MKANGO RESOURCES
LTD.
550 Burrard
Street
Suite
2900
Vancouver
BC V6C
0A3
Canada
MKANGO RELEASES Q3 2024 RESULTS
London / Vancouver:
29 November 2024 - Mkango Resources Ltd (AIM / TSX-V:MKA)
(the "Company" or "Mkango"), is pleased to announce that it has
released the Financial Statements and Management's Discussion and
Analysis for the 3-month period ending 30 September 2024. The
reports are available under the Company's profile on SEDARplus
(www.sedarplus.com) and on the Company's
website (https://mkango.ca/investors/financials/).
To view the Financial Statements, please click
here:
http://www.rns-pdf.londonstockexchange.com/rns/1681O_1-2024-11-29.pdf
To view the Management Discussion and Analysis,
please click here:
http://www.rns-pdf.londonstockexchange.com/rns/1681O_2-2024-11-29.pdf
HIGHLIGHTS AND
RECENT MILESTONES
· Cash position of US$2 million as at 30
September 2024 following the £1.25 million capital raising on 5
September 2024 and subsequent receipts of grant funding
· Pursuant to the September capital raising,
there are 25 million in-the-money warrants outstanding at 7 pence
exercise price per warrant.
· Rare earth magnet recycling and manufacturing
projects advancing to commercial production in UK and Germany
(2025) and USA (2027)
·
Subsequent to the
Mining Development Agreement being signed, strategic review
completed for the advanced stage Songwe Hill Rare Earths Project in
Malawi and Pulawy Separation Project in Poland - Cohen &
Company appointed as USA Financial Advisor, encompassing
opportunities for USA listing and M&A, strategic and other
financial advice, and Welsbach Holdings as Supply Chain
Advisor.
HyProMag
USA
· Positive feasibility study results for rare
earth magnet recycling and manufacturing project in Texas, USA
announced in November 2024
· US$503 million Net Present Value (NPV) and 31%
Real Internal Rate of Return[i] (IRR) at
forecast prices
· US$262 million NPV and 23% Real IRR at current
prices
· First revenue targeted in Q1 2027 with a
Notice to Proceed expected in mid-2025 following completion of
detailed engineering, which will commence shortly, funded by JV
partner CoTec
· A 3D fly through of the project feasibility
design can be accessed via the following link: HyProMag USA
Facility Flythrough, with a map of planned locations of HyProMag
USA's operations and functions below
HyProMag Ltd
(UK)
· Commissioning of scaled-up rare earth magnet
recycling and manufacturing plant at Tyseley Energy Park,
Birmingham progressing in parallel with piloting at University of
Birmingham
·
Magnet presses commissioned and
powder processing plant constructed at Tyseley, with preparation
for infrastructure development underway
· Hydrogen Processing of Magnet Scrap (HPMS)
vessel targeted for factory acceptance test and available for
delivery by end of February 2025
· Completion of infrastructure developments and
first production from Tyseley targeted by the end of April 2025,
with ongoing pilot production enabling delivery of products to
customers in advance of this
· A
video from the Birmingham Centre for Strategic Elements and
Critical Materials featuring the patented HPMS technology,
developed by Birmingham University Magnetic Materials Group and
exclusively licenced to HyProMag, can be accessed via the following
link: https://f.io/5D2MmYzd,
with powder processing plant (constructed) and HPMS vessel (under
construction) shown below.
HyProMag GmbH
(Germany)
·
Development of the scaled-up rare earth magnet
recycling and manufacturing plant in Germany is progressing on
track for 2025 production
· A site has been selected near Pforzheim,
Germany and lease signed, with planning for the infrastructure
development progressing well
· Equipment ordered to date includes HPMS
vessel, magnet presses, jet mill, sintering furnaces and other
items
· A 3D fly through of the project feasibility
design can be accessed via the following link: https://youtu.be/Ks83mVP_aG4,
with the project site and schematic layout illustrated
below:
About Mkango Resources Ltd.
Mkango is listed on the AIM and the TSX-V. Mkango's
corporate strategy is to become a market leader in the production
of recycled rare earth magnets, alloys and oxides, through its
interest in Maginito Limited ("Maginito"), which is owned 79.4 per
cent by Mkango and 20.6 per cent by CoTec, and to develop new
sustainable sources of neodymium, praseodymium, dysprosium and
terbium to supply accelerating demand from electric vehicles, wind
turbines and other clean energy technologies.
Maginito holds a 100 per cent interest in HyProMag
and a 90 per cent direct and indirect interest (assuming conversion
of Maginito's convertible loan) in HyProMag GmbH, focused on short
loop rare earth magnet recycling in the UK and Germany,
respectively, and a 100 per cent interest in Mkango Rare Earths UK
Ltd ("Mkango UK"), focused on long loop rare earth magnet recycling
in the UK via a chemical route.
Maginito and CoTec are also rolling out HyProMag's
recycling technology into the United States via the 50/50 owned
HyProMag USA LLC joint venture company. HyProMag is also evaluating
other jurisdictions, and recently launched a collaboration with
Envipro on rare earth magnet recycling in Japan.
Mkango also owns the advanced stage Songwe Hill rare
earths project and an extensive rare earths, uranium, tantalum,
niobium, rutile, nickel and cobalt exploration portfolio in Malawi,
and the Pulawy rare earths separation project in Poland.
For more information, please visit www.mkango.ca
Market Abuse Regulation (MAR) Disclosure
The information contained within
this announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 ('MAR') which has been incorporated into UK law by the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service, this inside
information is now considered to be in the public
domain.
Cautionary Note Regarding Forward-Looking
Statements
This news release contains forward-looking statements
(within the meaning of that term under applicable securities laws)
with respect to Mkango. Generally, forward looking statements can
be identified by the use of words such as "targeted", "plans",
"expects" or "is expected to", "scheduled", "estimates" "intends",
"anticipates", "believes", or variations of such words and phrases,
or statements that certain actions, events or results "can", "may",
"could", "would", "should", "might" or "will", occur or be
achieved, or the negative connotations thereof. Readers are
cautioned not to place undue reliance on forward-looking
statements, as there can be no assurance that the plans, intentions
or expectations upon which they are based will occur. By their
nature, forward-looking statements involve numerous assumptions,
known and unknown risks and uncertainties, both general and
specific, that contribute to the possibility that the predictions,
forecasts, projections and other forward-looking statements will
not occur, which may cause actual performance and results in future
periods to differ materially from any estimates or projections of
future performance or results expressed or implied by such
forward-looking statements. Such factors and risks include, without
limiting the foregoing, receipt of TSX-V approval for the
Subscription, the availability of (or delays in obtaining)
financing to develop Songwe Hill, and the various recycling plants
in the UK, Germany and the US as well as the separation plant in
Poland, governmental action and other market effects on global
demand and pricing for the metals and associated downstream
products for which Mkango is exploring, researching and developing,
geological, technical and regulatory matters relating to the
development of Songwe Hill, the ability to scale the HPMS and
chemical recycling technologies to commercial scale, competitors
having greater financial capability and effective competing
technologies in the recycling and separation business of Maginito
and Mkango, availability of scrap supplies for recycling
activities, government regulation (including the impact of
environmental and other regulations) on and the economics in
relation to recycling and the development of the various recycling
and separation plants of Mkango and Maginito and future investments
in the United States pursuant to the cooperation agreement between
Maginito and CoTec, the outcome and timing of the completion of the
feasibility studies, cost overruns, complexities in building and
operating the plants, and the positive results of feasibility
studies on the various proposed aspects of Mkango's, Maginito's and
CoTec's activities. The forward-looking statements contained in
this news release are made as of the date of this news release.
Except as required by law, the Company disclaims any intention and
assume no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by applicable law. Additionally,
the Company undertakes no obligation to comment on the expectations
of, or statements made by, third parties in respect of the matters
discussed above.
For further
information on Mkango, please contact:
Mkango Resources
Limited
William
Dawes
Alexander Lemon
Chief Executive
Officer
President
will@mkango.ca
alex@mkango.ca
Canada: +1 403 444 5979
www.mkango.ca
@MkangoResources
SP Angel
Corporate Finance LLP
Nominated Adviser and Joint Broker
Jeff Keating, Caroline Rowe
UK: +44 20 3470 0470
Alternative Resource
Capital
Joint Broker
Alex Wood, Keith Dowsing
UK: +44 20 7186 9004/5
The TSX Venture Exchange has
neither approved nor disapproved the contents of this press
release. 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 release.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy any equity or other securities of
the Company in the United States. The securities of the Company
will not be registered under the United States Securities Act of
1933, as amended (the "U.S. Securities Act") and may not be offered
or sold within the United States to, or for the account or benefit
of, U.S. persons except in certain transactions exempt from the
registration requirements of the U.S. Securities
Act.
