NewsPress Releases

Mkango Resources, CoTec collaborate in downstream rare earth technologies

Mkango Resources Ltd. and CoTec Holdings Corp. have signed a non-binding term sheet in relation to a potential £2 million convertible note investment in Mkango bearing 5% interest, a potential £1.5 million equity investment in Maginito, and a co-operation agreement regarding future investments in rare earth processing technology opportunities in the United States.

William Dawes, Chief Executive of Mkango stated: “We are very pleased to take this step towards collaborating with CoTec in the rare earths sector. The proposed investments would increase Mkango’s financial flexibility, creating a strong platform to grow Maginito and for future expansion into the U.S. market, whilst the integrated development of Songwe and the Pulawy separation plant continues in parallel.”

Julian Treger, Chief Executive Officer of CoTec stated: “Our collaboration with, and investment in, Mkango and Maginito are consistent with CoTec’s focus on investing in innovative, green and scalable technologies in the mineral extraction industry.”

Green technology

Maginito is focused on developing green technology opportunities in the rare earths supply chain, encompassing neodymium (NdFeB) magnet recycling as well as innovative rare earth alloy, magnet, and separation technologies. Maginito holds a 42% interest in U.K. rare earth (NdFeB) magnet recycler, HyProMag with an option to increase its interest to 49%. Hypromag has licensed the patented technology called HPMS (Hydrogen Processing of Magnet Scrap) developed in the Magnetic Materials Group (MMG) at the University of Birmingham.

HyProMag’s strategy is to establish short loop recycling facilities for NdFeB magnets at Tyseley Energy Park in Birmingham, U.K. (the “Tyseley Recycling Facilities”) and other locations to provide a sustainable solution for the supply of NdFeB magnets and alloy powders for a wide range of markets including, for example, automotive and electronics. In November 2021, HyProMag established an 80%-owned subsidiary in Germany, HyProMag GmbH, to rollout commercialisation of HPMS technology into Germany and Europe.

Mkango UK is establishing a pilot plant at Tyseley Energy Park (the “Mkango UK Pilot Plant”) to chemically process recycled HPMS NdFeB powder and magnet swarf (i.e. the powder produced from grinding and finishing magnets) from a range of scrap sources including electronic waste, electric motors and wind turbines, complementing the short loop magnet recycling routes being developed in parallel by HyProMag.

Mkango also has an extensive exploration portfolio in Malawi, including the Mchinji rutile exploration project, the Thambani uranium-tantalum-niobium-zircon project and Chimimbe nickel-cobalt project.

 

Leave a Reply

Your email address will not be published.

Related Articles

Back to top button