COSMO METALS LIMITED ANNUAL

Directors' Report

DIRECTORS’ REPORT Your directors present their report, together with the financial report on the consolidated entity (referred to hereafter as the 'Group') consisting of Cosmo Metals Ltd (referred to hereafter as the 'Company' or 'parent entity') and the entities it controlled at the end of, or during, the year ended 30 June 2026 (‘year’). DIRECTORS The names of directors in office at any time during the whole or part of the year are listed below. Directors have been in office up to the date of this report unless otherwise stated. NAME OF PERSON POSITION Mr Peter Bird Non-Executive Chairman Mr Ian Prentice Managing Director Mr Ranko Matic Non-Executive Director (resigned 31 August 2026) Mr Andrew Paterson Non-Executive Director PRINCIPAL ACTIVITIES During the financial year, the principal activities of the Group consisted of mineral exploration. DIVIDENDS There were no dividends declared or paid by the Company during the year and no dividend is recommended. REVIEW OF OPERATIONS Operating Result The loss from continuing operations for the year after providing for tax amounted to $4,230,118 (2025: $3,112,375). On 15 July 2025, the Company announced the completion of the transfer of the Bingara and Nundle projects, triggering the right to convert on 30,000,000 performance shares by the vendor. On 31 July 2025, the Company announced a two-tranche placement to raise a total of $2,000,000 (before costs) at a price of $0.018 per share. Tranche 1 of the placement was issued under the Company’s existing placement capacity under ASX Listing Rules 7.1 (42,503,677 fully paid ordinary shares) and 7.1A (31,780,230 fully paid ordinary shares) on 8 August 2025, raising $1,337,110 (before costs). On 22 September 2025, the Company held a General Meeting to seek shareholders’ approval to issue the below securities to complete the Company’s placement mentioned above: - 36,827,204 fully paid ordinary shares (Tranche 2 placement); and - 6,000,000 options (exercisable at $0.027 expiring 29 September 2028) to brokers for capital raising services provided for the placement. All resolutions were passed at the Company’s General Meeting and the shares and options were issued on 29 September 2025. On 17 October 2025, the Company announced 30,000,000 fully paid ordinary shares had been released from voluntary escrow which were previously issued as part consideration of the Galaxias Metal