563

(726,859)

596,906

(1,602,593)

Note:

(1)

Mr Browne provided services as the Company Secretary through a services agreement with Apollo Group. Mr Browne is an

employee of Apollo Group. During the year, Apollo Group was paid or is payable $420,000 for (2025: $390,000) for the provision

of administrative, secretarial and corporate services to the Group.

17. SHARE-BASED PAYMENTS

(a) Recognised Share-Based Payment Expense

2026

$000

2025

$000

Net expense arising from equity-settled share-based payment

transactions (incentive securities)

(880)

(884)

Expiry of unvested Incentive Options

2,241

Total share-based payments recognised during the year

1,361

(884)

(b) Summary of Incentive Options Granted as Share-based Payments

In 2026 (2025: nil), the following Incentive Options were granted:

Options

2026

Number

Grant Date

Expiry Date

Exercise Price per

Option

Fair Value

Series

Series 1

400,000

6 Oct 2025

30 Jun 2028

0.800

0.290

Series 2

2,900,000

13 Oct 2025

30 Jun 2028

0.800

0.274

ANNUAL REPORT 2026 43

The following table illustrates the number and weighted average exercise prices (WAEP) of Incentive Options issued as

share-based payments at the beginning and end of the financial year:

Options

2026

‘000

2026

WAEP

2025

‘000

2025

WAEP

Outstanding at beginning of year

9,600

$0.598

9,600

$0.598

Granted during the year

3,300

$0.800

Exercised during the year

(2,000)

($0.400)

Expired during the year

(7,600)

($0.650)

Outstanding at end of year

3,300

$0.800

9,600

$0.598

The outstanding balance of Incentive Options as at 30 June 2026 is represented by 3,300,000 Incentive Options

exercisable at $0.80 each on or before 30 June 2028.

At 30 June 2026, the weighted average remaining contractual life for Incentive Options on issue that had been granted as

share-based payments was 2.25 years (2025: 0.9 years).

(d) Range of Exercise Prices

At 30 June 2026, the range of exercise prices for Incentive Options on issue that had been granted as share-based

payments was $0.80 (2025: $0.40 and $0.65).

(e) Weighted Average Fair Value

There were 3,300,000 Incentive Options granted as share-based payments during the year ended 30 June 2026 (2025:

nil). The weighted average fair value of Incentive Options granted as share-based payments during the year ended 30

June 2026 was $0.276 (2025: nil).

(f) Option Pricing Model

The fair value of the equity-settled Incentive Options granted is estimated as at the date of grant using the Black-Scholes

option valuation model taking into account the terms and conditions upon which the Incentive Options are granted.

During the year 3,300,000 (2025: nil) Incentive Options were granted as share-based payments in the financial year ended

30 June 2026.

The following table lists the inputs to the valuation models used for Incentive Options granted by the Group during the last

two years (2025: nil issued):

Options

2026 Inputs

Series 1

Series 2

Exercise price (A$)

0.800

Grant date share price (A$)

0.59

Dividend yield

(1)

Volatility

(2)

85%

Risk-free interest rate

3.56%

3.50%

Grant date

6 Oct 25

13 Oct 25

Expiry date

30 Jun 28

Expected life of rights

(3)

(years)

2.73

2.72

Fair value at grant date (A$)

0.290

0.274

Notes:

(1)

The dividend yield reflects the assumption that the current dividend payout will remain unchanged.

(2)

The expected volatility reflects the assumption that the historical volatility is indicative of future trends, which may not necessarily

be the actual outcome.

(3)

The expected life of the Incentive Options is based on the exercise date, which is taken to be the expiry date.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

44 BERKELEY ENERGIA LIMITED

2026

2025

18. REMUNERATION OF AUDITORS

Amounts received or due and receivable by Ernst & Young Australia for:

- an audit or review of the financial reports of the Company and

any other entity in the Consolidated Group

94,313

83,036

- preparation of income tax return

17,869

22,200

- other taxation services

49,967

28,000

Amounts received or due and receivable by related practices of Ernst &

Young Australia for:

- an audit or review of the financial reports of the Company

54,230

53,129

- tax services in relation to the Company

77,446

81,894

Total Auditors Remuneration

293,825

268,259

19. SEGMENT INFORMATION

The Consolidated Entity operates in one operating segment and one geographical segment, being uranium exploration in

Spain. This is the basis on which internal reports are provided to the Directors for assessing performance and determining

the allocation of resources within the Consolidated Entity.

The corporate and administrative functions based in Australia are considered incidental to Consolidated Entity’s uranium

exploration activities in Spain. The Group’s interest income is all earned in Australia.

(a) Non-Current Assets by geographical location

2026

$000

2025

$000

Spain

9,698

10,475

20. EARNINGS PER SHARE

The following reflects the income data used in the calculations of basic and diluted earnings per share:

2026

$000

2025

$000

Net loss used in calculating basic and diluted earnings per share

(8,698)

(5,433)

(a) Weighted Average Number of Shares

The following reflects the share data used in the calculations of basic and diluted earnings per share:

Number of Shares

2026

‘000

Number of Shares

2025

‘000

Weighted average number of ordinary shares

446,054

445,797

Effect of dilutive securities

(1)

Weighted average number of ordinary shares and potential ordinary

shares used in calculating basic and diluted earnings per share

446,054

445,797

Notes:

(1)

At 30 June 2026, there were 3,300,000 Options (2025: 9,600,000) (which represent 3,300,000 potential ordinary shares (2025:

9,600,000)) which were not dilutive as they would decrease the loss per share.

ANNUAL REPORT 2026 45

(b) Conversions, Calls, Subscriptions or Issues after 30 June 2026

There have been no conversions to, calls of, or subscriptions for ordinary shares, since the reporting date and before the

completion of this financial report.

21. STATEMENT OF CASH FLOWS

(a) Reconciliation of Net Loss Before Income Tax Expense to Net Cash Flows from Operating Activities

2026

$000

2025

$000

Net loss before income tax expense

(9,440)

(4,691)

Adjustment for income and expense items

Share-based payments (benefit)/expense

(1,361)

884

Other non-cash movements

117

(54)

Foreign exchange movement

3,376

(888)

Changes in operating assets and liabilities

(Increase)/decrease in trade and other receivables

(246)

264

Decrease in trade and other payables

(225)

(125)

Net cash outflow from operating activities

(7,779)

(4,610)

(b) Reconciliation of Cash and Cash Equivalents

Cash at bank and on hand

62,392

73,544

Bank short term deposits

62,443

73,594

At balance date, the Company had no used or unused financing facilities (2025: None).

(d) Non-cash Financing and Investment Activities

There were no non-cash financing and investment activities for the past two financial years.

22. FINANCIAL INSTRUMENTS

(a) Overview

The Group's principal financial instruments comprise receivables, payables, security deposits, other financial liabilities,

cash and short-term deposits. The main risks arising from the Group's financial instruments are interest rate risk, equity

price risk, foreign currency risk, credit risk and liquidity risk.

This note presents information about the Group's exposure to each of the above risks, its objectives, policies and processes

for measuring and managing risk, and the management of capital. Other than as disclosed, there have been no significant

changes since the previous financial year to the exposure or management of these risks.

The Group manages its exposure to key financial risks in accordance with the Group's financial risk management policy.

Key risks are monitored and reviewed as circumstances change (e.g. acquisition of a new project) and policies are revised

as required. The overall objective of the Group's financial risk management policy is to support the delivery of the Group's

financial targets whilst protecting future financial security.

Given the nature and size of the business and uncertainty as to the timing and amount of cash inflows and outflows, the

Group does not enter into derivative transactions to mitigate the financial risks. In addition, the Group's policy is that no

trading in financial instruments shall be undertaken for the purposes of making speculative gains. As the Group's operations

change, the Directors will review this policy periodically going forward.

The Board of Directors has overall responsibility for the establishment and oversight of the risk management framework.

The Board reviews and agrees policies for managing the Group's financial risks as summarised below.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

46 BERKELEY ENERGIA LIMITED

(b) Credit Risk

Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its

contractual obligations. This risk arises principally from cash and cash equivalents and trade and other receivables.

There are no significant concentrations of credit risk within the Group. The carrying amount of the Group's financial assets

represents the maximum credit risk exposure, as represented below:

2026

$000

2025

$000

Current Assets

Cash and cash equivalents

62,443

73,594

Trade and other receivables

597

322

63,040

73,916

Non-current Assets

Other financial assets

128

134

128

134

Total

63,168

74,050

The Group does not have any significant customers and accordingly does not have any significant exposure to ECLs.

Trade and other receivables are expected to be collected in full and the Group has no history of ECLs. With respect to

credit risk arising from cash and cash equivalents, the Group's exposure to credit risk arises from default of the counter

party, with a maximum exposure equal to the carrying amount of these instruments. Credit risk related to balances with

banks is considered low as the Group banks with a financial institution which is considered to have a high credit rating.

As at 30 June 2026, other receivables comprise GST/VAT receivable, accrued interest and other miscellaneous

receivables. Where possible the Group trades only with recognised, creditworthy third parties. It is the Group's policy that

all customers who wish to trade on credit terms are subject to credit verification procedures. In addition, receivable balances

are monitored on an ongoing basis with the result that the Group's exposure to ECLs is not significant.

The Group’s receivables balance consists of GST/VAT refunds from recognised government entities with minimal credit

risk. While and interest receivables and cash and cash equivalents are due and/or held with reputable financial institutions

that are rated the equivalent of investment grade and above.

Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Board's

approach to managing liquidity is to ensure, as far as possible, that the Group will always have sufficient liquidity to meet

its liabilities when due. At 30 June 2026 and 2025, the Group has sufficient liquid assets to meet its financial obligations.

The contractual maturities for cash settled financial liabilities, including estimated interest payments, are provided below.

There are no netting arrangements in respect of financial liabilities.

≤ 6 months

$000

6 - 12 months

$000

1 - 5 years

$000

≥ 5 years

$000

Total

$000

2026

Financial Liabilities

Trade and other payables

1,567

2025

Financial Liabilities

Trade and other payables

1,791

ANNUAL REPORT 2026 47

(d) Interest Rate Risk

The Group's exposure to the risk of changes in market interest rates relates primarily to cash and cash equivalents with a

floating interest rate.

These financial assets with variable rates expose the Group to cash flow interest rate risk. All other financial assets and

liabilities, in the form of receivables, security deposits and payables are non-interest bearing.

At balance date, the variable interest rate exposure of the Group's was:

2026

$000

2025

$000

Interest-bearing Financial Instruments

Cash at bank and on hand

62,392

73,544

Bank short term deposits

62,443

73,594

The Group's cash at bank and on hand and short term deposits had a weighted average variable interest rate at year end

of 2.8% (2025: 3.6%). Subsequent to the year end, the Group's cash at bank and on hand and short term deposits had the

weighted average variable interest rate of 2.8%.

The Group currently does not engage in any hedging or derivative transactions to manage interest rate risk.

(e) Interest rate sensitivity

A sensitivity of three per cent has been selected as this is considered reasonable given the current level of both short term

and long term interest rates. A 3% movement in interest rates at the reporting date would have increased (decreased)

profit and loss by the amounts shown below based on the average amount of interest bearing financial instruments held.

This analysis assumes that all other variables, in particular foreign currency rates, remain constant. The analysis is

performed on the same basis for 2025.

Profit or Loss

Other Comprehensive Income

3% Increase

$000

3% Decrease

$000

3% Increase

$000

3% Decrease

$000

2026

Group

Cash and cash equivalents

1,872

(1,872)

2025

Group

Cash and cash equivalents

2,208

(2,208)

(f) Foreign Currency Risk

The Group also has transactional currency exposures. Such exposure arises from transactions denominated in currencies

other than the functional currency of the entity.

The Group currently does not engage in any hedging or derivative transactions to manage foreign currency risk.

The Group is also exposed to foreign currency risk on the Euro, Sterling and US Dollar cash and cash equivalents that it

holds.

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2026

(Continued)

48 BERKELEY ENERGIA LIMITED

(g) Sensitivity analysis for currency risk

A sensitivity of 10 per cent has been selected as this is considered reasonable given historic and potential future changes

in foreign currency rates. This has been applied to the net financial instruments of Berkeley Minera España, S.L.U and

Exploración De Recursos Minerales S.L.U . and to the Euro and Sterling cash and cash equivalents that the Group holds.

This sensitivity analysis is prepared as at balance date.

A 10% strengthening/weakening of the Australian dollar against the Euro at 30 June 2026 of € 180,000 cash held (2025:

€14,000) would have increased/(decreased) the cash and cash equivalents and profit or loss of the Group by

A$29,840/(A$29,840) (2025: 2,540 /(A$2,540)).

A 10% strengthening/weakening of the Australian dollar against the Sterling at 30 June 2026 of £208 cash held (2025:

£326) would have increased/(decreased) the cash and cash equivalents and profit or loss of the Group by A$40/(A$40)

(2025: A$70/(A$70)).

A 10% strengthening/weakening of the Australian dollar against the US Dollar at 30 June 2026 of US$42,505,000 cash

held (2025: US$48,043,000) would have increased/(decreased) the cash and cash equivalents and profit or loss of the

Group by A$6,187,000 /(A$6,187,000) (2025: A$7,335,000 /(A$7,335,000)).

The above analysis assumes that all other variables, in particular interest rates, remain constant. The analysis for 2025

has been performed on the same basis.

(h) Commodity Price Risk

The Group is exposed to uranium commodity price risk. These commodity prices can be volatile and are influenced by

factors beyond the Group's control. As the Group is currently engaged in exploration and business development activities,

no sales of commodities are forecast for the next 12 months, and accordingly, no hedging or derivative transactions have

been used to manage commodity price risk.

(i) Capital Management

The Group normally defines its Capital as total equity of the Group, being a net asset at 30 June 2026 of $70,721,000

(2025: net asset $81,368,000). The Group manages its capital to ensure that entities in the Group will be able to continue

as a going concern while financing the development of its project through primarily equity-based financing. The Board's

policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence and to sustain future

development of the business. Given the stage of development of the Group, the Board's objective is to minimise debt and

to raise funds as required through the issue of new shares. There were no changes in the Group's approach to capital

management during the year. The Group is not subject to externally imposed capital requirements.

22. SUBSEQUENT EVENTS

(i) On 21 July 2026, the Company announced maiden MRE for its 100% owned Conchas Project, as part of the

Company’s Critical Minerals Exploration Initiative in Spain; and

(ii) On 27 July 2026, Mr José Bogas Gálvez was appointed as an independent Non-Executive Director of the Company.

As at the date of this report there are no matters or circumstances, which have arisen since 30 June 2026 that have

significantly affected or may significantly affect:

• the operations, in financial years subsequent to 30 June 2026, of the Consolidated Entity;

• the results of those operations, in financial years subsequent to 30 June 2026, of the Consolidated Entity; or

• the state of affairs, in financial years subsequent to 30 June 2026, of the Consolidated Entity.