How VRX Silica’s New CEO and Offtake Deals Propel Arrowsmith North Forward

Offtake Agreements Cement Market Demand

VRX Silica Limited has made a decisive stride in commercialising its Arrowsmith North Silica Sand Project by signing six binding offtake contracts with established customers across South Korea, Taiwan, the Philippines, and China. These agreements collectively commit to an aggregate supply of approximately 960,000 tonnes per annum, aligning closely with the project's initial production target of around 1 million tonnes per annum. The customers are reputable suppliers to the foundry and glassmaking industries, sectors that continue to experience robust growth in Asia.

Strategic Land Acquisition Enhances Project Infrastructure

In a complementary development, VRX has entered into a conditional contract to purchase the Arramall farm site adjacent to Arrowsmith North. Spanning over 2,000 hectares, this freehold land offers an ideal location for the silica sand processing plant and associated infrastructure, with excellent access to Brand Highway facilitating efficient transport to Geraldton Port. The site also presents opportunities for renewable energy integration, including a proposed solar farm, which could reduce the project's environmental footprint and operating costs.

Leadership Transition Signals Growth Focus

The company has implemented a succession plan with the appointment of Tony Swiericzuk as the new Chief Executive Officer. Mr Swiericzuk brings over 30 years of mining and bulk port experience, including leadership roles in large-scale operations and project ramp-ups. His expertise in operations, project development, and stakeholder engagement is expected to be instrumental as VRX advances Arrowsmith North towards construction and production phases. The outgoing Managing Director, Bruce Maluish, will transition to a Non-Executive Director role, ensuring continuity during the leadership change.

Financial Foundations Strengthened

To support ongoing development, VRX successfully completed an equity capital raising of $2.1 million, attracting both existing shareholders and new institutional investors. Additionally, the company appointed Pareto Securities as manager for fixed income debt financing, reflecting growing interest from financiers following key project approvals. An independent technical review has been completed to underpin due diligence efforts, positioning VRX well to secure the necessary funding for construction.

Environmental and Regulatory Progress

VRX continues to advance its environmental strategy, having received state environmental approval for Arrowsmith North in September 2025. The company is preparing an amendment application to relocate the processing plant to the Arramall site, which promises to reduce environmental impacts significantly. This includes less clearing of native vegetation and potential emissions reductions through renewable energy use. Engagement with federal environmental authorities is underway to secure approvals for the revised offset strategy.

Collectively, these developments underscore VRX Silica's commitment to establishing Arrowsmith North as a globally significant, long-life silica sand operation serving Asia's growing foundry and glass markets. The project promises substantial economic benefits for Western Australia’s Mid West region, including employment and regional development.