Annual report
Page 1
ANNUAL REPORT 2025
Page 2
Graphic design and print: www.ClearDesign.se Photo / illustrations: BJP7images / Shutterstock.com (p 10, 19), TSViPhoto / Shutterstock.com (p 24) and Wirestock Creators / Shutterstock.com (p 26). Arctic Minerals, unless otherwise stated. CEO comment: A year of significant advancements and strong momentum .......................................4 Comment from the Chairman .....................6 Arctic Minerals in brief ........................................8 Projects in Sweden ................................................10 Projects in Norway ................................................ 25 Projects in Finland .................................................26 Directors’ report ......................................................28 Summary of financial performance 2021–2025 .................................34 TABLE OF CONTENTS Income statements for the Group and the Parent Company.............. ................35 Balance sheets for the Group and the Parent Company.............. ................36 Change in equity ....................................................38 Cash flow statements for the Group and the Parent Company .............39 Disclosures and notes .......................................41 Signatures ......................................................................51 Auditor’s report ........................................................52 Board of directors ..................................................56
Page 3
3 ARCTIC MINERALS , ANNUAL REPORT 2025 Arctic Minerals AB (publ) CIN 556569-3602 The annual report and consolidated financial statements for the financial year 1/1/2025– 31/12/2025. The Board of Directors of Arctic Minerals AB (publ) CIN 556569-3602 (“Arctic Minerals”, “the Company” or “the Parent Company” and together with its subsidiaries “the Group”) (“the Board of Directors”) and the CEO present the following annual report and consolidated financial statement for the Parent Company and the Group for 2025 (“the Annual Report”). Unless otherwise specified, all figures are presented as SEK thousand. This Annual Report is a translation of the Swedish original. If there is any inconsistency between the Swedish and English versions, the Swedish version shall prevail.
Page 4
4 ARCTIC MINERALS , ANNUAL REPORT 2025 The past year marked a truly transformational period for Arctic Minerals and was charac terised by substantial strategic and operational progress. We have successfully strengthened our position as a leading Nordic exploration and development company and built a robust foundation for continued advancement and long-term value creation. Key milestones at the flagship Hennes Bay copper-silver project include the definition of a maiden JORC Mineral Resource Estimate (“MRE”), a positive conceptual underground mining study, and a significant expansion of the project’s exploration potential through cutting-edge geophysical work. Recent airborne magnetotelluric surveying and magnetic vector inversion modelling conducted in the second half of 2025 indicate that minerali sation in several target areas may be connected and extends beyond previously drilled zones. This has resulted in multiple new priority targets for continued exploration. The current MRE of 55 Mt @ 1.0% CuEq at Hennes Bay is therefore considered an excellent starting point with substantial potential for near-term growth. We now start the work on our 3-phase drilling campaign to bring the known prospects into the MRE, test the newly discovered anomalies discovered through geophysics and to increase the confidence in the MRE. In terms of the broader portfolio, the Company also advanced its Swan Lake project in northern Sweden through ongoing fieldwork and geophysical surveys. Results from an Induced Polarisation (IP) survey conducted during the second half of the year, announced early 2026, confirmed the potential for epithermal gold-silver and porphyry copper-gold mineralisation, supporting and further refining priority drill targets. Looking ahead, the Company is also evaluating opportunities and plans to intensify its activities in Norway and Finland. With over 30 years in the mining industry, I view Arctic Minerals as one of the most compelling opportunities I have encountered, given the strength of the project portfolio, its geological potential and the current market context. Since the strategic transformation initiated late 2024, as Arctic Minerals acquired Rare Earth Energy Metals, the Company has undergone significant organisational and operational changes, emerging as a more focused and capable exploration company with a strengthened asset base. With clear direction and strong momentum, we are now advancing our portfolio with Hennes Bay as the flagship, and I believe Arctic Minerals is well positioned to play a meaningful role in supporting Europe’s long-term supply of critical raw materials. I am very proud of what we have achieved so far and look forward to leading the Company into its next chapter. Peter George Managing Director and Chief Executive Officer CEO COMMENT A YEAR OF SIGNIFICANT ADVANCEMENTS AND STRONG MOMENTUM
Page 5
5 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 6
6 ARCTIC MINERALS , ANNUAL REPORT 2025 COMMENT FROM THE CHAIRMAN Looking back at 2025, Arctic Minerals has made substantial progress in its development. The year has been characterised by significant change, with a deliberate focus on strength - ening our operational leadership, organisational capacity, and strategic direction. Entering 2026, we have a strong platform to continue advancing the Company and its project portfolio into its next phase. An important part of this progress has been strengthening of the Company’s leadership and governance structure. Peter George has recently assumed the role of Managing Director and Chief Executive Officer (“CEO”), with Erik Lundstam – previously part of the Advisory Committee – appointed Deputy CEO and Chief Geologist. Together, they bring a depth and breadth of expertise that is difficult to replicate, combining extensive experience across mineral exploration, project development, and mine operations in Sweden and globally. In parallel, several additional changes have been made at Board, Advisory Committee, and Executive Management levels. These include the appointment of Joakim Lidfeldt as a new Board member and the addition of Pierre Olsson to the Advisory Committee. Both bring vast financial sector and global capital markets experience. In addition, Johan Spetz has been appointed Chief Financial Officer and will join the Company during the spring. He has a background in equity research and commodity markets, including senior roles at Pareto Securities and Goldman Sachs, and brings strong experience from the Swedish public equity market. Bino Drummond has also recently been appointed as Chief Sustainability Officer. Bino Drummond is a highly experienced political and communications professional with a demonstrated history of working in government, private and public industry. Skilled in Public Affairs, Political Communication, Political Strategy, Political Science, and Government, he brings extensive political and industry markets experience to the Company’s management team. He has previously been Chairman of the Municipal Board in the Swedish town of Norrtälje, a Senior Advisor with Prime Weber Shandwick and a Member of Parliament in the Swedish Government. Alongside organisational changes, the Company has made solid operational progress across the entire project portfolio. At the flagship Hennes Bay project, exploration activities have yielded extremely positive results and strengthened confidence in the project’s scale and long-term potential. The key priority moving forward is to systematically demonstrate the full potential and value of Hennes Bay through targeted work programs and drilling, as well as continuing to advance the Company’s other projects in the Nordics. Looking ahead, we expect 2026 to be another busy and productive year, with continued progress across multiple workstreams spanning all projects in our portfolio.
Page 7
The broader market environment remains supportive, with long-term demand for copper, silver and other strategically important metals underpinned by electrification, infrastructure development and expanding technology use. In parallel, growing focus on securing resilient supply chains continues to elevate the strategic importance of critical raw materials in Europe and the Nordics, reinforcing the relevance of projects such as ours. In this market context, Arctic Minerals is very well positioned in both the short and long term. With a solid foundation, strong momentum, and a clear long-term direction, we remain focused on advancing our flagship Hennes Bay project into the development phase, whilst continuing to progress exploration activities at the Company’s other projects to deliver new discoveries and increased market value. Robert Behets Chairman of the Board 7 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 8
8 ARCTIC MINERALS , ANNUAL REPORT 2025 Arctic Minerals is a Nordic mineral exploration and development company focused on copper and other strategically important minerals in the Nordic region. As a leading player in the new generation of Nordic mining companies, Arctic Minerals identifies and develops new ARCTIC MINERALS IN BRIEF discoveries that strengthen Europe’s develop - ment and secure access to the metals and minerals that power the future. The Company is listed on Nasdaq First North Growth Market Stockholm (ticker: “ARCT”). Location map of Arctic Minerals’ Projects. ARCTIC MINERALS AS AN INVESTMENT Arctic Minerals offers investors an attractive exposure to copper and other strategically important critical minerals that are essential for Europe’s electrification, infrastructure development and long-term resource self- sufficiency. As demand for critical raw materials accelerates, with copper among the most essential metals for electrification and infra - structure, the Nordic countries are emerging as one of Europe’s most important regions for new mineral discoveries. With an exceptionally strong exploration portfolio covering some of the most prospective
Page 9
9 ARCTIC MINERALS , ANNUAL REPORT 2025 areas across the Nordics, an experienced management team with deep geological knowledge, and highly favourable market dynamics, Arctic Minerals is well positioned to deliver significant long-term value. World-class exploration portfolio with exceptional mineral prospects • Strong pipeline of copper-focused projects across the Tier-1 mining jurisdictions of Sweden, Norway and Finland. • Flagship copper-silver project Hennes Bay with a MRE of 55 Mt at 0.8% Cu and 21 g/t Ag and significant upside potential across a largely untested mineralised system. • Diversified portfolio combining two advanced stage assets with greenfields exploration projects, positioned to deliver near-term discoveries and long-term growth. Significant expansion potential and resource growth opportunities • Strong potential for resource expansion beyond the currently defined MRE at Hennes Bay through further drilling. • Large (4142) package remains largely untested, with less than 5% of the prospective area drilled, highlighting substantial upside potential. • Extensive, under-explored land position with multiple drill-ready targets and a pipeline of prospects, including potential for other critical metals. Exposure to major structural changes driving long-term demand • Accelerating global electrification and energy transition are driving a structural copper deficit and the need for new long- life supply. • EU’s Critical Raw Materials Act and growing focus on supply security strongly support Nordic exploration and local sourcing of critical minerals. • Nordic location provides access to skilled workforce, renewable power, strong infra - structure and key European end-markets. Experienced team with proven track-record of creating value • Leadership and technical team with extensive mining experience from successful exploration projects as well as large scale mining operations. • Strong track record of value creation through mineral development and project execution. • Supported by a highly experienced advisory board including recognised industry veterans and mining experts.
Page 10
10 ARCTIC MINERALS , ANNUAL REPORT 2025 Arctic Minerals has two projects located in Sweden, one of Europe’s major mining economies. The country has a long mining history and is home to one of Europe’s largest copper producers (Boliden), with proximity to end markets. Sweden has an extensive infrastructure network (roads, rail, ports, air, communications), hydro and nuclear base load power. The country ranks in the Top 10 mining jurisdictions globally, with a government that is supportive of mining ad low corporate taxes (20.6%) and low exploration and mining permit fees. The government has a stated ambition to be a leader in the Green Industrial Revolution with an acceptance that mining is required to provide critical and strategic metals. In terms of exploration potential, Sweden has massive metal endowment and little to no modern exploration has been undertaken outside of known deposits. Arctic Minerals’ first-class team of explorers and developers have extensive operating experience and recent success in Sweden. PROJECTS IN SWEDEN
Page 11
11 ARCTIC MINERALS , ANNUAL REPORT 2025 FLAGSHIP HENNES BAY PROJECT The Company’s 100% owned Hennes Bay copper-silver project, comprising 14 granted exploration permits covering ~414km2, is located in the Dalsland region of southwest Sweden. The Project is located in a largely unexplored part of the Grenville Orogeny – mountain building system which gave rise to world class sediment-hosted copper deposits including Kamoa-Kakula and Tenke-Fungurumi (Democratic Republic of Congo) and White Pine (USA). Copper mineralisation occurs primarily as chalcopyrite disseminations at the contact between a quarzitic sandstone and overlying shales of the 1.2-1.0Ga Dalgroup formation. The sedimentary rocks are generally weakly folded, resulting in a gentle dip and undulous geometry of the ore horizon throughout most of the region. Both historic and recent fieldwork have identified the copper mineralised horizon at numerous locations throughout the project area, confirming the large scale of the system. Recent fieldwork and assessment of historic data have shown the copper mineralisation to be of variable thickness, ranging from several meters to locally up to 11.5m. Re-assaying of historic drill core has further highlighted the presence of several critical metals e.g. gallium, germanium, vanadium, and rare earth elements, that were previously not tested for. Hennes Bay project located in the Dalsland region of Sweden.
Page 12
12 ARCTIC MINERALS , ANNUAL REPORT 2025 Table: Hennes Bay Maiden JORC Compliant Mineral Resource Estimate and cutoff grade sensitivity. CuEq% COG MTonnes CuEq% Grade (Cu%) Grade (Ag ppm) Metal (CuEq kT) Metal (Cu) kT Metal (Ag) Moz >0.6% 55.60 1.0 0.8 20.8 544 448 37.09 >0.8% 55.39 1.0 0.8 20.8 543 447 36.99 >1.0% 35.83 1.0 0.9 22.2 371 305 25.56 The Dalgroup Formation is locally covered by thin sheets of granitic thrusts that often form prominent topographic highs in the region. Historic drilling through the thrust and recent fieldwork have demonstrated the copper mineralisation at the Dingelvik prospect continues underneath these granites, thereby further extending the project’s scale (Figures). In March 2025, Arctic Minerals presented a maiden MRE for Hennes Bay at 55.39Mt at 1.0% CuEq (0.8% Cu & 20.8g/t Ag) for a total 543,000t Copper Equivalent (“CuEq”) contained metal (above a 0.8% CuEq cut-off). The total metal content comprises 447kt of copper and 37.0Moz of silver. The Company engaged Cube Consulting, a highly regarded Australian independent consulting firm, to prepare and report the maiden MRE for Hennes Bay in accordance with the JORC Code (2012). The MRE is based on the Dingelvik prospect where 62 drill holes for 8,822m of drilling were completed by 1984 by SGAB. Arctic Minerals has completed detailing relogging and reassaying of the drill core, and resurveying of drill hole collars, for a representative subset of historical drill holes to demonstrate the veracity of the historical data. Hennes Bay: Cross section at the Dingelvik prospect showing the extensive ‘blind’ potential for continuity of mineralisation underneath the granite nappe. Hennes Bay: Dingelvik prospect historic drilling.
Page 13
13 ARCTIC MINERALS , ANNUAL REPORT 2025 Growth potential The MRE doesn’t include five other outcropping prospects (Asselbyn, Henneviken, Baldersnäs, Åsnebo and Härserud Norra) with extensive zones of mineralisation defined by historical drilling. The MRE is interpreted as the distal part of a sediment-hosted stratiform copper system (“SSC”) with less than 5% of the aerially extensive target horizon having been drill tested within the 414km2 tenement package. SSC mineral systems favor the formation of very large deposits and mineral districts, and represent the most important source of copper produced in the world after porphyry copper deposits, and account for 20-25% of the global production and reserves. Surface outcrops of the same mineralised contact have been mapped and sampled (grab sample results including 1.78% Cu & 40 g/t Ag) up to 17km from the MRE (Figure). Interpretation of historical and recent airborne geophysical data over the Dalsland formation has provided substantial insights to the stratigraphy and structural evolution in the region which have been incorporated into the Company’s conceptual geological model and exploration targeting criteria for Hennes Bay. Interpretation of whole rock lithogeochemistry from drill core and outcrops was also completed to aid in distinguishing key stratigraphic markers, as well as to give a preliminary assessment of vectoring methodologies. Hennes Bay: Historical resource areas (yellow) represent <5% drill testing of prospective target horizon.
Page 14
14 ARCTIC MINERALS , ANNUAL REPORT 2025 Highly successful geophysical campaign The results of the recently completed airborne magneto-telluric (“MMT”) survey and magnetic vector inversion (“MVI”) modelling of historical airborne magnetic data at Hennes Bay were reported in January 2026. The highlights of the survey were as follows: • Highly successful geophysics campaign generated multiple high-priority targets, including extensions to known prospects and new near surface and at depth anomalies, noting that the MMT survey covered only ~33% of the overall 414km2 tenement package (Figures on next page). • The combined area of the new targets is 10 times larger (by surface extrapolation) than the footprint of the existing 55.39Mt MRE at Dingelvik. • Integration of MMT and MVI data has delivered high confidence targeting. • Next steps include ground validation and drill testing. • Further MMT surveys are planned for 2026..
Page 15
15 ARCTIC MINERALS , ANNUAL REPORT 2025 Map of new target zones delineated by integration of MMT and MVI data at Hennes Bay. Map showing the Hennes Bay geology, resource (Red), prospects (Yellow) and recently completed MMT survey grid lines.
Page 16
16 ARCTIC MINERALS , ANNUAL REPORT 2025 Positive underground mining conceptual study The findings of the UG Conceptual Study (the “Study”) announced in September 2025, clearly demonstrated the potential for a large-scale UG mining operation at Hennes Bay. The Study has confirmed the technical viability of mining the Dingelvik MRE via decline access and UG Room and Pillar stoping, with an estimated haulage rate of between 3.0 Mtpa and 4.0 Mtpa for at least ten years (Figures). Cross section view looking north of the conceptual Twin Declines (blue) and stoping locations (red) at Dingelvik. Room and Pillar mining method. Oblique view of conceptual Twin Decline locations (blue) and stoping area (red) with reference to the surface (grey).
Page 17
17 ARCTIC MINERALS , ANNUAL REPORT 2025 Diamond Drilling Underway at Hennes Bay The Phase 1 – Diamond Drilling Program (“DP-01”) commenced in April and is scheduled to be completed by the end of July 2026. The DP-01 drilling program, which comprises a total of ~4,000m, is focused on the potential upgrading of mineralisation defined by historical drilling at several prospects (Asslebyn, Henneviken, Baldersnäs, Åsnebo) to the Inferred resource category, as well as increasing the current MRE through step out drilling at the Dingelvik prospect. The drilling is being undertaken by leading Nordic focussed diamond drilling company Protek Norr who were awarded the contract for the DP-01 drilling program. Planned and Ongoing Work Program The planned and ongoing work program at Hennes Bay comprises five workstreams over the next two years with the aim of rapidly advancing the project’s development and realising its immense resource growth and exploration upside potential: • Stakeholder Engagement • Community Liaison Office established to manage effective ongoing communication with stakeholders at a local, kommun, and federal level. • Permitting: • Desktop and fieldwork to determine the current baseline status of the Flora and Fauna, Water, Sediments, Historical and Cultural sites within the potentially affected areas. • Preliminary Economic Analysis (“PEA”): • Following completion of the UG conceptual study, planned PEA workstreams include: • Preliminary metallurgical testwork and process flowsheet design studies to confirm historical recoveries, ore characteristics and process equipment requirements. • Geotechnical and hydrogeological studies to enable detailed mine design and water management requirements. • Preliminary infrastructure studies to define corridors for road, rail, power, communications, and water. • Tailings storage facility design and location studies. • Resource Expansion: • Drill testing of the peripheries of the Dingelvik prospect, which remains open in multiple directions. • Infill and extension drilling at the other five prospects with extensive zones of mineralisation defined by historical drilling. With limited further drilling, the Asselbyn, Henneviken, Baldersnäs, Åsnebo and Härserud Norra prospects may be added to the MRE. • Regional Exploration: • Further refinement of the Exploration Model through the application of modern geophysics and discovery drilling: • Additional MMT surveys covering areas of interest along the prospective copper horizon. • Generation and drill testing of regional targets to discover higher grade zones of mineralisation in the proximal parts of the SSC mineral system..
Page 18
18 ARCTIC MINERALS , ANNUAL REPORT 2025 SWAN LAKE PROJECT The Swan Lake Project, comprising two granted exploration permits covering ~218km 2, is located in the Southern Norrbotten region in northern Sweden (Figure). The Company holds an initial 51% interest in the Project and has the right to earn up to 80% pursuant to an earn-in agreement with Boden Prospektering AB. Northern Sweden has a well-established mining industry, with multiple base and precious metal mines currently operating in the Northern Norrbotten and Skellefte Field ore districts. The Project is located between these two historic ore districts, 20km northwest of the emerging industrial town of Boden. Access to the Project is excellent through a network of sealed and well-maintained forest roads. Notably, the ore train connecting the mining operations in Kiruna and Gällivare with all-year port facilities in the coastal city of Luleå runs through the centre of the Project area. The Project is located within the Proterozoic Norrbotten volcanic belt surrounded by granitic intrusions that host the giant Aitik and Laver porphyry copper-gold (“PCG”) deposits owned by Boliden (Figure). The Aitik mine, which has been in operation since 1968, is one of Europe’s largest copper producers. Northern Sweden’s Porphyry District and location of the Swan Lake Project.
Page 19
19 ARCTIC MINERALS , ANNUAL REPORT 2025 The copper deposit at Aitik was discovered in the 1930s. Mining began in 1968 when technology was sufficiently advanced to profitably extract the metal. Aitik is famous for being one of the most efficient open pit copper mines in the world. The Aitik deposit consists of chalcopyrite and pyrite yielding copper, gold and silver. Approximately 40Mt of ore is mined and concen- trated per annum, with the current dimensions of the open pit being 3km in length, 1.1km in width and 450m in depth. The current Mineral Reserve Estimate for Aitik is 1.091Bt @ 0.23% Cu, 0.16 g/t Au and 1.3 g/t Ag. In addition to the Mineral Reserves, the current MRE totals 0.905Bt @ 0.17% Cu, 0.10 g/t Au, 0.7 g/t Ag. Laver is an advanced stage bulk open pit copper-gold-silver-molybdenum project with a MRE of 0.961Bt @ 0.23% Cu, 0.13 g/t Au, 3.9 g/t Ag and 35 g/t Mo. The PCG occurrences observed along the Aitik-Laver-Tallberg trend in the Southern Norrbotten region are typical of more recent world class porphyry districts such as the Chilean PCG region. Whilst mining and exploration activities in the Southern Norrbotten region to date have been centred around the known PCG deposits, the continuation of the controlling structures for these deposits outside the mining areas remains largely unexplored.
Page 20
20 ARCTIC MINERALS , ANNUAL REPORT 2025 Regional and Prospect Scale Geological Setting and Style of Mineralisation Based on the interpretation of geological mapping, rock-chip and soil sampling, and geophysical surveys completed by the Company to date, the Project area is considered highly prospective for epithermal altered lithocap Au-Ag and PGC style mineralisation (Figures above and on next page). On a local scale, the Project is characterised by a large-scale alteration system that has been delineated over tens of km2 and contains a historic occurrence of Cu-Au-Ag-Mo mineralisation, as well as high-grade boulders of similar metal assemblage. A dumortierite-quartzite occurrence, previously drilled and trial mined to investigate its potential use as ornamental stone or gemstone, is now interpreted to represent the upper parts of a porphyry-epithermal system, directly linked to stockwork Cu-Au-Ag-Mo mineralisation. Recent fieldwork has uncovered polyphase quartz sulphide stockwork veining in the area. The results of 125 line kms of ground magnetic surveys conducted in the area have outlined a more than 2km long, low magnetic anomaly in parts associated with strong alteration and brecciation. Multiple outcrops have been located with mineralisation grading up to 0.7% Cu, 0.16 g/t Au and 55 g/t Ag. Swan Lake Project – Local Geology.
Page 21
21 ARCTIC MINERALS , ANNUAL REPORT 2025 Swan Lake Project – Geological Interpretation. Swan Lake Project – Geological Mapping, Rock-chip/Soil Sampling, and Geophysical Survey Results (pre 2025).
Page 22
22 ARCTIC MINERALS , ANNUAL REPORT 2025 Exploration Results – Induced Polarisation (“IP”) Surveys and Field Work Exploration undertaken at Swan Lake in late 2025 included additional regional and prospect scale field mapping, sampling, and geophysical surveys. Several known alteration zones within the northern part of the Project area were followed up with more detailed mapping and sampling (Figure). A gradient array IP geophysical survey was completed in November 2025 targeting the previously defined low-magnetic anomaly associated with dumortierite alteration and anomalous gold-silver-tellur-bismuth rock chip analyses (Au-Ag-Te-Bi association), as well as the mapped hydrated quartz vein systems with Cu and Au mineralisation (Figure). An additional Pole-Dipole IP survey was completed in order to refine targets for subsequent drill testing. IP is a geophysical technique that measures how the subsurface stores and releases charge over time, as well as the resistivity of the bedrock. It typically detects disseminated sulphide mineralisation in the bedrock where other electromagnetic (“EM”) techniques used for more massive style sulphide mineralisation fail. It can also outline areas void of sulphides which, in epithermal gold systems, can sometimes be associated with the highest- grade mineralisation. Gradient IP investigates the top part of the bedrock, producing a two-dimensional style surface map of resistivity and conductivity. A Pole-Dipole IP survey creates a profile deeper down into the bedrock and is commonly used to get the third dimension after a Gradient IP survey. The IP survey covered a previously measured magnetic low anomaly (Figure) spatially associated with what has been interpreted Swan Lake Project – Ground Magnetics, IP and Resistivity from up to down.
Page 23
23 ARCTIC MINERALS , ANNUAL REPORT 2025 as an Au-Ag-Te-Bi anomalous advanced argillic alteration (interpreted epithermal part). The magnetic low anomaly is conspicuously mirrored by an IP positive anomaly strongly indicating that the magnetite destruction is caused by a sulphide precipitating event. The outcropping polyphase quartz vein system (interpreted porphyry part) in the SE of the survey area, with up to 0.7% copper and 0.16 ppm gold analysed in rock chips, shows a very strong and well-defined linear IP positive anomaly. Whether this is caused by a dyke-like structure or part of a faulted structure remains to be investigated. Only one pole-dipole profile was completed due to time shortage, with the location being sub-optimal but a balance between capturing structures from dumortierite alteration in the NW and the outcropping polyphase quartz vein system in the SE (figure). Even so, the eastern dipping structures are captured well, particularly by the resistivity data. The IP, despite being located in a low-gradient IP area, captures chargeability well near surface (figure). In addition to the geophysical surveys, known copper occurrences and alteration zones in central and northern parts of the Swan Lake claims were visited and sampled. A previously unknown copper occurrence was also discovered in the northeastern parts of the claim area by careful studies of Lidar terrain maps and a follow up field visit. Rock samples of the float around trial mining pits in the NE of the project area returned 0.16% copper and 0.07 ppm gold (figure). Planned Work Program Next steps at Swan Lake include systematic rock sampling across the IP positive anomaly associated with the interpreted epithermal parts of the system, as well as the strong IP anomalous quartz vein system in the SE. This will be undertaken utilising a combination of outcrop sampling, Bottom of Till (“BOT”) sampling and diamond drilling. Additional IP measurements to the north are also warranted. The encouraging results in the NE of the project will be followed up with additional fieldwork, mapping and sampling. Swan Lake Project – Gradient IP with Pole-Dipole profile outlined A-B. Swan Lake Project – IP Pole-Dipole profile, and Resistivity (the lower figure).
Page 24
24 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 25
25 ARCTIC MINERALS , ANNUAL REPORT 2025 BIDJOVAGGE PROJECT Arctic Minerals holds a 100% interest in mining and exploration permits at the past-producing Bidjovagge Au-Cu mine, located in the Kautokeino municipality of northern Norway (figure). The deposit hosts an Indicated MRE (2021) of 3.3Mt @ 1.27g/t Au and 0.97% Cu. Total contained metal is 134,000oz of gold and 32,200t of copper. Potential for cobalt and tellurium has also been identified. The Company considers that there is excellent potential to substantially increase the MRE with further exploration. A recent study of old drill cores has identified three new PROJECTS IN NORWAY areas with exceptionally high grades of Au and Cu mineralization, including historical intersections of: • 18.0m @ 2.21% Cu & 33.8g/t Au • 27.3m @ 3.11% Cu & 0.58 g/t Au • 15.0m @ 2.0% Cu & 8.55g/t Au. Recent analysis of geophysical data also indicates the continuation of the ore zone in several directions. The Company is currently focused on re-analysis of the historical data for the purpose of delineating target areas for future resource growth. Bidjovagge project location.
Page 26
26 ARCTIC MINERALS , ANNUAL REPORT 2025 KUUSI PROJECT Arctic Minerals owns 100% of the Kuusi Copper-Gold-PGE Project in Finnish Lapland. The Company has been exploring for copper in Peräpohja since 2017 and has found PROJECTS IN FINLAND widespread Cu mineralisation in both outcrops and boulders. Work to date includes drilling, geophysical surveys, prospecting for ore boulders and outcrops and geological mapping.
Page 27
27 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 28
28 ARCTIC MINERALS , ANNUAL REPORT 2025 The Board of Directors and the CEO of Arctic Minerals AB (publ), CIN 556569-3602, hereby present the annual report and consolidated financial statement for the financial year 1/1/2025–31/12/2025. The Group consists of the Parent Company Arctic Minerals AB, 556569-3602, (“Arctic Minerals”, “the Company” or “the Parent Company” and together with its subsidiaries “the Group”) and the wholly owned subsidiaries Arctic Gold AB, 556798-9420 (“Arctic Gold”), Arctic Minerals Exploration AB, 556739-6717, (“Arctic Minerals Exploration”), Arctic Exploration AS, 926 646 029, (“Arctic Exploration”), Rare Earth Energy Metals Pty Ltd 657 977 136 (“REEM Ltd”), and Rare Earth Energy Metals Sweden AB, 559425-2404, (“REEM AB”). Arctic Minerals is listed on Nasdaq OMX First North Growth Market under the ticker symbol ARCT. ARCTIC MINERALS IN BRIEF FOR 2025 • On 3 February, Arctic Minerals announced that Jonas Lindholm, an experienced Swedish-Australian entrepreneur and international business facilitator, had joined the Company’s Advisory Committee. • On 26 February, Arctic Minerals announced that the Board had resolved on the record date for the reverse share split. • On 26 March, Arctic Minerals announced a maiden Mineral Resource Estimate for the Hennes Bay copper-silver project. The MRE is 55.39Mt at 1.0% Copper Equivalent for a total 543,000t CuEq contained metal. The total metal content comprises 447,000t of copper and 37Moz of silver. • On 27 May, Arctic Minerals presented an update on Hennes Bay which detailed the immense resource growth and exploration potential beyond the initial MRE. • On 10 June, Arctic Minerals held its Annual General Meeting. DIRECTORS’ REPORT • On 19 June, Arctic Minerals announced the completion of a directed share issue of approximately SEK 17.5 million before transaction costs. • On 30 July, Arc Arctic Minerals announced that the Company had commenced an extensive airborne Magneto-Telluric survey at the Hennes Bay copper-silver project. The survey is focussed on the Dingelvik Mineral Resource Estimate area and additional areas of interest along the prospective copper horizon. • On 18 August, Arctic Minerals announced the addition of experienced international financial sector advisor, Pierre Olsson, to the Company’s Advisory Committee. • On 1 September, Arctic Minerals advised that an Underground Mining Conceptual Study had confirmed the technical viability for a large-scale underground mining operation at the Hennes Bay Project. • On 15 September, Arctic Minerals AB advised on recent commenced exploration activities at the Swan Lake copper-gold project in northern Sweden. Previous geological mapping, rock-chip and soil sampling, and geophysical surveys have highlighted the project’s potential for epithermal altered lithocap gold-silver and porphyry copper-gold style mineralisation. • On 1 October, Arctic Minerals announced the positive outcome of the exercise of warrants of series TO 5, which were issued in connection with the Company’s issues of units in 2024. In total, 33,101,040 warrants of series TO 5 were exercised, corresponding to approximately 99 percent of the total number of outstanding warrants of series TO 5, for subscription of 3,310,104 shares at an exercise price of SEK 3.1 per share. Arctic Minerals received approximately SEK 10.3 million before transaction costs through the exercise of the warrants of series TO 5. • On 6 October, Arctic Minerals announced the proposal of Joakim Lidfeldt to join the Company’s Board of Directors. Mr. Lidfeldt
Page 29
29 ARCTIC MINERALS , ANNUAL REPORT 2025 was proposed to replace Krister Söderholm who retired from the Board after 13 years of service but will continue to support Arctic Minerals as a member of the Company’s Advisory Committee. • On 20 October, Arctic Minerals announced that the Board, pursuant to the authorisation granted by the Annual General Meeting held on 10 June 2025, had resolved on a directed set-off issue of shares to six of the Company’s creditors of a maximum of 381,033 shares, which will reduce the Company’s debt by a maximum of SEK 2,229,043.05. The subscription price in the Set-off Issue amounted to SEK 5.85 per share. • On 18 November, Arctic Minerals provided an update on exploration activities at the highly prospective Swan Lake copper-gold project in Sweden. Fieldwork and geophysics undertaken by the Company have highlighted the project’s prospectivity and a follow-up geophysical survey had commenced. • On 4 December, Arctic Minerals held an Extra General Meeting. On the Extra General Meeting Joakim Lidfeldt was elected new board member replacing Krister Söderholm. • On 22 December, Arctic Minerals announced that Johan Spetz had been appointed Chief Financial Officer of the Company. He will assume the role during the second quarter of 2026. SIGNIFICANT EVENTS AFTER THE END OF 2025 • On 13 January 2026, Arctic Minerals reported the results of a recently completed airborne magneto-telluric survey and magnetic vector inversion modelling of historical airborne magnetic data at the Hennes Bay Copper-Silver Project in Sweden. MMT and MVI geophysical modelling reveals strong correlation with known mineralisation and identifies combined new target area 10 times larger than the Dingelvik deposit ready for drill testing. • On 19 February 2026, Arctic Minerals announced changes to the Company’s executive management team. Peter George was appointed Managing Director and Chief Executive Officer, and Erik Lundstam appointed Deputy Chief Executive Officer and Chief Geologist. Peter George succeeded Risto Pietilä, who stepped down from his role as CEO. • On 23 February 2026, Arctic Minerals provided an update on exploration results at the highly prospective Swan Lake copper-gold project. Induced Polarisation geophysical survey data has supported previous results and further refined priority targets for drill testing. • On 21 April 2026, Arctic Minerals announced the completion of a directed share issue of approximately SEK 40 million before transaction costs. • On 28 April 2026, Arctic Minerals advised that the Company’s maiden diamond drilling program has commenced at its flagship Hennes Bay copper-silver project in Sweden. • On 11 May 2026, Arctic Minerals held an Extraordinary General Meeting, at which the shareholders approved the part of the directed share issue of a total of SEK 40 million (announced on 21 April 2026) that was directed to members of the Board of Directors and senior executives. This part of the share issue amounted to a total of SEK 0.7 million. NET SALES AND PROFIT/LOSS During 2025, the Group’s net revenue amounted to SEK 0.0 million (0.0), and profit after tax amounted to SEK -19.2 million (-5.8). The higher loss compared to the previous year was primarily attributable to increased expenses for the operations.
Page 30
30 ARCTIC MINERALS , ANNUAL REPORT 2025 FINANCIAL POSITION AND CASH FLOW Consolidated equity amounted to SEK 111.9 million (102.7) as per 31 December 2025, which corresponds to an equity/assets ratio of 91 per cent (92). Cash and cash equivalents amounted at the same time to SEK 18.8 million (13.0). The change in cash and cash equivalents during the year constitutes cash flow from operating activities after the change in working capital of SEK -15.9 million (-4.5), from investing activities of SEK -5.0 million (-1.0), and from financing activities SEK 26.7 million (13.9). INVESTMENTS The Company’s investments during the year primarily consisted of capitalised exploration costs related to the development of the Hennes Bay project. FINANCING Arctic Minerals is a junior mining company that does not generate its own revenue. The Company is therefore dependent on external financing. The Board of Directors works with a range of alternatives to ensure additional financing for the Company in the short and long term. As per 31 December 2025, the Company’s cash amounted to SEK 18.8 million. DIRECTED ISSUES IN ARCTIC MINERALS During 2025, Arctic Minerals carried out a directed cash share issue of 3,334,319 shares, raising approximately SEK 17.5 million before transaction costs. During 2025, the Company also completed a directed set-off share issue of 381,033 shares to six of the Company’s creditors, thereby reducing the Company’s liabilities by approximately SEK 2.2 million. EXERCISE OF WARRANTS During the year, warrants of series TO 5 were exercised. In total, 33,101,040 warrants of series TO 5 were exercised, corresponding to approximately 99 per cent of the total number of outstanding warrants of series TO 5, for subscription of 3,310,104 shares. Through the exercise of the TO 5 warrants, Arctic Minerals received approximately SEK 10.3 million before transaction costs. ORGANISATION The Group has an expressed strategy of keeping Arctic Minerals’ fixed costs low and relies on a number of key competences in management and the Board of Directors. PARENT COMPANY Arctic Minerals offers management and administrative functions for the entire Group. For 2025, revenue for invoiced costs at subsidiaries of SEK 1.4 million (1.1) was reported, the Parent Company’s costs amounted to SEK 22.7 million (5.3), and profit after tax amounted to SEK -16.2 million (-4.1). RISKS AND UNCERTAINTY FACTORS Business and ownership is always associated with risk-taking, and Arctic Minerals is no exception. The business Arctic Minerals conducts offers great opportunities but also entails significant risks. Arctic Minerals’ operations must be evaluated against the risks, costs and difficulties that companies active in exploration often face.
Page 31
31 ARCTIC MINERALS , ANNUAL REPORT 2025 EXPLORATION AND SURVEY RISK The risks in an exploration company are primarily linked to the outcome of and costs for exploration and the price development on the metal market but also permit matters related to surveys, enrichment and the environment. Obtaining the necessary permits and rights in Finland and Norway is associated with risks for the Company. All estimates of extractable mineral resources in the ground are largely based on probability assessments. There are therefore no guarantees that estimated mineral resources will remain unchanged over time. REGULATORY AND POLITICAL RISK IN NORWAY In Norway, the Planning and Building Act gives the municipal council the sole right to decide on the Planning Program and Zoning Plan after consultations. An additional factor to consider is that the municipal council’s composition can change every four years following national elections. The Norwegian government highly values the local community’s right to decide itself on the activities carried out in the municipality. EXTERNAL FACTORS External factors such as supply and demand and economic downturns and booms can have an impact on operating costs, metal prices on the global market, and share valuation. The Company’s future revenue and share valuation could be impacted by these factors, which are beyond the control of the Company. KEY STAFF Arctic Minerals’ organisation consists of a limited number of individuals, and the Company’s key staff have considerable competence and extensive experience in the Group’s business area. The loss of one or several key staff members could have an adverse impact on the business and its performance. FINANCIAL RISKS Through its business, the Company is exposed to a number of financial risks, such as currency risk, interest risk, price risk, credit risk, liquidity risk, and cash flow risk. The Company’s overarching risk management policy focuses on the unpredictability of the financial markets and strives to mitigate potential unfavourable effects on the Company’s financial performance. CURRENCY RISK Purchases in the Group occur primarily in SEK, EUR, GBP and AUD. PRICE RISK Global prices for metals are experiencing historically large fluctuations. If metal prices fall in the long term, this could have a negative impact on the value of the Company’s project portfolio and influence investors’ decisions on whether to buy the Company’s shares or participate in the financing of the business.
Page 32
32 ARCTIC MINERALS , ANNUAL REPORT 2025 LIQUIDITY AND FINANCING RISK Liquidity risk is the risk that payment obligations cannot be met due to insufficient liquidity. Management closely follows rolling forecasts for the Company’s liquidity reserve. The Company needs new capital continuously for further exploration. The Company’s possibility to meet future capital needs is highly dependent on how the business develops, and there are no guarantees that Arctic Minerals will succeed in raising new capital even if the business develops positively. This is determined, among other things, by the general situation for venture capital. HANDLING CAPITAL RISK The Group’s objective for its capital structure is to secure its ability to be a going concern in order to generate returns for shareholders and benefits for other stakeholders and maintain an optimal capital structure to keep capital expenditure down. To maintain or adjust the capital structure, Arctic Minerals can change potential dividends paid to the shareholders, repay capital to shareholders, issue new shares, or sell assets to reduce the debt. WAR IN UKRAINE The ongoing war in Ukraine and the changed situation related to security policy has not affected Arctic Minerals, but the Board of Directors and management are following the course of events to evaluate and manage potential risks. GOING CONCERN This consolidated financial statement has been prepared on the basis of accounting principles applicable to a going concern, which assumes that the Company will be able to realise its assets and settle its liabilities in the normal course of business. It is the Company’s assessment that the current cash position is sufficient to cover the Company’s fixed costs for the coming 12 months. In order for the Group, also in the longer term, to continue its operations in their current form and to realise the accumulated value of the Group’s assets, continued access to financing through additional capital raisings will be required. It is the Company’s assessment that Arctic Minerals will continue to have the ability to finance its operations through capital raisings over the longer term. Based on the information presented regarding the operations in this annual report, the Board of Directors has resolved that the Parent Company’s and the Group’s financial reporting as of 31 December 2025 shall be prepared on the basis of the going concern assumption. NUMBER OF OUTSTANDING SHARES The number of outstanding shares in the Company at the end of the period amounted to 47,028,175 (40,002,719, adjusted for the 1:10 share consolidation carried out in March 2025). SHARE CAPITAL The share capital of Arctic Minerals amounted to SEK 1,881,127 at year-end, divided among 47,028,175 shares. NASDAQ OMX FIRST NORTH Since 29 November 2010, Arctic Minerals’ share has been traded on Nasdaq OMX First North Growth Market, Stockholm, under the ticker symbol ARCT. The ISIN code for the share is SE0024172779.
Page 33
33 ARCTIC MINERALS , ANNUAL REPORT 2025 PROPOSED APPROPRIATION OF PROFIT/LOSS Parent Company Non-restricted equity at the disposal of the Annual General Meeting: Share premium reserve 174,808 Reserve after reduction of share capital 0 Profit/loss carried forward -9,473 Profit/loss for the year -16,224 TOTAL 149,110 The Board of Directors proposes that the non- restricted equity at the disposal of the Annual General Meeting be carried forward. The income statements and balance sheets, the change in equity, the cash flow statement and the notes below present the Group’s and the Parent Company’s performance and position in general. All amounts are expressed in SEK thousands (TSEK) unless otherwise specified.
Page 34
34 ARCTIC MINERALS , ANNUAL REPORT 2025 The historic performance of Arctic Minerals for the period 2021–2025 is presented below. kSEK Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Group 01/01/2023 31/12/2023 Group 01/01/2022 31/12/2022 Group 01/01/2021 31/12/2021 Income Statement Net sales 0 0 0 0 118 Capitalised work and other revenue 5,412 15 7 7 25 Operating expenses -24,740 -5,940 -11,362 -18,867 -16,007 Operating profit/loss -19,328 -5,925 -11,355 -18,860 -15,864 Net financial income/expense 9 82 71 -3 -3 Ta x - - - - - Profit/loss for the year -19,319 -5,843 -11,284 -18,863 -15,867 Balance Sheet Non-current assets 102,753 97,815 52,584 54,682 52,738 Current assets 953 446 209 493 1,306 Cash and cash equivalents 18,756 13,016 4,611 5,555 18,112 Total assets 122,462 111,277 57,404 60,730 72,158 Equity 111,879 102,727 48,682 52,121 66,030 Non-current liabilities 6,724 6,295 8,027 6,681 0 Current liabilities 3,860 2,254 695 1,928 6,129 Total equity and liabilities 122,462 111,277 57,404 60,730 72,158 Cash flow Cash flow from operating activities -15,931 -4,251 -10,131 -15,480 -11,630 Cash flow for the period 5,740 8,406 -944 -12,557 15,912 Invesments, net -4,998 -979 0 -2,062 -529 Key ratios Profit margin neg neg neg neg neg Return on equity neg neg neg neg neg Equity/assets ratio 91% 92% 85% 86% 92% Data per share Number of shares at end of period 47,028,175 400,027,197 166,485,291 152,221,197 143,911,852 Average number of shares 42,701,017 244,992,062 159,353,244 148,066,525 141,717,519 Earnings per share, SEK -0.45 -0.02 -0.07 -0.13 -0.11 Equity per share, SEK 2.38 0.26 0.29 0.34 0.46 Dividend per share - - - - - SUMMARY OF FINANCIAL PERFORMANCE
Page 35
35 ARCTIC MINERALS , ANNUAL REPORT 2025 INCOME STATEMENTS kSEK Note Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Parent Company 01/01/2025 31/12/2025 Parent Company 01/01/2024 31/12/2024 Operating income Net sales 0 0 1,411 1,087 Work performed by the Company for its own use and capitalised and other revenue 10 5,412 15 5,038 10 5,412 15 6,449 1,097 Operating expenses Operating expenses 5, 6, 7 -24,681 -5,940 -22,695 -5,299 Amortisation and impairment of intangible assets 10 -59 0 0 -24,740 -5,940 -22,695 -5,299 Operating profit/loss -19,328 -5,925 -16,246 -4,203 Profit/loss from financial investments Profit/loss from participations in Group companies 82 Net interest income/expenses 9 0 23 63 Profit/loss after financial items -19,319 -5,843 -16,223 -4,140 Ta x 9 - - - - PROFIT/LOSS FOR THE YEAR -19,319 -5,843 -16,223 -4,140 Earnings per share, SEK -0.45 -0.02 - - Average number of shares 42,701,017 244,992,062 - - Average number of shares after dilution 46,892,056 258,772,290 - - Accompanying notes are an integral part of the financial statements.
Page 36
36 ARCTIC MINERALS , ANNUAL REPORT 2025 BALANCE SHEETS ASSETS kSEK Note Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Non-current assets Intangible Assets Intangible Assets 10 102,753 97,815 4,998 - 102,753 97,815 4,998 0 Financial assets Shares in subsidiaries 11 - - 133,859 131,582 - - 133,859 131,582 Total non-current assets 102,753 97,815 138,857 131,582 Current assets Current receivables Receivables from group companies 8,537 7,590 Other receivables 649 360 578 171 Prepaid expenses and accrued income 304 86 281 83 953 446 9,396 7,845 Cash and bank balances 18,756 13,016 17,956 12,430 Total current assets 19,709 13,462 27,352 20,274 Total assets 122,462 111,277 166,209 151,857 Accompanying notes are an integral part of the financial statements.
Page 37
37 ARCTIC MINERALS , ANNUAL REPORT 2025 cont’d. BALANCE SHEETS TOTAL EQUITY AND LIABILITIES kSEK Note Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Equity Share capital 1,881 1,600 - - Other contributed capital 174,800 146,614 - - Other equity -64,803 -45,485 - - Equity attributable to Parent Company shareholders 111,878 102,729 - - Resticted equity Share capital - - 1,881 1,600 Reserve for capitalised development expenditure - - 4,998 - Total restricted equity - - 6,879 1,600 Non-restricted equity Share premium reserve - - 174,808 146,619 Profit or loss carried forward - - -9,474 -336 Profit/loss for the year - - -16,224 -4,140 Total non-restricted equity - - 149,110 142,143 Total equity - - 155,989 143,743 Non-current liabilities Other liabilities 12 6,724 6,295 6,379 5,919 Total Non-current liabilities 6,724 6,295 6,379 5,919 Current liabilities Accounts payable 2,413 1,627 2,404 1,579 Other current liabilities 48 79 48 79 Accrued expenses and deferred income 13 1,399 548 1,390 537 Total current liabilities 3,860 2,254 3,842 2,195 Total equity and liabilities 122,462 111,276 166,209 151,857 Accompanying notes are an integral part of the financial statements.
Page 38
38 ARCTIC MINERALS , ANNUAL REPORT 2025 CHANGE IN EQUITY Group kSEK Share capital Share capital Other equity including profit/loss for the year Total Equity Opening equity 1 January 2024 665 87,661 -39,643 48,682 New issue 934 58,953 - 59,887 Profit/loss for the year - - -5,843 -5,843 Amount 31 December 2024 1,600 146,614 -45,485 102,727 Opening equity 1 January 2025 1,600 146,614 -45,485 102,727 New issue 280 28,186 28,470 Profit/loss for the year -19,319 -19,319 Amount 31 December 2025 1,881 174,800 -64,803 111,878 Parent Company kSEK Share capital Share premium reserve Reserve for capitalised expenditure Loss carried forward, etc. Profit/loss for the year Total Equity Opening equity 1 January 2024 665 87,662 8,090 -8,425 87,412 Transfer profit/loss from previous year - - -8,425 8,425 0 New issue 934 58,957 59,891 Profit/loss for the year -4,140 -4,140 Amount 31 December 2024 1,600 146,619 -335 -4,140 143,744 Opening equity 1 January 2025 1,600 146,619 -335 -4,140 143,744 Transfer profit/loss from previous year -4,140 4,140 0 New issue 280 28,189 28,469 Allocation to reserve for development expenditure 4,998 -4,998 Profit/loss for the year -16,224 -16,224 Amount 31 December 2025 1,881 174,808 4,998 -9,474 -16,224 155,989 Accompanying notes are an integral part of the financial statements. See also Note 11.
Page 39
39 ARCTIC MINERALS , ANNUAL REPORT 2025 CASH FLOW STATEMENTS kSEK Note Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Parent Company 01/01/2025 31/12/2025 Parent Company 01/01/2024 31/12/2024 Operating activities Operating profit/loss -19,328 -5,925 -16,247 -4,203 Adjustments for non-cash items * 59 Interest received and similar profit/ loss items 23 82 23 63 Interest paid and similar profit/loss items -14 Cash flow from operating activities before changes in working capital -19,260 -5,843 -16,224 -4,140 Cash flow from changes in working capital Change in operating receivables -507 -237 -604 5,681 Change in operating liabilities 3,835 1,558 3,875 1,540 Cash flow from operating activities -15,932 -4,521 -12,953 3,081 * Adjustments for non-cash items Impairment of tangible and intangible non-current assets 59 Total adjustments for non-cash items 59 Accompanying notes are an integral part of the financial statements.
Page 40
40 ARCTIC MINERALS , ANNUAL REPORT 2025 cont’d. CASH FLOW STATEMENTS kSEK Note Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Parent Company 01/01/2025 31/12/2025 Parent Company 01/01/2024 31/12/2024 Cash flow from investing activities Property, plant and equipment and intangible assets -4,998 -979 -4,998 Contributions to subsidiaries -3,224 -7,591 Cash flow from investing activities -4,998 -979 -8,222 -7,591 Cash flow from financing activities New share issues 26,241 14,366 26,241 14,941 Change in liabilities 428 -459 461 -2,109 Cash flow from financing activities 26,669 13,907 26,701 12,832 Cash flow for the year 5,740 8,406 5,526 8,322 Cash and cash equivalents at beginning of year 13,016 4,611 12,430 4,109 Cash and cash equivalents at end of year 18,756 13,016 17,956 12,430 Accompanying notes are an integral part of the financial statements.
Page 41
41 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 1 | General information The Group consists of Parent Company Arctic Minerals and the wholly owned subsidiaries Arctic Gold, Arctic Minerals Exploration, Arctic Exploration, REEM Ltd and REEM AB. The share for Arctic Minerals is admitted for trading on Nasdaq Stockholm First North Growth Market. The Company’s address is Arctic Minerals AB (publ), Rådmansgatan 16, 114 25 Stockholm, Sweden. Note 2 | Summary of key accounting principles The key accounting principles applied to the preparation of the annual report are presented below. These principles have applied consistently for all presented years unless otherwise specified. 2.1 Consolidated accounting and valuation principles Arctic Minerals AB’s annual report and consolidated financial statements have been prepared in accordance with the Annual Accounts Act and the Swedish Accounting Standards Board’s General Guideline BFNAR 2012:1 Annual Reports and Consolidated Financial Statements (K3). The accounting principles have not changed compared to the previous year. 2.2 Consolidated financial statements Arctic Minerals AB (publ) prepares consolidated financial statements. The companies where Arctic Minerals holds the majority of votes at the Annual General Meeting and companies where Arctic Minerals has agreements through which it holds a controlling influence are classified as subsidiaries and consolidated in the consolidated financial statements. Disclosures about Group companies are found in the notes about financial assets. The subsidiaries are included in the consolidated DISCLOSURES AND NOTES financial statement as of the date on which the controlling influence is transferred to the Group. They are excluded from the consolidated financial statement as of the date on which the controlling influence ceases. The Group’s year-end report has been prepared in accordance with the acquisition method. The point of acquisition is the point in time when the controlling influence is obtained. Identifiable assets and liabilities are initially valued at fair value at the time of acquisition. The minorities’ share of the acquired net assets is measured at fair value. Goodwill consists of the difference between the acquired identifiable net assets at the time of acquisition and the cost, including the value of the minority interest, and is initially measured at cost. Transactions between Group companies are eliminated in their entirety. 2.3. Revenue recognition The Group has no external revenue generated by the sale of goods or services. Intragroup sales are eliminated in the consolidated financial statements. 2.4 Reporting for business lines An independent business line is a part of the company’s operations that differs from others in terms of mission, demand and production structure, risk level, etc. A geographic market is a specific country, or a group of countries, where the company operates. The exploration operations within Arctic Minerals are conducted in both Finland and Norway. 2.5 Leases The Company’s lease payments arise in the form of costs for premises, which are expenses linearly across the duration.
Page 42
42 ARCTIC MINERALS , ANNUAL REPORT 2025 2.6 Translation of foreign currency Transactions in foreign currency are translated to the functional currency in accordance with the foreign exchange rates applicable on the date of the transaction. Exchange gains and losses that arise upon payment of such transactions and when translating monetary assets and liabilities in foreign currency to the rate on the balance sheet date are recognised in the income statement. 2.7 Financial income and expenses Financial income consists of interest income on financial investments, where relevant. 2.8 Taxes The tax expense or tax revenue for the period consists of current tax. Current tax is calculated on the taxable earnings for the period. Deferred tax is calculated in accordance with the balance sheet method, which entails a comparison between recognized and taxable values of the Company’s assets and liabilities, respectively. The difference between these values is multiplied by the current tax rate, which generates the amount for the deferred tax asset/liability. Deferred tax assets are recognized in the balance sheet to the extent that it is probable that the amounts can be drawn against future taxable earnings. A deferred tax asset on unutilized loss carryforwards has not been recorded on precautionary grounds since it is still difficult to assess if it can be realised. 2.9 Employees benefits and board renumeration Pensions The Group has no defined-contribution or defined-benefit pension plans. Share-related remuneration There is no share-related remuneration. 2.10 Intangible assets Expenditure for exploration and evaluation, of mineral resources K3 mentions very briefly the reporting of mineral resource extraction, and expenditure for exploration and evaluation is not mentioned at all. (Assets obtained for exploration are to be recognised in accordance with the chapters on tangible and intangible assets.) Therefore, guidance is sought from IFRS 6 Exploration for and Evaluation of Mineral Resources. When determining whether an expense can be capitalised, the extent to which the expense can be linked to finding specific mineral resources is considered. The standard provides examples of expenses, including a. acquisition of rights to explore; b. topographical, geological, geochemical and geophysical studies; c. exploratory drilling; d. trenching; e. sampling; and f. activities in relation to evaluating the technical feasibility and commercial viability of extracting a mineral resource. For each exploration project, expenses are capitalised from the point in time when the criteria for capitalisation are met. Expenditure up to this point in time is expensed. Capitalised expenditure is recognised as Capitalised explo ration expenditure, among intangible assets. Expenditure directly attributable to acquisition of rights to explore can normally not be associated with a specific mineral resource, which is why it is expensed. For separately acquired rights to explore with some completed exploration, the project is considered to meet the criteria for being able to be associated with a specific mineral resource. In such a case, the expense is capitalised as Exploration and evaluation assets. Additional expenses are also capitalised in this item. If the project is not considered to meet the asset criteria at acquisition, the expenditure is expensed. Expenditure for continued exploration is treated in accordance with the first paragraph. Impairment of exploration and evaluation assets Impairment needs are assessed when facts and circumstances indicate that the carrying amount for an exploration asset and mineral
Page 43
43 ARCTIC MINERALS , ANNUAL REPORT 2025 resource could exceed its recoverable amount. See more under Note 2.11. Depreciation/amortisation If the Company starts its own mining, the useful life for capitalised expenditure will be established. This expenditure will be amortised as the ore is mined. Withdrawal from an exploration permit In the event of the return of a received explo - ration permit, related capitalized expenditure is reported as an impairment and is included under other operating expenses to the extent that it does not refer to payments repaid from the permit authority. 2.11 Impairment of assets The assumption of the value of the Company’s assets in the form of exploration assets/mining rights is based on a measurement model where variables such as the price development of copper, silver and gold, foreign exchange rates, mineral content, and future estimated production costs are central parameters. The impairment test of the Company’s assets is influenced by assessments and assumptions about future events, circumstances and political risks that could impact the value. The Company’s business is dependent on receiving required permits from concerned authorities, and this thus affects the valuation of the Company’s assets. 2.12 Financial assets and liabilities Financial instruments Financial instruments recognised in the balance sheet include other receivables, accounts payable, and other liabilities. The instruments are recognised in the balance sheet when Arctic Minerals becomes party to the instrument’s contractual terms and conditions. Financial assets are derecognised from the balance sheet when the right to receive cash flows from the instrument have expired or been transferred and the Group has transferred substantially all risks and benefits associated with the ownership right. Financial liabilities are decrecognised from the balance sheet when the obligations have been discharged or cancelled in some other way. Accounts receivable and other receivables Receivables are recognised as current assets with the exception of items with a due date more than 12 months after the balance sheet date, which are classified as non-current assets. Receivables are recognised at the amount expected to be paid after deduction for individually assessed bad debts. Receivables that are interest-free or that carry interest at a rate different from the market rate and have a maturity term exceeding twelve months are recognised at a discounted present value and the change in value over time is recognised as interest income in the income statement. Borrowings and accounts payable Borrowings and accounts payable are initially recognized at cost after deduction for transaction costs. If the carrying amount differs from the amount to be repaid at the due date, the difference is allocated as an interest expense over the duration of the loan using the instrument’s effective interest rate. The carrying amount and the amount to be repaid thus are in agreement on the due date. Offsetting of financial receivables and financial liabilities A financial asset and a financial liability are offset and recognised with a net amount in the balance sheet only when a legal right of set- off exists and when a settlement with a net amount is intended to take place or when a simultaneous disposal of the asset and settle- ment of the liability is intended to take place. In the balance sheet, the carrying amounts for the financial assets and liabilities below are considered to be in agreement with the asset’s or the liability’s value. Cash and bank balances Cash and bank balances are measured at nominal amounts.
Page 44
44 ARCTIC MINERALS , ANNUAL REPORT 2025 Participations in group companies Participations in group companies are reported initially at cost and thereafter at the lower of cost and the asset’s recoverable amount. In the event it is difficult to establish a net realisable value, the value in use may be considered to be the recoverable amount. The value in use is calculated as the present value of future estimated cash flows. 2.13 Transaction costs Transaction costs that can be directly attributable to the issue of new shares or options are recognised net after tax in equity as a deduction from the issue proceeds. 2.14 Cash flow statement The cash flow statement is prepared according to the indirect method. The recognised cash flow consists solely of transactions that have given rise to payments to or from the company. In addition to cash, the company classifies as cash and cash equivalents available balances with banks and other credit institutions as well as current liquid investments that are listed on a marketplace and have a maturity shorter than three months from the date of acquisition. 2.15 Provisions The company makes a provision when there is a legal or constructive obligation, and a reliable estimate of the amount can be made. The company recognises the present value of obligations that are expected to be settled after more than twelve months. The increase in the provision due to the passage of time is recognised as interest expense. Provisions for restructuring are made when there is an established and detailed restructuring plan that has been announced to those affected. Note 3 | Estimates and judgments Arctic Minerals makes estimates and judgments about the future. The estimates for accounting purposes resulting from such estimates and judgments, by definition, seldom correspond to the actual outcome. The estimates and assumptions that entail a significant risk are briefly discussed below. The assumption of the value of the Company’s assets in the form of exploration assets/mining rights in Norway is based on a measurement model where variables such as the price development of copper, silver and gold, foreign exchange rates, mineral content, and future estimated production costs are central parameters. The impairment test of the Company’s assets is influenced by judgments and assumptions about future events, circumstances, and political risks that could impact the value. Due to these uncertainties, the earnings for 2015 have been charged SEK 20,406 thousand for the impairment of goodwill. Because the mineral resource is already significant and there is a strong potential to find more, the conditions are in place to progress with the project or to find other alternatives for continuation in Norway. The Company’s operations are dependent in the long term on receiving required permits from concerned authorities, and this thus affects the valuation of the Company’s assets. Given the local political decisions made during the period 2012–2016, there is a clear political risk in Norway. The Company makes the assessment, however, that the outlook for Arctic Gold in the long term to obtain a positive decision about the possibility to receive required permits is realistic and thus takes the position that the value of the asset is justified. The Group is also considering in the long run to find another owner for the Group’s Norwegian project. In the event of a potential sale of the project, there is a risk that a buyer will make different assessments than Arctic Gold has about the project’s value. The Board of Directors is working continuously to secure long-term financing for the Company and to ensure a going concern. The Company is dependent on external financing to be able to carry out the development of the Company’s project for full-scale mines or to sell the projects. If sufficient financing to continue operations is not obtained, there is a risk that this will affect the business. Overall, this means that there are significant uncertainty factors that could lead to strong doubt that the Company could continue according to the
Page 45
45 ARCTIC MINERALS , ANNUAL REPORT 2025 going concern principle. This could primarily impact the value of the intangible assets. Based on the information presented regarding the operations in this annual report, the Board of Directors has resolved that the Parent Company’s and the Group’s financial reporting as of 31 December 2025 shall be prepared on the basis of the going concern assumption. Taxable loss carryforwards At the end of the financial year there were taxable loss carryforwards of SEK 92 million in the Parent Company. A deferred tax asset on unutilised loss carryforwards has not been recorded on precautionary grounds since it is difficult to assess if it can be realised. Note 4 | Reporting for business lines Arctic Minerals is currently active in exploration and mine development in three countries. Net sales amount to SEK 0 thousand (0). The table shows capitalised work in the countries where the Group is operational and earnings after tax. GEOGRAPHIC AREAS Capitalised work, (kSEK) Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Norway - - Finland - - Sweden 4,998 - Total 4,998 0 Earnings after tax, (kSEK) Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Norway -375 -617 Finland -1,444 -1,086 Sweden -17,499 -4,140 Total -19,319 -5,843
Page 46
46 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 5 | Intragroup purchases and sales, etc. Parent Company 01/01/2025 31/12/2025 01/01/2024 31/12/2024 Sales 100% 100% Purchases 7% 5% Note 6 | Other external costs Disclosures on the auditor’s fees and cost reimbursement kSEK Group 01/01/2025 31/12/2025 Group 01/01/2024 31/12/2024 Parent Company 01/01/2025 31/12/2025 Parent Company 01/01/2024 31/12/2024 Öhrlings PricewaterhouseCoopers AB Auditor assignment 217 216 217 216 Audit work other than the audit assignment 0 0 0 0 Total 217 216 217 216 Note 7 | Disclosures on leases All of the Group’s lease contracts are operational. The Group’s lease cost amounts to SEK 70 thousand (78) and refers to the Company’s drill core archive. The rental contract for the premises is renewed annually. The nominal value of future payment obligations for leases is broken down as follows: 0-1 yr 1-3 yrs 3-5 yrs +5 yrs Future minimum lease payments 70 0 0 0 Note 8 | Remuneration to the Board of Directors and employees Fees to the chair and directors of the Board of Directors are paid in accordance with the resolution by the Annual General Meeting. The 2025 Annual General Meeting resolved that Board fees (until the next Annual General Meeting) of SEK 250 thousand will be paid to the chair of the Board of Directors and SEK 150 thousand will be paid to other regular Board directors. The Company had no employees during the financial year (previous year: 0). Salaries and other remuneration relate to Board fees.
Page 47
47 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 9 | Taxes kSEK Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 The following components comprise the tax expense: Current tax - - - - Deferred tax - - - - Reported tax 0 0 0 0 Reported profit/loss before tax -19,319 -5,843 -16,223 -4,140 T ax according to the current tax rate, 20.6% 3,980 1,204 3,342 853 T ax effect from - Non-deductible expenses and non- deductible income 0 0 0 0 - Depreciation of non-current assets - - - - - New share issue costs - - - - - Non-capitalised loss carryforwards -3,980 -1,204 -3,342 -853 Reported tax 0 0 0 0 Taxable loss carryforwards At the end of the financial year, there were taxable loss carryforwards of SEK 108 million (92) in the Parent Company and SEK 161 million (142) in the Group. All loss carryforwards are without time restriction. A deferred tax asset on unutilised loss carryforwards has not been recorded on precautionary grounds since it is difficult to assess if it can be realised.
Page 48
48 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 10 | Intangible assets kSEK Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Exploration asset/mining right Opening cost 44,535 39,711 3,592 3,592 Acquisition of subsidiaries 44,537 Reclassification -39,713 Closing accumulated cost 44,535 44,535 3,592 3,592 Opening depreciation/amortisation and impairment -20,367 -3,592 -3,592 Reclassifications 20,367 Closing accumulated depreciation/ amortisation 0 0 -3,592 -3,592 Closing carrying amount 44,535 44,535 0 0 Exploration expenditure carried forward Opening cost 31,548 53,367 12,203 12,203 Acquisitions 4,998 - Reclassification -21,819 Closing accumulated cost 31,548 31,548 17,201 12,203 Opening depreciation/amortisation -12,203 -484 -12,203 -484 Reclassifications -11,719 -11,719 Opening impairment -19,645 -11,719 Reclassifications 19,645 11,719 Impairment for the year Reclassifications Closing accumulated depreciation/ amortisation and impairment -12,203 -12,203 -12,203 -12,203 Closing carrying amount 19,345 19,346 4,998 0 Advanced payments for intangible assets Opening cost 33,932 Acquisitions 4,941 Reclassification - 33,932 - - Closing carrying amount 38,873 33,932 0 0 Total intangible assets 102,753 97,814 4,998 0
Page 49
49 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 11 | Shares in subsidiaries kSEK Parent Company 31/12/2025 Parent Company 31/12/2024 Opening cost 131,582 85,596 Acquisitions & additions 2,277 45,986 Disposals & impairment Closing accumulated cost 133,859 131,582 Closing carrying amount 133,859 131,582 Holdings of participations in subsidiaries comprise the following: CIN Reg'd office Share of equity Arctic Gold AB 556798-9420 Stockholm 100.0% Arctic Minerals Exploration AB 556739-6717 Stockholm 100.0% Arctic Exploration A/S 929 646 029 Asker, Norge 100.0% Rare Earth Metals Pty Ltd 957 977 136 Western Australia 100.0% Parent Company Share of equity Share of vote Number/ percentage of shares Carrying amount 2025 Carrying amount 2024 Arctic Gold AB 100.0% 100.0% 21,557,972 31,201 29,073 Arctic Minerals Exploration AB 100.0% 100.0% 2,155,797 56,190 57,318 Arctic Exploration A/S 100.0% 100.0% 30,000 290 241 Rare Earth Metals Pty Ltd 100.0% 100.0% 19,300,000 46,179 44,951 Note 12 | Other liabilities Group, kSEK Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Due date, within one year from the balance sheet date Due date, 1–5 yrs from the balance sheet date 6,724 6,295 6,379 5,919 Due date, more than 5 yrs from the balance sheet date Closing accumulated cost 6,724 6,295 6,379 5,919 No interest is paid on other liabilities.
Page 50
50 ARCTIC MINERALS , ANNUAL REPORT 2025 Note 13 | Accrued expenses and deferred income kSEK Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Board fees including social security expenses 841 158 841 158 Audit fees and fees for year-end procedures 230 230 230 230 Other interim liabilities 328 160 318 150 Total 1,399 548 1,390 537 Note 14 | Pledged assets and contingent liabilities kSEK Group 31/12/2025 Group 31/12/2024 Parent Company 31/12/2025 Parent Company 31/12/2024 Blocked bank funds, Deposit for land restoration Finland 172 172 0 0 Total 172 172 0 0 Note 15 | Transactions with closely related parties The Swan Lake project project comprises two granted exploration permits covering approx- imately 218 square kilometres and is located in southern Norrbotten in northern Sweden. The project forms part of an earn-in agreement. The Group holds a 51 per cent interest in the project and has the right to increase its ownership to up to 80 per cent through additional investments in the project under an earn-in agreement with Boden Prospektering AB (“BP”). BP is a Swedish private company owned by Erik Lundstam and Peter George. During the period, no other material related- party transactions occurred outside the ordinary course of the Company’s business and on market terms. Note 16 | Events after the balance sheet date • On 13 January 2026, Arctic Minerals reported the results of a recently completed airborne magneto-telluric (“MMT”) survey and magnetic vector inversion modelling of historical airborne magnetic data at the Hennes Bay Copper-Silver Project in Sweden. MMT and MVI geophysical modelling reveals strong correlation with known mineralisation and identifies combined new target area 10 times larger than the Dingelvik deposit ready for drill testing. • On 19 February 2026, Arctic Minerals announced changes to the Company’s executive management team. Peter George was appointed Managing Director and Chief Executive Officer, and Erik Lundstam appointed Deputy Chief Executive Officer and Chief Geologist. Peter George succeeds Risto Pietilä, who is stepping down from his role as CEO. • On 23 February 2026, Arctic Minerals provided an update on exploration results at the highly prospective Swan Lake copper-gold project. • On 21 April 2026, Arctic Minerals announced the completion of a directed share issue of approximately SEK 40 million before transaction costs. • On 28 April 2026, Arctic Minerals advised that the Company’s maiden diamond drilling program has commenced at its flagship Hennes Bay copper-silver project in Sweden. • On 11 May 2026, Arctic Minerals held an Extraordinary General Meeting, at which the shareholders approved the part of the directed share issue of a total of SEK 40 million (announced on 21 April 2026) that was directed to members of the Board of Directors and senior executives. This part of the share issue amounted to a total of SEK 0.7 million.
Page 51
51 ARCTIC MINERALS , ANNUAL REPORT 2025 The Board of Directors and the CEO assure that the annual report presents a fair view of the Group’s operations, position and performance and describes significant risks and uncertainty factors facing the Group. The Annual Report was approved on 20 May 2026. Stockholm, 20 May 2026 Robert Behets Peter George Chairman of the Board Managing Director, CEO and Board Director Peter Walker Joakim Lidfeldt Board Director Board Director Our auditor’s report was submitted on 20 May 2026 Öhrlings PricewaterhouseCoopers AB Martin Johansson Authorized public accountant SIGNA TURES
Page 52
52 ARCTIC MINERALS , ANNUAL REPORT 2025 Auditor's report To the general meeting of the shareholders of Arctic Minerals AB (publ), corporate identity number 556569-3602 Report on the annual accounts and consolidated accounts Opinions We have performed an audit of the annual accounts and consolidated accounts of Arctic Minerals AB (publ) for year 2025. The company's annual report and consolidated financial statements are included on pages 28-51 of this document. In our opinion, the annual accounts and the consolidated accounts have been prepared in accordance with the Annual Accounts Act and present fairly, in all material respects, the financial position of the parent company and the group as of 31 December 2025 and its financial performance and cash flow for the year then ended in accordance with the Annual Accounts Act. The statutory administration report is consistent with the other parts of the annual accounts and consolidated accounts. We therefore recommend that the general meeting of shareholders adopts the income statement and balance sheet for the parent company and the group. Basis for Opinions We conducted our audit in accordance with International Standards on Auditing (ISA) and generally accepted auditing standards in Sweden. Our responsibilities under those standards are further described in the Auditor’s Responsibilities section. We are independent of the parent company and the group in accordance with professional ethics for accountants in Sweden and have otherwise fulfilled our ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinions. Other information than the annual accounts and consolidated accounts This document also contains other information than the annual accounts and consolidated accounts and can be found on pages 1-27 and 56-58. The board of directors and the CEO are responsible for this other information. Our opinion on the annual accounts and consolidated accounts does not cover this other information and we do not express any form of assurance conclusion regarding this other information. In connection with our audit of the annual accounts and consolidated accounts, our responsibility is to read the information identified above and consider whether the information is materially inconsistent with the annual accounts and consolidated accounts. In this procedure we also take into account our knowledge otherwise obtained in the audit and assess whether the information otherwise appears to be materially misstated. If we, based on the work performed concerning this information, conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Board of Directors and the Managing Director The Board of Directors and the Managing Director are responsible for the preparation of the annual accounts and consolidated accounts and that they give a fair presentation in accordance with the Annual Accounts Act. The Board of Directors and the Managing Director are also responsible for such internal control as they determine is necessary to enable the preparation of annual accounts and consolidated accounts that are free from material misstatement, whether due to fraud or error. In preparing the annual accounts and consolidated accounts, the Board of Directors and the Managing Director are responsible for the assessment of the company and group's ability to continue as a going concern. They disclose, as applicable, matters related to going concern and using the going concern basis of accounting. The going concern basis of accounting is however not applied if the Board of Directors and the Managing Director intends to liquidate the company, cease operations or has no realistic alternative to doing any of this. 1 of 3
Page 53
53 ARCTIC MINERALS , ANNUAL REPORT 2025 Auditor's responsibility Our objectives are to obtain reasonable assurance about whether the annual accounts and consolidated accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and generally accepted auditing standards in Sweden will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these annual accounts and consolidated accounts. A further description of our responsibility for the audit of the annual accounts and consolidated accounts is available on the Swedish Inspectorate of Auditors’ website: www.revisorsinspektionen.se/revisornsansvar. This description is part of the auditor's report. Report on other legal and regulatory requirements Opinions In addition to our audit of the annual accounts and consolidated accounts, we have also audited the administration of the Board of Directors and the Managing Director of Arctic Minerals AB (publ) for year 2025 and the proposed appropriations of the company’s profit or loss. We recommend to the general meeting of shareholders that the loss be dealt with in accordance with the proposal in the statutory administration report and that the members of the Board of Directors and the Managing Director be discharged from liability for the financial year. Basis for Opinions We conducted the audit in accordance with generally accepted auditing standards in Sweden. Our responsibilities under those standards are further described in the Auditor’s Responsibilities section. We are independent of the parent company and the group in accordance with professional ethics for accountants in Sweden and have otherwise fulfilled our ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinions. Responsibilities of the Board of Directors and the Managing Director The Board of Directors is responsible for the proposal for appropriations of the company’s profit or loss. At the proposal of a dividend, this includes an assessment of whether the dividend is justifiable considering the requirements which the company and group's type of operations, size and risks place on the size of the parent company's equity, consolidation requirements, liquidity and position in general. The Board of Directors is responsible for the company’s organization and the management of the company’s affairs. This includes among other things continuous assessment of the company and group's financial situation and ensuring that the company's organization is designed so that the accounting, management of assets and the company’s financial affairs otherwise are controlled in a reassuring manner. The Managing Director shall manage the ongoing administration according to the Board of Directors’ guidelines and instructions and among other matters take measures that are necessary to fulfill the company’s accounting in accordance with law and handle the management of assets in a reassuring manner. Auditor's responsibility Our objective concerning the audit of the administration, and thereby our opinion about discharge from liability, is to obtain audit evidence to assess with a reasonable degree of assurance whether any member of the Board of Directors or the Managing Director in any material respect: has undertaken any action or been guilty of any omission which can give rise to liability to the company, or in any other way has acted in contravention of the Companies Act, the Annual Accounts Act or the Articles of Association. Our objective concerning the audit of the proposed appropriations of the company’s profit or loss, and thereby our opinion about this, is to assess with reasonable degree of assurance whether the proposal is in accordance with the Companies Act. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with generally accepted auditing standards in Sweden will always detect actions or omissions that can give rise to liability to 2 of 3
Page 54
54 ARCTIC MINERALS , ANNUAL REPORT 2025 the company, or that the proposed appropriations of the company’s profit or loss are not in accordance with the Companies Act. A further description of our responsibility for the audit of the administration is available on the Swedish Inspectorate of Auditors’ website: www.revisorsinspektionen.se/revisornsansvar. This description is part of the auditor's report. Stockholm May 20, 2026 Öhrlings PricewaterhouseCoopers AB Martin Johansson Authorized Public Accountant This is a translation of the Swedish language original. In the event of any differences between this translation and the Swedish language original, the latter shall prevail. 3 of 3
Page 55
55 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 56
56 ARCTIC MINERALS , ANNUAL REPORT 2025 ROBERT BEHETS Chairman of the Board (Born 1965) Robert Behets is a geologist with over 35 years’ experience in the mineral exploration and mining industry in Australia and internationally. Since 2024 Robert Behets is member of the Arctic Minerals board and Chairman since 2025. He has had extensive corporate and management experience and currently holds directorships in several listed companies in the resources sector. Robert Behets has a strong combination of technical, commercial, and managerial skills and extensive experience in exploration, feasibility studies and mining operations across a range of commodities. He is a Fellow of the Australasian Institute of Mining and Metallurgy, a Member of Australian Institute of Geoscientists, and was previously a member of the Australasian Joint Ore Reserve Committee (“JORC”). Robert Behets holds a Bachelor of Science (Honours) from the University of Queensland. Robert Behets is currently an Executive Director of Berkeley Energia Limited (ASX/LSE/BdM) and a Non-Executive Director of Apollo Minerals Limited (ASX), Constellation Resources Limited (ASX), Equatorial Resources Limited (ASX), GBM Resources Limited (ASX) and Odyssey Gold Limited (ASX). Robert Behets holds 3,810,293 shares in Arctic Minerals. Robert Behets is independent in relation to the Company and its management, as well as independent in relation to the Company’s major shareholders. BOARD OF DIRECTORS
Page 57
57 ARCTIC MINERALS , ANNUAL REPORT 2025 PETER GEORGE Managing Director (MD), Chief Executive Officer and Board Director (Born 1973) Peter is a highly skilled and experienced Board Member, Executive, Mining Engineer and Mineral Economist with thirty years’ experience founding and leading exploration and mining companies, operations and contracting/consulting organisations in Australia and Scandinavia. Since 2024, he has been a member of the Arctic Minerals Board and, since 2026, CEO of the Company. With diverse experience in board positions, executive management, technical and entrepreneurial ventures in the private and public sectors, Peter has had significant involvement in all facets of a resource company’s’ lifecycle from exploration, feasibility, construction, operations and closure. As a founder of Rare Earth Energy Metals Pty Ltd, the private company acquired by Arctic Minerals in October 2024, and after assuming the role of Executive Director of Arctic Minerals in December 2024, Peter George has led the successful reconstruction and transformation of the Company. He was previously MD of the Australian Securities Exchange (“ASX”) listed, and Sweden focussed, exploration company Alicanto Minerals Limited and has held management or engineering roles with companies such as Boliden AB, WMC Limited (now part of BHP Group Limited) and Mineral Resources Limited. Peter George holds a Bachelor of Mining Engineering and a Graduate Certificate in Mineral Economics from Curtin University (WASM) in Western Australia. Peter George holds 3,450,473 shares in Arctic Minerals through a company. Peter George is independent in relation to the Company’s major shareholders but not in relation to the Company and its management.
Page 58
58 ARCTIC MINERALS , ANNUAL REPORT 2025 PETER WALKER Board Director (Born 1952) Peter Walker is a British geologist and mining entrepreneur and member of the Arctic Minerals Board since 2017. He was the founder, President and CEO of Scandinavian Minerals Ltd., a public mining company listed on the Toronto Stock Exchange, from its incorporation in 1996 until its acquisition in 2008 by First Quantum Minerals Ltd. for $281 million. Mr. Walker has over 35 years’ experience in the inter - national metals and minerals industry. He holds a B.Sc. in Mining and Exploration Geology from the Royal School of Mines, Imperial College, London. In 2011 he received the Fennoscandian Mining Award for his role in developing the Kevitsa copper-nickel mine in Finnish Lapland. Mr. Walker served as Chairman of Arctic Minerals until June 2025. Peter Walker holds 2,302,362 shares in the Company. Peter Walker is deemed independent from the biggest shareholders, the Company and management. JOAKIM LIDFELDT Board Director (Born 1964) Board member of Arctic Minerals since 2025. Joakim Lidfeldt, brings 37 years of experience in International Financial Markets, with a strong focus on global equities, to the Company’s Board. He served as Managing Director at Sanford Bernstein for 20 years and has also held senior positions at HSBC (Head of Nordic Region), Deutsche Bank (Head of Nordic Sales) and SEB (International Equities). Most recently, he has worked as a Global Portfolio Manager at AMF Fonder. He holds a Master of Business Administration from Stockholm University and is a Certified European Financial Analyst from the Stockholm School of Economics. Ongoing assignments: Vice Chairman and Director of Boo FF (Sports Club). Joakim Lidfeldt currently holds 9,000 shares in Arctic Minerals. Joakim Lidfeldt is independent in relation to the Company and its management, as well as independent in relation to the Company’s major shareholders.
Page 59
59 ARCTIC MINERALS , ANNUAL REPORT 2025
Page 60
Arctic Minerals AB (publ) Rådmansgatan 16 S-114 25 Stockholm, Sweden Email: info@arcticminerals.se www.arcticminerals.se