Perpetual Resources Delivers High-Grade Lithium and Caesium Results in Brazil

Perpetual Resources Builds a Multi-Commodity Critical Minerals Portfolio with High-Grade Results and a Strategic Tungsten Move

Perpetual Resources Limited (ASX: PEC) has released its Q1 2026 quarterly activities report, providing investors with a comprehensive update on exploration progress across its Brazilian critical minerals portfolio. The Perpetual Resources Q1 2026 quarterly report Brazil lithium caesium tungsten projects delivered a string of high-grade results from the Igrejinha and Renaldinho projects, a newly identified pegmatite target, and a strategically significant post-quarter entry into tungsten.

Furthermore, all of this was achieved while the Company maintained a disciplined approach to capital deployment — a notable feat for an early-stage explorer advancing multiple fronts simultaneously.

Key highlights at a glance:

• Caesium grades of up to 17% Cs₂O recorded from surface channel sampling at Morro Grande
• Lithium assays of up to 7.08% Li₂O returned from rock chip sampling at Renaldinho
• A new pegmatite target, Pico Grande, defined by a 600m x 400m multi-element soil anomaly
• Approximately 8,714 hectares of tungsten tenure secured in the Seridó Mineral Province, Paraíba, Brazil
• Cash position of approximately $0.7 million as at 31 March 2026
• Estimated funding runway of approximately 2.24 quarters based on current outgoings

Morro Grande Delivers World-Class Caesium Grades

The standout result of the quarter came from channel sampling at the Morro Grande prospect within the Igrejinha Project. Perpetual recorded caesium grades that rank among the most compelling surface results from a lithium-caesium-tantalum (LCT) pegmatite system anywhere globally.

The channel sampling programme returned the following significant intercepts:

The 17% Cs₂O result from CHIG007 is a particularly noteworthy outcome. Globally, caesium is one of the rarest and most commercially valuable critical minerals, and surface grades of this magnitude signal the presence of an exceptionally evolved and fractionated pegmatite system.

According to the quarterly report, these results reinforce Morro Grande as a high-priority target for follow-up trenching and drilling. The Company is transitioning into a trenching phase across the Igrejinha Project, with results expected to support a planned mid-year drilling programme.

A Third Major Target Emerges: Pico Grande

Soil geochemistry programmes completed during the quarter defined a large-scale, coherent multi-element anomaly at the newly identified Pico Grande Prospect. This represents the third major target within the Igrejinha Project alongside Morro Grande and Mauricio.

Key characteristics of the Pico Grande target:

• Anomaly footprint of approximately 600m x 400m
• Defined by a caesium–rubidium–gallium (Cs–Rb–Ga) geochemical signature
• Interpreted as a concealed pegmatite body
• Geochemical characteristics similar to the high-grade Morro Grande system

The identification of Pico Grande reinforces the concept of a potential camp-scale pegmatite system emerging within the broader Igrejinha tenement area, situated in Brazil's Lithium Valley — a region already recognised for hosting world-class lithium pegmatite deposits. Trenching is planned to systematically test this target ahead of the mid-year drilling campaign.

Renaldinho Cements Its Status as a Priority Drill Target

At the Renaldinho Project, also located in Minas Gerais, additional high-grade rock chip sampling results further validated the presence of a high-grade LCT pegmatite system. The programme returned lithium values of up to 7.08% Li₂O, accompanied by elevated caesium, tantalum and tin — all hallmarks of a highly fractionated and mineralogically evolved pegmatite.

Selected results from the Renaldinho sampling programme:

The presence of artisanal workings within the Renaldinho licence area, combined with limited historical systematic exploration, suggests the project is significantly underexplored. Four interpreted pegmatite trends have been identified across the project area.

In addition, ongoing geological work is focused on expanding the known pegmatite footprint and refining high-impact drill targets. Renaldinho is firmly established as a priority target for future drilling.

Strategic Pivot: Perpetual Enters Tungsten

Subsequent to quarter end, Perpetual made a strategically significant move by securing applications over approximately 8,714 hectares of tungsten tenure in the Seridó Mineral Province (SMP) in Paraíba, Brazil — one of South America's most historically significant tungsten-producing regions.

Key points about the Paraíba Tungsten Project:

• Located within the Seridó Mineral Province, which has historically produced over 60,000 tonnes of WO₃
• Concessions are positioned 6km southwest and along trend from the Quixaba Mine and 22km northwest of the Ilha Grande Mine
• Prospective for both skarn-hosted and shear zone-controlled ("Root Zone") mineralisation styles
• Maiden field reconnaissance programme commenced 16 April 2026, including geological mapping, validation of historical workings and rock chip sampling
• Initial results expected May–June 2026

This acquisition marks tungsten as a third strategic commodity focus for Perpetual, alongside lithium and caesium. The Company's total Brazilian landholding now covers approximately 21,895 hectares across its various project areas.

"The Company continues to position itself as a diversified critical minerals explorer with exposure to lithium, caesium and tungsten — three commodities central to global electrification and energy security trends."

Understanding LCT Pegmatites: Why the Geology Matters

What Is an LCT Pegmatite?

A lithium–caesium–tantalum (LCT) pegmatite is a specific class of igneous rock formed from the late-stage crystallisation of magma. As magma cools slowly deep within the Earth's crust, incompatible elements become increasingly concentrated in the residual melt. LCT pegmatites represent the most chemically evolved end-products of this process, meaning they can host exceptional concentrations of lithium, caesium, tantalum, tin and rubidium.

Why Does Fractionation Matter?

The degree of "fractionation" refers to how evolved the pegmatite system is. Highly fractionated systems — like those described at both Morro Grande and Renaldinho — tend to host the highest grades of economically valuable minerals. When geologists describe a system as "highly fractionated," it is a positive indicator that the mineralisation could be both high-grade and laterally persistent.

Why Does This Matter to Investors?

Identifying a highly fractionated LCT system at surface is a meaningful exploration milestone. It suggests that the mineralisation is not a one-off occurrence but potentially part of a larger, zoned pegmatite body at depth — the kind of geological setting that can ultimately host a significant mineral deposit. The channel and rock chip results at Morro Grande and Renaldinho are consistent with this interpretation.

Glossary of Key Terms:

Financial Position and Capital Discipline

The Appendix 5B cash flow statement reveals a company managing its capital carefully across an active exploration programme. The Perpetual Resources Q1 2026 quarterly report Brazil lithium caesium tungsten projects demonstrates controlled spending whilst advancing multiple high-priority targets simultaneously.

Key observations:

• Quarterly exploration and evaluation expenditure remained lean at approximately $115k combined, reflecting efficient fieldwork management
• Related party payments of $87k primarily comprised directors' fees of $85k and $2k in associated corporate costs
• With approximately $694k in cash and estimated outgoings of ~$309k per quarter, the Company's runway sits at approximately 2.24 quarters — a figure investors should monitor closely as the planned drilling campaign approaches
• No production or development expenditures were incurred, consistent with the Company's early-stage exploration profile

Upcoming Catalysts: A Packed Near-Term Pipeline

Perpetual enters the June 2026 quarter with a well-defined work programme across multiple fronts. The near-term activity schedule is as follows:

Beyond exploration, the Company has flagged an active pursuit of merger and acquisition opportunities, with tungsten and lithium identified as key commodities of strategic interest. Portfolio rationalisation — exemplified by the relinquishment of lower-priority ground at Itinga during the quarter — is an ongoing process designed to concentrate capital on higher-impact opportunities.

The Investment Thesis: A Diversified Critical Minerals Explorer Taking Shape

Perpetual Resources is constructing a diversified critical minerals portfolio at a time when the commodities it is targeting — lithium, caesium and tungsten — are attracting sustained global attention driven by electrification and advanced technology applications.

Several elements of the investment case stand out:

1. Exceptional surface grades at Morro Grande — A caesium result of 17% Cs₂O from channel sampling represents a globally meaningful data point, signalling a highly prospective system warranting aggressive follow-up.

2. Multiple targets within a single project area — The emergence of Morro Grande, Pico Grande and Mauricio as distinct targets within the Igrejinha tenement raises the possibility of a camp-scale pegmatite system, significantly increasing the strategic value of the land position.

3. High-grade lithium at Renaldinho — A 7.08% Li₂O rock chip result is exceptional by any measure, and the presence of four interpreted pegmatite trends suggests a system with meaningful scale potential.

4. Timely entry into tungsten — The Seridó Mineral Province is South America's leading tungsten-producing region. Securing ~8,714 hectares in a proven district, proximal to historical producing mines, represents a low-cost, high-optionality addition to the portfolio.

5. Disciplined capital management — With lean quarterly outgoings and a focused exploration strategy, the Company is extracting meaningful news flow from a tight budget.

6. Brazil's Lithium Valley positioning — The Igrejinha and Renaldinho projects are situated within a region that has gained international recognition for hosting world-class lithium pegmatite deposits, providing a favourable discovery context.

Why Investors Should Watch Perpetual Resources

Perpetual Resources is at an inflection point. Having established credible surface exploration results across two lithium-caesium projects within Brazil's Lithium Valley, and having added tungsten exposure in one of South America's most historically productive tungsten districts, the Company is transitioning from early-stage exploration into a more target-rich, drill-ready position.

The Perpetual Resources Q1 2026 quarterly report Brazil lithium caesium tungsten projects provides a comprehensive view of this transition. The pipeline of near-term catalysts — including trenching results, mid-year drilling, tungsten reconnaissance outcomes, and metallurgical results at Beharra — provides multiple potential value-creation events across different commodities and geographies.

The Perpetual Resources Q1 2026 quarterly report Brazil lithium caesium tungsten projects positions the Company as a multi-commodity critical minerals explorer, with high-grade surface results at Morro Grande and Renaldinho, a newly identified pegmatite target at Pico Grande, and a strategically timed entry into tungsten in South America's premier tungsten province. With a mid-year drilling campaign at Igrejinha and maiden tungsten field results due May–June 2026, the next two quarters are shaping up to be pivotal for the Company's development trajectory.

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