Mkango Resources Ltd (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/).
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:
