Valentis Asia Statement re Justice For Myanmar Report

Anonymous activist group Justice For Myanmar (JFM)’s report “Mines for Humanity” contains serious allegations based on erroneous and outdated information. They insinuate that we are involved in business activities which directly enrich and support the junta in Myanmar. JFM’s report is false, baseless, and scurrilous.

Valentis Asia provides exploration services, which aim to understand the geology of an area through technical studies, exploration sample drilling, field surveys and research. We do not conduct, and have never conducted, any mining or mineral extraction activities.

Valentis has never derived any revenue from any mining or mineral extraction activities in Myanmar. As there was never any revenue from mining or mineral extraction activities, no mining royalties or mining taxes have ever been paid.

Importantly, Valentis Asia has already exited from Myanmar following the divestment in 2022 of our Myanmar operating subsidiaries.

Since 2020, Valentis Asia significantly reduced its operations in Myanmar and focused on other international markets. The coup in 2021 subsequently accelerated the disengagement from Myanmar.

With the global pandemic and the political situation, withdrawing from Myanmar has been a difficult and delicate process that took time to implement. Our affection for the people of Myanmar runs deep. It was vital that all aspects of the exit were managed in a responsible manner, minimising adverse impact on the

livelihoods of our local staff while prioritising their safety. Prior to 2020, we employed over 200 people in Myanmar, comprised of mostly local staff but also included people from Australia, New Zealand, Thailand, Indonesia, and the Philippines, with a collective interest in conducting responsible business.

Valentis was proud to have provided meaningful and rewarding employment, continuing education, and career development opportunities to the team in Myanmar, empowering them with initiatives such as the

Valentis School of Management and Leadership, as well as various trainings abroad.

EXIT AND DISENGAGEMENT FROM MYANMAR

In 2022, Valentis Asia successfully divested the Myanmar operating subsidiaries (“Divested Myanmar Entities” or “Valentis Myanmar”). The Valentis Myanmar companies include Valentis Group Limited,

Valentis Services Limited, Valentis Environmental and Geotechnical Services Limited, and Aung Myay Drilling Company Limited. For the avoidance of doubt, Valentis Resources Limited was never part of Valentis Asia nor was it ever under its ownership or control.

As a result of this divestment, Valentis Myanmar is now owned independently of Valentis’ international operations.

DIVESTED MYANMAR ENTITIES

As part of the divestment, Valentis Myanmar is permitted to continue using the “Valentis” name to wind down the business but must deregister or cease the use of the Valentis name by 2024. Valentis Myanmar is in the process of deregistration as planned.

JFM has alluded to dealings between Valentis Myanmar and the Myanmar Economic Corporation (MEC).

We understand from Valentis Myanmar that no goods or services were ever provided to, and no contracts

were ever entered into, with MEC. The JFM article also mentioned several entities allegedly linked to Valentis. In the interest of transparency, we would like to provide further context on them, insofar as it is within our knowledge and in consideration of confidentiality and professional obligations:

Locrian Precious Metals Company Limited

Valentis Asia’s interest in Locrian Precious Metals Company Limited and Locrian Asia Pte. Ltd (“Locrian”) was divested as part of its withdrawal from Myanmar.

JFM alleges that Locrian undertook mining activities in Myanmar, causing environmental damage. These claims are categorically false. Environmental issues reported were due to illegal or local small scale mining activities in the vicinity.

Locrian is a mineral exploration company which undertakes exploration and geological studies in Myanmar.

Locrian has never undertaken any mining or mineral extraction activities, and therefore never paid any

mining royalties or mining taxes to the Myanmar Government. The financial statements referenced in the draft JFM article confirm Locrian had total revenue of $nil.

Kipling Resources Limited

Kipling Resources Limited (“Kipling Resources”) was a Myanmar company which applied for exploration licenses in Myanmar. Kipling Resources was never granted any exploration or mining licenses in Myanmar.

Kipling Resources has never undertaken any mining or mineral extraction activities and therefore never paid any mining royalties or mining taxes to the Myanmar Government. The financial statements referenced in the draft JFM article confirm Kipling had total revenue of $nil.

Kipling Resources’ last field activity ceased in early 2021 shortly after the coup. Kipling Resources has not undertaken any field activity since then and remains inactive.

Fortuna Metals Company Limited

Fortuna Metals Company Limited (“Fortuna Metals”) was a Myanmar company which applied for exploration licenses in Myanmar. The licenses were not granted, and the company has remained inactive with no field activity since 2020.

Fortuna Metals has never undertaken any mining or mineral extraction activities and therefore never paid any mining royalties or mining taxes to the Myanmar Government. The financial statements referenced in the draft JFM article confirm Fortuna had total revenue of $nil.

The former parent company, Fortuna Metals Australia Pte. Ltd., is in the process of being deregistered.

Valentis Titeline Limited

Valentis Titeline Limited provided drilling services in Myanmar to sample and verify project geology.

Valentis Titeline Limited has never undertaken any mining or mineral extraction activities and therefore never paid any mining royalties or mining taxes to the Myanmar Government.

The company ceased operations in February 2021 and is currently in the process of being deregistered.

Based on the above facts, the allegations by JFM are demonstrably wrong. For JFM to suggest that we have supported or contributed to bankrolling “crimes against humanity” is repulsive and libelous.

We look forward to an independent, fair, and fact-based report.

We reserve the right to take any action available to us if any member of our staff or our reputation are damaged by the publishing of erroneous or harmful statements.