REG - Mkango Resources Ltd - MKANGO RELEASES Q2 2025 RESULTS

Mkango ResourcesAnnouncement

01/09/2025 07:00

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RNS Number : 3287X  Mkango Resources Limited  01 September 2025

 

 

 

 

MKANGO RESOURCES
LTD.

550 Burrard
Street

Suite
2900

Vancouver

BC V6C
0A3

Canada

 

MKANGO RELEASES Q2 2025 RESULTS

 

London / Vancouver: 1 September 2025 - Mkango Resources Ltd (AIM / TSX-V:MKA)
(the "Company" or "Mkango"), is pleased to announce that it has released the
financial statements and management's discussion and analysis ("MD&A") for
the 3-month period ending 30 June 2025. The reports are available under the
Company's profile on SEDARplus (www.sedarplus.com) and on the Company's
website (https://mkango.ca/investors/financials/
(https://mkango.ca/investors/financials/) ).

 

To view the Financial Statements, please click here:

http://www.rns-pdf.londonstockexchange.com/rns/3287X_2-2025-8-29.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/3287X_2-2025-8-29.pdf)

 

To view the Management Discussion and Analysis, please click here:

http://www.rns-pdf.londonstockexchange.com/rns/3287X_1-2025-8-29.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/3287X_1-2025-8-29.pdf)

 

HIGHLIGHTS AND RECENT MILESTONES

·      Cash position of US$1.2 million as at 30 June 2025. After the
exercise of 8,340,000 investor warrants since the start of the quarter, there
are 16.6 million in-the-money investor warrants outstanding at 7 pence
exercise price per warrant.

·      To date, 905 kilograms of recycled Neodymium Iron Boron ("NdFeB")
alloy powder has been produced at Tyseley Energy Park and is being prepared
for shipment. The operation is currently progressing towards production of
finished sintered NdFeB magnets.

·      Development of the scaled-up rare earth magnet recycling and
manufacturing plant in Germany is progressing on track for production by the
end of the year.

·      On 12 June 2025, HyProMag USA, LLC, a Delaware corporation
("HyProMag USA") received a Make More in America ("MMIA") domestic finance
letter of interest from the U.S. Export-Import ("EXIM") Bank for its first
integrated rare earth recycling and magnet making facility in Dallas-Fort
Worth, Texas. In terms of the letter, EXIM may be able to consider potential
financing of up to US$92 million of the project's costs with a repayment tenor
of 10 years.

·      On 24 July 2025, HyProMag USA and global electronics recycling
company, Intelligent Lifecycle Solutions, LLC entered into a feedstock supply
and pre-processing site share agreement. ILS will secure and store NdFeB
feedstock from hard disk drives and other sources for HyProMag USA at the ILS
pre-processing sites in Williston, South Carolina and Reno, Nevada in advance
of the commissioning of HyProMag USA's advanced stage rare earth magnet
recycling and manufacturing plant to be located in Dallas-Fort Worth, Texas.

·      On 3 July 2025, Lancaster Exploration BVI and Crown PropTech
Acquisitions signed a Business Combination Agreement ("BCA") to create a
geographically strategic, pure-play global rare earth platform (expected to be
renamed Mkango Rare Earths Limited ("MKAR")). MKAR's strategy is to provide a
mined, refined and separated supply of rare earth oxides to supply chains
across North America, Europe and Asia. The pro forma value of Mkango's
shareholding in  MKAR (excluding its existing recycling businesses) pursuant
to the BCA is US$400 million prior to transaction expenses and excluding any
net proceeds from a PIPE financing and any amounts available from CPTK's trust
account. Transaction proceeds are expected to support MKAR's strategic growth
plan, including the development of the Songwe Hill Project and the Pulawy
Project. Completion of the proposed business combination is subject to a
number of conditions, including but not limited to, the approval of a Nasdaq
listing application, approval by Mkango as shareholder of MKAR, approval by
the shareholders of CPTK, approval by the TSX Venture Exchange ("TSX-V"), and
the satisfaction or waiver of other closing conditions.

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 BCA
 with CPTK 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)

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service, this inside information is
now considered to be in the public domain.

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

 

 

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