REG - Firering Strategic - First Quicklime Sales & Expansion Ongoing

Firering Strategic MineralsAnnouncement

02/06/2025 07:00

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RNS Number : 9042K  Firering Strategic Minerals PLC  02 June 2025

Firering Strategic Minerals plc / EPIC: FRG / Market: AIM / Sector: Mining

 2 June 2025

Firering Strategic Minerals plc

("Firering" or "the Company")

 

Quicklime Sales Commence & Expansion Plans Continue at Limeco

 

Operational execution aligns with path to revenue growth

 

Firering Strategic Minerals plc (AIM: FRG), an emerging producer of quicklime
and explorer of critical minerals, is pleased to announce that its Zambian
quicklime operation, Limeco Resources Limited ("Limeco"), has recorded its
first sales of high-purity quicklime. In parallel, upgrade work on the next
three of the site's eight kilns (Kilns 2-4) is now underway, marking the next
phase of operational ramp-up.

 

Highlights

·    First quicklime sales secured to local and regional customers.

·    Optimisation of Kiln 1 is ongoing with high-quality quicklime being
produced.

·    Work has commenced on modifying and commissioning Kiln 2, followed by
Kiln 3 and then Kiln 4.

·    Sales from aggregates and other ancillary products and services
continue to provide a stable revenue base as kiln commissioning progresses.

·    Advancing discussions with a leading Zambian bank to secure funding
to increase interest in Limeco to 45% and repay Bridge Loan.

 

Yuval Cohen, Chief Executive Officer of Firering, commented: "We are delighted
to report Limeco's first sales of quicklime have been secured, which is a
major milestone in our journey towards establishing the operation as a leading
regional supplier of this essential industrial product. While its optimisation
continues to progress carefully and steadily, Kiln 1 is currently producing
commercial quality quicklime at around 50 tonnes per day and serving as a
robust operational model as we move into the commissioning of Kilns 2-4.

 

"The ramp-up at Limeco is well timed, aligning with the Zambian government's
drive to increase copper output, evidenced by a 30% year-on-year rise in Q1
2025. By producing high-purity quicklime locally, Limeco reduces reliance on
imports, cuts transport costs and emissions, and delivers a more
cost-effective, reliable, and sustainable solution that supports Zambia's
industrial growth and decarbonisation goals."

 

Details

Limeco operates a large-scale limestone project approximately 22km west of
Lusaka, Zambia. The site is strategically located to service the rapidly
growing copper production industry in the Central African Copperbelt, as well
as broader regional markets.

 

The optimisation of the first of eight kilns is ongoing with current daily
quicklime production standing at around 50 tonnes; steady-state output is
targeted at 80 to 100 tonnes per day.  The kiln is producing quicklime of
excellent quality, with purity levels of 85-90%, well above the 80% industry
benchmark for metallurgical applications. This high product quality has
generated strong early interest, resulting in sales secured with local and
regional customers. Due to commercial sensitivities, spot pricing and customer
information will be disclosed only as required under regulatory obligations.

 

While the optimisation of Kiln 1 has taken slightly longer than initially
anticipated due to intermittent blockages, a common occurrence in global kiln
operations, Limeco has now gained better insights in managing the various
operating parameters, feed, gas and air flows, discharge regime, which will
assist in streamlining operations. This process will be replicated in a
modular fashion across the remaining seven kilns. Limeco has commenced
modifications to Kiln 2, followed by Kilns 3 and 4.

 

In parallel, Limeco continues to generate cash flow from aggregate sales and
other ancillary revenue streams, providing a strong operational foundation as
the kiln commissioning progresses.

 

Stabilising production at Kiln 1 and generating revenue were the final key
milestones required to progress discussions with a leading Zambian bank in
relation to the previously agreed non-binding term sheet (see RNS dated 15
November 2024). With these milestones now achieved, discussions are advancing
with the objective of securing funding that would enable Firering to increase
its interest in Limeco to 45% and repay the outstanding Bridge Loan.

 

*** ENDS ***

 

For further information visit www.fireringplc.com or contact:

 Firering Strategic Minerals                          E: info@firering-holdings.com

 Yuval Cohen
 SPARK Advisory Partners Limited (Nominated Adviser)  T: +44 20 3368 3550

 Neil Baldwin / James Keeshan
 Optiva Securities Limited (Joint Broker)             T: +44 20 3137 1903

 Christian Dennis / Daniel Ingram
 Shard Capital Partners LLP (Joint Broker)            T: +44 20 7186 9950

 Damon Heath / Erik Woolgar
 St Brides Partners Limited (Financial PR)            E: firering@stbridespartners.co.uk

 Isabel de Salis / Susie Geliher / Seb Weller

 

Notes

Firering Strategic Minerals plc (AIM: FRG) is an emerging producer of
quicklime and explorer of critical minerals. The Company is currently focused
on ramping up production at the Limeco quicklime project in Zambia, where it
holds a 20.5% interest with an option to increase this to 45%. Targeting daily
output of 600-800 tonnes, Limeco is well positioned to supply copper producers
operating within the Central African Copperbelt and other regional industries
that currently rely on imported quicklime from South Africa. Additionally,
Firering is progressing the Atex Lithium-Tantalum Project in northern Côte
d'Ivoire, a highly prospective asset with significant lithium and
tantalum-niobium potential, supporting the global shift to clean energy
technologies.

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