MINEX Forum

Tag: Euro Manganese

  • Euro Manganese Converts $23.5 Million Orion Debt to Royalty at Czech Chvaletice Project to Simplify Capital Structure

    Euro Manganese Converts $23.5 Million Orion Debt to Royalty at Czech Chvaletice Project to Simplify Capital Structure

    Euro Manganese has amended its financing facility with Orion Resource Partners, converting US$23.5 million in outstanding debt and accrued interest into a royalty structure on the Chvaletice Manganese Project in the Czech Republic — a move designed to simplify the company’s capital structure and provide greater flexibility as it advances the project through permitting, financing and market conditions.

    Under the revised agreement, the outstanding loan and accrued interest will automatically convert into a royalty once a fundraising condition is met by a date acceptable to Orion, fully discharging the company’s repayment obligation. The revised structure removes time-based milestones contained in previous versions of the agreement. Following conversion, the royalty will range from 2.29% to 2.46% of project revenues, calculated quarterly on a sliding scale linked to achieved prices for the project’s high-purity manganese products.

    CEO Martina Blahova said the restructuring was a constructive outcome. “By converting the existing facility into a royalty, we are simplifying our capital structure, improving financing flexibility and positioning the company to advance the Chvaletice Manganese Project through its next stage of development,” she said. Chairman Rick Anthon described the revised arrangement as reflecting the strength of the company’s relationship with Orion, providing a clearer and simpler capital structure heading into the next development phase.

    Orion retains offtake rights covering 20% to 22.5% of the project’s high-purity manganese production for ten years from first delivery, with offtake terms matched to commercial terms achieved by the company to meet bankability requirements. The original Orion funding package, announced in November 2023, was structured as US$100 million split into two US$50 million components.

    The Chvaletice project aims to reprocess historic mine tailings to produce high-purity electrolytic manganese metal and high-purity manganese sulphate monohydrate — battery materials in growing demand for EV cathode manufacturing.

  • Chvaletice Manganese Project Highlights EU’s Critical Minerals Delivery Gap in Central Europe

    Chvaletice Manganese Project Highlights EU’s Critical Minerals Delivery Gap in Central Europe

    In the quiet industrial belt east of Prague, the Chvaletice Manganese Project is being touted as Europe’s best chance to secure a domestic source of high-purity manganese for electric vehicle (EV) batteries. Led by Canada-listed Euro Manganese, the project would extract 50,000 tonnes of battery-grade manganese sulphate per year from decades-old tailings — without opening a new mine.

    Endorsed by the European Commission under the Critical Raw Materials Act (CRMA) and backed by the European Investment Bank and EIT InnoEnergy, Chvaletice is the only Czech project on the EU’s Strategic Projects list. Yet despite feasibility studies and EU support, construction has not begun. Final environmental permits and grid access approvals are still pending.

    The CRMA, which came into force in May 2024, promises 27-month fast-track permitting for Strategic Projects. But in Czechia — as in Slovakia, Poland, and Hungary — this has not yet been transposed into national law, leaving projects like Chvaletice in limbo.

    Across Central and Eastern Europe (CEE), multiple projects have been named under the CRMA, from Poland’s lithium and rare earth ventures to Slovakia’s proposed Magnon Green Energy separation plant near Nitra. None have yet reached financing or construction. A Penta Group analysis warns of “technical, financial, social, and geopolitical” barriers delaying progress.

    The funding gap is also stark. The International Energy Agency (IEA) estimates the EU spends just 0.05% of GDP on critical raw materials — far less than the US (0.2%) or Australia (0.39%). In CEE, governments have prioritized downstream EV battery plants, while upstream mining and processing projects receive little public funding.

    China’s dominance in CRM processing compounds the risk. The country controls over 80% of rare earth refining and nearly all natural graphite processing. In July, Beijing tightened export controls further, adding gallium, antimony, and manganese to its restricted list.

    Industry leaders warn that unless Europe accelerates CRM development, it will remain strategically vulnerable. “The EU may as well be a province of China,” AMG Lithium CEO Stefan Scherer recently remarked, urging a “continental-scale investment surge.”

    For now, Chvaletice stands as CEE’s flagship. But with the EC due to revise its Strategic Projects list in early 2026, its future hinges on whether Czech authorities can align laws and issue permits in time. “Brussels has recognised the urgency,” Euro Manganese CEO Matthew James said. “But unless national systems accelerate, these projects will miss the transition window.”

  • Czech Republic Declares Manganese Project Crucial for Strategic Independence

    Czech Republic Declares Manganese Project Crucial for Strategic Independence

    Prague, Czech Republic – March 20, 2025 – The Czech Government has officially designated Euro Manganese’s Chvaletice manganese project as a strategic deposit under recent amendments to the Czech Mining Act, signaling the nation’s commitment to securing a reliable supply of this crucial raw material.

    This designation comes as the European Union seeks to strengthen its domestic supply chains for critical minerals, essential for electric vehicle batteries, renewable energy technologies, and various industrial applications.

    The Chromete Deposit at Chvaletice holds significant reserves of manganese, a metal vital for both the burgeoning green energy sector and traditional industries.

    “This is a significant milestone for Euro Manganese, and we appreciate the support and recognition of the importance of the Chvaletice manganese project,” said Martina Blahova, interim CEO of Euro Manganese. “This designation is a major catalyst for our development timeline and reflects the crucial role our project plays in establishing secure, sustainable raw material supply chains within the Czech Republic”.

    The strategic designation of the project is expected to significantly accelerate the permitting process with expedited approvals and streamlined bureaucracy. This will allow Euro Manganese to move forward with development more efficiently and meet the growing demand for manganese.

    Moreover, the classification unlocks access to potential state investment incentives, including grants, which will further bolster the project’s financial sustainability.

    This move signifies the Czech Republic’s proactive approach to addressing potential supply chain disruptions and securing its position in the growing global market for critical minerals.

    “The Chvaletice project is a prime example of how responsible mining can contribute to economic growth, energy independence, and the transition to a more sustainable future,” added Blahova.

    The company, which received Environmental and Social Impact Assessment approval in March 2024 and the Determination of Mining Lease permit in January 2025, is now well-positioned to bring this vital project online.

  • Euro Manganese Secures Second Offtake Deal in a Week for High-Purity Manganese Metal

    Euro Manganese Secures Second Offtake Deal in a Week for High-Purity Manganese Metal

    Euro Manganese (TSXV, ASX: EMN) has finalized its second offtake deal in a week, this time with Blue Grass Chemical Specialties, for the sale of high-purity electrolytic manganese metal (HPEMM) from its Chvaletice projectin the Czech Republic. The agreement, spanning an initial term of seven years, involves deliveries of HPEMM, a portion of the project’s projected annual output of 14,890 tonnes.

    The deal is subject to the successful qualification of the HPEMM within Blue Grass’s supply chain. Currently, an HPEMM sample from the demonstration plant is being evaluated by Blue Grass for this qualification. Euro Manganese reports that the product recently met the required specifications in tests by third-party laboratories.

    Pricing for the HPEMM will follow a take-or-pay basis, adjusted according to a Western benchmark price for high-purity manganese. This benchmark includes attributes like high quality, traceability, and strong ESG credentials, including a low CO2 footprint. As there is no current market index for HPEMM, pricing will be linked to the index for high-purity manganese sulphate monohydrate (HPMSM), which was around $700 a tonne in Shanghai in March, according to S&P Global Markets.

    This agreement follows a similar deal signed last week with Wildcat Discovery Technologies, which plans to build a plant in the US to produce cobalt/nickel-free cathode materials. Euro Manganese CEO Dr. Matthew James highlighted the strategic value of producing both high-purity manganese metal and sulphate at Chvaletice, offering customers flexibility for their manufacturing needs.

  • Euro Manganese has attained the endorsement of the Environmental and Social Impact Assessment (ESIA) for its Chvaletice Manganese Project.

    Euro Manganese has attained the endorsement of the Environmental and Social Impact Assessment (ESIA) for its Chvaletice Manganese Project.

    The Company has received a positive ESIA binding statement from the Czech Ministry of Environment, which approves the environmental and social conditions set out in the ESIA. This is the culmination of a four-year process, where 14 separate government authorities were required to provide a positive opinion on the Company’s ESIA, after which the ESIA was open to a public commentary period. No comments were received from the public, NGOs or regional municipalities during this period, demonstrating the excellent stakeholder engagement processes managed by the Company’s local Czech team.

    The approval of the ESIA is the key gating permit from which subsequent permits can follow, including the Land Planning Permit and the Construction Permit. Receipt of the ESIA also allows the Company to progress to the final determination of the Mining Lease for the Project.

    Euro Manganese is a battery materials company focused on becoming a leading producer of high-purity manganese for the electric vehicle industry. The Company is advancing development of the Chvaletice Manganese Project in the Czech Republic and pursuing an opportunity to produce battery-grade manganese products in Bécancour, Québec.The Chvaletice Project is a unique waste-to-value recycling and remediation opportunity involving reprocessing old tailings from a decommissioned mine. It is also 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.Euro Manganese is dual listed on the TSX.V and the ASX, and is also traded on the OTCQX.Authorized for release by the CEO of Euro Manganese Inc.Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) or the ASX accepts responsibility for the adequacy or accuracy of this release.

  • Euro Manganese’s Chvaletice Project Positioned to Support EU’s Critical Raw Materials Act

    Euro Manganese’s Chvaletice Project Positioned to Support EU’s Critical Raw Materials Act

    Euro Manganese Inc. issued follow-up remarks today regarding the European Commission’s recently approved Critical Raw Materials Act (CRMA), aimed at ensuring a sustainable supply of essential materials for the energy transition. With the Council of the EU granting final endorsement to the CRMA, Euro Manganese’s Chvaletice Manganese Project in the Czech Republic emerges as a pivotal asset, poised to become the sole European source of high-purity manganese crucial for the battery supply chain. The Act, officially adopted on March 18, 2024, identifies high-purity manganese as a strategic raw material vital for Europe’s decarbonization objectives and defense applications, while also designating manganese as a critical raw material due to its economic importance and supply risk. Dr. Matthew James, President & CEO of Euro Manganese, hailed the EU’s approval of the CRMA as a significant step towards securing critical materials for the energy transition, underscoring the potential of the Chvaletice Project to address these needs.