Equipment delivery supports commissioning pathway for planned U.S. rare earth magnet recycling platform; on-site operational milestone events to be announced following commissioning
MKANGORESOURCESLTD.
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HYPROMAG USA ADVANCES U.S. HUB-AND-SPOKE STRATEGY WITH ARRIVAL OF INSERMA PRE-
PROCESSING MACHINES AT SOUTH CAROLINA AND NEVADA SITES
Equipment delivery supports commissioning pathway for planned U.S. rare earth magnet recycling
platform; on-site operational milestone events to be announced following commissioning
London / Vancouver: February 5, 2026- Mkango Resources Ltd (AIM / TSX-V:MKA) (“Mkango”) is pleased to
announce an update from HyProMag USA, LLC (“HyProMag USA” or the “Company”), a U.S. rare earth magnet
recycling and manufacturing company, which today announced the arrival of Inserma recycling machines at
Intelligent Lifecycle Solutions, LLC (“ILS”) facilities in South Carolina and Nevada, advancing the Company’s rollout
ofrare-earthmagnetrecyclingcapabilitiesintheUnitedStates.
The equipment delivery builds on HyProMag USA’s recent expansion concept studiesi and pre-feasibility planning
for facilities in South Carolina and Nevada, as well as the Company’s partnershipii with ILS to secure and prepare
magnet-bearing feedstocks. The machines are now on site and will enter commissioning activities in line with site
readinessandoperationalplanning.
Julian Treger, CEO of CoTec, commented:“ThedeliveredInsermamachinesrepresentcontinuedexecutionagainst
HyProMagUSA’sscalableU.S.strategy.Byadvancingpre-processingcapabilityinSouthCarolinaandNevada,we’re
strengthening the foundation for a domestic recycling platform and supporting momentum across our broader
developmentprogram.”
GrahamDavy,ILSCEOcommented: “ILSispleasedtoreceivetheInsermaHDDmaterialseparationmachinesatits
SouthCarolinaandNevadalocations.Installationandcommissioningactivitiesareplannedforthenextfewweeks.
When commissioned, the machinery will assist ILS’ efforts to source and process rare earth magnet bearing
feedstock in partnership with HyProMag USA. ILS is excited to be at the forefront of recycling initiatives to help
deliverasecureU.S.domesticsupplychainforNdFeBmagnets.”
The arrival of the Inserma machines supports ongoing business development efforts, including feedstock sourcing
and customer engagement, and provides a clear bridge to subsequent operational milestones as HyProMag USA
advancesitsU.S.rare-earthmagnetrecyclingstrategy.TheU.S.deploymentbuildsonHyProMag’sdemonstrated iii
commercial operations in the United Kingdom, where the Company’s patented Hydrogen Processing of Magnet
Scrap(HPMS)technologyisalreadyoperatingatindustrialscale.
Followingcompletionofcommissioning,HyProMagUSAexpectstohostsmall,on-siteoperationalmilestoneevents
at the South Carolina and Nevada locations to demonstrate the equipment in operation and engage regional
stakeholders.Additionaldetailsregardingtimingandparticipationwillbeannouncedatalaterdate.
HyProMag USA’s first facility (the “Texas Hub” or the “Project”) is completing detailed engineering and feasibility
workfollowingexecutionofthesitelease ivattheIronheadCommerceCenter,andworkingtowardstheCompany’s
intentiontopursueaU.S.publiclisting.TogetherthesedevelopmentsreflectacceleratingmomentumasHyProMag
USAadvancestowardcommercialoperationsandascaledmanufacturingfootprintacrosstheU.S.
About HyProMag USA
HyProMag USA is developing advanced rare earth magnet recycling and manufacturing operations to establish a
securedomesticU.S.supplychainforNdFeBmagnets,essentialcomponentsforAIinfrastructure,defensesystems,
robotics, electric vehicles, and advanced electronics. Leveraging the revolutionary HPMS technology, developed
over 15 years by the Magnetic Materials Group at the University of Birmingham with more than $100 million in
R&D investment, the Company delivers faster magnet-to-magnet short-loop recycling that uses 88% less energy
andreducescarbonemissionsby85%comparedtoconventionalmethods.HPMSacceptsawiderangeofmagnet-
bearingfeedstocks–includingend-of-lifeEVmotors,data-center,andindustrialequipment,consumerelectronics,
and manufacturing scrap – enabling recovery of magnet-grade material without chemical processing. Selected by
the U.S. Department of State as a Minerals Security Partnership project, HyProMag USA is targeting 10% of U.S.
domesticmagnetsupplywithinfiveyears,ensuringsupplychainsecurityandresiliencefortechnologiescriticalto
nationaldefenseandeconomiccompetitiveness.
Ownership
HyProMag USA LLC is owned 50:50 by 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 Resources Ltd. (AIM/TSX-V: MKA) and
CoTec.
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
andothercleanenergytechnologies.
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
(“MkangoUK”),focusedonlonglooprareearthmagnetrecyclingintheUKviaachemicalroute.
MaginitoandCoTecarealsorollingoutHPMSrecyclingtechnologyintotheUnitedStatesviathe50/50owned
HyProMagUSALLCjointventurecompany.
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
projectsonNASDAQviaaSPACMergerunderthenameMkangoRareEarthsLimited.
Formoreinformation,pleasevisit www.mkango.ca
Cautionary Note Regarding Forward-Looking Statements
Thisnewsreleasecontainsforward-lookingstatements(withinthemeaningofthattermunderapplicablesecurities
laws)withrespecttoMkango.Generally,forwardlookingstatementscanbeidentifiedbytheuseofwordssuchas
“targeted”,“plans”,“expects”or“isexpectedto”,“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
cautionednottoplaceunduerelianceonforward-lookingstatements,astherecanbenoassurancethattheplans,
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
notoccur,whichmaycauseactualperformanceandresultsinfutureperiodstodiffermateriallyfromanyestimates
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
developSongweHill,andthevariousrecyclingplantsintheUK,GermanyandtheUSaswellastheseparationplant
in Poland, governmental action and other market effects on global demand and pricing for the metals and
associateddownstreamproductsforwhichMkangoisexploring,researchinganddeveloping,geological,technical
andregulatorymattersrelatingtothedevelopmentofSongweHill,thevariousrecyclingplantsintheUK,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
MkangoandMaginitoandfutureinvestmentsintheUnitedStatespursuanttothecooperationagreementbetween
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
proposedaspectsofMkango’s,Maginito’sandCoTec’sactivities.Theforward-lookingstatementscontainedinthis
news release are made as of the date of this news release. Except as required by law, the Company disclaims any
intentionandassumenoobligationtoupdateorreviseanyforward-lookingstatements,whetherasaresultofnew
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
themattersdiscussedabove.
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.
Thispressreleasedoesnotconstituteanoffertosellorasolicitationofanoffertobuyanyequityorothersecurities
of the Company in the United States. The securities of the Company will not be registered under the United States
SecuritiesActof1933,asamended(the"U.S.SecuritiesAct")andmaynotbeofferedorsoldwithintheUnitedStates
to, or for the account or benefit of, U.S. persons except in certain transactions exempt from the registration
requirementsoftheU.S.SecuritiesAct.
For further information on Mkango, please contact:
i https://hypromagusa.com/following-completion-of-expansion-concept-studies-hypromag-usa-advances-expansion-to-three-states-
supporting-a-path-totriple-u-s-rare-earth-magnet-capacity-by-2029/
ii https://hypromagusa.com/hypromag-usa-expands-feedstock-supply-agreementwith-global-electronics-recycler-intelligent-lifecycle-
solutions/
iii https://hypromagusa.com/uk-minister-for-industry-officially-opens-rare-earth-magnet-recycling-and-manufacturing-facility-at-tyseley-
energy-park-birmingham/
iv https://hypromagusa.com/hypromag-usa-finalizes-long-term-lease-for-dallas-fort-worth-rare-earth-magnet-recycling-and-
manufacturing-hub/
AlexanderLemon
President
Mkango Resources Limited
William Dawes
Chief Executive Officer
Canada: +1 403 444 5979
www.mkango.ca
@MkangoResources
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