Globe Metals, Myst Trading sign offtake agreement for Kanyika Project
Globe Metals & Mining (Globe) has entered into a non-binding memorandum of understanding (MOU) with Myst Trading (Myst) for the sale of phase one production from the Kanyika Niobium Project in Malawi.
Under the MOU, Myst will buy 14 tonnes of refined high-purity tantalum pentoxide each year and will have a right of first refusal to purchase 25% of the expected 76 tonnes of refined high-purity niobium pentoxide produced annually.
This agreement will cover an initial period of three years from the start of phase one production, with pricing based on Asian metals market rates. The MOU marks Globe’s second offtake deal for the project, following a similar agreement with Affilips N.V. in September 2024. Globe has now secured commitments for 57% of niobium pentoxide and 100% of tantalum pentoxide production from the first phase.
Kanyika Niobium Project
The Kanyika Niobium Project is located about 55 km northeast of Kasangu in central Malawi and operates under large-scale mining licence LML0216/21, which allows for the extraction of niobium, tantalum, zirconium, and other minor metals.
Globe and Myst aim to finalize a binding offtake agreement by the second quarter of 2025, with a full contract expected by September 1, 2025. In June 2024, Globe secured a $20 million at-the-market equity facility from Long State Investments to support the development of the Kanyika project.
“The MOU with Myst confirms our significant progress in finalising offtake agreements for all phase one production at the Kanyika Project. Such agreements are a critical component of the project’s funding and ultimate development. This is the second non-binding agreement signed by Globe, following our agreement with Affilips N.V on niobium offtake,” said Globe CEO Paul Smith.
