AusQuest Limited ABN 35 091 542 451 Financial Report for the financial year ended 30 June 2026 AusQuest Limited Contents 30 June 2026 1 Corporate directory ...................................................................................................................................................2 Chairmans' letter.......................................................................................................................................................3 Directors' report ........................................................................................................................................................5 Auditor's independence declaration........................................................................................................................24 Independent auditor's report to the members of AusQuest Limited .......................................................................25 Directors' declaration ..............................................................................................................................................29 Statement of profit or loss and other comprehensive income ................................................................................30 Statement of financial position................................................................................................................................31 Statement of changes in equity ..............................................................................................................................32 Statement of cash flows..........................................................................................................................................33 Notes to the financial statements............................................................................................................................34 Consolidated entity disclosure statement ...............................................................................................................61 AusQuest Limited Corporate directory 30 June 2026 2 Board of directors Mr Greg Hancock - Non-Executive Chairman Mr Graeme Drew - Managing Director Mr Chris Ellis - Non-Executive Director Company secretary Mr Henko Vos Registered office C/- Horizon Nexus Partners Level 4, 88 William Street Perth WA 6000 Telephone: +61 8 9463 2463 Website: www.horizonnp.com.au Principal place of business 8 Kearns Crescent Ardross WA 6153 Telephone: +61 8 9364 3866 Facsimile: +61 8 9364 4892 Website: www.ausquest.com.au Share register Automic Group Level 5, 191 St George Terrace Perth WA 6000 Investor Services: 1300 288 664 General Enquiries: +61 2 9698 5414 Website: www.automicgroup.com.au Auditor HLB Mann Judd Level 4, 130 Stirling Street Perth WA 6000 Bankers Australian and New Zealand Bank 135 Riseley Street Booragoon WA 6154 Stock exchange listing Australian Securities Exchange (Home Exchange: Perth, WA) ASX code: AQD AusQuest Limited Chairmans' letter 30 June 2026 3 Dear Shareholder On behalf of the Board, I am pleased to present AusQuest Limited's Annual Report for the 2026 financial year — a year of significant progress for the Company, highlighted by the continued emergence of our Cangallo Copper Project in Peru as a large-scale copper-gold discovery alongside a strong pipeline of base metal exploration activities in Australia. The standout achievement of the year was undoubtedly the continued growth of Cangallo, where successive drilling programs have significantly expanded the scale of the mineralised system and reinforced our confidence in the project’s potential. Stage 3 RC drilling, comprising 54 holes for approximately 21,600 metres, confirmed a continuous porphyry copper- gold corridor extending for more than 1,500 metres along strike and between 250 and 500 metres in width, with mineralisation remaining open at depth and along strike. Importantly, subsequent diamond drilling demonstrated that the system continues to substantial depths, extending known mineralisation to approximately 800 metres vertical depth below surface. Results included an outstanding intersection of 555 metres at 0.26% copper from just 5 metres downhole, while emerging higher-grade zones in the south – including grades of up to 1.09% copper and increasing gold values – point to further upside as the system continues to be defined. Beyond Cangallo, maiden drilling was also completed at the Lantana and Playa Kali prospects highlighting the broader exploration potential of this exciting emerging district. At the same time, permitting for a substantial Stage 4 drilling program of more than 50,000 metres advanced steadily, positioning Cangallo for continued growth in the year ahead. Our Australian portfolio also progressed strongly during the year. Importantly, our Strategic Alliance Agreement with a subsidiary of South32 Limited was extended until December 2027, underpinning continued funded exploration across the Balladonia, Morrisey, Coober Pedy and Mt Davis projects. Highlights included encouraging maiden lead-zinc-copper results at Mt Davis, an expansion of the premium magnetite footprint at Morrisey, and progress towards approvals for a substantial new drilling program at Balladonia. Together, these projects provide AusQuest with a valuable pipeline of exploration opportunities alongside our increasingly important Peruvian copper-gold portfolio. These achievements were underpinned by a strengthened balance sheet, following a $10 million capital raising in December 2025 which attracted strong supported from both domestic and international investors. This funding has allowed AusQuest to pursue concurrent, well-resourced exploration and drilling campaigns across both Peru and Australia through the year, while maintaining a disciplined approach to capital allocation as exploration investment increased through the second half. Looking ahead, the Company's priorities are clear: complete diamond drilling and progress Stage 4 permitting at Cangallo, advance early resource and metallurgical work, and commence the long-awaited Balladonia drilling program, along with continued progress at Coober Pedy and Mt Davis. The Board remains confident that the scale and continuity demonstrated at Cangallo, combined with an active pipeline of Australian base metal opportunities, position AusQuest well to continue creating value for shareholders. Copper remains one of the commodities most central to the global energy transition and electrification of the world economy, against a backdrop of increasing challenges in bringing new large-scale supply to market. In this environment, the scale, continuity and growth potential emerging at Cangallo are particularly encouraging. AusQuest Limited Chairmans' letter 30 June 2026 4 There remains considerable work ahead, but the progress achieved over the past year has provided us with an exciting platform from which to build. The board believes that the combination of Cangallo’s growing potential, our broader Peruvian exploration portfolio and our pipeline of funded Australian opportunities positions AusQuest exceptionally well for another important year of exploration and value creation. On behalf of the Board, I would like to thank our shareholders for their continued support, and our management and technical teams for their dedication and hard work throughout the year. Your faithfully Greg Hancock Chairman, AusQuest Limited AusQuest Limited Directors' report 30 June 2026 5 The Directors of AusQuest Limited (“AQD” or the “ Company ”) herewith submit the financial report of the Company and the entities it controlled (“ Group ”) for the year ended 30 June 2026 . In order to comply with the provisions of the Corporations Act 2001, the directors report as follows: Board of directors The following persons were directors of AusQuest Limited during the whole of the financial year and up to the date of this report, unless otherwise stated: Mr Greg Hancock Non-Executive Chairman Mr Graeme Drew Managing Director Mr Chris Ellis Non-Executive Director Company secretary Mr Henko Vos Principal activities The principal activity of the Group was mineral exploration throughout Australia and Peru. Dividends There were no dividends paid, recommended or declared during the current or previous financial year. Review of results and operations A review of the Group's exploration projects and activities during the year is discussed in the Review of Operations included in this Annual Report. The loss for the Group after providing for income tax amounted to $3,040,267 (30 June 2025: $2,109,524). Significant changes in the state of affairs There were no other significant changes in the state of affairs of the Group during the financial year. Matters subsequent to the end of the financial year Subsequent to reporting date, a total of 1,000,000 unlisted options with an exercise price of $0.012 and an expiry date of 11 November 2027 have been converted into fully paid ordinary shares. On 2 July 2026, 15,000,000 unlisted Broker options were issued with an exercise price of $0.016 and an expiry date of 11 November 2027. No other matter or circumstance has arisen since 30 June 2026 that has significantly affected, or may significantly affect the Group's operations, the results of those operations, or the Group's state of affairs in future financial years. Likely developments and expected results of operations Information on likely developments in the operations of the Group and the expected results of operations have not been included in this report because the directors believe it would be likely to result in unreasonable prejudice to the Group. Environmental regulation The Group is aware of its occupational health and safety and environmental obligations with regard to its exploration activities and ensures that it complies with all regulations when carrying out exploration work. Information on directors and senior management The names and particulars of the directors of the Company during or since the end of the financial year and up to the date of this report are noted below. Except where indicated, directors have held office during and since the end of the financial year: AusQuest Limited Directors' report 30 June 2026 6 Name: Greg Hancock Title: Non-Executive Director and Chairman Qualifications: BA Econs., BEd Hons. Experience and expertise: Greg has had over 35 years’ experience in capital markets practicing in the area of corporate finance. He maintains close links with the stockbroking and investment banking community on behalf of the Company. Other current directorships: - Triangle Energy (Global) Limited – since 15 February 2022 - Tetragon Energy Limited (ASX:TET) – since 6 February 2025 - WA Gold Limited (ASX:WAU) formerly BMG Resources Ltd (ASX:BAU) – since 6 February 2017 Former directorships (last 3 years): - Cobra Resources PLC – 1 March 2018 to 13 April 2026 - Group 6 Metals Ltd – 26 February 2019 to 4 December 2024 - Golden State Mining Limited – November 2018 to 11 December 2025 Interests in shares: 4,586,415, fully paid ordinary shares Interests in options: 5,000,000 share options (unlisted) Interests in rights: 12,000,000 performance rights Name: Graeme Drew Title: Managing Director Qualifications: B.Sc.Hons., FAIMM, MASEG Experience and expertise: Graeme has over 40 years’ experience in the exploration industry in Australia and overseas. Prior to co-founding AusQuest Limited he was an Exploration Manager for CRAE and Rio Tinto Exploration Pty Ltd in Western Australia (9 years) and Eastern Australia (4 years). He has wide experience in the search for, and evaluation of, most base and precious metals (notably nickel, copper, gold, uranium, zinc and diamonds). Graeme has developed a passion for the ‘big picture’ and ‘big project’ generation which he strongly believes are the building blocks for successful exploration outcomes Other current directorships: Graeme holds no other directorships in listed companies over the last three years. Former directorships (last 3 years): Nil Interests in shares: 30,977,123 fully paid ordinary shares Interests in options: 13,864,681 share options (unlisted) Interests in rights: 22,000,000 performance rights Name: Christopher Ellis Title: Non-Executive Director Qualifications: B.Sc.Hons. Experience and expertise: Chris is an experienced mining executive with over 30 years’ experience in geology, exploration, mine planning and project development in Australia and overseas. He was a founding member and Executive Director of Excel Coal Limited which was the subject of a take-over bid by the US coal giant Peabody Energy Inc, and has held senior positions within Shell Coal’s Exploration, BP Coal (London and USA), Agipcoal Australia and the Stratford Joint Venture. Other current directorships: - Group 6 Metals Ltd - 8 November 2012 Former directorships (last 3 years): Nil Interests in shares: 298,520,963 fully paid ordinary shares Interests in options: 38,681,704 share options (unlisted) Interests in rights: Nil performance rights 'Other current directorships' quoted above are current directorships for listed entities only and excludes directorships of all other types of entities, unless otherwise stated. 'Former directorships (last 3 years)' quoted above are directorships held in the last 3 years for listed entities only and excludes directorships of all other types of entities, unless otherwise stated. AusQuest Limited Directors' report 30 June 2026 7 Company secretary Henko Vos Company secretary Mr Vos is a member of the Governance Institute of Australia, the Australian Institute of Company Directors and Chartered Accountants Australia & New Zealand with more than 25 years’ experience working within public practice. He holds similar secretarial roles in various other listed public companies in both industrial and resource sectors. He is a Partner of Horizon Nexus Partners. Meetings of directors The following table sets out the number of directors’ meetings (including meetings of committees of directors) held during the financial year ended 30 June 2026 and the number of meetings attended by each director (while they were a director or committee member). During the financial year 5 board meetings, 1 audit committee meetings and 1 nomination and remuneration committee meeting were held. Full Board Nomination and Remuneration Committee Audit and Risk Committee Attended Held Attended Held Attended Held Greg Hancock 5 5 1 1 1 1 Graeme Drew 5 5 1 1 1 1 Christopher Ellis 5 5 1 1 1 1 Held: represents the number of meetings held during the time the director held office or was a member of the relevant committee. Review of Operations Peru – Copper-Gold ● Successful drilling programs expanded the Cangallo porphyry copper-gold discovery from a defined footprint of ~800m x 500m to a continuous mineralised corridor exceeding 1,500m in strike length, 250-500m in width, remaining open at depth and along strike. ● Stage 3 RC drilling was completed at Cangallo (54 holes for ~21,600m), with multiple broad intersections confirming the large-scale nature of the copper-gold system. Emerging higher-grade zones (up to 1.09% Cu) associated with intrusive dykes highlighted the potential for higher copper grades at depth, especially in the south where increasing gold grades (up to 0.43g/t Au) were also reported. ● Stage 3 diamond drilling commenced during the year with three holes (~2,500m) completed before year-end, extending the vertical extent of the mineralisation to at least 800m, including an intercept of 555m @ 0.26% Cu and 0.06g/t Au from 5m (CANDD002). ● The potential of this exciting new copper discovery continues to grow, with each new drilling program increasing the extent of the mineralisation as well as the potential for higher-grade hypogene mineralisation beneath the depth of RC drilling. ● Stage 4 drill permits were advanced to allow the southern and eastern extensions of the Cangallo system to be tested by drilling. An additional 20 drill pads are expected to available for drilling within H2 CY2026. ● Drill permits were received and maiden drilling was completed at both the Playa Kali iron-oxide copper-gold (IOCG) Project and the Lantana porphyry copper prospect, expanding the drilled footprint of the wider Cangallo District. ● At Playa Kali, reconnaissance RC drilling (12 holes for 3,733m) highlighted the potential for widespread iron- oxide copper-gold (IOCG) systems beneath the extensive cover, whilst at Lantana results from the 9-hole, 2,794m drill program were pending at the end of the reporting period. AusQuest Limited Directors' report 30 June 2026 8 Australia – Copper, Gold, Zinc, Nickel ● The Strategic Alliance Agreement (SAA) with a wholly-owned subsidiary of South32 Limited (South32) was extended for a further two years to December 2027, continuing funding arrangements for the Company's Australian base metal exploration. ● Davis Tube Recovery test work at the Morrisey Magnetite Project confirmed four additional prospects capable of producing a premium iron product (>70% Fe), materially expanding the Project's potential scale. ● Maiden RC drilling at the Mt Davis Project returned encouraging near-surface lead-zinc-copper values (including 8m @ 9,485ppm Pb and a peak grade of 2.8% Pb), highlighting the project’s prospectivity. ● A substantial RC drilling program (~65 holes, ~8,000m) was designed to test a range of base metal targets at the Balladonia Project. Final approvals from Government are awaited to allow drilling to commence within the Dundas Nature Reserve. ● Heritage clearance was obtained and RC drilling commenced at the Coober Pedy IOCG Project. Drilling was suspended due to poor ground conditions, with the Company transitioning to mud rotary/diamond drilling early in FY2027, to test the priority targets. Corporate ● A $10 million (before costs) capital raising was completed in December 2025 to accelerate drilling at Cangallo. The raise was strongly supported by domestic and international institutional and professional investors. ● The cash position moved from ~$7.2 million at the start of the financial year to ~$10.0 million following the placement, before finishing the year at ~$6.4 million as exploration investment increased to fund drilling campaigns in Peru and Australia. Figure 1: Project Locations – Australia and Peru. AusQuest Limited Directors' report 30 June 2026 9 REVIEW OF PROJECTS PERU: COPPER-GOLD AusQuest holds a substantial portfolio of copper-gold prospects along the southern coastal belt of Peru, targeting porphyry copper and replacement-style (manto) IOCG systems. Peru remains one of the world's premier copper exploration destinations, and the Company's tenements are strategically positioned close to the coast and existing infrastructure. Cangallo Copper Project (AQD 100%)1 The Cangallo Project sits within a large-scale caldera-like structure approximately 8km from the coast, at elevations of 500-1,200 metres, hosting a partially exposed copper (+/- gold) porphyry system first identified through geological mapping and rock-chip sampling. At the start of the reporting period, Stage 2 Reverse Circulation (RC) drilling had defined mineralisation over an area of approximately 800m x 500m, returning results as 324m @ 0.30% Cu and 0.07g/t Au (CANRC012), including a higher-grade zone of 160m @ 0.45% Cu. Copper was intersected from near-surface to depths of more than 300m, closely associated with sericite alteration and oxidised to depths exceeding 250m, indicating potential amenability to heap leaching. Stage 3 RC drilling subsequently extended the mineralised system more than 500 metres further south, increasing the overall porphyry footprint to more than 1.0 kilometre from north to south. A limited diamond drilling program (2 holes for ~1,630m) delivered an intersection of 555 metres @ 0.26% Cu and 0.06g/t Au from just 5 metres depth (CANDD002), extending the mineralisation to a vertical depth of at least 700m and confirming the substantial scale of the porphyry system. Hypogene (primary sulphide) copper was identified below the oxide zone in association with chlorite/sericite alteration in stockwork veins (up to 2cm thick) within the host volcanics. Final assays from the first phase of Stage 3 RC drilling (20 holes, 7,836m) confirmed the continuity of the porphyry system over a strike length exceeding 1,500 metres, 250-500 metres in width, and to depths beyond 400 metres. Multiple broad intercepts were reported, including 172m @ 0.33% Cu from 154m (CANRC032) and 164m @ 0.33% Cu from 304m (CANRC034), along with narrower higher-grade zones containing up to 0.72% Cu. The Stage 3 RC program was completed by year-end for a cumulative total of 54 RC holes and approximately 21,600 metres of drilling. Results continued to demonstrate the large scale and continuity of mineralisation, with broad intercepts including 236m @ 0.30% Cu from 2m (CANRC054) and 176m @ 0.38% Cu from 40m (CANRC052), and notably higher grades emerging in the south, including 12m @ 1.09% Cu (CANRC048) and 12m @ 0.77% Cu (CANRC047) within porphyritic quartz diorite dykes, pointing to the possible presence of a source porphyry stock. Gold grades also increased to the south, with intersections of up to 0.43g/t Au. Multiple drill intercepts of +0.5% Cu over a thickness of more than 10 metres provide a high degree of confidence that higher-grade zones will be defined within the porphyry system as drilling progresses. These intersections occur within the broader mineralised envelope (>0.1% Cu), demonstrating the capability of the system to produce higher- grade copper either through supergene enrichment processes or as hypogene mineralisation within dykes and stockwork veins occurring with the greater porphyry system. AusQuest Limited Directors' report 30 June 2026 10 Figure 2: Cangallo Prospect drill-hole plan showing completed RC/diamond drilling, planned Stage 4 drill pads, and surface copper-gold assay anomalism — illustrating that the system remains open in multiple directions (surface rock-chip assays first reported in ASX releases – 30 March and 09 November 2023). Many of the RC drill-holes completed across the prospect ended in mineralisation, indicating that the system remains open in several directions, including at depth. Stage 3 diamond drilling (approximately six holes for 5,000m+) commenced late in the year to test for deeper hypogene mineralisation below the ~350m limit of RC drilling and to provide critical geological information that will help vector towards higher-grade copper mineralisation extending to depth. The first hole, CANDD003, reached a depth of ~880m intersecting copper in stockwork veins from near-surface to approximately 550m, with primary sulphides (chalcopyrite ± pyrite, rare bornite/molybdenite) below the supergene zone. The diamond drilling program is expected to continue for several months into the new financial year. 1- Refer ASX announcements lodged on 23 January 2025, 6 February 2025, 21 July 2025, 28 August 2025, 12 November 2025, 6 January 2026, 11 February 2026, 4 March 2026, 6 May 2026, 22 July 2026, and 3 September 2026. AusQuest Limited Directors' report 30 June 2026 11 Cerro de Fierro Copper Project (AQD 100%) The Cerro de Fierro Project lies at the southern end of a recognised IOCG metallogenic belt in southern Peru, within ~150km of the Mina Justa deposit (~475Mt @ 0.68% Cu). Surface indicators of porphyry copper mineralisation have been identified within the project area, associated with a major E-W structural corridor considered a priority target zone for porphyry copper deposits within the coastal belt of southern Peru. The Lantana Prospect2, located within the Cerro de Fierro/Pirata Project area east of Cangallo, is considered a high- priority porphyry copper target given its scale (~2,000m x 800m) and anomalous surface copper (often >1.0% Cu), molybdenum and bismuth values. Drill permitting progressed through the year with full drill permits received in Q1 CY2026, allowing a maiden reconnaissance RC program (9 holes, 2,794m) to be completed by year-end. Assay results were pending at the end of the reporting period. Geological mapping had identified large areas of advanced argillic alteration (AAA) within the dominantly andesitic volcanic sequence, with high-grade copper values occurring within dyke-like features marginal to the mapped AAA (lithocap), highlighting the potential for a nearby strongly mineralised porphyry system. 2- Refer ASX announcements lodged on 28 April 2023, 31 July 2023, 30 October 2023, 15 April 2026, 5 June 2026 and 20 August 2026. Playa Kali Copper-Gold Project (AQD 100%)3 The Playa Kali Project, located near the coastal town of Chala and ~120km south-east of the Mina Justa copper deposit, is targeting manto-style copper-gold mineralisation associated with iron-oxide (magnetite) outcrops, within a sequence of sediments similar to those found near the Marcona and Mina Justa deposits. Geological mapping, rock- chip sampling and ground magnetic surveys defined target areas for drilling over the course of the year. Drill permitting was completed in the March Quarter, and a 12-hole, 3,733m reconnaissance RC program was completed during the June Quarter. Drilling intersected a mixed package of volcanics and sediments containing variable amounts of disseminated magnetite, with highly anomalous copper values (>1,000ppm Cu) intersected in many holes. Significant results included 12m @ 0.2% Cu and 0.05g/t Au (BOH) in PKRC007, 10m @ 0.37% Cu in PKRC009, and 28m @ 218ppm Mo (including 4m @ 617ppm Mo) in PKRC004, highlighting the potential for widespread iron-oxide copper-gold (IOCG) systems beneath the extensive cover in the area. A review of the combined drilling, surface and geophysical data is in progress to prioritise further targets for drilling. 3- Refer ASX announcements lodged on 31 July 2023, 30 October 2023, 15 & 30 April 2026, 5 June 2026 and 8 July 2026. Other Opportunities (Peru) The Parcoy IOCG Project, located ~50km north-west of Cerro de Fierro and the Chololo Project near Ilo, both remained dormant through the year as Company resources were focused on the Cangallo, Lantana and Playa Kali Projects. The Company continues to view these projects as prospective copper targets that were not tested by earlier wide- spaced drilling and is considering its options for future work in both areas. The search for new copper opportunities in Peru remains secondary to advancing the Cangallo District, which the Company considers has the greatest potential to materially impact its value. AusQuest Limited Directors' report 30 June 2026 12 AUSTRALIA BASE METALS: COPPER, GOLD, ZINC AND NICKEL AusQuest's Australian exploration is conducted principally under the Strategic Alliance Agreement (SAA) with a wholly-owned subsidiary of South32 Limited. This agreement was first established in February 2017 and was extended for a further two years to December 2027. The SAA funds work across Balladonia, Morrisey, Coober Pedy and Mt Davis, targeting copper and zinc with potential gold and silver credits. Balladonia Base Metal Project (AQD 100% subject to SAA) Located near the Nova-Bollinger nickel-copper deposit in the Fraser Range Terrane, Balladonia is prospective for multiple mineralisation styles including nickel-copper, iron-oxide copper-gold (IOCG), Broken Hill Type (BHT) and, more recently, rare earth elements associated with carbonatite intrusions. Through the year, the Company completed interpretation of earlier RC drilling results including multi-element geochemical data, identifying anomalous bismuth, molybdenum, tellurium and copper values along the Tea Tree Trend as well as anomalous lead values associated with quartz-garnet-magnetite rocks. A substantial new RC drilling program (~65 holes, ~8,000m) was subsequently designed to target lead-zinc and copper-gold mineralisation along the southern extensions of the Tea Tree Trend, within the Dundas Nature Reserve (DNR). Native Title Heritage and Flora and Fauna surveys were successfully completed over the proposed targets, with the Reserve Activity Management Plan (RAMP) approval currently progressing through government. Drilling is anticipated to commence in Q4 CY2026. Morrisey Magnetite Project (100% AQD subject to SAA) Morrisey, located in WA's Midwest mining district, hosts coarse-grained magnetite upgradable to a premium iron product (>70% Fe) suitable for green iron smelting. Davis Tube Recovery (DTR) test work undertaken during the year confirmed four additional prospects (Murchison, Murchison South, Sandfly and Waterfall North) that are capable of producing a premium-grade magnetite product from a relatively coarse grind (75um), materially expanding the Project's apparent scale beyond the original Waterfall discovery. During the year, work focused on gravity/magnetic modelling to estimate the combined magnetite inventory, which resulted in the Company lodging a new Exploration Licence application to secure additional magnetic targets immediately north of Waterfall. Further evaluation of the Project continues to be considered under the SAA. Coober Pedy Copper-Gold Project (100% AQD subject to SAA)4 Located in the Gawler Craton near the Prominent Hill copper-gold deposit, the Coober Pedy Project is targeting IOCG mineralisation close to the Elizabeth Creek Fault Zone. Target definition using magnetic, gravity and IP data was completed early in the year, with a 13-hole (~4,500m) RC drilling program designed to test four prospects – Jack Russell, Greyhound, Bulldog and Basset Hound. Heritage clearance was obtained and drilling to test a range of target types commenced late in the year. The initial RC drilling program was suspended after only three holes successfully reached basement due to a thick (~30m) unconsolidated dry sand unit that could not always be penetrated by the RC drilling. The Compan