Announcement PDF SKY METALS LIMITED +61 2 6360 1587 2 HAWTHORN PLACE, ORANGE NSW 2800 WWW.SKYMETALS.COM.AU ABN 46 098 952 035 ASX: SKY ASX ANNOUNCEMENT 21 July 2026 QUARTERLY ACTIVITIES REPORT TO 30 JUNE 2026 FURTHER OUTSTANDING DRILLING RESULTS FROM TALLEBUNG PAVE WAY FOR MAJOR RESOURCE UPGRADE AND IMMINENT PRE-FEASIBILITY STUDY TALLEBUNG TIN-TUNGSTEN-SILVER PROJECT, NSW • Multiple shallow, high-grade tin, tungsten and silver intercepts returned from ongoing multi-rig drilling campaign, with results including: TBRC395: 23m @ 1.14% tin & 0.03% tungsten from 19m, including: - 6m @ 2.72% tin & 0.06% tungsten from 19m TBRC410: 17m @ 0.79% tin & 0.04% tungsten from 47m, including: - 4m @ 2.27% tin & 0.02% tungsten from 50m TBRC415: 13m @ 0.48% tin, 0.03% tungsten & 67.1g/t silver from 55m, including: - 5m @ 1.02% tin, 0.03% tungsten & 164g/t silver from 61m TBRC414: 10m @ 0.61% tin & 27.1g/t silver from 48m, including: - 1m @ 2.46% tin, 0.04% tungsten & 14.8g/t silver from 53m TBRC428: 34m @ 0.27% tin, 0.03% tungsten & 57.7g/t silver from 39m, including: - 10m @ 0.46% tin, 0.07% tungsten & 166g/t silver from 59m TBRC436: 14m @ 0.58% tin & 0.04% tungsten from 1m, including: - 2m @ 0.94% tin & 0.04% tungsten from 1m TBRC438: 16m @ 0.27% tin, 0.03% tungsten & 15.4g/t silver from 30m, including: - 1m @ 2.22% tin, 0.14% tungsten & 51.6g/t silver from 42m • Updated MRE announced subsequent to quarter-end on 13 July 2026, confirming Tallebung as a large-scale open pit development opportunity and providing the foundation for the Pre-Feasibility Study due in late July. • Major approvals milestones achieved, with the Scoping Report submitted and successfully resulting in the Planning Secretary’s Environmental Assessment Requirements (SEARs) issued, formally advancing Tallebung into the NSW State Significant Development (SSD) process. CORPORATE • Divestment of the non‑core Iron Duke Copper-Gold Project in NSW for $1.1 million. • SKY remains well-funded, with a cash balance of $17.6M at 30 June 2026, supporting the continued pace of drilling, testwork, project studies and advancing mining approvals. 2 SEPTEMBER 2026 QUARTER – PROPOSED WORK PROGRAM TALLEBUNG TIN-TUNGSTEN-SILVER PROJECT & DORADILLA TIN PROJECT • Delivery of the updated MRE (13 July 2026) and Pre-Feasibility Study (‘PFS’), PFS well advanced at the time of finalising this report and due for release to market in late July. • Progress ongoing bulk sample metallurgical program to optimise the process flowsheet and produce marketable tin concentrates to aid in offtake marketing for tin, tungsten and silver products. • Progress the permitting and approvals process for the Tallebung Tin Project. • Commence drilling at the Doradilla Tin Project. The Board of Sky Metals Limited (‘SKY’ or ‘The Company’) is pleased to provide a Quarterly Activities Report outlining SKY’s exploration and development programs during the June 2026 Quarter. TALLEBUNG PROJECT (EL 6699, SKY 100%) COMMENCEMENT OF MAJOR NEW RESOURCE GROWTH-FOCUSED DRILLING PROGRAM SKY continued to progress a growth-focused drilling program at the Tallebung Project throughout the June Quarter. The drilling was designed to target Resource extensions, with a particular focus on the numerous high- grade tin-silver-tungsten zones that have been discovered on the margin of the existing deposit. The program also included in-fill and diamond drilling to support an updated Mineral Resource Estimate (‘MRE’), which was completed subsequent to quarter-end and announced to the market on 13 July (please refer SKY ASX Announcement “Major Resource Upgrade for Tallebung”, 13 July 2026). More than 500 drill holes have now been completed at Tallebung, representing a significant increase in geological information compared with the previous MRE, which includes only 115 drill-holes. The updated MRE underpins mine planning, metallurgical optimisation and economic assessment as the Company quickly transitions into development studies. The latest results further highlight the scale, continuity and open-ended nature of the Tallebung system, with mineralisation extending across multiple zones and remaining open both along strike and at depth. Importantly, several intercepts have been recorded from near surface positions, reinforcing the potential for efficient open pit development and early access to mineralisation in these new zones. The intercepts reported in holes TBRC436-TBRC439 are particularly significant, identifying a new zone of shallow tin-tungsten-silver mineralisation at Tallebung that is not included in the current MRE. These results extend mineralisation along the northeastern margin of the existing deposit, effectively expanding the known footprint and adding a new zone to the system. The continued identification of these new zones of mineralisation on the margins of the current MRE highlights the substantial untested potential still remaining at Tallebung and reinforces the growing scale of the deposit. Importantly, SKY continues to discover new mineralisation in parallel with an advanced and rapidly progressing development strategy, positioning the Company to deliver further strong resource growth while simultaneously advancing the Project toward development. 3 Figure 1: Plan showing the location of the new drilling results. Drill-hole collars, previously reported highlight drill intercepts and the limits of the existing Tallebung MRE are shown over surface geology. UPDATED MRE COMPLETE AND PFS ON TRACK An updated MRE was completed subsequent to quarter-end and announced to the market on 13 July 2026. The updated MRE underpins the Tallebung Project Pre-Feasibility Study, which is being finalised and is due for release in late July. 4 Figure 2: Cross‑section showing new drilling results from TBRC428 alongside previously reported drill‑hole intercepts. The mineralisation is hosted in shallow dipping stacked vein packages. APPROVALS & PERMITTING During the Quarter, SKY achieved two key milestones on the Tallebung approvals pathway, with the submission of the Scoping Report to formally initiate the NSW State Significant Development (‘SSD’) approval process and the NSW Department of Planning, Housing and Infrastructure issuing the Planning Secretary’s Environmental Assessment Requirements (‘SEARs’). The commencement of the SSD process reflects the advancement of Tallebung and allows key environmental, technical and permitting workstreams to progress in parallel, advancing the project towards near-term development. The issuance of the SEARs by the NSW Department of Planning, Housing and Infrastructure formally advances the Tallebung Project into the Environmental Impact Statement (‘EIS’) phase of the SSD process, marking another critical step toward development approval. Progression toward EIS submission represents a key de‑risking milestone, integrating SKY’s extensive existing studies into a comprehensive environmental, technical and approvals framework to advance Tallebung toward development. The recent appointment of environmental consultants and an Environmental Manager at SKY is driving the SSD process, baseline studies and ongoing stakeholder engagement. These activities are aligned and continue to exceed the Company’s planned development schedule, underpinning its strategy to advance Tallebung as a near-term tin, tungsten and silver development opportunity. 5 NEXT STEPS With the delivery of an updated MRE and the PFS imminent, the next steps at the Tallebung Project will include the progression of project permitting including the preparation of the EIS and the commencement of more advanced feasibility studies along with assessing options available for project financing, including potential offtake funding for the future tin, tungsten and/or silver products from the project. DORADILLA PROJECT (EL 6258, SKY 100%) EXPLORATION TARGET An Exploration Target has been defined for the Doradilla Tin Deposit, situated at the southwestern end of the Doradilla–Midway–3KEL (DMK) skarn line within EL6258. The target is estimated at 10-15 million tonnes (Mt) grading 0.32-0.42% Sn, representing a potential 32,000 to 63,000 tonnes of contained tin. Table 1: Doradilla Tin Deposit: Initial Exploration Target for only 2.5km of the total 10km strike Exploration Target Tonnage Range Grade Range Contained Metal Mt Tin (%) Tin (t) Total @ 0.20% tin cut-off grade 10 – 15 0.32 – 0.42 32,000 – 63,000 The potential quantity and grade of the Exploration Target are conceptual in nature. As such, there has been insufficient exploration to estimate a Mineral Resource, and it is uncertain whether further exploration will result in a Mineral Resource. The Exploration Target has been prepared in accordance with the JORC Code 2012. The Exploration Target is based on: • Historical drilling data from North Broken Hill Ltd, Renison Ltd, Aberfoyle Exploration Pty Ltd, and others between 1972 and 1984. • Compilation of over 94 drill collars and 5,150 assay records from SKY’s database. • Observed mineralisation style and host geology, delineating the cassiterite-rich skarn system. Full details of the Exploration Target were provided in the Company’s ASX Announcement dated 31 July 2025. NEXT STEPS SKY is preparing a targeted drilling program at Doradilla designed to: • Confirm historical high-grade tin intersections; • Test extensions of mineralisation identified in new surface sampling; and • Begin systematic drill coverage across newly defined priority zones along the +10km corridor identified to date. This drilling will form the foundation for future resource work, metallurgical optimisation and broader development studies as SKY develops Doradilla as a future tin production asset. 6 Figure 1: Plan showing the initial Exploration Target area and the extensions to quadruple the Exploration Target strike, overlaid on regional magnetics, strongly indicating that the mineralised strike is continuous over more than 10km of strike and open along strike in both directions. NARRIAH PROJECT (EL 9524, SKY 100%) DATA REVIEW AND SURFACE GEOCHMISTRY Compilation of historic data showed strong potential for near surface tin-tungsten mineralisation at the Conapaira Mining Reserve. This was further evidenced by the extensive historic workings in the area. A site visit for ground-truthing historic data, geological mapping and rock chip sampling was completed in the March Quarter and discovered extensive workings throughout the mining reserve and widespread evidence for these workings occurring in close proximity to the Erigolia Granite Margin. Evidence for the close proximately to the granite margin included exposed and preserved roof pendants. Given the prospective position of these historic workings, rock chip samples were taken of areas of outcrop and mine workings. These rock chip samples successfully identified high-grade tin, tungsten and silver mineralisation over a strike length of more than 3km, with results including: • 1.80% tin, 13.9g/t silver & 0.05% copper (JN240223-05); • 1.50% tin, 0.26% tungsten & 14.7g/t silver (JN240223-04); • 1.20% tin & 1.77% tungsten (JN240223-10). GEOPHYSICAL MAGNETICS SURVEY In the September Quarter 2024, a large aeromagnetics survey was flown over the +16km long prospective horizon within the Narriah Project. The results from this survey will be combined with the rock chip results from the 7 Conapaira Mining Reserve to aid in targeting large-scale and high-grade tin and tungsten mineralisation. Furthermore, the potential hard rock tin mineralisation in the majority of the Narriah Project remains untested by previous explorers. The results of the geophysical survey will be combined with the thorough compilation of the historic data and the rock chip results to target follow up drilling, aiming to discover a large-scale and high-grade tin-tungsten deposit. CULLARIN PROJECT: GOLD-LEAD-ZINC-COPPER SKY 80%; DVP JV (EL7954) Initial exploration at the Cullarin Project successfully validated historical results, returning broad zones of high- grade mineralisation. Most notably: HUD002: 93m @ 4.24g/t Au & 1.87% Pb+Zn from 56m In addition to the excellent drill results, re-assay of historical auger drilling pulps has revealed multiple untested gold anomalies, including at the Poplar Prospect, where 9.91g/t Au was intercepted with no follow-up work completed to date, demonstrating the prospectivity of a +20km gold corridor at Cullarin. Given the exceptional potential of these high-grade gold prospects and SKY’s strategic focus on advancing its tin portfolio, the Company is open to partnering with groups capable of accelerating exploration and development at Cullarin. SKY is enthusiastic to see further exploration on this project offering significant upside in a proven +20km mineralised corridor. IRON DUKE PROJECT: COPPER-GOLD 100% SKY (EL6064 & 9191) During the Quarter the Company entered into a binding agreement to divest the non-core Iron Duke Project (see Corporate Section below). CALEDONIAN PROJECT: GOLD 100% SKY (EL8920 & EL9020) SKY has now completed a soil sampling program, a phase of AC drilling, two phases of RC drilling and two diamond drill holes at the Caledonian Target. SKY has completed a soil sampling program, a phase of AC drilling, two phases of RC drilling and two diamond drill holes at the Caledonian Prospect and intersected high-grade gold, results included: CARC011: 5m @ 4.46 g/t Au from 11m including, 2m @ 8.82 g/t Au from 11m CARC002: 3m @ 13.6 g/t Au from 14m including, 1m @ 38.4 g/t Au from 15m CAD001: 2m @ 11.4 g/t Au from 22m including, 1m @ 21.9 g/t Au from 22m Recent review of drill core indicates that SKY was incorrect to target the Caledonian Prospect as a strata-hosted skarn deposit and instead is more similar to the McPhillamys Deposit as first interpreted. SKY has been informed of the proposed development of a solar farm on the northern area of EL8920. This area covers the Jerrawa Strike, which is a trend of metallic occurrences that SKY interprets to be an exhalative horizon with strong potential to host gold-silver and base metal mineralisation. Work to date has delineated a gold soil anomaly which SKY plans to follow up in the following quarters, pending ongoing negotiations with the Solar Farm developers. 8 GALWADGERE PROJECT: COPPER-GOLD 100% SKY (EL6320) In 2021, SKY announced the Galwadgere maiden JORC-2012 Inferred Resource of 3.6Mt at 0.82% Cu & 0.27g/t Au prepared by H&S Consultants (H&SC). H&S were engaged by SKY to complete the maiden resource using drilling completed by SKY in 2020 and previous drilling completed by Alkane Resources (ALK) and other past explorers. A drilling program at the Galwadgere Target is planned for the next quarters to further expand on the maiden JORC 2012 resource. Soil sampling undertaken along strike from the Galwadgere MRE has identified two prospective copper-gold, multielement pathfinder soil anomalies. The northern soil sampling program has delineated a soil anomaly which is coincident with the McDowell’s mine, where several historic mine shafts and copper-carbonate minerals were discovered near these workings. Soil sampling south of the Galwadgere Target has identified another soil anomaly which appears similar in tenor to the anomaly identified at the McDowell’s mine. These anomalies are within 3km of the Galwadgere resource and provide strong support for expanding the copper-gold resource at Galwadgere with along strike exploration. These are priority drill targets to be tested along with other copper-gold working within the tenement. KANGIARA PROJECT: GOLD 80% SKY (EL8400 & EL8573; DVP JV) The Kangiara Project (EL8400, EL8573) is located 30km north-west of Yass in the Southern Tablelands of New South Wales. The project contains volcanic/volcaniclastic rocks of the Silurian Douro Group, considered prospective for gold and base metal (copper-zinc) mineralisation. The high-grade Kangiara Mine operated during the early 1900s, with documented production of ~40,000 tonnes at 16% Pb, 3% Cu, 5% Zn, 280g/t Ag and 2g/t Au from narrow north- south trending sulphide veins (ASX: PDM 18 June 2009). Previous work by Paradigm Metals led to the calculation of an Indicated and Inferred Mineral Resource at Kangiara. Desktop studies have identified potential for copper-gold mineralisation at the Crosby Prospect. Field investigations are planned for the upcoming quarters to investigate this prospect. 9 CORPORATE DIVESTMENT OF IRON DUKE PROJECT During the Quarter, SKY entered into a binding option agreement with Locksley Resources Limited (ASX: LKY) (‘Locksley’) for the divestment of its non-core Iron Duke Copper-Gold Project, located in New South Wales, for a total transaction value of $1.1 million. The divestment is consistent with SKY’s strategy to actively manage its exploration portfolio and prioritise its capital and management focus on its advanced tin development assets at Tallebung and Doradilla. Transaction Overview Balmain Minerals Pty Ltd, a wholly-owned subsidiary of SKY, has entered into a binding option agreement with Locksley under which Locksley has been granted an exclusive option to acquire 100% interest in the Iron Duke Project, comprising Exploration Licences EL9191 and EL6064. Key terms of the agreement include: • Option Fee: $100,000 cash (non-refundable) • Option Period: 9 months • Initial Consideration (on exercise): $500,000, payable in cash and/or Locksley shares (subject to shareholder approval if required) • Milestone Payment: $500,000 payable upon the earlier of: o Delineation of a JORC Code-compliant Mineral Resource of at least 3.0Mt at a minimum grade of 1.0% copper equivalent; or o Sale or transfer of the Iron Duke Project to a third party The Iron Duke Project is an early-stage copper-gold exploration asset which, while considered highly prospective, is non-core to SKY’s strategic focus on advancing its tin development portfolio. The transaction enables SKY to unlock value from the Iron Duke Project through a structured divestment that delivers: • Immediate non-dilutive funding; • Consolidation of the Project with complementary and adjacent copper-gold assets; • Retained exposure to potential exploration and development success through milestone-linked consideration; and • Redeployment of capital toward SKY’s advanced tin development projects. TENEMENT SUMMARY Table 1: Tenement Summary. Holder Equity Licence ID Grant Date Expiry Date Units Area Comment Tarago Exploration Pty Ltd (DVP sub) 80% EL7954 19-6-2012 19-6-2028 51 144 km2 Cullarin Project, SKY: DVP JV Ochre Resources Pty Ltd (DVP sub) 80% EL8400 20-10-2015 20-10-2024 52 147 km2 Kangiara Project, SKY: DVP JV Ochre Resources Pty Ltd (DVP sub) 80% EL8573 23-5-2017 23-5-2029 17 48 km2 Kangiara Project, SKY: DVP JV Aurum Metals Pty Ltd (SKY sub) 100% EL8920 5-12-2019 5-12-2025 65 183 km2 Caledonian Project Cuprum Aurum Pty Ltd (SKY sub) 100% EL6320 12-10-2004 12-10-2026 14 41 km2 Galwadgere Project Balmain Minerals Pty Ltd (SKY sub) 100% EL6064 21-3-2003 20-3-2028 5 15 km2 Iron Duke Project Balmain Minerals Pty Ltd (SKY sub) 100% EL9191 8-6-2021 8-6-2027 60 174 km2 Iron Duke Project Stannum Pty Ltd (SKY sub) 100% EL6258 21-6-2004 21-6-2026 38 113 km2 Doradilla Project Stannum Pty Ltd (SKY sub) 100% EL6699 10-1-2007 10-1-2027 14 41 km2 Tallebung Project Stannum Pty Ltd (SKY sub) 100% EL9524 8-2-2023 8-2-2029 92 262 km2 Narriah Project Stannum Pty Ltd (SKY sub) 100% EL9779 5-7-2024 15-05-2031 101 287 km2 Narriah Project Stannum Pty Ltd (SKY sub) 100% ELA6926 Applied for on 3-7-2025 - 177 514 km2 Tallebung Project – Application Stannum Pty Ltd (SKY sub) 100% EL9864 6-2-2026 6-2-2032 6 18 km2 Tallebung Project 10 FINANCIAL During the quarter $2,865k was spent on the exploration activities outlined in this report. No mining production and development activities were undertaken for the quarter. During the quarter $66k was paid as Non-Executive Director and Consulting fees. This announcement is authorised for release by the Board of Sky Metals Limited. For further information: Investors: Oliver Davies, CEO – Sky Metals M: 0430 359 547 Media: Nicholas Read – Read Corporate M: 0419 929 046 JOIN SKY METALS’ INTERACTIVE INVESTOR HUB Visit skymetals.com.au to interact with Sky Metals’ announcements and updates To watch a video summary of this announcement & engage with SKY click here About the Tallebung Tin Project (100% SKY) Tallebung stands as an open-pit, technology enabled, near-term tin development project. Tallebung is uniquely placed to provide secure tin supply, to feed irreplaceable and rapidly expanding tin demand, essential in semi- conductors, electronics and solar PV technologies. The Tallebung Tin Project is located at the site of large-scale historical tin mining in central Western NSW where tin was first discovered in the 1890s. SKY is progressively defining a large-scale hardrock tin resource with recent higher-grade tin zones discovered on the margins of the known deposit and exceptional metallurgical performance demonstrated across the entire known deposit. The shallow, open-pit tin veins combined with the ideal nature of the tin, hosted as large, discrete grains of simple tin-oxide (cassiterite minerals), all ideally lends itself to low-cost tin production advantages, including exceptional X-ray based ore sorting performance, demonstrated to upgrade the tin up to 44x, prior to low-cost gravity separation to produce a saleable tin concentrate. 11 Competent Persons Statement The information in this report that relates to Exploration Results is based on information compiled by Mr. Oliver Davies, who is a Member of the Australasian Institute of Geoscientists. Mr. Oliver Davies is an employee and director of Sky Metals Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.’ Mr. Davies consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. Previously Reported Information The information in this report that references previously reported exploration results is extracted from the Company’s ASX market announcements released on the date noted in the body of the text where that reference appears. The previous market announcements are available to view on the Company's website or on the ASX website (www.asx.com.au). The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements. Disclaimer This report contains certain forward-looking statements and forecasts, including possible or assumed reserves and resources, production levels and rates, costs, prices, future performance or potential growth of Sky Metals Ltd, industry growth or other trend projections. Such statements are not a guarantee of future performance and involve unknown risks and uncertainties, as well as other factors which are beyond the control of Sky Metals Ltd. Actual results and developments may differ materially from those expressed or implied by these forward-looking statements depending on a variety of factors. Nothing in this report should be construed as either an offer to sell or a solicitation of an offer to buy or sell securities. This document has been prepared in accordance with the requirements of Australian securities laws, which may differ from the requirements of United States and other country securities laws. Unless otherwise indicated, all ore reserve and mineral resource estimates included or incorporated by reference in this document have been, and will be, prepared in accordance with the JORC classification system of the Australasian Institute of Mining, and Metallurgy and Australian Institute of Geoscientists.