Highlights
Element 25 receives financial backing from NAIF for Butcherbird expansion.
Expansion targets increased manganese oxide concentrate output in Western Australia.
Feedstock to support US-based manganese sulphate facility for EV supply chains.
Element 25 Limited (ASX:E25), a materials company listed on the ASX 200, is advancing its Butcherbird Manganese Project in Western Australia with funding support from the Australian Government’s Northern Australia Infrastructure Facility (NAIF). The project aligns with the nation’s critical minerals development agenda and supports global electrification initiatives.
Government-Backed Financing to Support Expansion
The company has entered into an agreement for a senior debt facility provided by NAIF, which includes a dedicated allocation to address potential cost overruns. This funding will be directed towards expanding the production capacity of the Butcherbird operation. The targeted output is expected to meet the requirements for producing manganese oxide concentrate for use in downstream processing operations.
The financing is subject to standard legal conditions and the execution of formal contracts. In addition to the government facility, Element 25 is actively engaging with multiple financing partners to secure the remainder of the capital required to execute the project development.
Strategic Infrastructure and Project Planning
The Butcherbird site is set to become a key supplier of manganese concentrate feedstock for a high-purity manganese sulphate monohydrate (HPMSM) processing facility in Louisiana, United States. This facility will play a role in meeting the increasing demand for battery-grade materials across the electric vehicle supply chain.
In preparation for the expansion, Element 25 has been collaborating with key suppliers and service providers. This includes contracting engineering, mining, and logistics partners, and holding discussions with the Pilbara Ports Authority for logistical support. Commercial agreements are expected to be finalised in line with the overall project schedule.
Project Timeline and Operational Readiness
The development timeline targets project completion in the upcoming years, with production capacity set to serve the emerging battery materials sector. The company anticipates delivering a large volume of HPMSM annually, designed specifically for electric vehicle and energy storage markets.
All necessary statutory approvals have already been secured, including works approval of the mining proposal and mine closure plan. The company has also confirmed that access agreements and regulatory clearances established during the project’s initial pilot phase remain valid, ensuring a clear path to development execution.
Supply Chain Integration and Critical Minerals Focus
Element 25’s strategy aligns with the Australian Government’s focus on critical minerals and value-added processing. The Butcherbird expansion not only strengthens Australia’s role in global supply chains but also supports downstream processing initiatives in North America. The upcoming facility in Louisiana is expected to be a first-of-its-kind operation, designed to supply HPMSM to US electric vehicle manufacturers.