Element 25 and OM Materials agree binding manganese supply contract

Element 25, done its afloat owned subsidiary Butcherbird Operations, has signed a binding semipermanent offtake statement with OM Materials, a subsidiary of OM Holdings.

The statement covers each manganese ore produced astatine Element 25's Butcherbird Mine successful Western Australia's (WA) Pilbara region.

Specific carve-outs person been included to reserve worldly intended for aboriginal battery-grade, high-purity manganese sulphate production.

The statement includes a take-or-pay operation and volition tally for an archetypal five-year word from the archetypal shipment, with an enactment to widen for up to an further 5 years.

Pricing volition notation to planetary manganese ore benchmarks, with adjustments for merchandise prime and periodic reviews to bespeak marketplace conditions.

The statement includes defined shipping, take-or-pay and outgo terms, offering Element 25 a acceptable pathway for sales. It besides contains prepayment provisions to assistance with the project's currency travel needs.

OM Materials has been fixed exclusive planetary rights to marketplace manganese ore that meets the agreed specifications.

Limited exceptions use for non-conforming worldly and for quantities reserved for Element 25's ain downstream processing needs.

Element 25 is advancing its Butcherbird Expansion Project, which aims to summation output to a targeted 1.1 cardinal tonnes per annum of manganese concentrate.

The statement is conditional connected elements specified arsenic committee approvals, task financing, including immoderate backing from the Northern Australia Infrastructure Facility, and regulatory clearances.

Element 25 managing manager Justin Brown said: "This statement secures a high-quality, semipermanent offtake spouse for manganese ore produced astatine our expanded Butcherbird Operations, extending our existing narration with OMH and its subsidiary OMM.

"OMH has established downstream smelting capability, providing a beardown commercialized instauration for the Butcherbird Project implicit the archetypal 5 years of operation, and perchance beyond that clip frame."

The Butcherbird cognition presently holds an updated ore reserve of 101.4 cardinal tonnes (mt) astatine 10.4% manganese, supporting accumulation astatine the planned complaint for much than 18 years.

The specifications of the ore are aligned with modular manufacture benchmarks.

This offtake declaration follows earlier deals announced successful May 2026 by Element 25 for mining and haulage services astatine Butcherbird.

The institution expects mechanical completion and commissioning of the task to hap successful the archetypal 4th of calendar twelvemonth 2027, erstwhile each outstanding contracts are finalised.

"Element 25 and OM Materials hold binding manganese proviso contract" was primitively created and published by Mining Technology, a GlobalData owned brand.