Mkango Resources Limited Raises £2.34m for Rare Earth Recycling and Project Development

Mkango Resources Limited, a company with a strategic focus on rare earth elements (REEs), has successfully raised £2.34 million through a private placement. This funding will support the company's ongoing recycling development costs in Germany and the UK, as well as fund corporate costs. The subscription is expected to close on or around January 31, 2025, subject to necessary approvals.



The funds raised will enable Mkango to maintain momentum in achieving commercial production in the UK and developing its Germany operation. Concurrently, the company continues to work towards the execution of a proposed Business Combination Agreement in relation to a previously announced SPAC transaction. This transaction is expected to bring Mkango a step closer to extracting significant value from its Songwe Hill and Pulawy Rare Earths Projects.

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 holds a 100% interest in HyProMag and a 90% direct and indirect interest in HyProMag GmbH, focusing on short loop rare earth magnet recycling in the UK and Germany, respectively. Mkango UK is focused on long loop rare earth magnet recycling in the UK via a chemical route.

The company's recycling development strategy aligns with the growing demand for REEs in clean energy technologies, such as electric vehicles, wind turbines, and other sustainable energy solutions. By focusing on recycling and developing new sustainable sources of REEs, Mkango is well-positioned to supply the accelerating demand for these critical materials.

In addition to its recycling efforts, Mkango is also developing new sustainable sources of neodymium, praseodymium, dysprosium, and terbium through its interest in Maginito. The company's ongoing projects, such as the Songwe Hill rare earths project in Malawi and the Pulawy rare earths separation project in Poland, aim to develop new sustainable sources of these essential REEs.

The successful fundraising by Mkango Resources Limited demonstrates the company's commitment to its strategic goals and its ability to secure the necessary funding to support its ongoing projects and recycling development efforts. As the demand for REEs continues to grow, Mkango's focus on recycling and sustainable sourcing positions the company as a key player in the rare earths supply chain.