AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
- Mkango Resources reported a strong cash position of US$2 million as of September 30, 2024, bolstered by a successful £1.25 million capital raise.
- The company is advancing rare earth magnet recycling and manufacturing projects with commercial production planned for 2025 in the UK and Germany, and 2027 in the USA.
- A strategic review has been completed for the Songwe Hill Rare Earths Project in Malawi, and Mkango has appointed key advisors to support USA listing and M&A opportunities.
Mkango Resources Ltd. (LSE:MKA), a leader in rare earth and magnet recycling projects, has released its financial results for the three-month period ending September 30, 2024. The company highlighted significant progress in its operations, including advancements in rare earth magnet recycling, ongoing strategic initiatives, and a solid cash position to support its growth plans.
Strong Cash Position Bolstered by Capital Raise
As of September 30, 2024, Mkango Resources reported a cash position of US$2 million, supported by the successful capital raise of £1.25 million completed on September 5, 2024. This raise was followed by additional grant funding receipts, further strengthening the company’s financial standing. The proceeds from the capital raise are expected to support Mkango’s various projects, particularly its rare earth magnet recycling and manufacturing ventures.
In connection with the capital raise, Mkango also noted that there are 25 million outstanding in-the-money warrants at an exercise price of 7 pence per warrant, providing potential for further funding as the company continues to execute its strategic initiatives.
Advancing Rare Earth Magnet Recycling and Manufacturing Projects
Mkango’s efforts to lead the rare earth magnet recycling and manufacturing industry are progressing with notable milestones. The company is advancing its projects in the UK, Germany, and the USA, with commercial production expected to begin in 2025 for the UK and Germany, and in 2027 for the USA. These projects are seen as key components of Mkango’s long-term strategy to become a significant player in the global rare earth supply chain, catering to the growing demand for rare earth elements used in green technologies and electric vehicles.
Strategic Review and Expanding Opportunities in Rare Earths
Mkango has completed a strategic review following the signing of the Mining Development Agreement, focusing on the advanced-stage Songwe Hill Rare Earths Project in Malawi and the Pulawy Separation Project in Poland. The company has appointed Cohen & Company as its USA Financial Advisor, tasked with identifying opportunities for a potential US listing, mergers and acquisitions (M&A), and providing strategic and financial advice. Additionally, Welsbach Holdings has been brought on board as a Supply Chain Advisor, reinforcing Mkango’s position within the global rare earth supply chain.
