REG - Mkango Resources Ltd - HYPROMAG USA PURCHASE INSERMA PRE-PROCESSING UNITS

Mkango ResourcesAnnouncement

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RNS Number : 3093B  Mkango Resources Limited  30 September 2025

 

 

 

 

MKANGO RESOURCES
LTD.

550 Burrard
Street

Suite
2900

Vancouver

BC V6C
0A3

Canada

 

HYPROMAG USA PURCHASES INSERMA PRE- PROCESSING UNITS

FOR TEXAS, NEVADA AND SOUTH CAROLINA RARE EARTH MAGNET RECYCLING HUBS

IN THE UNITED STATES

 

London/Vancouver: September 30 2025 - Mkango Resources Ltd (AIM / TSX-V:MKA)
(the "Company" or "Mkango") is pleased to announce that HyProMag USA, LLC
("HyProMag USA") has purchased three skid-mounted Inserma Anoia S.L
("Inserma") magnet and Printed Circuit Board ("PCB") separation units.  The
Inserma and PCB units can be co-located at hyperscale data centers, shredding,
recycling or HyProMag facilities. These Inserma units rapidly remove (at <2
seconds per hard disk drive ("HDD")) the voice coil motor ("VCM") containing
the rare earth magnet, providing a highly concentrated feed for subsequent
Hydrogen Processing of Magnet Scrap ("HPMS") by HyProMag USA at the Texas
facility. The technology package will further complete the separation and
removal of the PCBs, which contains precious metals, for recycling and sale.
The three units will be located and operated by Intelligent Lifecycle
Solutions, LLC ("ILS") as it continues stockpiling of feedstock for the Fort
Worth facility.

Julian Treger, Chief Executive of CoTec commented: "We are very excited to see
the rapid development of the Inserma partnership. Pre-processing technologies
are a key enabler and competitive advantage for HyProMag USA as it progresses
with the purchase of feedstock. The Company is continuing to progress its
discussions with the rapidly expanding hyperscale data center providers and
offers a closed loop and secure recycling network within the United States at
the lowest cost and lowest carbon footprint. Furthermore, the batch process
design of the Texas facility with separate individual feedstock waste streams
supports consistent finished grades of magnets and blocks.

Will Dawes, Mkango CEO commented: "The combination of HPMS and Inserma
technologies delivers a cost effective, low CO(2) and flexible solution for
the recycling of rare earth magnets from HDDs, utilised in hyperscale data
centres and other applications. These technologies, coupled with the very
significant AI driven growth anticipated for hyperscale data centres, will
unlock additional sources of feedstock to support HyProMag's rapid growth
profile. The latter is further supported by accelerating demand for HyProMag's
recycled rare earth magnet products, geared to growth in physical AI, electric
mobility, clean energy and other applications, together with a geopolitical
backdrop driving Government supported development of independent and robust
domestic supply chains."

HyProMag USA Feasibility Study

The Feasibility Study includes the Texas Hub, and two pre-processing
facilities located in South Carolina and Nevada respectively. In March 2025,
HyProMag USA announced the expansion of the detailed engineering phase to
include three HPMS vessels(( i )) and that it was initiating concept studies
for further expansion and complementary "Long Loop" recycling(( ii )). The
Texas Hub's annual production is expected to be 750 metric tons per annum of
recycled sintered NdFeB magnets and 807 metric tons per annum of associated
NdFeB co-products (total payable capacity - 1,557 metric tons NdFeB within
five years of commissioning) over a 40-year operating life. It is expected the
production facility will provide significant optionality to supply the U.S.
market with additional NdFeB alloy powder while assisting in revitalising the
U.S. magnet sector with the creation of 90-100 skilled magnet manufacturing
jobs.

In March 2025, HyProMag USA announced the results of an independent
ISO-Compliant product carbon footprint study which confirmed an exceptionally
low CO(2) footprint of 2.35 kg CO(2) eq. per kg of NdFeB cut sintered block
product.(( iii ))

In August 2025, HyProMag USA announced ILS had formally commenced its
stockpiling of feedstock iv  initiative pursuant to the recently announced
feedstock supply and pre-processing site share agreement between HyProMag USA
and ILS.(( v ))

In September 2025, HyProMag USA announced the commissioning of a Concept Study
to evaluate the expansion of its operations into Nevada and South Carolina in
collaboration with ILS. vi 

In September 2025, HyProMag USA announced the commissioning of a Concept Study
to evaluate long loop recycling with Worley Group Inc. vii 

Inserma Partnership

In September 2024, Maginito Limited ("Maginito") secured an exclusive
agreement with Inserma to commercialise automated pre-processing of hard disc
drives, loudspeakers and electric motors for HyProMag. viii 

About HyProMag USA

HyProMag USA LLC is owned 50:50 by CoTec Holdings Corp. (TSXV: CTH; OTCQB:
CTHCF) ("CoTec") and HyProMag Limited. HyProMag Limited is 100 per cent owned
by Maginito Limited which is owned on a 79.4/20.6 per cent basis by Mkango and
CoTec.

For more information, please visit www.hypromagusa.com.

About Mkango Resources Ltd.

Mkango is listed on the AIM and the TSX-V. Mkango's corporate strategy is to
become a market leader in the production of recycled rare earth magnets,
alloys and oxides, through its interest in Maginito, which is owned 79.4 per
cent by Mkango and 20.6 per cent by CoTec, and to develop new sustainable
sources of neodymium, praseodymium, dysprosium and terbium to supply
accelerating demand from electric vehicles, wind turbines and other clean
energy technologies.

Maginito holds a 100 per cent interest in HyProMag and a 90 per cent direct
and indirect interest (assuming conversion of Maginito's convertible loan) in
HyProMag GmbH, focused on short loop rare earth magnet recycling in the UK and
Germany, respectively, and a 100 per cent interest in Mkango Rare Earths UK
Ltd ("Mkango UK"), focused on long loop rare earth magnet recycling in the UK
via a chemical route.

Maginito and CoTec are also rolling out HPMS recycling technology into the
United States via the 50/50 owned HyProMag USA LLC joint venture company.

Mkango also owns the advanced stage Songwe Hill rare earths project in Malawi
("Songwe") and the Pulawy rare earths separation project in Poland ("Pulawy").
Both the Songwe and Pulawy projects have been selected as Strategic Projects
under the European Union Critical Raw Materials Act. Mkango has signed a
Business Combination Agreement with Crown PropTech Acquisitions to list the
Songwe Hill and Pulawy rare earths projects on NASDAQ via a SPAC Merger.

For more information, please visit www.mkango.ca (about%3Ablank)

Cautionary Note Regarding Forward-Looking Statements

This news release contains forward-looking statements (within the meaning of
that term under applicable securities laws) with respect to Mkango. Generally,
forward looking statements can be identified by the use of words such as
"targeted", "plans", "expects" or "is expected to", "scheduled", "estimates"
"intends", "anticipates", "believes", or variations of such words and phrases,
or statements that certain actions, events or results "can", "may", "could",
"would", "should", "might" or "will", occur or be achieved, or the negative
connotations thereof. Readers are cautioned not to place undue reliance on
forward-looking statements, as there can be no assurance that the plans,
intentions or expectations upon which they are based will occur. By their
nature, forward-looking statements involve numerous assumptions, known and
unknown risks and uncertainties, both general and specific, that contribute to
the possibility that the predictions, forecasts, projections and other
forward-looking statements will not occur, which may cause actual performance
and results in future periods to differ materially from any estimates or
projections of future performance or results expressed or implied by such
forward-looking statements. Such factors and risks include, without limiting
the foregoing,  the availability of (or delays in obtaining) financing to
develop Songwe Hill, and the various recycling plants in the UK, Germany and
the US as well as the separation plant in Poland, governmental action and
other market effects on global demand and pricing for the metals and
associated downstream products for which Mkango is exploring, researching and
developing, geological, technical and regulatory matters relating to the
development of Songwe Hill, the various recycling plants in the UK, Germany
and the US as well as the separation plant in Poland, the ability to scale the
HPMS and chemical recycling technologies to commercial scale, competitors
having greater financial capability and effective competing technologies in
the recycling and separation business of Maginito and Mkango, availability of
scrap supplies for recycling activities, government regulation (including the
impact of environmental and other regulations) on and the economics in
relation to recycling and the development of the various recycling and
separation plants of Mkango and Maginito and future investments in the United
States pursuant to the cooperation agreement between Maginito and CoTec, the
outcome and timing of the completion of the feasibility studies, cost
overruns, complexities in building and operating the plants, and the positive
results of feasibility studies on the various proposed aspects of Mkango's,
Maginito's and CoTec's activities. The forward-looking statements contained in
this news release are made as of the date of this news release. Except as
required by law, the Company disclaims any intention and assume no obligation
to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by applicable law.
Additionally, the Company undertakes no obligation to comment on the
expectations of, or statements made by, third parties in respect of the
matters discussed above.

 

The TSX Venture Exchange has neither approved nor disapproved the contents of
this press release. Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.

 

This press release does not constitute an offer to sell or a solicitation of
an offer to buy any equity or other securities of the Company in the United
States. The securities of the Company will not be registered under the United
States Securities Act of 1933, as amended (the "U.S. Securities Act") and may
not be offered or sold within the United States to, or for the account or
benefit of, U.S. persons except in certain transactions exempt from the
registration requirements of the U.S. Securities Act.

 

For further information on Mkango, please contact:

Mkango Resources Limited

William
Dawes
Alexander Lemon

Chief Executive Officer                  President

will@mkango.ca
alex@mkango.ca

Canada: +1 403 444 5979

www.mkango.com (http://www.mkango.com)

@MkangoResources

SP Angel Corporate Finance LLP

Nominated Adviser and Joint Broker

Jeff Keating, Jen Clarke, Devik Mehta

UK: +44 20 3470 0470

Alternative Resource Capital

Joint Broker

Alex Wood, Keith Dowsing

UK: +44 (020) 4530 9160/77

 i 
https://mkango.ca/news/hypromag-usa-to-commission-scoping-study-to-triple-capacity-in-the-united-states-expanding-into-nevada-and-south-carolina/

 ii  Conventional leach, extraction purification and precipitation process

 iii 
https://mkango.ca/news/hypromag-usas-iso-compliant-product-carbon-footprint-study-confirms-exceptionally-low-co-sub-2-sub-footprint-of-2.35-kg-co-sub/
(https://mkango.ca/news/hypromag-usas-iso-compliant-product-carbon-footprint-study-confirms-exceptionally-low-co-sub-2-sub-footprint-of-2.35-kg-co-sub/)

 iv  https://mkango.ca/news/hypromag-usa-commences-stockpiling-of-feedstock/

 v 
https://mkango.ca/news/hypromag-usa-enters-into-agreement-with-global-electronics-recycler-intelligent-lifecycle-solutions-for-feedstock-supply-and/
(https://mkango.ca/news/hypromag-usa-enters-into-agreement-with-global-electronics-recycler-intelligent-lifecycle-solutions-for-feedstock-supply-and/)

 vi 
https://mkango.ca/news/hypromag-usa-to-commission-scoping-study-to-triple-capacity-in-the-united-states-expanding-into-nevada-and-south-carolina/
(https://mkango.ca/news/hypromag-usa-to-commission-scoping-study-to-triple-capacity-in-the-united-states-expanding-into-nevada-and-south-carolina/)

 vii 
https://mkango.ca/news/hypromag-usa-project-update-for-its-rare-earth-magnet-recycling-and-manufacturing-plants-in-the-united-states/

 viii 
https://mkango.ca/news/maginito-secures-exclusive-agreement-with-inserma-to-commercialise-automated-pre-processing-of-hard-disc-drives-loudspeakers/
(https://mkango.ca/news/maginito-secures-exclusive-agreement-with-inserma-to-commercialise-automated-pre-processing-of-hard-disc-drives-loudspeakers/)

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