PROJECT INFORMATIONQuestions and Answers

They will be at two different sites.

Mining is planned exclusively within the Valea Dobra perimeter, in the Rășinari area. There will be no quarry at Săliște.

A plant is planned at Săliște, where rock from Valea Dobra will be processed to produce magnesium-based products.

In brief:

• Valea Dobra – Rășinari = extraction
• Săliște = industrial processing

The project concerns the extraction of magnesium-bearing rocks – magnesium serpentinite – from the Valea Dobra perimeter.

Mining Concession Licence No. 29.694/2026 was approved by Order No. 529 of 3 September 2026 and published in Official Gazette No. 754 of 7 September 2026.

No chemical processing of the rock will take place in the quarry area. Only extraction and the initial preparation of material for transport will take place there. The material will be carried by an electric cable transport system in enclosed gondolas and then, from the logistics hub, by covered electric dump trucks to the processing plant.

No.

The mining licence is an essential stage in the development of the project, but it is not an environmental approval, it is not a building permit, and it does not allow mining or construction of the plant to begin automatically.

A project of this nature must proceed through successive stages of design, assessment and authorisation.

For projects subject to an environmental impact assessment (EIA), the law requires the assessment to be completed before development consent is granted, and the project may not proceed without the necessary regulatory decisions and approvals.

In brief:

MINING LICENCE ≠ ENVIRONMENTAL APPROVAL ≠ BUILDING PERMIT ≠ START OF OPERATIONS

A project of this kind is developed in stages. In simplified form, the sequence is:

1. Identification and study of the resource

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2. Obtaining the mining licence

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3. Environmental impact assessment procedures and the studies required as part of them, during which public information and consultation take place

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4. Issuance of environmental regulatory decisions and receipt of the other necessary approvals

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5. Obtaining building permits

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6. Start of the investment

These stages cannot simply be skipped.

The mining licence and the environmental impact assessment of the specific project are different stages. The EIA stage is conditional on the prior existence of a right to exploit the mineral resources, acquired through the signing of the mining licence.

The environmental assessment must examine a sufficiently well-defined project in relation to its specific site. Determining the impact requires information such as the location, plant configuration, capacities, infrastructure, technology, transport arrangements and proposed technical solutions.

The studies and assessments are therefore developed progressively as the project is defined and the legal procedures are completed.

The fact that certain studies currently requested by the public have not yet been completed does not mean that they have been omitted. Some of them are precisely the subject of the forthcoming assessment and authorisation stages.

The assessment does not consider only one factor.

Depending on the requirements established by the competent authorities and the characteristics of the project, the matters examined include:

water and groundwater, air and dust, soil, biodiversity, noise, traffic, public health, landscape, climate, cumulative effects, accident risks, and measures to prevent and reduce impacts.

The investigations, measurements and modelling needed to assess the specific project are also determined at this stage.

Yes.

The environmental impact assessment procedure includes public information and participation.

Relevant documentation is made available to the public in accordance with the applicable legal procedures, and interested parties may submit observations and comments before the decisions required by the procedure are taken.

The meetings held by MPI to date with community representatives are additional information and dialogue activities. They do not replace the formal public consultations required by environmental law.

The Valea Dobra perimeter has been the subject of an extensive geological exploration and characterisation programme.

The work included geological mapping, geophysical investigations, drilling, sample collection and analysis, mineralogical studies and hydrogeological investigations.

Seventeen boreholes were drilled, totalling approximately 2,181 metres, together with systematic and selective sampling to determine chemical and mineralogical composition. The resource estimate was also prepared with the participation of SRK Consulting, in accordance with international reporting standards.

The quarry will be developed gradually as mining advances.

In the scenario presented to the community, the area is estimated at approximately 0.5-3 hectares in year 1, 3-3.7 hectares in year 5, 3.7-5.3 hectares in year 10, reaching approximately 6.8 hectares in year 20.

To illustrate the scale, 6.8 hectares is 68,000 m², approximately the area of a square with sides measuring 260 metres.

The configuration examined was optimised so that it would not intersect forest land under the 20-year development scenario.

Serpentinites can have different mineralogical compositions, and some may contain asbestiform minerals. Their presence in a particular deposit cannot be assumed solely from the geological name of the rock.

The geological and mineralogical analyses performed to date have not identified the presence of asbestiform minerals in the mineral mass investigated at the Valea Dobra deposit. Cases involving serpentinite operations in other regions where asbestiform minerals have been identified are relevant to identifying and assessing a potential risk, but they do not demonstrate the presence of such minerals at Valea Dobra. Their presence must be established through specific investigations of the rock from this perimeter.

Establishing the conditions that exist before operations begin is important for assessing impacts and for subsequent monitoring.

The environmental procedures will determine the investigations and monitoring programmes required for the relevant factors, including water, air and soil, as well as the parameters, measurement locations and monitoring frequency.

MPI supports the establishment of clear and verifiable baseline data that allow conditions before operations begin to be compared with conditions while the project is operating.

These elements have already been included in the geochemical characterisation of the Valea Dobra deposit. Multi-element analyses, including nickel and chromium, were carried out by ALS, an accredited international laboratory specialising in geochemical analysis for the mining industry.

The results of the analyses conducted to date have not identified geochemical issues in this respect. The presence of nickel and chromium at certain concentrations is characteristic of ultramafic rocks and is not, in itself, an indicator of contamination or environmental risk.

Monitoring will continue to include all relevant parameters established by the environmental and hydrogeological studies and required by the competent authorities.

From the Valea Dobra quarry near Rășinari to the transfer point, the rock is planned to be transported by an electric cable transport system approximately 2.4 km long, using lidded container-type skips. The system is designed for a capacity of approximately 150 tonnes per hour.

From the transfer point to the Săliște plant, the current solution provides for covered electric dump trucks operating on a route designed to limit transit through residential areas.

This solution was chosen specifically to reduce heavy traffic, dust and noise near communities.

Activities that may generate dust are being considered from the design stage.

At Valea Dobra, cable transport in covered containers reduces the handling and road transport of rock near the community.

At the Săliște plant, material will be stored and handled in controlled areas. After grinding, it will be moved within the plant through enclosed systems, and potential dust-generation points will be equipped with capture and filtration systems.

The effectiveness of these measures and the impact on air quality will be assessed and addressed through the conditions established during authorisation.

Industrial equipment will use enclosures, acoustic insulation and noise-control measures. Noise levels at sensitive receptors will be assessed through the acoustic modelling conducted as part of the authorisation procedures and will be within the legal limits. The use of modern equipment allows operations to proceed at extremely low noise levels, well below the prescribed limits.

It is important to distinguish between the sound level measured immediately next to a piece of equipment and the level that may reach a residential area. Noise decreases with distance and is influenced by buildings, terrain and screening measures.

The project includes systems for collecting, controlling, treating and, where possible, reusing water.

At the Săliște plant, impermeable surfaces, retention systems, controlled water collection and relevant monitoring are planned to protect soil and groundwater.

The final configuration, monitoring parameters and operating conditions will result from the design process and the environmental authorisation procedures.

Industrial processing is planned only at the Săliște plant, not at the Valea Dobra quarry.

The current technological concept uses controlled industrial circuits and is designed to recover and reuse process substances. These substances will be handled and stored in dedicated facilities.

Quantities, storage and transport arrangements, accident scenarios and emergency response measures are among the matters that must be defined and assessed for the specific facility before authorisation.

The MPI Magnesium Romania Project is designed for staged development in three distinct industrial phases:

PHASE 1 – MgO and Mg(OH)₂/MDH. Development of the Valea Dobra mining operation, the associated logistics infrastructure and the Săliște processing plant for the production of high-purity magnesium oxide (MgO) and high-purity magnesium hydroxide [Mg(OH)₂/MDH]. This is the project’s first industrial phase and the investment currently under development.

PHASE 2 – Fused Magnesia. Expansion of the industrial capacity to produce fused magnesia, a product with high added value used mainly in the refractory materials industry and in other industrial applications requiring resistance to very high temperatures.

PHASE 3 – Possible production of magnesium metal. A subsequent development phase that may include the production of magnesium metal. Several technological alternatives for this phase are currently being examined. The final technology has not yet been selected and will have to undergo the applicable assessment and authorisation procedures.

The production of magnesium metal is not part of Phase 1 of the project and should not be confused with the technology of the plant planned in the first phase for the production of MgO and Mg(OH)₂.

The technology for the possible production of magnesium metal in Phase 3 has not yet been selected.

MPI is currently examining several technological alternatives, which will be assessed from technical, economic and environmental perspectives before a decision is made.

The Pidgeon process is not the technology used to produce MgO and Mg(OH)₂ in Phase 1 and is not part of the industrial facility planned for that phase.

If Phase 3 is developed, the selected technology for producing magnesium metal will be subject to the assessment and authorisation procedures applicable to that investment.

The site being considered for the Săliște plant is outside the built-up area and was selected at a distance from residential areas.

According to the current analysis, the approximate distances are 2.3 km from Aciliu, 2.5 km from the centre of Săliște, 2.9 km from Amnaș, 3.3 km from Galeș and 3.8 km from Vale.

These distances will be taken into account in the environmental assessments, including the air-quality and noise modelling.

Mărginimea Sibiului has an economic and cultural identity closely connected with pastoralism, agriculture, local products and tourism.

MPI considers that protecting these activities and maintaining confidence in the products and identity of Mărginimea are matters that will be treated seriously throughout the development of the project.

Closure, stabilisation and restoration of the site form part of the project planning.

The current concept considers measures such as stabilising the ground and slopes, drainage, restoring vegetation, rehabilitating affected areas and post-closure monitoring.

Possible subsequent uses of certain areas for recreational, educational or tourism activities are also being considered. Options under consideration include MTB/enduro trails and viewpoints.

The final solutions will be established through the applicable documentation, depending on the final configuration of the mining operation and in dialogue with the authorities and the community.

The activities will be subject to the monitoring and reporting required by mining and environmental law and to the conditions established in the regulatory decisions.

In addition to its legal obligations, MPI intends to maintain an ongoing dialogue with the authorities and communities of Rășinari and Săliște and to publish relevant information on the project’s progress.

This page forms part of that effort and will be updated as the project progresses.

Yes.

MPI has presented the project and held discussions with representatives of the local authorities and communities, including in Rășinari and Săliște.

These information and dialogue meetings do not replace the formal public consultations required by environmental law.

The presentations used at these meetings are published below on this page.

The project could generate direct and indirect jobs, revenue for local budgets, economic activity for local suppliers and service providers, and investment in the infrastructure required by the project.

MPI aims to give priority to the local workforce where the necessary skills are available and to develop vocational training initiatives together with the communities.

For Rășinari, the project will also generate revenue from the mining royalty, in accordance with the statutory distribution mechanism.

At Săliște, the economic benefits are associated with the location and operation of the industrial site, employment, suppliers and the economic activity generated in the area.

MPI works with specialists and organisations in Romania and other European countries in the fields of geology, mining, processing and engineering.

The resource estimate also involved SRK Consulting, while the technological development includes European collaborations and research and validation activities.

MPI is also involved in the European project SUSMg2 – Sustainable Magnesium Autonomy for Europe, which brings together industrial and research partners and aims to develop and validate technologies for magnesium processing in Europe.

The European Union classifies magnesium as a critical raw material.

The Critical Raw Materials Act aims to increase European extraction, processing and recycling capacity and reduce the EU’s dependence on external suppliers.

The MPI project, based on a local resource and processing in Romania, is consistent with the general objectives of this European framework.

The inclusion of magnesium in the European critical raw materials framework does not automatically mean that the MPI project has Strategic Project status under the Critical Raw Materials Act. This is a distinct status granted through a specific European procedure.
No such status replaces or removes the project’s environmental assessment and authorisation obligations. The applicable procedures must be completed.

Under the current schedule, the main authorisations are expected to be obtained during 2027, and the actual start of mining at Valea Dobra is estimated for 2028.

The schedule is indicative and depends on the outcome and duration of the assessment, authorisation and design procedures, and preparations for the investment.

The project will be developed in stages.

Under the full-development scenario, cumulative investment is estimated at more than EUR 400 million.

The financing structure under consideration is mixed and may include equity, bank financing and national and European public funding instruments.

MPI already benefits from European funding for certain research, development and technology-validation activities.

The actual duration depends on the volume of the exploitable resource, the rate of extraction, the staged development of the project and the conditions established through the applicable documentation and authorisations.

The presentations prepared for the community used a 20-year development scenario to illustrate the gradual evolution of the quarry area and the planning of site restoration.

This scenario should not be confused with the total potential geological life of the resource.

MPI will publish updated information about the project and the presentations used at the main public meetings on this page.

Public presentations

• Meeting with representatives of the community and Rășinari Local Council
  Valea Dobra Project – project design, transport, community benefits, development of the mining operation and restoration of the area
• Press conference – Sibiu | 16 April 2026: Presentation of the integrated MPI Magnesium Project – Valea Dobra-Săliște
• Meeting with Săliște Local Council | 21 September 2026: Săliște processing plant – location, technology, environment, transport and community benefits

Note: The presentations were prepared for meetings held in Romania and are published in the form in which they were presented to participants, in Romanian. The Questions and Answers section is available in full in both Romanian and English.