Lindian Resources secures 100% ownership of Lelouma Bauxite Project

Lindian Resources has successfully executed a binding Share Purchase Agreement (SPA) to acquire the remaining 25% interest in Bauxite Holding from minority shareholders. This acquisition gives Lindian full control over the Lelouma Bauxite Project located in Guinea.

The Lelouma Project, into which over US$10 million has previously been invested, benefits from proximity to key infrastructure such as a railway network and the Kamsar port. The project hosts a JORC-compliant mineral resource totaling approximately 900 million tonnes, with grades of 45% aluminium oxide and 2.1% silicon dioxide. Designed for the production of direct shipping ore (DSO), Lelouma can avoid costly processing steps before export.

SPA terms

Under the terms of the SPA; Lindian will issue 20 million shares to the sellers, a 1% royalty on future production will be granted, the issued shares will be held in voluntary escrow for a period of six months and completion of the transaction is anticipated within 14 days of the agreement.

By achieving full ownership, Lindian removes risks tied to ownership dilution and financial obligations linked to earlier acquisition terms. The company is also preparing to establish a new management team within Guinea to advance regulatory approvals, project development, and collaboration with infrastructure and port partners.

Executive Chairman Robert Martin expressed optimism about the acquisition, noting that the company can now progress the Lelouma Project without previous limitations or financial milestones. He highlighted the growing global demand for aluminium, particularly from the electric vehicle industry, with the market expected to reach around US$18.5 billion by 2030. Martin believes the Lelouma Project, with its substantial high-grade bauxite resources, is well-positioned to play a significant role in this market.

At the same time, Lindian remains committed to its Kangankunde Rare Earths Project in Malawi, where early development work has recently begun, with a target to commence production by 2026. Discussions are also underway with a specialized bauxite development team to advance Lelouma independently, allowing Lindian to maintain focus on Kangankunde.