Euro Manganese Provides Chvaletice Manganese Project and Corporate Update
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NR 2021-20
Euro Manganese Provides Chvaletice Manganese Project
and Corporate Update
Highlights:
• Assembly of the Project’s Demonstration Plant (DP) at a facility in China is proceeding as planned,
with cold commissioning of the plant modules set to begin this month.
• The construction permit was issued for upgrading and adapting buildings at the Chvaletice
Manganese Project site that will house the DP . Site preparations for receiving and installing the
DP modules are underway.
• Delivery of the DP modules to the Chvaletice site is expected early in the New Year , with hot
commissioning and start-up targeted for the second quarter of 2022.
• The Project’s pilot plant was restarted during October to produce small samples of high-purity
manganese products for prospective customers . Sample deliveries are expected in the first
quarter of 2022.
• Work on the Project’s definitive feasibility study is ongoing, with all verification and testing work
complete and good progress being made on engineering studies. To date, the study is tracking on
schedule and on budget, with approximately 60% of physical progress complete as at the end of
September, 2021.
• Euro Manganese has engaged consulting firms Minviro Ltd. and RCS Global Group to conduct a
joint Life Cycle As sessment of the Chvaletice Manganese Project as part of the Company’s
commitment to environmental excellence.
• In September, Euro Manganese received its ISO 27001 certification for Information Security
Management Systems (ISMS), recognized globally as proof that the Company’s ISMS is in line with
the information security best practice s. At the request of prospective customers, the Company
also plans to obtain a TISAX certification, which is based on the ISO 27001 standards, in order to
become a trusted service provider to the European automotive industry.
VANCOUVER, British Columbia (November 8, 2021) – Euro Manganese Inc. (TSX-V and ASX: EMN; OTCQX:
EUMNF; Frankfurt: E06) (the " Company" or " EMN") is pleased to provide an update on its Chvaletice
Manganese Project (the “Project”).
Demonstration Plant on track for Q2 2022 start-up
Work on the Company’s Demonstration Plant (DP) is proceeding well at the Chvaletice project site in the
Czech Republic, as well as in China, where the components of the plant are being assembled.
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The DP project reached a significant milestone on September 24, 2021 , with the issuance of the
construction permit to upgrade two existing industrial buildings at the site that will house the DP modules.
The building upgrades include electrical, plumbing, structural and ventilation work. The permit process
included public input, and local communities were supportive of its issuance.
Recruitment and hiri ng for key DP roles has been initiated, starting with technical and administration
roles, with plant workers to be hired closer to the start-up date.
Meanwhile, the components of the DP are being assembled at an industrial facility in China. Cold
commissioning is beginning this month. The six main DP modules, which range from 2 to 5 metres high
and 9 to 49 meters long, are being assembled on 2.2 -metre steel frames in sections designed to fit into
twelve 40-foot shipping containers. These are expected to be shipped to the Chvaletice site in the Czech
Republic early in 2022 . Hot commissioning and start-up are targeted for the second quarter of 2022. A
collection of photos and a video of the latest DP assembly work has been posted on the Company’s
website.
The DP is designed to produce large-scale samples of high-purity manganese products for use in the supply
chain qualification process of the Company's products. Approximately 55% of the first year’s production
has been allocated to five prospective customers who have signed non -binding memoranda of
understanding (MOUs) with EMN.
Pilot plant restarted
The Project’s original pilot plant, which initially operated in 2018, has been restarted to produce product
samples for certain new prospective customers The pilot plant restart program is targeted to produce
about 50 kg of high-purity electrolytic manganese metal (HPEMM) and 150 kg of high-purity manganese
sulphate monohydrate (HPM SM) for delivery in the first quarter of 2022. The samples will allow
prospective customers to continue or initiate the supply chain qualification work required prior to
approval of battery raw materials for use in electric vehicles, in advance of receiving larger samples when
DP production comes on stream.
Definitive Feasibility Study making good progress
The Project’s definitive feasibility study continues to progress well with approximately 60% of planned
work now complete. The detailed assessment of local infrastructure constraints is now underway in order
to determine best solutions for grid/in-coming power connections, as well as land acquisition/access. All
bench scale confirmation test work has been finalized and engineering studies are progressing well, with
next steps including the solicitation of bids for major equipment packages, reagent pricing, product
transportation logistics, capital and operating costs, along with the completion of high-purity manganese
product pricing forecasts.
Assessments are underway to optimise use of reagents utilized in the manganese extraction and
purification processes, with an objective of procuring all reagents from European sources. The feasibility
study is also looking at ways to capture and re -use carbon dioxide and hydrogen that will be produced
during the manganese purification process. There is potential for captured carbon dioxide to be used in
other parts of the process, which would reduce the Project’s carbon footpr int. H ydrogen, which is
normally vented safely into the atmosphere in most industrial processes, could potentially be captured
and used to produce heat and reduce energy costs.
All aspects of the Project are being examined through an environmental lens, including the potential sale
of gypsum and magnesium carbonate, by-products of manganese production, for use in other industrial
applications, contributing to the development of a more sustainable, circular economy. The feasibility
study is also evaluating the potential economic and environmental benefits of securing renewable and
green sources of energy for the Project.
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Final ESIA and Life Cycle Assessment
Work on the Final Environmental and Social Impact Assessment (FESIA) is underway and targeted to be
completed and submitted to permitting authorities in early 2022. Recently completed work on the FESIA
has included water well pump tests and expanded acoustic modelling studies. In addition, a socio -
economic impact study was conducted by the Czech Republic’s Charles University as part of the FESIA.
Euro Manganese has engaged respected Life Cycle Assessment (LCA) specialist firm Minviro Ltd. and
leading battery raw materials audit and advisory firm, RCS Global Group , to conduct a joint LCA of the
Chvaletice Manganese Project in the context of the FESIA and product commercialization activities. This
is a key component of the Company’s commitment to achieving environmental excellence.
Market outlook continues to strengthen
During the past year, numerous EV, battery and cathode manufacturers have announced plans to use
manganese-rich battery chemistries and, according to data from Bloomberg, NEF, CPM Group and other
market research firms , demand for high purity manganese and other essential battery metals such as
lithium, nickel and cobalt is rising rapidly.
At the same time, the projected gap between supply and demand for battery grade manganese continues
to grow. Based on recent estimates from Cairn Energy Research Advisors and CPM Group, global
production of high purity manganese su lphate monohydrate – the manganese product used by most
lithium-ion battery cathode makers – will need to increase 24-fold compared to 2020 levels in order to
meet anticipated 2030 demand.
EMN receives ISO 27001 certification
On September 16, 2021, the Company received its ISO 27001 certification for Information Security
Management Systems (ISMS). ISO 27001 is the international standard for information security that sets
out the specifications for an ISMS and a n ISO 27001 certi ficate is recognized globally as proof that a
Company’s ISMS is in line with the information security best practice.
At the request of prospective customers, the Company also plans to obtain a TISAX certification in order
to become a service provider to the European automotive industry. TISAX, or Trusted Information Security
Assessment Exchange, is a standard assessment and exchange mechanism for the European automotive
industry and is based on ISO 27001 standards.
EMN’s CEO, Marco Romero, commented:
“Activities on our Chvaletice Manganese Project are ramping up. In the meantime, industry trends remain
positive. The electric vehicle and battery industries continue their rapid growth, and demand for battery -
grade manganese products is rising along with them. We continue to work hard to prepare our project for
its commercial development, resolute in our belief in its importance for Europe. To enable its successful
execution, we continue to add talented individuals to our team.
“Our Chvaletice project is poised to help accelerate the EU’s green transition as Europe moves to a more
circular, less carbon- intensive and sustainable economy. And, because Chvaletice is designed to recycle
historic mine tailings to produce an essential battery raw material in the Czech Republic, we stand to make
an unprecedented contribution to the continent’s rapidly emerging EV and battery supply chain.”
CEO search update
As reported on June 16, 2021, EMN initiated a recruitment process to find a new CEO well -suited to
leading the Company into its next phase of corporate development, as it transitions from a development
company to a potential producer of high-purity manganese products. The board has been conducting an
international search for several months, assisted by global executive search firm Korn Ferry. EMN board
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Chair John Webster commented: “It has been a very robust process and we are encouraged by the number
and quality of the people who were attracted by the opportunity. We expect to announce the appointment
of our new CEO soon.”
About Euro Manganese Inc.
Euro Manganese Inc. is a battery materials company whose principal focus is advancing the development
of the Chvaletice Manganese Project, in which it holds a 100% interest. The proposed Project entails re-
processing a significant manganese deposit hosted in mine tailings from a decommissioned mine,
strategically located in the Czech Republic. The Company’s goal is to become a leading, competitive and
environmentally superior primary producer of ultra- high-purity Manganese Products in the heart of
Europe, serving the lithium-ion battery industry, as well as other high-technology applications.
The technical information in this news release concerning the Chvaletice Manganese Project w as
prepared under the supervision of Ms. Andrea Zaradic, P. Eng., a Qualified Person under National
Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"). Ms. Zaradic has reviewed
and approved the information in this news release for which she is responsible and has consented to the
inclusion of the matters in this news release based on the information in the form and context in which
it appears.
Authorized for release by the CEO of Euro Manganese Inc.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies
of the TSX Venture Exchange) or t he ASX accepts responsibility for the adequacy or accuracy of t his
release.
Contact:
Euro Manganese Inc.
Marco A. Romero Fausto Taddei
President & CEO Vice President, Corporate Development
+604-681-1010 ext. 101 & Corporate Secretary
+604-681-1010 ext. 105
Media inquiries:
Ron Shewchuk
Director of Communications
(604) 781-2199
E-mail: [email protected]
Website: www.mn25.ca
Company Address:
#709 -700 West Pender St., Vancouver, British Columbia, Canada, V6C 1G8
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Forward-Looking Statements
Certain statements in this news release constitute “ forward-looking statements ” or “forward-looking
information” within the meaning of applicable securities laws. Such statements and information involve
known and unknown risks, uncertainties and other factors that may cause the actual results, performance
or achievements of the Company, its projects, or industry results, to be materially different from any
future results, performance or achievements expressed or implied by such forward-looking statements or
information. Such statements can be identified by the use of words such as “ may”, “would”, “could”,
“will”, “intend”, “expect”, “believe”, “plan”, “anticipate”, “estimate”, “scheduled”, “forecast”, “predict”
and other similar terminology, or state that certain actions, events or results “ may”, “could”, “would”,
“might” or “will” be taken, occur or be achieved. Such forward-looking information or statements include,
without limitation, statements regarding the regulatory/permitting progress at the Project ; land access
for the Project; the completion and timing of the definitive feasibility study; the timing, installation of the
delivery and operation of the Demonstration Plant; the Company’s ability to negotiate offtake agreements
with potential customers; the evaluation and development of any new business opportunities; and the
Company’s ability to finance the full-scale, commercial development of the Project. Further, it should be
noted that no production decision has been made with respect to the Project and that such a decision will
only be made based on completion of a positive feasibility study, permitting and financing having been
secured.
Readers are cautioned not to place undue reliance on forward -looking information or statements.
Forward-looking statements and information involve significant risks and uncertainties, should not be
read as guarantees of future performance or results and will not necessarily be accurate indicators of
whether or not such results will be achieved. A number of factors could cause actual results to differ
materially from the results discussed in the forward-looking statements or information, including, but not
limited to, the factors discussed under “Risks Notice” and elsewhere in the Company’s MD&A, as well as
the inability to obtain regulatory approvals in a timely manner; the potential for unknown or unexpected
events to cause contractual conditions to not be satisfied; unexpected changes in laws, rules or
regulations, or their enforcement b y applicable authorities; the failure of parties to contracts with the
Company to perform as agreed; social or labour unrest; changes in commodity prices; and the failure of
exploration programs or studies to deliver anticipated results or results that wou ld justify and support
continued exploration, studies, development or operations.
Although the forward -looking statements contained in this news release are based upon what
management of the Company believes are reasonable assumptions, the Company cannot assure investors
that actual results will be consistent with these forward -looking statements. These forward -looking
statements are made as of the date of this news release and are expressly qualified in their entirety by
this cautionary statement. Subjec t to applicable securities laws, the Company does not assume any
obligation to update or revise the forward -looking statements contained herein to reflect events or
circumstances occurring after the date of this news release. The Company ’s actual results c ould differ
materially from those anticipated in these forward-looking statements as a result of the factors set forth
in the “Risks Notice” section and elsewhere in the Company ’s MD&A for the year ended September 30,
2020 and its Annual Information Form.