Kodal Minerals transfers license for Bougouni Lithium project
Kodal Minerals has successfully transferred the mining license for its Bougouni Lithium Project in southern Mali to a Mali-registered company, Les Mines de Lithium de Bougouni (LMLB), as part of a strategic partnership with the Malian government.
This transfer is a key milestone for Kodal, solidifying the legal framework needed for the project’s development, which remains on track for production to commence in early 2025. Under a Memorandum of Understanding (MoU) signed with Mali, the project’s ownership structure now includes a 35% combined equity stake held by the State of Mali and local private investors, while Kodal Minerals’ joint venture, Kodal Mining UK (KMUK) — owned by Kodal (49%) and Hainan Group (51%) — retains the remaining 65%.
Legal framework
The license has an initial ten-year term with the State’s commitment to renewal according to the mining code in effect at that time. Kodal also committed to a $15 million cash payment to Mali, with the final installment due by March 2025. The project’s full funding, supported by a $117.5 million investment from Hainan, ensures the construction and future operations have adequate resources.
The MoU grants Kodal exemptions on customs and duties during the construction phase and guarantees Mali will provide all required permits. Kodal CEO Bernard Aylward emphasized that this collaboration demonstrates a strong alignment between Kodal and the State, securing stability and operational certainty for the Bougouni Lithium Project.
