Neo Performance, Globe Metals & Mining sign MOU for niobium pentoxide supply

GlobalData

Mon, Apr 7, 2025, 6:34 AM 2 min read

Canada-based Neo Performance Materials has signed a non-binding memorandum of knowing (MOU) with Globe Metals & Mining for the offtake of up to 150 tonnes (t) per twelvemonth of niobium pentoxide from signifier 1 of the Kanyika Niobium Project successful Malawi.

This MOU lays the groundwork for a binding commercialized offtake agreement, ensuring a dependable proviso of niobium pentoxide for Neo’s uncommon metals accumulation facility, NPM Silmet, successful Sillamäe, Estonia.

The task is scheduled to commence accumulation successful the archetypal 4th of 2027 (Q1 2027).

African-focused resources institution Globe Metals & Mining CEO Paul Smith said: “The Neo MOU represents a watershed infinitesimal for the Kanyika Project. It means Globe has present signed aggregate MOUs and a missive of intent that, arsenic a package, screen offtake for 100% of Kanyika’s Phase 1 accumulation of some niobium pentoxide and tantalum pentoxide.

“We look guardant to a agelong and lasting narration with Neo and are precise pleased to beryllium associated with specified a highly regarded group, which enjoys a pre-eminent presumption successful the planetary marketplace for strategical and captious metals.”

Once the archetypal acquisition quantities are met, the parties expect the offtake statement to beryllium renewed connected an yearly basis.

In summation to niobium pentoxide, Neo has besides secured a constricted close of archetypal refusal to get different captious metals produced astatine the Kanyika Project, including tantalum and zircon concentrates.

Neo Performance Materials CEO Rahim Suleman said: “We are laser-focused connected diversifying and de-risking our proviso chain, including our semipermanent entree to captious metals, and expanding into progressively much downstream value-added applications crossed each our concern lines, including niobium and tantalum. The feedstock statement with Globe provides an accidental to prosecute successful multi-year readying to optimise Neo’s proviso chain.”

Last month, Globe Metals & Mining entered a non-binding MOU with Myst Trading for offtake of signifier 1 output from the Kanyika Niobium Project successful Malawi.