Land Lease Agreement Signed
To Construct a Rare Earths Separation Plant In Poland with Grupa
Azoty Pulawy
London / Vancouver: February 17,
2025 - Mkango Resources Ltd (AIM/TSX-V: MKA) ("Mkango"), is pleased
to announce that Mkango's wholly owned subsidiary, Mkango Polska
Sp. Z.o.o, has signed a revised exclusive land lease agreement
("the Agreement") with Grupa Azoty Pulawy for the construction of a
strategic rare earths separation plant in Poland. The Agreement
constitutes a continuation of cooperation that the parties first
started in 2021.
The Agreement is for a large 8
hectare site adjacent to Grupa Azoty Pulawy's fertilizer and
chemicals complex at Pulawy in Poland (the "Site"). The site
provides excellent infrastructure, access to reagents and utilities
and covers a substantial area which enables future expansion
potential.
Located within a Polish Special
Economic Zone, the Site also provides excellent access to European
and international markets. Production from the plant will
strengthen Europe's security of supply for rare earths, used in
plug-in electric vehicles, hybrid electric vehicles, wind turbines
and other green technology and strategic applications. It also
aligns with European initiatives to create more robust, diversified
supply chains through the latest European Union Critical Raw
Materials Regulations.
Alexander Lemon, President of Mkango stated:
"We are delighted to have signed a revised
exclusive land lease agreement adjacent to the Grupa Azoty Pulawy
which will enable future separation plant expansion. We very much
value working closely with Grupa Azoty and look forward to
completing a definitive feasibility study on the rare earth
separation plant and starting construction."
Hubert Kamola, Vice-President of the Management Board of Grupa
Azoty S.A stated: "The project is very innovative and provides
an opportunity to create new jobs and transfer new technologies and
creates the potential to develop a critical materials supply chain
for Europe and North America. Developing partnerships is a key
driver for our Azoty Business Program. There are many synergies
that the site provides such as land, utilities, reagents and
chemical engineering expertise, which is why we are supporting this
exciting business development"
About Mkango Resources Ltd
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 Holdings Corp. ("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 the HyProMag recycling business and a 90 per cent
direct and indirect fully-diluted interest in HyProMag GmbH
(assuming conversion of Maginito's convertible loan to 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, focused on long loop rare earth magnet
recycling in the UK via a chemical route. Maginito and CoTec are
also rolling out HyProMag recycling technology into the United
States via the 50/50 owned HyProMag USA LLC joint venture. HyProMag
is also evaluating other jurisdictions, and recently launched a
collaboration with Envipro Technology Company Limited on rare earth
magnet recycling in Japan.
Mkango owns the advanced stage
Songwe Hill rare earths project, an extensive rare earths, uranium,
tantalum, niobium, rutile, nickel and cobalt exploration portfolio
in Malawi, and the Pulawy rare earths separation project in
Poland.
Songwe Hill is one of the few rare
earths projects to have progressed to the Definitive Feasibility
Stage, with an expected life of mine of 18 years, producing a 55%
mixed rare earth carbonate, yielding 1,953 tons per annum of NdPr
and 56 tons per annum of DyTb.
Mkango's proposed Pulawy separation
facility site, located in a Special Economic Zone in Poland, stands
adjacent to the EU's second largest manufacturer of nitrogen
fertilisers, and features established infrastructure, access to
reagents and utilities on site.
Mkango has signed a letter of Intent
with Crown PropTech Acquisitions to list Mkango's Songwe Hill
and Pulawy Rare Earths Projects on NASDAQ via a SPAC
Merger.
For more information, please
visit www.mkango.ca
About Grupa Azoty Pulawy
Grupa Azoty Pulawy a subsidiary of
Grupa Azoty Capital Group is the leading supplier of nitrogen
fertilisers for Polish agriculture and is the second largest
producer of nitrogen multi-component fertilizers in European Union
and a major producer of melamine, polyamide, OXO alcohols,
plasticizers and titanium white.
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, the Company,
CPTK, their businesses and the Transaction.
Generally, forward looking
statements can be identified by the use of words such as "plans",
"expects" or "is expected", "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.
Forward looking statements in this
news release include, but are not limited to, statements with
respect to the global market for rare earth metals, the ability to
develop a separation plant at Pulway, the merger with CPTK and the
listing on NASDAQ,. 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,
market effects on global demand for the metals and associated
downstream products for which Mkango or the Company is exploring,
researching and developing, delays in obtaining financing or
governmental or stock exchange approvals and other risks that are
detailed in the periodic reports filed by CPTK with the U.S.
Securities and Exchange Commission. The forward-looking statements
contained in this news release are made as of the date of this news
release. Except as required by law, each of Mkango and Grupa
Azoty Pulawy disclaim any intention and assumes 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, each of Mkango and Grupa
Azoty Pulawy 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, Lancaster
Exploration Limited and Mkango Polska Sp. Z.o.o
Alexander Lemon
William Dawes
President
Chief Executive
Officer
alex@mkango.ca
will@mkango.ca
Canada: +1 403 444
5979
www.mkango.ca
@MkangoResources
SP
Angel Corporate Finance LLP
Nominated Adviser and Joint
Broker
Jeff Keating, Jen Clarke, Devik
Mehta
UK: +44 20 3470 0470
Alternative Resource Capital
Joint Broker
Alex Wood
UK: +44 20 7186 9004
Cohen Capital
Strategic and Financial
Adviser
Brandon Sun
USA: +1 929 432 1254
Welsbach Corporate Solutions LLC-FZ
Supply Chain Advisor
Daniel Mamadou
SG: +65 6879 7107
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 shall not
constitute an offer to sell, or a solicitation of an offer to buy,
or a recommendation to purchase, any securities in any
jurisdiction, or the solicitation of any vote, consent or approval
in any jurisdiction in connection with or with respect to the
proposed Transaction, nor shall there be any sale, issuance or
transfer of any securities in any jurisdiction where, or to any
person to whom, such offer, solicitation or sale may be unlawful
under the laws of such jurisdiction. This press release does not
constitute either advice or a recommendation regarding any
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of a prospectus meeting the requirements of the Securities Act of
1933, as amended, or an exemption therefrom.
