Kodal Minerals secures offtake deal for Bougouni Lithium project
Kodal Minerals has announced a four-year offtake agreement between Les Mines de Lithium de Bougouni (LMLB), a Mali-registered mining company in which it holds a 49% stake via Kodal Mining UK Ltd and China’s Hainan Mining Co. Ltd.
Offtake agreement
Under the deal, Hainan will purchase 100% of the spodumene concentrate produced by the Stage 1 dense media separation (DMS) plant at the Bougouni Lithium Project. The agreement includes annual reviews of both sale volumes and the floor price, which is linked to the Shanghai Metals Market (SMM) published lithium prices with standard grade-based adjustments. Payment terms stipulate that LMLB will receive 95% of shipment value upon loading at the export port, supporting operational cash flow.
The DMS plant at Bougouni has already produced over 40,000 tonnes of spodumene concentrate and is progressing toward nameplate capacity. Phase 1 of the project targets annual production of 100,000–120,000 tonnes of lithium concentrate, with grades above 5.5% Li₂O.
Kodal continues to work with the Mali Government to secure an export licence, with the first shipment expected to depart via the Port of Abidjan. CEO Bernard Aylward emphasized the strategic importance of the agreement, highlighting Hainan’s commitment and the project’s progress toward commercial production.
