REG - Kazera Global PLC - WHM Strategic Production Sharing Agreement

Kazera GlobalAnnouncement

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RNS Number : 5993F  Kazera Global PLC  26 May 2026

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now considered to be in the public domain.

 

 

26 May 2026

Kazera Global plc

("Kazera" or the "Company")

 

WHM Strategic Production Sharing Agreement

 

Kazera Global plc (AIM: KZG), the AIM-quoted investment company, is pleased to
announce that its wholly owned subsidiary, Whale Head Minerals (Pty) Ltd
("WHM"),  has entered into a binding Production Sharing Agreement ("PSA")
with South African mineral processing group Rare Earth Minerals International
(Pty) Ltd ("REMI") in relation to the Walviskop Heavy Mineral Sands ("HMS ")
project in the Northern Cape, South Africa (the "Project").

The PSA, which takes effect from 1 June 2026 and has an initial term of 12
months, is expected to materially enhance operational capability, accelerate
production growth and significantly reduce the working capital burden
associated with scaling operations at Walviskop.

Highlights

 •    Binding 50/50 production sharing agreement with REMI covering mining and HMS
      production at the Walviskop HMS Project
 •    In exchange for 50 per cent. of HMS revenue generated from the Project, REMI
      is deploying significant processing plant and associated infrastructure at
      Walviskop, with an estimated replacement value in excess of £1 million, with
      no upfront capital cost to Kazera, creating a fully aligned production
      partnership
 •    REMI to make a monthly operational funding contribution of ZAR600,000 (circa
      £27,000) toward Project costs, materially reducing Kazera's near-term working
      capital requirements and supporting accelerated production growth, subject to
      periodic reconciliation arrangements
 •    Clear near-term operational milestones, with installation, commissioning and
      optimisation activities well advanced
 •    Targeted enhancement in HMS concentrate grade, with work already underway
      aimed at improving product quality toward approximately a minimum c. 40%
      TiO₂ which the Company believes will materially improve product saleability
      and realised pricing
 •    Progressive production ramp-up targeted, with the Company expecting
      approximately 10,000 tonnes of processed HMS per month by the end of Q3 2026,
      subject to commissioning, optimisation and normal operating conditions
 •    Longer-term production objective towards 20,000 tonnes per month of HMS
      concentrate output, subject to final optimisation, feedstock availability and
      operating conditions
 •    Potential for Walviskop to become rapidly cash generative, with profitability
      expected to grow as production volumes and concentrate quality improve
 •    Agreement expected to provide a strong operational platform ahead of the
      anticipated grant of the 2A Mining Right, which the Company believes could
      materially increase future mining volumes and operational scale

 

Richard Jennings, Interim CEO of Kazera, commented: "This agreement represents
a potentially pivotal moment for Kazera and, in my view, materially changes
the trajectory of our Walviskop project.

"Following an intensive period of technical work and preparation at site, we
now have a fully aligned partner bringing significant processing capability,
operational expertise and funding support to Walviskop. Importantly, REMI's
economics are directly aligned with ours and driven by production success.

"Beyond materially reducing the working capital burden associated with scaling
production, this partnership provides a clear pathway toward increasing both
production volumes and concentrate quality over the coming weeks and months.
We believe this has the potential to materially transform the economics of
Walviskop and strengthen its position within the heavy mineral sands market.

"While there remains much hard work ahead, we believe Walviskop now has a
strong platform from which to grow into a meaningful and profitable operation.
Our attention also increasingly turns toward the anticipated award of the 2A
Mining Right, which we expect to result in a further major step forward for
the business. In parallel, we are well advanced in the completion of a
Competent Persons' Report ("CPR") for the 2A area, which we believe will help
illustrate the scale and longer-term potential of the 2A opportunity. We
expect to be in a position to share the findings of the CPR in late June."

A spokesperson for REMI commented: "The REMI team is both proud and enthused
to partner with Kazera Global at the Whale Head Minerals' heavy mineral sands
project.

"REMI's operational proficiency and HMS experience will complement Whale
Head's existing site capability as we progress the shared objective of
developing these valuable early-stage assets towards meaningful resource
realisation.

"Our principals - Lewellyn Rampersad, Gershwyn Chetty, Dr Peter Fernando and
Trevor Chetty - look forward to working alongside the WHM team as we advance
the Project over the coming months. We would also like to thank Richard
Jennings and Johan Truter for the opportunity to be part of this exciting next
phase of development."

 

Strategic Partnership to Accelerate Walviskop Development

Under the terms of the PSA, REMI is deploying a substantial mineral processing
plant at Walviskop, including spiral concentration infrastructure and
associated processing equipment, whilst contributing to mining and operational
costs. The processing infrastructure being deployed by REMI has an estimated
replacement value in excess of £1 million and is expected to materially
strengthen the operational capability of the Walviskop project.

WHM and REMI will share production revenues and costs on a 50/50 basis,
creating a fully aligned operational partnership focused on increasing
production volumes, enhancing product quality and improving overall project
economics. REMI will also make a monthly operational contribution toward site
costs, materially reducing the near-term funding burden on Kazera during the
scale-up phase.

The Agreement follows recent operational progress at Walviskop, including
further technical understanding of the Company's HMS product and its
positioning within the global heavy mineral sands market.

Operational Timeline and Processing Enhancement

Installation, commissioning and optimisation activities under the PSA are
already underway and the Company anticipates an initial increase in production
volumes over the coming weeks as plant commissioning and operational
integration are completed.

Subject to normal operational factors, the Company expects production to reach
approximately 10,000 tonnes of processed HMS per month by the end of Q3 2026,
with a longer-term objective of achieving approximately 20,000 tonnes per
month of HMS concentrate output.

Alongside increased production volumes, REMI will work with WHM to optimise
processing aimed at enhancing the grade of HMS concentrate produced at
Walviskop toward a minimum 40% TiO2 grade. The Company believes that achieving
higher concentrate grades will materially improve both product saleability and
realised pricing in end markets, supporting stronger project economics.

The Company expects to provide a further operational update regarding
commissioning progress and initial production performance in due course.

ENDS

 

For further information, visit www.kazeraglobal.com
(http://www.kazeraglobal.com) or contact:

 

 Kazera Global plc                                                kazera@stbridespartners.co.uk (mailto:kazera@stbridespartners.co.uk)

 Richard Jennings, Interim Chief Executive Officer
 Strand Hanson Limited (Nominated, Financial Adviser and Broker)  Tel: +44 (0)207 409 3494

 Christopher Raggett / Ritchie Balmer
 Zeus Capital Limited (Joint Broker)                              Tel: +44 (0)203 829 5000

 Harry Ansell / Simon Johnson / Katy Mitchell
 St Brides Partners Limited (Financial PR)                        kazera@stbridespartners.co.uk (mailto:kazera@stbridespartners.co.uk)

 Isabel de Salis / Charlotte Page

 

Notes

Kazera Global plc (LON:KZG) is a diversified commodity investment company
focused on unlocking value through production growth and disciplined portfolio
management. While production builds at its Whale Head Minerals (Heavy Mineral
Sands) and Deep Blue Minerals (diamond) assets in South Africa's Northern Cape
province, the Company also continues to assess new opportunities to expand its
growth pipeline and deliver sustainable returns.

 

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