Euro Manganese hits production target in Czech Republic
Euro Manganese Inc. [EMN-TSXV-ASX, EUMNF-OTCQX, E06-Frankfurt] said it has produced high-purity electrolytic manganese metal (HPEMM) from its demonstration plant its flagship Chvaletice Manganese Project in the Czech Republic.
The company said an external laboratory has confirmed the first HPEMM sent for testing has met the demonstration plant target specifications and was at 99.9% Mn metal purity. High-purity manganese sulphate (HPMSM) is now under production in the final module and will be sent for external laboratory testing in due course.
The latest update was released after the close of trading on April 13, 2023, when Euro Manganese shares closed at 21 cents. The shares are currently trading in a 52-week range of 41 cents and 19 cents
Euro Manganese is a battery metals company with a focus on becoming a leading producer of high-purity manganese for the electric vehicle industry and other high-technology applications. It aims to achieve that goal by developing the Chvaletice Manganese Project. The project is described as a “waste-to-value recycling and remediation opportunity” involving the reprocessing of old tailings from a decommissioned mine.
Euro Manganese said the Chvaletice project is the only sizable resource of manganese in the Europe. It said the asset puts the company in a position to provide battery supply chains with critical raw materials to support the global shift to a circular, low-carbon economy.
“The Chvaletice project gained real momentum in 2022,’’ said Euro Manganese President and CEO Dr. Matthew James. During the fourth quarter, the company filed a technical report related to a NI 43-101 feasibility study which outlines robust base case project economics. Initial capital is estimated at US$757.3 million, including total contingencies of US$106.5 million.
Forecast life of project net revenues are US$13.3 billion with EBITDA (earnings before interest, tax, depreciation and amortization) of US$8.1 billion.
The demonstration plant enables the company to produce bulk samples for prospective customers’ testing and qualification. It has a design capacity of 32 kilograms per day of HPEMM or 100 kg per day of HPMSM. It is expected to operate for up to three years and will also be available for testing of potential additional feedstock for the commercial plant.
Euro Manganese recently submitted a final environmental and social impact assessment (ESIA) report for the Chvaletice project.
Euro Manganese said the ESIA builds on the preliminary ESIA, which was reviewed by the Czech Ministry of Environment in 2020. After a significant amount of work, the company is confident in the quality of the studies and in meeting the criteria set out by Czech regulation for a successful ESIA. The approval process is expected to take approximately six months.
The company has also published its inaugural sustainability report for 2022. It said the report outlines how Euro Manganese is leading the way for sustainable production of high-quality manganese for the electric vehicle industry.