{"success":true,"data":{"pressRelease":{"id":"163101","rtpr_id":"nACShXRhFa-20261007","ticker":"FEAM","exchange":"NASDAQ","all_tickers":["FEAM"],"title":"5E Advanced Materials Provides Additional Details on Integration and Expected Financial Impact of Searles Valley Asset Acquisition","author":"ACCESSWIRE","published_at":"2026-10-07T12:30:00.574Z","article_body":"HESPERIA, CA / ACCESS Newswire (https://www.accessnewswire.com/) / October 7,\n2026 / 5E Advanced Materials, Inc. (\"5E\" or the \"Company\") (NASDAQ:FEAM) today\nprovided additional details regarding its previously announced acquisition of\nthe Searles Valley Minerals assets, including the transaction structure,\ncurrent operating profile, integration priorities and expected financial\ncontribution. With the acquisition, 5E has transitioned from a development\nstage company to an operator of an established industrial and critical mineral\nplatform with near term revenue, an experienced workforce and a defined\noperating plan targeting approximately $40 million of steady-state annual\nAdjusted EBITDA under its base plan.\n\nKey Highlights of the Transaction\n* Transforms 5E into a revenue-generating American producer of boron and other\ncritical minerals, adding an established operating platform, infrastructure\nand workforce to the Company's portfolio.\n* Acquired the Searles Valley operating platform through a court-supervised\nSection 363 sale, free and clear of specified legacy liabilities, including\nthe predecessor's debt capital structure and specified historical claims.\n* Reset the commercial foundation of the business, including new take-or-pay\nand fixed-price V-BOR® offtake agreements, increasing netbacks by more than\n65%, compared with the approximately $424 per short ton realized under\npredecessor contracts.\n* Targets approximately $40 million of consolidated steady-state annual\nAdjusted EBITDA under its base plan, driven by three principal operating\nlevers: contract repricing, cost reduction, and volume recovery with byproduct\ncontribution.\n* Maintains significant critical-minerals optionality outside the base plan,\nincluding opportunities in borates, sulfate of potash, lithium and tungsten.\nPaul Weibel, Chief Executive Officer of 5E, stated, \"This transaction is the\nsingle largest step this Company has taken toward its mission. We have gone\nfrom a developer with a great deposit and a commercial plan, to a producer\nwith immediate revenue, an experienced workforce, multiple operating plants\nand products, and a credible, identified path to approximately $40 million of\nsteady-state annual Adjusted EBITDA under our base plan. We bought the\noperating platform, not the old balance sheet, and we did not pay for the\ntungsten, lithium or boron-expansion optionality. Our immediate focus is on\noperating the assets, delivering against the commercial reset and executing\nthe identified path to profitability. At the same time, we believe we have\nsignificant opportunities to expand the value of the platform beyond our base\nplan.\"\n\nTransaction Structure and Consideration\n\nThe acquisition was completed through a court-supervised Section 363 sale.\nTotal consideration consisted of approximately $3.4 million in cash, 8,300,000\nshares of the Company's common stock, an unsecured five-year promissory note\nof approximately $6.22 million issued by a Company subsidiary, and the\nassumption of specified liabilities.\n\nUnder the transaction structure, identified legacy liabilities - including\nCalifornia Air Resources Board greenhouse-gas allowance obligations, the\npredecessor's debt capital structure and specified historical claims -\nremained with the sellers' estates and did not transfer to 5E.\n\nProvince, LLC and RBC Capital Markets acted as financial advisors, and Latham\n& Watkins LLP and Hunton Andrews Kurth LLP acted as legal counsel to 5E in\nconnection with the Acquisition.\n\nThe Searles Valley Operating Platform\n\nThe acquisition provides 5E with an operating industrial and critical mineral\ncomplex at Searles Lake, California, including:\n* An experienced workforce of approximately 257 employees;\n* Three processing sites;\n* 54 megawatts of on-site cogeneration capacity;\n* The Trona Railway short-line railroad;\n* A water utility;\n* Mineral tenure across more than 9,000 acres; and\n* A long-dated mineral resource supporting the Company's current operating\nplan.\nThe Company is now focused on integrating the acquired operations into 5E,\nstabilizing production, implementing commercial and cost resets and returning\nproduction toward targeted operating levels.\n\nA Reset of Commercial and Operating Foundations\n\nA key component of the Company's base plan is the replacement of legacy\nbelow-market sales contracts rejected in the bankruptcy process with new\ntake-or-pay and fixed-price V-BOR(®) offtake agreements.\n\nThe new agreements target increasing netbacks more than 65% above the roughly\n$424 per short ton realized under predecessor contracts. The Company expects\nthe repricing to improve the economics of the existing production base without\nrequiring new capital investment to generate the associated benefit.\n\nIn parallel, 5E is implementing a reset cost structure, including the planned\ndecoupling of the West End plant's power load from purchased power and\nincreased utilization of the site's existing 54 megawatts of cogeneration\ncapacity. The Company is targeting approximately $13.8 million of annual OPEX\nsavings of purchased-power savings following completion of the planned\nswitching work, which is expected to require approximately $0.5 million of\ncapital.\n\nPath to Approximately $40 Million of Steady-State Adjusted EBITDA\n\nThe Company expects positive consolidated Adjusted EBITDA in year two\nfollowing the acquisition, as the identified operating initiatives are\nimplemented and benefits phase in over time. The Company does not expect to\nrealize the full benefit of these initiatives during the current fiscal year.\n\nUnder its base plan, the Company targets approximately $40 million of\nsteady-state consolidated annual Adjusted EBITDA. Management has identified\nthree principal operating levers expected to drive the improvement from the\nbusiness as acquired to the steady-state target: contract repricing, cost\nreductions and volume recovery with byproduct contribution.\n\nImportantly, the $40 million base plan does not include any contribution from\nthe Company's identified tungsten, lithium, sulfate of potash or\nborates-expansion opportunities. These opportunities represent additional\npotential beyond the base plan and are not required to achieve the Company's\nsteady-state Adjusted EBITDA target.\n\n Adjusted Steady-State EBITDA Driver                              Approximate Contribution  \n Consolidated Adjusted EBITDA, as acquired (annualized run-rate)  $(26) million             \n Contract repricing                                               +$22 million              \n Cost reset, including grid decoupling                            +$10 million              \n Volume recovery and byproducts                                   +$33 million              \n Base plan steady-state Adjusted EBITDA                           ~$40 million              \n\n1. Contract Repricing - Approximately $22 Million\n\nThe new take-or-pay and fixed-price V-BOR(®) offtake agreements are expected\nto increase the realized netback greater than 65% on a per ton basis, compared\nwith approximately $424 per short ton under predecessor contracts.\n\nThe Company expects the commercial reset to provide an approximately $22\nmillion annual contribution to steady-state Adjusted EBITDA, subject to\nproduction volumes and the timing of contract implementation.\n\n2. Cost Reset - Approximately $10 Million\n\nThe Company expects approximately $10 million of annual steady-state benefit\nfrom a reset cost structure, including grid decoupling, organizational and\nprocurement efficiencies and the elimination of duplicative corporate costs.\nMuch of the cost reduction has already been substantially achieved through the\nbankruptcy process and rejection of legacy contracts.\n\nThe grid decoupling initiative is expected to shift the West End plant's power\nload onto the site's existing 54 megawatts of cogeneration capacity, targeting\napproximately $13.8 million in annual OPEX savings following completion of the\nrequired switching work.\n\n3. Volume Recovery and Byproducts - Approximately $33 Million\n\nThe Company expects approximately $33 million of annual steady-state\ncontribution from the recovery of V-BOR® production toward approximately\n100,000 short tons annually, together with incremental byproduct contribution.\n\nCurrent V-BOR® production is approximately 82,000 short tons on an annualized\nbasis. The Company expects production to increase through the targeted restart\nof the SAC plant, which is expected to restore brine chemistry and yield, as\nwell as through a funded, engineering-led wellfield development program\nintended to recover brine grade toward historical levels.\n\nThe SAC restart is also expected to enable incremental sodium bicarbonate\nproduction, while the Company expects continued contributions from sodium\nsulfate and salt production and additional boric acid production utilizing\nprimary borax volumes in excess of V-BOR(®) processing capacity.\n\nFinancing and Liquidity\n\nThe transaction is supported by the Company's existing balance sheet,\nincluding approximately $15 million cash, and a $10.0 million senior bridge\nfacility provided by the prior owner of Searles Valley, of which $7 million\nhas already been funded.\n\nThe Company's go-forward financing plan contemplates a working-capital debt\nfacility supported by its contracted offtake structure. The Company currently\nestimates a peak pre-financing capital need of approximately $24 million\nduring the first year and intends to explore all financing options, with a\nfocus on minimizing cost of capital and providing a smooth execution of the\nplan.\n\nGrowth and Critical-Minerals Optionality\n\nThe Searles Valley platform provides 5E with additional opportunities to\nincrease production, expand its product portfolio and develop additional\ncritical-minerals resources. Importantly, none of these opportunities is\nincluded in the Company's $40 million steady-state base plan.\n\nPotential areas of future development include:\n* Borates expansion, including opportunities to increase production and\nprocessing capacity;\n* Sulfate of potash, leveraging the Searles Valley resource and existing\noperating infrastructure;\n* Lithium, including further evaluation of the installed direct lithium\nextraction pilot; and\n* Tungsten, based on historical research into tungsten contained in Searles\nLake brines.\nThe Company intends to evaluate these opportunities in parallel with its\nimmediate focus on stabilizing and optimizing the acquired operations.\n\nThe Tungsten Opportunity\n\nSearles Lake brines contain tungsten that was the subject of more than three\ndecades of industrial and federal research, including pilot-scale ion-exchange\nrecovery campaigns by GTE Laboratories and the U.S. Bureau of Mines.\n\nA 1985 U.S. Bureau of Mines Report of Investigations described Searles Lake as\nthe largest known domestic tungsten resource and estimated approximately 135\nmillion pounds of contained tungsten. Investors are cautioned that this is a\nhistorical estimate prepared before adoption of S-K 1300 standards. A\nqualified person has not done sufficient work to classify the historical\nestimate as a current mineral resource or mineral reserve, and the Company is\nnot treating it as a current mineral resource or mineral reserve. Further\nevaluations, including sampling, metallurgical work, engineering, and an\nupdated technical and economic assessment, would be required before any such\nclassification could be made.\n\nThe Company intends to advance its evaluation of the tungsten opportunity in\nparallel with its operational reset and will report results as work is\ncompleted. No tungsten contribution is included in the Company's $40 million\nbase plan.\n\nConference Call Information\n\nThe Company hosted a special conference call and shareholder update on October\n6, 2026, to discuss the completed acquisition, the operating plan, and the\nCompany's integration priorities. The replay and accompanying presentation are\navailable in the Investor Relations section (https://pr.report/s546) of the\nCompany's website. The Company's Current Report on Form 8-K, including the\nasset purchase agreement, is available at the same location.\n\nNon-GAAP Financial Measures\n\nThis press release references Adjusted EBITDA, a financial measure not\ncalculated in accordance with U.S. GAAP. Adjusted EBITDA as used herein is\ndefined as modeled revenue less variable cost, fixed operating cost, and\nselling, general and administrative expenses. This measure may not be\ncomparable to similar measures presented by other companies and should not be\nviewed as a substitute for measures reported under U.S. GAAP. The Company has\nnot provided a reconciliation of Adjusted EBITDA to the Company's most\ncomparable financial measure calculated in accordance with GAAP, as such GAAP\nmeasure is not available on a forward-looking basis without unreasonable\neffort. Specifically, the Company could not calculate interest, income taxes,\ndepreciation or the effect of certain corporate level transactions or\nactivities, on a forward-looking basis with any reasonable degree of accuracy,\nbut such items could be significant and have a material impact on the\nCompany's net income.\n\nAbout 5E Advanced Materials, Inc.\n\n5E Advanced Materials, Inc. (NASDAQ:FEAM) is an emerging producer focused on\nbecoming a vertically integrated global leader and supplier of refined borates\nand advanced boron materials, complemented by calcium-based co-products, and\npotentially other by-products such as lithium carbonate. The Company's mission\nis to become a supplier of these critical materials to industries addressing\nglobal decarbonization, energy independence, food, national security, and the\ndefense sector. The Company believes factors such as government regulation and\nincentives focused on domestic manufacturing and supply chains and capital\ninvestments across industries will drive demand for end-use applications like\nsolar and wind energy infrastructure, neodymium-iron-boron magnets, defense\napplications, lithium-ion batteries, and other critical material applications.\nThe business is based on two large domestic boron resources in Southern\nCalifornia: Fort Cady, which is designated as Critical Infrastructure by the\nU.S. Department of Homeland Security, and the Company's Searles Valley\noperations, a producing borate facility at Searles Lake acquired in 2026.\nBoron was added to the U.S. Department of the Interior's 2025 Critical\nMinerals List.\n\nForward-Looking Statements\n\nAny forward-looking statements contained in this press release are subject to\nsubstantial risks and uncertainties. Forward-looking statements contained in\nthis press release may be identified by the use of words such as \"may,\"\n\"will,\" \"would,\" \"should,\" \"expect,\" \"plan,\" \"anticipate,\" \"could,\" \"intend,\"\n\"target,\" \"project,\" \"contemplate,\" \"believe,\" \"estimate,\" \"predict,\"\n\"potential\" or \"continue\" or the negative of these terms or other similar\nexpressions, and include, but are not limited to, statements regarding the\nCompany's transition to a revenue-generating producer following its\nacquisition of Searles Valley (the \"Acquisition\"), the Company's operating\nplan for Searles Valley, including the optimization of operations, the\nrebuilding of borate production and pricing, near-term production and\nlong-term growth potential, positioning 5E to serve growing demand for boron\nand critical materials, cost and volume initiatives, expected revenue\ngeneration and financial statement impact, and the timing for achieving such\nrevenue and impact, the anticipated benefits of integrating Searles Valley's\nproduction capabilities, customer base and infrastructure with Fort Cady,\nadditional growth opportunities within the acquired asset base, expectations\nregarding the advancement, development and financing of Fort Cady, 5E's\nlonger-term strategy to expand across boron, advanced boron materials,\ncalcium-based co-products, potential by-products such as lithium carbonate and\nother critical mineral products, and anticipated borate supply, end-use demand\nand market opportunity, including the effect of government regulation,\nincentives and capital investment on such demand. Any forward-looking\nstatements are based on 5E's current expectations, forecasts, and assumptions\nand are subject to a number of risks and uncertainties that could cause actual\noutcomes and results to differ materially.\n\nThese risks and uncertainties include, among others, risks relating to\nenvironmental and regulatory obligations associated with the acquired assets,\nincluding the scope of liabilities assumed by the Company and any obligations\nthat were not extinguished through the Section 363 sale process; the risk that\nany sale order entered by the Bankruptcy Court is subject to objection,\nappeal, modification, stay or reversal; risks relating to the indebtedness and\nother financing incurred in connection with the Acquisition, including the\nCompany's ability to service, refinance or repay such obligations on\nacceptable terms; the risk that Searles Valley's historical operating results\nare not indicative of future performance; the risk that the Company is unable\nto rebuild borate production or implement its pricing, cost and volume\ninitiatives on the anticipated timeline or at all; the risk that the\nanticipated benefits, revenue contribution or cost efficiencies of the\nAcquisition are not realized on the expected timeline or at all; risks\nrelating to the integration of the acquired assets and operations, including\nthe retention of Searles Valley's customers, suppliers and key personnel;\nrisks relating to the operating, production, environmental, permitting and\nreclamation obligations associated with an operating asset; the risk that 5E\nrequires additional capital to advance Fort Cady and that such capital is\nunavailable on acceptable terms, or at all, notwithstanding any cash flow\ncontributed by the acquired assets; and risks relating to boron and critical\nminerals demand, pricing and end-use markets, including changes in government\npolicy, regulation or incentives. For a discussion of other risks and\nuncertainties, and other important factors, any of which could cause our\nactual results to differ from those contained in the forward-looking\nstatements, see the section entitled \"Risk Factors\" in 5E's most recent Annual\nReport on Form 10-K, its Current Reports on Form 8-K and its other reports\nfiled with the SEC. Forward-looking statements contained in this press release\nare based on information available to 5E as of the date hereof and are made\nonly as of the date of this release. 5E undertakes no obligation to update\nsuch information except as required under applicable law. These\nforward-looking statements should not be relied upon as representing 5E's\nviews as of any date subsequent to the date of this press release. In light of\nthe foregoing, investors are urged not to rely on any forward-looking\nstatement in reaching any conclusion or making any investment decision about\nany securities of 5E.\n\nFor further information, contact:\n\nInvestor Relations\nBrett Maas\nHayden IR, LLC\nFEAM@haydenir.com\nPh: +1 (480) 861-2425\n\nMedia Relations\nPaola Ashton\nPRA Communications\nteam@pracommunications.com\nPh: +1 (604) 681-1407\n\nSOURCE: 5E Advanced Materials, Inc.\nView the original press release\n(https://www.accessnewswire.com/newsroom/en/metals-and-mining/5e-advanced-materials-provides-additional-details-on-integration-and-expected-fin-1233871)\non ACCESS Newswire\n\n\nCopyright 2026 ACCESS Newswire. All Rights Reserved.","article_body_html":"","raw_payload":{"data":{"id":"nACShXRhFa-20261007","title":"5E Advanced Materials Provides Additional Details on Integration and Expected Financial Impact of Searles Valley Asset Acquisition","author":"ACCESSWIRE","ticker":"FEAM","created":"2026-10-07T12:30:00.574Z","tickers":["FEAM"],"exchange":"NASDAQ","article_body":"HESPERIA, CA / ACCESS Newswire (https://www.accessnewswire.com/) / October 7,\n2026 / 5E Advanced Materials, Inc. (\"5E\" or the \"Company\") (NASDAQ:FEAM) today\nprovided additional details regarding its previously announced acquisition of\nthe Searles Valley Minerals assets, including the transaction structure,\ncurrent operating profile, integration priorities and expected financial\ncontribution. With the acquisition, 5E has transitioned from a development\nstage company to an operator of an established industrial and critical mineral\nplatform with near term revenue, an experienced workforce and a defined\noperating plan targeting approximately $40 million of steady-state annual\nAdjusted EBITDA under its base plan.\n\nKey Highlights of the Transaction\n* Transforms 5E into a revenue-generating American producer of boron and other\ncritical minerals, adding an established operating platform, infrastructure\nand workforce to the Company's portfolio.\n* Acquired the Searles Valley operating platform through a court-supervised\nSection 363 sale, free and clear of specified legacy liabilities, including\nthe predecessor's debt capital structure and specified historical claims.\n* Reset the commercial foundation of the business, including new take-or-pay\nand fixed-price V-BOR® offtake agreements, increasing netbacks by more than\n65%, compared with the approximately $424 per short ton realized under\npredecessor contracts.\n* Targets approximately $40 million of consolidated steady-state annual\nAdjusted EBITDA under its base plan, driven by three principal operating\nlevers: contract repricing, cost reduction, and volume recovery with byproduct\ncontribution.\n* Maintains significant critical-minerals optionality outside the base plan,\nincluding opportunities in borates, sulfate of potash, lithium and tungsten.\nPaul Weibel, Chief Executive Officer of 5E, stated, \"This transaction is the\nsingle largest step this Company has taken toward its mission. We have gone\nfrom a developer with a great deposit and a commercial plan, to a producer\nwith immediate revenue, an experienced workforce, multiple operating plants\nand products, and a credible, identified path to approximately $40 million of\nsteady-state annual Adjusted EBITDA under our base plan. We bought the\noperating platform, not the old balance sheet, and we did not pay for the\ntungsten, lithium or boron-expansion optionality. Our immediate focus is on\noperating the assets, delivering against the commercial reset and executing\nthe identified path to profitability. At the same time, we believe we have\nsignificant opportunities to expand the value of the platform beyond our base\nplan.\"\n\nTransaction Structure and Consideration\n\nThe acquisition was completed through a court-supervised Section 363 sale.\nTotal consideration consisted of approximately $3.4 million in cash, 8,300,000\nshares of the Company's common stock, an unsecured five-year promissory note\nof approximately $6.22 million issued by a Company subsidiary, and the\nassumption of specified liabilities.\n\nUnder the transaction structure, identified legacy liabilities - including\nCalifornia Air Resources Board greenhouse-gas allowance obligations, the\npredecessor's debt capital structure and specified historical claims -\nremained with the sellers' estates and did not transfer to 5E.\n\nProvince, LLC and RBC Capital Markets acted as financial advisors, and Latham\n& Watkins LLP and Hunton Andrews Kurth LLP acted as legal counsel to 5E in\nconnection with the Acquisition.\n\nThe Searles Valley Operating Platform\n\nThe acquisition provides 5E with an operating industrial and critical mineral\ncomplex at Searles Lake, California, including:\n* An experienced workforce of approximately 257 employees;\n* Three processing sites;\n* 54 megawatts of on-site cogeneration capacity;\n* The Trona Railway short-line railroad;\n* A water utility;\n* Mineral tenure across more than 9,000 acres; and\n* A long-dated mineral resource supporting the Company's current operating\nplan.\nThe Company is now focused on integrating the acquired operations into 5E,\nstabilizing production, implementing commercial and cost resets and returning\nproduction toward targeted operating levels.\n\nA Reset of Commercial and Operating Foundations\n\nA key component of the Company's base plan is the replacement of legacy\nbelow-market sales contracts rejected in the bankruptcy process with new\ntake-or-pay and fixed-price V-BOR(®) offtake agreements.\n\nThe new agreements target increasing netbacks more than 65% above the roughly\n$424 per short ton realized under predecessor contracts. The Company expects\nthe repricing to improve the economics of the existing production base without\nrequiring new capital investment to generate the associated benefit.\n\nIn parallel, 5E is implementing a reset cost structure, including the planned\ndecoupling of the West End plant's power load from purchased power and\nincreased utilization of the site's existing 54 megawatts of cogeneration\ncapacity. The Company is targeting approximately $13.8 million of annual OPEX\nsavings of purchased-power savings following completion of the planned\nswitching work, which is expected to require approximately $0.5 million of\ncapital.\n\nPath to Approximately $40 Million of Steady-State Adjusted EBITDA\n\nThe Company expects positive consolidated Adjusted EBITDA in year two\nfollowing the acquisition, as the identified operating initiatives are\nimplemented and benefits phase in over time. The Company does not expect to\nrealize the full benefit of these initiatives during the current fiscal year.\n\nUnder its base plan, the Company targets approximately $40 million of\nsteady-state consolidated annual Adjusted EBITDA. Management has identified\nthree principal operating levers expected to drive the improvement from the\nbusiness as acquired to the steady-state target: contract repricing, cost\nreductions and volume recovery with byproduct contribution.\n\nImportantly, the $40 million base plan does not include any contribution from\nthe Company's identified tungsten, lithium, sulfate of potash or\nborates-expansion opportunities. These opportunities represent additional\npotential beyond the base plan and are not required to achieve the Company's\nsteady-state Adjusted EBITDA target.\n\n Adjusted Steady-State EBITDA Driver                              Approximate Contribution  \n Consolidated Adjusted EBITDA, as acquired (annualized run-rate)  $(26) million             \n Contract repricing                                               +$22 million              \n Cost reset, including grid decoupling                            +$10 million              \n Volume recovery and byproducts                                   +$33 million              \n Base plan steady-state Adjusted EBITDA                           ~$40 million              \n\n1. Contract Repricing - Approximately $22 Million\n\nThe new take-or-pay and fixed-price V-BOR(®) offtake agreements are expected\nto increase the realized netback greater than 65% on a per ton basis, compared\nwith approximately $424 per short ton under predecessor contracts.\n\nThe Company expects the commercial reset to provide an approximately $22\nmillion annual contribution to steady-state Adjusted EBITDA, subject to\nproduction volumes and the timing of contract implementation.\n\n2. Cost Reset - Approximately $10 Million\n\nThe Company expects approximately $10 million of annual steady-state benefit\nfrom a reset cost structure, including grid decoupling, organizational and\nprocurement efficiencies and the elimination of duplicative corporate costs.\nMuch of the cost reduction has already been substantially achieved through the\nbankruptcy process and rejection of legacy contracts.\n\nThe grid decoupling initiative is expected to shift the West End plant's power\nload onto the site's existing 54 megawatts of cogeneration capacity, targeting\napproximately $13.8 million in annual OPEX savings following completion of the\nrequired switching work.\n\n3. Volume Recovery and Byproducts - Approximately $33 Million\n\nThe Company expects approximately $33 million of annual steady-state\ncontribution from the recovery of V-BOR® production toward approximately\n100,000 short tons annually, together with incremental byproduct contribution.\n\nCurrent V-BOR® production is approximately 82,000 short tons on an annualized\nbasis. The Company expects production to increase through the targeted restart\nof the SAC plant, which is expected to restore brine chemistry and yield, as\nwell as through a funded, engineering-led wellfield development program\nintended to recover brine grade toward historical levels.\n\nThe SAC restart is also expected to enable incremental sodium bicarbonate\nproduction, while the Company expects continued contributions from sodium\nsulfate and salt production and additional boric acid production utilizing\nprimary borax volumes in excess of V-BOR(®) processing capacity.\n\nFinancing and Liquidity\n\nThe transaction is supported by the Company's existing balance sheet,\nincluding approximately $15 million cash, and a $10.0 million senior bridge\nfacility provided by the prior owner of Searles Valley, of which $7 million\nhas already been funded.\n\nThe Company's go-forward financing plan contemplates a working-capital debt\nfacility supported by its contracted offtake structure. The Company currently\nestimates a peak pre-financing capital need of approximately $24 million\nduring the first year and intends to explore all financing options, with a\nfocus on minimizing cost of capital and providing a smooth execution of the\nplan.\n\nGrowth and Critical-Minerals Optionality\n\nThe Searles Valley platform provides 5E with additional opportunities to\nincrease production, expand its product portfolio and develop additional\ncritical-minerals resources. Importantly, none of these opportunities is\nincluded in the Company's $40 million steady-state base plan.\n\nPotential areas of future development include:\n* Borates expansion, including opportunities to increase production and\nprocessing capacity;\n* Sulfate of potash, leveraging the Searles Valley resource and existing\noperating infrastructure;\n* Lithium, including further evaluation of the installed direct lithium\nextraction pilot; and\n* Tungsten, based on historical research into tungsten contained in Searles\nLake brines.\nThe Company intends to evaluate these opportunities in parallel with its\nimmediate focus on stabilizing and optimizing the acquired operations.\n\nThe Tungsten Opportunity\n\nSearles Lake brines contain tungsten that was the subject of more than three\ndecades of industrial and federal research, including pilot-scale ion-exchange\nrecovery campaigns by GTE Laboratories and the U.S. Bureau of Mines.\n\nA 1985 U.S. Bureau of Mines Report of Investigations described Searles Lake as\nthe largest known domestic tungsten resource and estimated approximately 135\nmillion pounds of contained tungsten. Investors are cautioned that this is a\nhistorical estimate prepared before adoption of S-K 1300 standards. A\nqualified person has not done sufficient work to classify the historical\nestimate as a current mineral resource or mineral reserve, and the Company is\nnot treating it as a current mineral resource or mineral reserve. Further\nevaluations, including sampling, metallurgical work, engineering, and an\nupdated technical and economic assessment, would be required before any such\nclassification could be made.\n\nThe Company intends to advance its evaluation of the tungsten opportunity in\nparallel with its operational reset and will report results as work is\ncompleted. No tungsten contribution is included in the Company's $40 million\nbase plan.\n\nConference Call Information\n\nThe Company hosted a special conference call and shareholder update on October\n6, 2026, to discuss the completed acquisition, the operating plan, and the\nCompany's integration priorities. The replay and accompanying presentation are\navailable in the Investor Relations section (https://pr.report/s546) of the\nCompany's website. The Company's Current Report on Form 8-K, including the\nasset purchase agreement, is available at the same location.\n\nNon-GAAP Financial Measures\n\nThis press release references Adjusted EBITDA, a financial measure not\ncalculated in accordance with U.S. GAAP. Adjusted EBITDA as used herein is\ndefined as modeled revenue less variable cost, fixed operating cost, and\nselling, general and administrative expenses. This measure may not be\ncomparable to similar measures presented by other companies and should not be\nviewed as a substitute for measures reported under U.S. GAAP. The Company has\nnot provided a reconciliation of Adjusted EBITDA to the Company's most\ncomparable financial measure calculated in accordance with GAAP, as such GAAP\nmeasure is not available on a forward-looking basis without unreasonable\neffort. Specifically, the Company could not calculate interest, income taxes,\ndepreciation or the effect of certain corporate level transactions or\nactivities, on a forward-looking basis with any reasonable degree of accuracy,\nbut such items could be significant and have a material impact on the\nCompany's net income.\n\nAbout 5E Advanced Materials, Inc.\n\n5E Advanced Materials, Inc. (NASDAQ:FEAM) is an emerging producer focused on\nbecoming a vertically integrated global leader and supplier of refined borates\nand advanced boron materials, complemented by calcium-based co-products, and\npotentially other by-products such as lithium carbonate. The Company's mission\nis to become a supplier of these critical materials to industries addressing\nglobal decarbonization, energy independence, food, national security, and the\ndefense sector. The Company believes factors such as government regulation and\nincentives focused on domestic manufacturing and supply chains and capital\ninvestments across industries will drive demand for end-use applications like\nsolar and wind energy infrastructure, neodymium-iron-boron magnets, defense\napplications, lithium-ion batteries, and other critical material applications.\nThe business is based on two large domestic boron resources in Southern\nCalifornia: Fort Cady, which is designated as Critical Infrastructure by the\nU.S. Department of Homeland Security, and the Company's Searles Valley\noperations, a producing borate facility at Searles Lake acquired in 2026.\nBoron was added to the U.S. Department of the Interior's 2025 Critical\nMinerals List.\n\nForward-Looking Statements\n\nAny forward-looking statements contained in this press release are subject to\nsubstantial risks and uncertainties. Forward-looking statements contained in\nthis press release may be identified by the use of words such as \"may,\"\n\"will,\" \"would,\" \"should,\" \"expect,\" \"plan,\" \"anticipate,\" \"could,\" \"intend,\"\n\"target,\" \"project,\" \"contemplate,\" \"believe,\" \"estimate,\" \"predict,\"\n\"potential\" or \"continue\" or the negative of these terms or other similar\nexpressions, and include, but are not limited to, statements regarding the\nCompany's transition to a revenue-generating producer following its\nacquisition of Searles Valley (the \"Acquisition\"), the Company's operating\nplan for Searles Valley, including the optimization of operations, the\nrebuilding of borate production and pricing, near-term production and\nlong-term growth potential, positioning 5E to serve growing demand for boron\nand critical materials, cost and volume initiatives, expected revenue\ngeneration and financial statement impact, and the timing for achieving such\nrevenue and impact, the anticipated benefits of integrating Searles Valley's\nproduction capabilities, customer base and infrastructure with Fort Cady,\nadditional growth opportunities within the acquired asset base, expectations\nregarding the advancement, development and financing of Fort Cady, 5E's\nlonger-term strategy to expand across boron, advanced boron materials,\ncalcium-based co-products, potential by-products such as lithium carbonate and\nother critical mineral products, and anticipated borate supply, end-use demand\nand market opportunity, including the effect of government regulation,\nincentives and capital investment on such demand. Any forward-looking\nstatements are based on 5E's current expectations, forecasts, and assumptions\nand are subject to a number of risks and uncertainties that could cause actual\noutcomes and results to differ materially.\n\nThese risks and uncertainties include, among others, risks relating to\nenvironmental and regulatory obligations associated with the acquired assets,\nincluding the scope of liabilities assumed by the Company and any obligations\nthat were not extinguished through the Section 363 sale process; the risk that\nany sale order entered by the Bankruptcy Court is subject to objection,\nappeal, modification, stay or reversal; risks relating to the indebtedness and\nother financing incurred in connection with the Acquisition, including the\nCompany's ability to service, refinance or repay such obligations on\nacceptable terms; the risk that Searles Valley's historical operating results\nare not indicative of future performance; the risk that the Company is unable\nto rebuild borate production or implement its pricing, cost and volume\ninitiatives on the anticipated timeline or at all; the risk that the\nanticipated benefits, revenue contribution or cost efficiencies of the\nAcquisition are not realized on the expected timeline or at all; risks\nrelating to the integration of the acquired assets and operations, including\nthe retention of Searles Valley's customers, suppliers and key personnel;\nrisks relating to the operating, production, environmental, permitting and\nreclamation obligations associated with an operating asset; the risk that 5E\nrequires additional capital to advance Fort Cady and that such capital is\nunavailable on acceptable terms, or at all, notwithstanding any cash flow\ncontributed by the acquired assets; and risks relating to boron and critical\nminerals demand, pricing and end-use markets, including changes in government\npolicy, regulation or incentives. For a discussion of other risks and\nuncertainties, and other important factors, any of which could cause our\nactual results to differ from those contained in the forward-looking\nstatements, see the section entitled \"Risk Factors\" in 5E's most recent Annual\nReport on Form 10-K, its Current Reports on Form 8-K and its other reports\nfiled with the SEC. Forward-looking statements contained in this press release\nare based on information available to 5E as of the date hereof and are made\nonly as of the date of this release. 5E undertakes no obligation to update\nsuch information except as required under applicable law. These\nforward-looking statements should not be relied upon as representing 5E's\nviews as of any date subsequent to the date of this press release. In light of\nthe foregoing, investors are urged not to rely on any forward-looking\nstatement in reaching any conclusion or making any investment decision about\nany securities of 5E.\n\nFor further information, contact:\n\nInvestor Relations\nBrett Maas\nHayden IR, LLC\nFEAM@haydenir.com\nPh: +1 (480) 861-2425\n\nMedia Relations\nPaola Ashton\nPRA Communications\nteam@pracommunications.com\nPh: +1 (604) 681-1407\n\nSOURCE: 5E Advanced Materials, Inc.\nView the original press release\n(https://www.accessnewswire.com/newsroom/en/metals-and-mining/5e-advanced-materials-provides-additional-details-on-integration-and-expected-fin-1233871)\non ACCESS Newswire\n\n\nCopyright 2026 ACCESS Newswire. All Rights Reserved."},"type":"article","timestamp":"2026-10-07T12:30:00.83025377Z","server_sent_at_ms":1791376200830},"received_at":"2026-10-07T12:30:00.882Z","source_url":"https://www.accessnewswire.com/newsroom/en/metals-and-mining/5e-advanced-materials-provides-additional-details-on-integration-and-expected-fin-1233871"},"analysis":{"id":"151572","press_release_id":"163101","analysis_json":{"industry":{"label":"Metals & Mining","sector":"Materials"},"redFlags":["As-acquired EBITDA run-rate is negative $(26) million; positive EBITDA not expected until year two","Peak pre-financing capital need of ~$24 million implies likely dilutive financing or additional debt","8.3 million shares of stock consideration adds dilution","Company explicitly cautions investors not to rely on forward-looking statements in this release","135 million pound tungsten figure is a 1985 historical estimate not compliant with S-K 1300","Section 363 sale order remains subject to objection, appeal, stay or reversal","Volume recovery depends on unproven SAC plant restart and wellfield development"],"eventType":"m_and_a","narrative":"5E Advanced Materials provided full integration and financial details on its completed Section 363 acquisition of the Searles Valley Minerals assets, transforming the company from developer into a revenue-generating producer of boron and critical minerals.\n\nConsideration was approximately $3.4 million in cash, 8.3 million shares, a ~$6.22 million five-year note, plus assumed liabilities, with legacy obligations kept with the sellers' estates. The platform includes ~257 employees, three processing sites, 54 MW of cogeneration, the Trona Railway and a water utility.\n\nThe base plan targets ~$40 million of steady-state annual Adjusted EBITDA — from a negative $(26)M as-acquired run-rate — via contract repricing (+$22M), cost resets (+$10M) and volume recovery to ~100,000 short tons (+$33M), with new offtakes lifting netbacks >65% above ~$424/short ton. Positive consolidated Adjusted EBITDA is not expected until year two.\n\nFinancing includes ~$15 million cash and a $10 million bridge facility ($7 million funded) from the prior owner, with a ~$24 million peak first-year capital need and a working-capital facility planned. Tungsten, lithium, potash and borates-expansion optionality sit outside the base plan, including a non-S-K-1300 historical estimate of ~135 million pounds of contained tungsten.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Transformative acquisition detail: $40M EBITDA target vs. $(26)M starting run-rate — execution and a ~$24M funding gap are the story."},"keyFigures":{"dealValueUsd":"$3.4 million cash plus 8,300,000 shares and ~$6.22 million promissory note","customDimensions":{"cash":"$15 million","employees":257,"mineral_acres":"9,000+","shares_issued":8300000,"bridge_facility":"$10.0 million","netback_increase":"more than 65%","peak_capital_need":"$24 million","ebitda_as_acquired":"$(26) million","grid_decoupling_capex":"$0.5 million","bridge_facility_funded":"$7 million","legacy_netback_per_ton":"$424 per short ton","cost_reset_contribution":"$10 million","cogeneration_capacity_mw":54,"opex_savings_grid_decoupling":"$13.8 million","target_v_bor_production_tons":"100,000","tungsten_historical_estimate":"135 million pounds","volume_recovery_contribution":"$33 million","current_v_bor_production_tons":"82,000","contract_repricing_contribution":"$22 million","steady_state_adjusted_ebitda_target":"$40 million"}},"quotedText":"We have gone from a developer with a great deposit and a commercial plan, to a producer with immediate revenue, an experienced workforce, multiple operating plants and products, and a credible, identified path to approximately $40 million of steady-state annual Adjusted EBITDA under our base plan.","namedEntities":{"people":[{"name":"Paul Weibel","role":"CEO"},{"name":"Brett Maas","role":"Investor Relations, Hayden IR"},{"name":"Paola Ashton","role":"Media Relations, PRA Communications"}],"products":["V-BOR","sodium bicarbonate","sodium sulfate","boric acid","borax","sulfate of potash"],"companies":[{"name":"5E Advanced Materials, Inc.","ticker":"FEAM","relationship":"filer/acquirer"},{"name":"Searles Valley Minerals","relationship":"acquired assets/prior owner"},{"name":"Province, LLC","relationship":"financial advisor"},{"name":"RBC Capital Markets","relationship":"financial advisor"},{"name":"Latham & Watkins LLP","relationship":"legal counsel"},{"name":"Hunton Andrews Kurth LLP","relationship":"legal counsel"},{"name":"Hayden IR, LLC","relationship":"IR firm"}],"dollarAmounts":[{"amount":"$40 million","context":"steady-state annual Adjusted EBITDA base plan target"},{"amount":"$3.4 million","context":"cash consideration for acquisition"},{"amount":"$6.22 million","context":"unsecured five-year promissory note issued by subsidiary"},{"amount":"$424 per short ton","context":"netback realized under predecessor contracts"},{"amount":"$22 million","context":"annual Adjusted EBITDA contribution from contract repricing"},{"amount":"$10 million","context":"annual Adjusted EBITDA contribution from cost reset"},{"amount":"$33 million","context":"annual Adjusted EBITDA contribution from volume recovery and byproducts"},{"amount":"$(26) million","context":"consolidated Adjusted EBITDA as acquired, annualized run-rate"},{"amount":"$13.8 million","context":"annual OPEX savings from grid decoupling"},{"amount":"$0.5 million","context":"capital required for power switching work"},{"amount":"$15 million","context":"cash on balance sheet"},{"amount":"$10.0 million","context":"senior bridge facility from prior owner"},{"amount":"$24 million","context":"peak pre-financing capital need in first year"},{"amount":"135 million pounds","context":"historical U.S. Bureau of Mines estimate of contained tungsten (not S-K 1300)"}]},"materialImpact":{"score":4,"reasoning":"Issuer-authored deep-dive on a completed transformative Section 363 asset acquisition that shifts 5E from development stage to revenue-generating operator, with a $40M steady-state Adjusted EBITDA target. Offsetting execution risk includes a negative $(26)M as-acquired EBITDA run-rate, ~8.3M shares of stock consideration, and a ~$24M peak financing need."},"tickerRelevance":{"others":[],"primary":"FEAM"},"globalImportance":30,"audienceRelevance":25,"eventTypeSecondary":["operations_update","debt_offering"],"importanceComponents":{"tickerTier":"small-cap","eventGravity":"transformative asset acquisition detail with financing needs","issuerAuthored":true,"retailFavoriteBoost":"marginal critical-minerals theme interest"}},"event_type":"m_and_a","event_type_secondary":["operations_update","debt_offering"],"sentiment":"bullish","material_impact_score":4,"narrative":"5E Advanced Materials provided full integration and financial details on its completed Section 363 acquisition of the Searles Valley Minerals assets, transforming the company from developer into a revenue-generating producer of boron and critical minerals.\n\nConsideration was approximately $3.4 million in cash, 8.3 million shares, a ~$6.22 million five-year note, plus assumed liabilities, with legacy obligations kept with the sellers' estates. The platform includes ~257 employees, three processing sites, 54 MW of cogeneration, the Trona Railway and a water utility.\n\nThe base plan targets ~$40 million of steady-state annual Adjusted EBITDA — from a negative $(26)M as-acquired run-rate — via contract repricing (+$22M), cost resets (+$10M) and volume recovery to ~100,000 short tons (+$33M), with new offtakes lifting netbacks >65% above ~$424/short ton. Positive consolidated Adjusted EBITDA is not expected until year two.\n\nFinancing includes ~$15 million cash and a $10 million bridge facility ($7 million funded) from the prior owner, with a ~$24 million peak first-year capital need and a working-capital facility planned. Tungsten, lithium, potash and borates-expansion optionality sit outside the base plan, including a non-S-K-1300 historical estimate of ~135 million pounds of contained tungsten.","key_figures":{"dealValueUsd":"$3.4 million cash plus 8,300,000 shares and ~$6.22 million promissory note","customDimensions":{"cash":"$15 million","employees":257,"mineral_acres":"9,000+","shares_issued":8300000,"bridge_facility":"$10.0 million","netback_increase":"more than 65%","peak_capital_need":"$24 million","ebitda_as_acquired":"$(26) million","grid_decoupling_capex":"$0.5 million","bridge_facility_funded":"$7 million","legacy_netback_per_ton":"$424 per short ton","cost_reset_contribution":"$10 million","cogeneration_capacity_mw":54,"opex_savings_grid_decoupling":"$13.8 million","target_v_bor_production_tons":"100,000","tungsten_historical_estimate":"135 million pounds","volume_recovery_contribution":"$33 million","current_v_bor_production_tons":"82,000","contract_repricing_contribution":"$22 million","steady_state_adjusted_ebitda_target":"$40 million"}},"named_entities":{"people":[{"name":"Paul Weibel","role":"CEO"},{"name":"Brett Maas","role":"Investor Relations, Hayden IR"},{"name":"Paola Ashton","role":"Media Relations, PRA Communications"}],"products":["V-BOR","sodium bicarbonate","sodium sulfate","boric acid","borax","sulfate of potash"],"companies":[{"name":"5E Advanced Materials, Inc.","ticker":"FEAM","relationship":"filer/acquirer"},{"name":"Searles Valley Minerals","relationship":"acquired assets/prior owner"},{"name":"Province, LLC","relationship":"financial advisor"},{"name":"RBC Capital Markets","relationship":"financial advisor"},{"name":"Latham & Watkins LLP","relationship":"legal counsel"},{"name":"Hunton Andrews Kurth LLP","relationship":"legal counsel"},{"name":"Hayden IR, LLC","relationship":"IR firm"}],"dollarAmounts":[{"amount":"$40 million","context":"steady-state annual Adjusted EBITDA base plan target"},{"amount":"$3.4 million","context":"cash consideration for acquisition"},{"amount":"$6.22 million","context":"unsecured five-year promissory note issued by subsidiary"},{"amount":"$424 per short ton","context":"netback realized under predecessor contracts"},{"amount":"$22 million","context":"annual Adjusted EBITDA contribution from contract repricing"},{"amount":"$10 million","context":"annual Adjusted EBITDA contribution from cost reset"},{"amount":"$33 million","context":"annual Adjusted EBITDA contribution from volume recovery and byproducts"},{"amount":"$(26) million","context":"consolidated Adjusted EBITDA as acquired, annualized run-rate"},{"amount":"$13.8 million","context":"annual OPEX savings from grid decoupling"},{"amount":"$0.5 million","context":"capital required for power switching work"},{"amount":"$15 million","context":"cash on balance sheet"},{"amount":"$10.0 million","context":"senior bridge facility from prior owner"},{"amount":"$24 million","context":"peak pre-financing capital need in first year"},{"amount":"135 million pounds","context":"historical U.S. Bureau of Mines estimate of contained tungsten (not S-K 1300)"}]},"model_name":"glm-5.3-flashx","prompt_hash":"sha256:5c812bd9e28b810d","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-10-07T12:30:18.244Z","global_importance":30,"audience_relevance":25,"importance_components":{"tickerTier":"small-cap","eventGravity":"transformative asset acquisition detail with financing needs","issuerAuthored":true,"retailFavoriteBoost":"marginal critical-minerals theme interest"}},"durationMs":12303,"modelName":"glm-5.3-flashx"}}