Mkango Releases Year End 2024 Financial Statements
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MKANGO RESOURCES LTD.
550 Burrard Street
Suite 2900
Vancouver
BC V6C 0A3
Canada
MKANGO RELEASES YEAR END 2024 FINANCIAL STATEMENTS
London / Vancouver: 1 May 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
for the period ending 31 December 202 4. The reports are available under the Company's profile on SEDAR plus
(www.sedarplus.com) and on the Company's website (https://mkango.ca/investors/financials/).
To view the Financial Statements, please click here:
https://mkango.ca/site/assets/files/5057/mkango-resources-limited-fs-q4-fy2024.pdf
To view the Management’s Discussion and Analysis, please click here:
https://mkango.ca/site/assets/files/5058/mkango-resources-limited-mda-q4-fy2024.pdf
2024 HIGHLIGHTS AND RECENT MILESTONES
• Cash position of US$1.16 million as at 31 December 2024. Subsequent to the year end, the Company
raised gross proceeds of £2.34 million (approximately $2.93 million) via a private placement through
the issuance of 29,187,500 common shares of the Company at a price per share of 8 pence
(approximately $0.10).
• There are also 25 million in -the-money investor warrants outstanding at 7 pence exercise price per
warrant.
Upstream Rare Earths Projects
• In July 2024, the Company and the Government of Malawi signed the Mine Development Agreement
(“MDA”) for the Songwe Hill Rare Earths Project. This follows the completion of the Definitive
Feasibility Study (“DFS”) in July 2022 and approval of the Environmental, Social, Health Impact
Assessment (“ESHIA”) in January 2023.
• Mkango has entered into a non-binding Letter of Intent (“LOI”) with Crown PropTech Acquisitions for
a proposed business combination that would result in a NASDAQ listing of Lancaster BVI and Mkango
Polska which hold the Songwe Hill Rare Earths Project and the Pulawy Rare Earths Separation Plant
Project respectively. The business combination agreement is currently being finalised . Following
completion of the transaction, Mkango will retain a majority interest in the newly listed mining -
focused entity.
• The Pulawy Project has been designated as a strategic project by the European Commission under the
Critical Raw Materials Act ("CRMA").
Rare Earth Magnet Recycling and Manufacturing Projects
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HyProMag Ltd (UK)
• Development of scaled -up rare earth magnet recycling and manufacturing plant at Tyseley Energy
Park, Birmingham progressing in parallel with piloting at University of Birmingham.
• Magnet presses commissioned and powder processing plant constructed at Tyseley, with
infrastructure development underway.
• The factory acceptance test for the HPMS vessel took place in February and the vessel has
arrived in the UK from Germany.
• Completion of infrastructure developments and first production from Tyseley targeted by the
end of June 2025, with ongoing pilot production enabling delivery of products to customers in
advance of this.
HyProMag GmbH (Germany)
• Development of the scaled -up rare earth magnet recycling and manufacturing plant in Germany is
progressing on track for Q4 2025 production.
• A site has been selected near Pforzheim, Germany and lease signed, with planning for the
infrastructure development progressing well.
• Equipment ordered to date includes HPMS vessel, magnet presses, jet mill, sintering furnaces and
other items.
HyProMag USA
• Positive feasibility study results for rare earth magnet recycling and manufacturing project in Texas,
USA announced in November 2024.
• US$503 million Net Present Value ( “NPV”) and 31% Real Internal Rate of Return ( “IRR”) at
forecast prices.
• US$262 million NPV and 23% Real IRR at current prices.
• First revenue targeted in H1 2027 with a Notice to Proceed expected in H2 2025 following
completion of detailed engineering funded by JV partner CoTec.
• Post year end, HyProMag USA appointed lead engineers PegasusTSI and BBA to perform engineering,
procurement and construction management (“EPCM”) services for HyProMag USA.
About Mkango Resources Ltd.
Mkango is listed on 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 Limited
(“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.
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Maginito and CoTec are also rolling out HyProMag’s 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 and an extensive rare earths, uranium,
tantalum, niobium, rutile, nickel and cobalt exploration portfolio in Malawi, and the Pulawy rare earths
separation project in Poland.
Songwe Hill is one of the few rare earths projects to have progressed to the Definitive Feasibility Stage, with an
expected life of mine of 18 years, producing a 55% mixed rare earth carbonate, yielding 1,953 tons per annum
of NdPr and 56 tons per annum of DyTb.
Mkango’s proposed Pulawy separation facility site, located in a Special Economic Zone in Poland, stands adjacent
to the EU’s second largest manufacturer of nitrogen fertilisers, and features established infrastructure, access to
reagents and utilities on site.
Mkango has signed a letter of Intent with Crown PropTech Acquisitions to list Mkango's Songwe Hill and Pulawy
Rare Earths Projects on NASDAQ via a SPAC Merger.
For more information, please visit www.mkango.ca
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”, “expec ts” 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 occ ur, 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 li miting 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 ability to scale the HPMS an d 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 activi ties, 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
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operating the plants, and the positive results of feasibility studies on the various proposed aspects of Mkango’s
and Maginito’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.
For further information on Mkango, please contact:
Mkango Resources Limited
William Dawes Alexander Lemon
Chief Executive Officer President
[email protected] [email protected]
Canada: +1 403 444 5979
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 20 7186 9004/5
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.