Mining News
Euro Manganese announces feasibility study for Czech project
Euro Manganese announced a positive feasibility study for its Chvaletice manganese project, showing an after-tax NPV 8% of $1.34 Billion and an IRR of 21.9%.
The initial capital is $757.3 million, including contingencies of US$103.2 million.
Euro Manganese is advancing Chvaletice in the Czech Republic, a remediation involving reprocessing old tailings from a decommissioned mine. According to the company the Chvaletice Project is the only sizable resource of manganese in the European Union, strategically positioning the company to provide battery supply chains with critical raw materials to support the global shift to a circular, low-carbon economy.
Dr. Matthew James, Euro Manganese’s President and CEO, liked the results of the study.
“I am extremely pleased with the results of the Feasibility Study, which further validate the financial credibility of the Chvaletice Manganese Project, even in the current inflationary environment and using conservative risk-adjusted pricing for HPMSM and HPEMM. The strength of the Project economics, its green credentials and the forecast demand from the EV industry for our highly specialized products support a wide range of financing alternatives.
"Several factors uniquely position Euro Manganese to transform into a leading supplier to the European EV market. The supply security, traceability, sustainable production, and low impurity, high quality nature of Chvaletice’s battery grade manganese products, make our HPEMM and HPMSM increasingly desirable to customers."
Jones said next steps are making a final investment decision, including securing our financing package for the project.
The company recently appointed project finance adviser, Stifel Nicolaus Europe Limited.
