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Freeport-McMoRan for Brazilian copper
A focused copper counterpart to Brazil's Vale

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• Copper Concentrate: A semi-processed product derived from mined copper ore, containing a high percentage of copper along with other minerals.
• Gold: A precious metal produced as a valuable by-product of their primary copper mining operations.
• Silver: A precious metal also recovered as a valuable by-product from their copper mining activities.

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Major Customers of Ero Copper (ERO)

Ero Copper (symbol: ERO) sells primarily to other companies, not directly to individuals. According to its public filings, Ero Copper has a diversified customer base and does not rely on a single customer for the sale of its products.

While specific individual "major customers" (i.e., named companies accounting for a significant percentage of revenue) are not disclosed, its customers generally fall into the following categories:

• Commodity Trading Houses: These are large global companies that specialize in the trading of raw materials. They purchase copper concentrate and copper cathodes from miners like Ero Copper and then sell these materials to various smelters and refiners worldwide. These trading houses often manage the logistics and market risks associated with commodity sales.
• Smelters and Refiners: These industrial companies are direct processors of raw copper materials. They buy copper concentrate and copper cathodes to refine them into finished copper metal, which is then used in various industries (e.g., electrical, construction, automotive). Ero Copper sells to a range of these entities globally.

Ero Copper utilizes a combination of long-term off-take agreements and spot sales with this diversified group of customers.

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• Eletrobras (NYSE: EBR)
• Neoenergia S.A. (B3: NEOE3.SA)

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Makko DeFilippo, President, Chief Executive Officer and Director

Mr. DeFilippo serves as the President and Chief Executive Officer of Ero Copper. He joined the company in January 2017 as Vice President, Corporate Development, and was instrumental in advancing key strategic and operational initiatives, including the company's initial public offering in October 2017 and the transformation of the Xavantina Operations.

Wayne Drier, Executive Vice President and Chief Financial Officer

Mr. Drier is a seasoned finance executive with 25 years of experience in financial reporting, corporate finance, and capital markets within the global mining sector. He has worked across various commodities and jurisdictions and has been involved in several significant merger and acquisition transactions. He previously held senior executive roles at Asanko Gold Inc.

David Strang, Executive Chairman

Mr. Strang co-founded Ero Copper in May 2016 and served as Chief Executive Officer and Director from 2016 to 2024 before becoming Executive Chairman. He has a history of managing and selling companies in the mining sector. Before Ero Copper, he was President and CEO of Lumina Copper Corp., which was acquired by First Quantum Minerals Limited in August 2014. His executive leadership experience also includes serving as President and CEO of Lumina Royalty Corp. (acquired by Franco-Nevada Corporation in 2011), Global Copper Corp. (acquired by Teck Resources in 2008), and Lumina Resources Corp. (acquired by Western Copper Corp. in 2006). Additionally, he held senior roles as President of Regalito Copper Corp. (acquired by Pan Pacific in 2006) and Vice President, Corporate Development of Northern Peru Copper Corp. (acquired by China Minmetals and Jiangxi Copper in 2008). Mr. Strang possesses over 30 years of experience in the mining sector with deep expertise in corporate and asset valuation.

Gelson Batista, Executive Vice President and Chief Operating Officer

Mr. Batista joined Ero Copper in September 2024, initially as SVP, Operations. He brings over 25 years of extensive, multi-national mining experience, having held diverse technical, operational, and senior leadership roles at mining operations and development projects globally.

Deepk Hundal, Executive Vice President, General Counsel and Corporate Secretary

Mr. Hundal has held previous roles as General Counsel of Retirement Concepts Seniors Services Ltd., Vice-President, Legal of Elgin Mining Ltd., and Vice-President, Legal and Corporate Secretary of Aura Minerals Inc. Prior to these roles, he worked with Fraser Milner Casgrain LLP (now Dentons LLP) and Borden Ladner Gervais LLP, specializing in corporate, commercial, securities, and mining law.

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1. Commodity Price Volatility

Ero Copper's revenue and profitability are highly sensitive to fluctuations in the prices of copper and gold. The company is significantly exposed to the volatile nature of these commodity markets.

2. Jurisdictional and Country Risk (Brazil)

With its operations heavily concentrated in Brazil, Ero Copper faces substantial geopolitical and country-specific risks. These include potential impacts from political developments, changes in law, resource nationalism, and regulatory delays, which can affect the company's ability to generate profits, repatriate capital, or access labor.

3. Operational Risks and Project Execution

The company faces operational challenges and risks related to the execution of its projects, notably the ramp-up of the Tucumã operation. Delays, such as those caused by power disruptions, and slower-than-expected progress in project development can lead to missed production guidance and affect revenue forecasts.

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Ero Copper's main products are copper and gold. The addressable markets for these products are as follows:

• Copper:
  • The global copper market size was estimated at USD 241.88 billion in 2024 and is projected to reach USD 339.95 billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 6.5% from 2025 to 2030. Other estimates for the global copper market size in 2024 range from USD 236.09 billion to USD 349.14 billion, with projections reaching between USD 362.28 billion and USD 548.20 billion by 2032-2034.
  • The Brazil copper market was valued at approximately USD 11.92 billion in 2024 and is projected to grow to about USD 17.59 billion by 2032, with a CAGR of 5.09% from 2024 to 2032.
• Gold:
  • The global gold market size was valued at USD 291.68 billion in 2024 and is projected to reach USD 457.91 billion by 2032, at a CAGR of 5.80% during the forecast period. Another estimate places the global gold market size at USD 5103.47 billion in 2024, expected to reach USD 5627.81 billion by 2033.

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Ero Copper (symbol: ERO) is poised for future revenue growth over the next 2-3 years, primarily driven by several key operational expansions and optimizations across its Brazilian assets.

Here are 3-5 expected drivers of future revenue growth:

1. Ramp-up and Full Production of the Tucumã Operation: The Tucumã Operation achieved commercial production on July 1, 2025. The company anticipates a significant increase in copper production as throughput volumes continue to rise through the end of 2025, leading to sequential growth in the second half of the year. Consolidated copper production is projected to increase by approximately 85% to 110% year-on-year in 2025, reaching between 75,000 and 85,000 tonnes, and further expanding to 85,000 to 95,000 tonnes in 2026 and 2027 as the operation achieves its design mill throughput rates.
2. Optimization and Expansion of Caraíba Operations: Revenue growth from the Caraíba Operations is expected through ongoing enhancements. Recent efforts have led to increased plant throughput due to a successful multi-quarter mill debottlenecking program. Furthermore, capital investments at the Pilar Mine in 2025 are aimed at increasing underground development rates and advancing the construction of a new external shaft, which is anticipated to become operational in 2027. This initiative is designed to enable higher sustained copper production levels and improved operating margins.
3. Sustained and Improved Gold Production from Xavantina Operations: The Xavantina Operations are expected to maintain annual gold production levels of 50,000 to 60,000 ounces through 2027. Investments in mechanization and anticipated higher mine tonnage, increased processed tonnes, and higher-grade stopes are projected to drive higher gold production and contribute to a reduction in per-unit operating costs.
4. Exploration and Potential Development of the Furnas Copper-Gold Project: Ero Copper's earn-in agreement with Vale Base Metals for a 60% interest in the Furnas Copper-Gold Project, signed in July 2024, represents a driver for future growth. The completion of Phase 1 drilling in July 2025 and Phase 2 subsequent to Q3 2025, along with the planned Preliminary Economic Assessment (PEA) and an updated mineral resource estimate in the first half of 2026, signal the potential for long-term production increases beyond the immediate 2-3 year horizon, thus contributing to the company's growth pipeline.

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Share Issuance

• Ero Copper had an initial public offering (IPO) and a secondary offering in October 2017, which included the issuance of 10,000,000 common shares from treasury for gross proceeds of $47,500,000.
• An over-allotment option related to the 2017 IPO was exercised in full in November 2017, resulting in the purchase of an additional 3,492,317 common shares from Ero Copper, generating gross proceeds of CDN$16,588,505.75.

Outbound Investments

• In July 2024, Ero Copper signed a definitive earn-in agreement with Vale Base Metals to acquire a 60% interest in the Furnas Copper-Gold Project, located in the Carajás Mineral Province in Pará State, Brazil.

Capital Expenditures

• For 2025, capital expenditure guidance is set between $230 million and $270 million, excluding capitalized ramp-up costs prior to the declaration of commercial production at the Tucumã Operation.
• Capital expenditure guidance for 2023 included exploration expenditures ranging from $31 million to $40 million.
• The company has been making ongoing investments in mine modernization and mechanization at its Xavantina Operations, aiming to significantly increase mining rates in the second half of 2025.