Earthworks Outlines Initial Development Strategy for Copper and Rare Earth Permanent Magnet Recycling and Recovery Operations
1
Suite 600 - 890 West Pender Street, Vancouver, BC V6C 1J9
Telephone: 604.669.3143 Fax: 604.669.3107
Email: [email protected]
Web: www.earthworksinc.com
TSX-V: EWK
OTCQB: EAATF
News Release
August 26, 2026
Earthworks Outlines Initial Development Strategy for Copper and Rare
Earth Permanent Magnet Recycling and Recovery Operations
Vancouver, British Columbia – August 26, 2026 – Earthworks Industries Inc. (TSX -V: EWK,
OTCQB: EAATF) (“Earthworks” or the “Company”), a critical minerals recycling and recovery
company advancing modular systems designed to recover critical minerals and strengthen
Western critical mineral supply chains, is pleased to outline its initial development strategy
following the Company’s acquisition of the Critical Minerals Recycling and Recovery System.
Earthworks has identified copper and rare earth permanent magnets as its initial priority recovery
verticals and intends to advance development work associated with both material streams as the
Company works toward establishing its first critical minerals recycling and recovery operations.
The Company intends to evaluate and advance the two recovery verticals in parallel, with the
scale, configuration, sequencing and timing of individual deployments expected to be informed
by factors including feedstock availability, metallurgical and techni cal validation, strategic
partnerships, financing opportunities, permitting requirements and market conditions.
The strategy reflects Earthworks’ broader objective of developing a modular and scalable critical
minerals recovery platform capable of recovering valuable materials already present above
ground and returning those materials to productive use within Canadi an, North American and
allied supply chains.
Copper Recovery
Copper has been identified as one of Earthworks’ initial development priorities due to its
fundamental importance across electrification, power generation and transmission, data
infrastructure, transportation, construction and advanced manufacturing.
The Company’s initial copper strategy is expected to focus on the recovery of copper from end -
of-life products, industrial materials and other suitable copper-bearing feedstock streams.
2
Earthworks intends to evaluate modular configurations at varying scales, allowing initial
processing capacity to be matched to available feedstock and expanded progressively as supply
relationships, operating performance and economics are established.
The Company’s underlying recovery platform identifies copper as a suitable anchor recovery
vertical because of its established markets, broad availability across urban and industrial material
streams and potential suitability for staged modular deployment.
Rare Earth Permanent Magnet Recovery
In parallel, Earthworks intends to advance the development of recycling and recovery capabilities
targeting rare earth permanent magnets, including materials recovered from end-of-life products,
industrial equipment and manufacturing streams.
Rare earth permanent magnets are important components in electric motors, renewable energy
systems, advanced electronics, industrial equipment and defense and aerospace applications.
The Company believes the recovery of rare earth materials already circulating within Western
economies represents an opportunity to complement primary mineral production while
contributing to more diversified and resilient critical mineral supply chains.
Modular Development and Scalable Deployment
Rather than committing at the outset to a single large-scale centralized facility, Earthworks intends
to pursue a staged and modular development strategy.
The Company is evaluating configurations ranging from pilot and demonstration -scale systems
through small commercial and larger modular deployments. Under this approach, processing
capacity can potentially be added progressively as feedstock availability, technical performance
and commercial economics are validated.
The Company’s Critical Minerals Recycling and Recovery System is based on a broader modular
architecture designed to support incremental expansion across multiple material streams without
requiring the redesign of an entire facility as capacity increases.
This approach is intended to provide Earthworks with flexibility to allocate capital toward the
recovery opportunities demonstrating the strongest combination of feedstock availability,
economics, strategic value and partnership support.
David Atkinson, CEO of Earthworks, commented:
“Copper and rare earth permanent magnets represent two compelling starting points for
Earthworks as we begin translating our broader critical minerals recovery strategy into operating
infrastructure.”
3
“Copper sits at the foundation of electrification, power infrastructure, data centres and the broader
modernization of the Western economy, while rare earth permanent magnets are increasingly
important to advanced manufacturing, transportation, energy and defense. In both cases,
significant quantities of these materials already exist above ground in products and infrastructure
reaching the end of their useful lives.”
“Our strategy is to advance both opportunities while maintaining flexibility around scale and
sequencing. Rather than building capacity and then searching for material to fill it, we intend to
align deployment with feedstock, technical validation, strategic partnerships and available capital.
We believe this disciplined, modular approach can allow Earthworks to build recovery capacity
progressively while positioning the Company to respond to areas of greatest commercial and
strategic opportunity.”
Building Western Critical Mineral Supply Chains
Earthworks’ strategy is based on the premise that strengthening Western critical mineral supply
does not depend exclusively on developing new primary mines.
Significant quantities of valuable metals have already been extracted and incorporated into
electrical infrastructure, vehicles, motors, electronics, industrial equipment and other products. As
these products reach the end of their useful lives, they represent a growing above-ground source
of potentially recoverable materials.
Earthworks intends to develop the infrastructure, commercial relationships and recovery
capabilities necessary to identify, aggregate and process selected material streams and return
recovered critical minerals to productive use.
The Company’s broader recovery platform is designed to ultimately support additional critical and
strategic material categories as technical capabilities and commercial opportunities develop.
Next Steps
As part of the initial development program, Earthworks intends to advance activities including:
● feedstock identification and sourcing;
● feedstock characterization and metallurgical testing;
● preliminary engineering and recovery circuit development;
● evaluation of pilot and commercial-scale configurations;
● strategic industry and technology partnerships;
● potential offtake relationships;
● government and non-dilutive funding initiatives; and
● evaluation of potential operating locations and deployment opportunities.
The Company also intends to establish a dedicated critical minerals feedstock sourcing
initiative designed to identify and develop relationships with organizations that generate,
4
aggregate, dismantle, recycle or otherwise control suitable end -of-life and industrial material
streams.
Additional information regarding this initiative is expected to be provided as the program
advances.
Addressing the Critical Minerals Supply Gap
The race to build and power artificial intelligence infrastructure, electrify transportation, modernize
defense systems and expand advanced manufacturing has created an unprecedented and
accelerating demand for critical minerals, including copper, rare ear th elements, lithium, cobalt,
nickel, tungsten, titanium and many other materials that form the physical foundation of the 21st-
century economy.
The problem is supply.
Refining and processing capacity for many of these materials is heavily concentrated in foreign
jurisdictions, most significantly China, creating vulnerabilities in Western supply chains that are
no longer theoretical, but active and urgent.
Both Canada and the United States have responded with major policy commitments, including
Canada’s Critical Minerals Strategy and initiatives under the United States Defense Production
Act and CHIPS and Science Act, directed at building domestic supply chain resilience.
Primary mining alone cannot close the supply gap quickly enough. New mine development
frequently requires a decade or more to advance from discovery through permitting, financing,
construction and production.
This is where recycling and secondary recovery become strategically essential.
Many of the materials required by Western economies already exist above ground in significant
quantities within end-of-life electronics, industrial scrap, manufacturing byproducts, legacy mine
waste, tailings, waste rock and other previously processed materials.
Urban recycling and secondary recovery can provide a faster, lower-impact and potentially more
capital-efficient path to production than greenfield mine development. However, domestic
recovery infrastructure across North America remains fragmented and undersupplied, creating a
need for modular, deployable and digitally managed recovery capacity.
Through its acquisition of the Critical Minerals Recovery System, Earthworks holds a full -stack
platform developed to address that need, beginning with copper and intended to expand into
battery metals, rare earth elements, precious metals and defense -related materials across
Canada and the United States.
5
About Earthworks Industries Inc.
Earthworks Industries Inc. ( TSX.V: EWK, OTCQB: EAATF) is a critical minerals recycling and
recovery company advancing modular systems designed to recover strategic metals and
strengthen Western critical mineral supply chains. The Company is developing scalable recycling
and recovery infrastructure to help address the growing need for domestic critical minerals
production.
For further information, contact:
Earthworks Industries Inc.
David Atkinson
President/CEO
604-669-3143
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this News Release.
FORWARD-LOOKING STATEMENTS
Statements made in this news release, other than purely historical information, including statements relating to the
Company’s future plans and objectives or expected results, may include forward-looking statements.
Forward-looking statements in this news release include, but are not limited to, statements regarding the Company’s
plans to develop and deploy modular critical minerals recycling and recovery systems; the proposed development of a
pilot copper recycling f acility in the Lower Mainland of British Columbia; the expected services and contributions of
Fairfax Partners, Fair and Trifecta Capital Corp.; the anticipated ability of the engagements to broaden the Company’s
audience, improve the rhythm and consistenc y of its communications, build stakeholder relationships and support
business growth; the Company’s ability to establish and maintain a consistent communications cadence; the potential
expansion of the Critical Minerals Recovery System into additional locations and material streams; and the Company’s
objective of contributing to more secure and resilient Western critical mineral supply chains.
Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties
inherent in the development, financing, construction and operation of recycling and resource recovery projects. These
risks and uncertainties include, among others, the Company’s ability to obtain sufficient financing, secure suitable
feedstock, identify and acquire an appropriate facility location, procure and commission required equipment, obtain
permits and regulatory approvals, enter into s trategic partnerships and offtake arrangements, validate anticipated
processing performance and successfully commercialize the Critical Minerals Recovery System.
As a result, actual results may vary materially from those described in the forward -looking statements. Readers are
cautioned not to place undue reliance on forward-looking statements. Except as required by applicable securities laws,
the Company undertakes no obligation to update forward-looking statements should circumstances or management’s
estimates or opinions change.