Latest news with #KanyikaProject
Yahoo
07-04-2025
- Business
- Yahoo
Neo Performance, Globe Metals & Mining sign MOU for niobium pentoxide supply
Canada-based Neo Performance Materials has signed a non-binding memorandum of understanding (MOU) with Globe Metals & Mining for the offtake of up to 150 tonnes (t) per year of niobium pentoxide from phase one of the Kanyika Niobium Project in Malawi. This MOU lays the groundwork for a binding commercial offtake agreement, ensuring a steady supply of niobium pentoxide for Neo's rare metals production facility, NPM Silmet, in Sillamäe, Estonia. The project is scheduled to commence production in the first quarter of 2027 (Q1 2027). African-focused resources company Globe Metals & Mining CEO Paul Smith said: 'The Neo MOU represents a watershed moment for the Kanyika Project. It means Globe has now signed multiple MOUs and a letter of intent that, as a package, cover offtake for 100% of Kanyika's Phase 1 production of both niobium pentoxide and tantalum pentoxide. 'We look forward to a long and lasting relationship with Neo and are very pleased to be associated with such a highly regarded group, which enjoys a pre-eminent position in the global market for strategic and critical metals.' Once the initial purchase quantities are met, the parties expect the offtake agreement to be renewed on an annual basis. In addition to niobium pentoxide, Neo has also secured a limited right of first refusal to acquire other critical metals produced at the Kanyika Project, including tantalum and zircon concentrates. Neo Performance Materials CEO Rahim Suleman said: 'We are laser-focused on diversifying and de-risking our supply chain, including our long-term access to critical metals, and expanding into increasingly more downstream value-added applications across all our business lines, including niobium and tantalum. The feedstock agreement with Globe provides an opportunity to engage in multi-year planning to optimise Neo's supply chain.' Last month, Globe Metals & Mining entered a non-binding MOU with Myst Trading for offtake of phase one output from the Kanyika Niobium Project in Malawi. "Neo Performance, Globe Metals & Mining sign MOU for niobium pentoxide supply" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
10-03-2025
- Business
- Yahoo
Globe Metals signs offtake agreement with Myst Trading for Malawi's Kanyika Project
Globe Metals & Mining (Globe) has signed a non-binding memorandum of understanding (MOU) with Myst Trading (Myst) for the offtake of phase one production from the Kanyika Niobium Project in Malawi. The MOU includes the purchase of 14 tonnes (t) of refined high-purity tantalum pentoxide and 76t of refined high-purity niobium pentoxide. It outlines the framework for both parties in negotiating a binding offtake agreement for the Kanyika Niobium Project phase one production. The agreement will provide Myst Trading with the right to purchase 100% of the estimated annual production of 14t of refined high-purity tantalum pentoxide. Additionally, Myst will hold a right of first refusal to purchase 25% of the estimated annual production of 76 million tonnes of refined high-purity niobium pentoxide. This agreement marks the second offtake agreement for Globe's Kanyika Niobium Project, which is located approximately 55km north-east of Kasangu in central Malawi. The project lies within large-scale mining licence LML0216/21, which grants the right to mine niobium, tantalum, zirconium and other minor metals. Globe has now secured non-binding offtake agreements for 57% of niobium pentoxide and 100% of tantalum pentoxide production from the first phase of the project. The agreement's initial three-year period will begin with the start of phase one production. The price for the products will be connected to current Asian metals market prices. Globe CEO Paul Smith said: 'The MOU with Myst confirms our significant progress in finalising offtake agreements for all phase one production at the Kanyika Project. Such agreements are a critical component of the project's funding and ultimate development. This is the second non-binding agreement signed by Globe, following our agreement with Affilips N.V on niobium offtake (announced in September 2024). 'The Myst MOU gives Globe access to the lucrative Asian markets for niobium and tantalum oxides. We look forward to a long relationship with Myst. The key non-binding agreements will further support the finalisation of our updated bankable feasibility study and associated funding commitments under way. Globe looks forward to announcing very significant Kanyika Project development milestones in the coming months, which will pave the way for the development of this exciting project.' Globe and Myst aim to execute a binding offtake agreement by the second quarter of 2025, with a full offtake agreement expected by 1 September 2025. In June last year, Globe Metals secured an at-the-market equity facility with Long State Investments, a New York-based company, which will offer up to $20m (A$31.62m) over a two-year period to advance the Kanyika Niobium Project. "Globe Metals signs offtake agreement with Myst Trading for Malawi's Kanyika Project" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
