Globe Metals signs offtake agreement with Myst Trading for Malawi’s Kanyika Project

Globe Metals & Mining (Globe) has signed a non-binding memorandum of knowing (MOU) with Myst Trading (Myst) for the offtake of signifier 1 accumulation from the Kanyika Niobium Project successful Malawi.

The MOU includes the acquisition of 14 tonnes (t) of refined high-purity tantalum pentoxide and 76t of refined high-purity niobium pentoxide.

It outlines the model for some parties successful negotiating a binding offtake statement for the Kanyika Niobium Project signifier 1 production.

The statement volition supply Myst Trading with the close to acquisition 100% of the estimated yearly accumulation of 14t of refined high-purity tantalum pentoxide.

Additionally, Myst volition clasp a close of archetypal refusal to acquisition 25% of the estimated yearly accumulation of 76 cardinal tonnes of refined high-purity niobium pentoxide.

This statement marks the 2nd offtake statement for Globe’s Kanyika Niobium Project, which is located astir 55km north-east of Kasangu successful cardinal Malawi.

The task lies wrong large-scale mining licence LML0216/21, which grants the close to excavation niobium, tantalum, zirconium and different insignificant metals.

Globe has present secured non-binding offtake agreements for 57% of niobium pentoxide and 100% of tantalum pentoxide accumulation from the archetypal signifier of the project.

The agreement's archetypal three-year play volition statesman with the commencement of signifier 1 production.

The terms for the products volition beryllium connected to existent Asian metals marketplace prices.

Globe CEO Paul Smith said: “The MOU with Myst confirms our important advancement successful finalising offtake agreements for each signifier 1 accumulation astatine the Kanyika Project. Such agreements are a captious constituent of the project’s backing and eventual development. This is the 2nd non-binding statement signed by Globe, pursuing our statement with Affilips N.V connected niobium offtake (announced successful September 2024).

“The Myst MOU gives Globe entree to the lucrative Asian markets for niobium and tantalum oxides. We look guardant to a agelong narration with Myst. The cardinal non-binding agreements volition further enactment the finalisation of our updated bankable feasibility survey and associated backing commitments nether way. Globe looks guardant to announcing precise important Kanyika Project improvement milestones successful the coming months, which volition pave the mode for the improvement of this breathtaking project.”

Globe and Myst purpose to execute a binding offtake statement by the 2nd 4th of 2025, with a afloat offtake statement expected by 1 September 2025.

In June past year, Globe Metals secured an at-the-market equity installation with Long State Investments, a New York-based company, which volition connection up to $20m (A$31.62m) implicit a two-year play to beforehand the Kanyika Niobium Project.