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Another point that could play a role in the issuing of export licenses is that Mali Gov still has plans to process Spodumene Concentrate in-country to also produce batteries in-country, together with Ganfeng.

It is not known how far these talks/negotiations with Ganfeng are but it could certainly influence the decisions for export licenses for SC. Not necessarily negative, but annoying if they drag on for a long time. Patience is definitely needed here!

As for the activities in Ngoualana, we still see the stockpile SC and the other stockpiles of residual products from the DMS plant growing.

And also activity at Boumou.

DYOR

GLA

AEM (a student association) has nicely expressed how they see the current situation but they have no influence on the policy of the Malian government.

Of course Kodal Minerals PLC has good relations with the Malian government and mining services, but they also have no influence on decisions that these governments or services have to make. So it is, as often, waiting and hoping for a quick and good decision to make by the Mali Gov services and Ministers so that KMUK can continue and start the much needed export and sale of their Spodumene concentrate.

DYOR

GLA

From satellite images we can clearly see a growing stock of SC so the DMS plant is definitely still in operation.

DYOR

GLA

Published 15 May 2025 by SikaFinance

Mali: Second lithium mine struggles to export its first ore production

Having barely entered production, Mali's second lithium mine, operated by the British company Kodal Minerals, is already shut down. The cause: regulatory obstacles preventing the export of its first shipments. Interviewed by Reuters, the company's CEO, Bernard Aylward, indicated that regulatory constraints are blocking the value chain. "We are spending money to produce a product we want to sell. Our customer is ready to buy it, but we cannot export it," he told the source.

As a result, Kodal Minerals has temporarily suspended operations at the site, located in the Bougouni region, in the south of the country. The mine, which began operations in February, already has nearly 20,000 tons of spodumene, the lithium-rich ore, awaiting export. A significant inventory, while the company has entered into an exclusive sales agreement with its strategic partner, the Chinese group Hainan Mining.

This setback comes amid a growing momentum in the lithium sector in Mali. Ganfeng Lithium, also Chinese, inaugurated the country's first mine in December, also in the Bougouni region. However, the situation facing Kodal Minerals illustrates the persistent challenges of a regulatory framework still under construction, in a country seeking to capitalize on its strategic resources without compromising its sovereign obligations.

https://www.sikafinance.com/marches/mali-la-seconde-mine-de-lithium-peine-a-exporter-ses-premieres-productions-de-minerais_52687

What part is "Market sensitive information"?

DYOR

GLA

Other video from the plant in action (From 12 Feb 2025) from Kodal Minerals:

https://www.youtube.com/watch?v=NYvLZExfeyU&t=99s

SC on the conveyor

But in this last video on Facebook we see some stockpiles (not SC) and other elements from the plant.

DYOR

GLA

Laverda, who am I attacking?

I will tell you without going into detail, things that I have noticed and still notice, that are currently ringing alarm bells for me.

If you only incur costs (which continue to increase every month) without having any income while you also have to pay interest on a drawn part of a loan facility (why was that necessary if there was enough cash available), then I conclude that it is all taking a bit too long.

We are not going to point to anyone as a scapegoat, we know that it is not an easy environment (Mali), that lithium prices continue to fall and that working together in a JV sometimes creates difficult/unpleasant situations.

There are also many things that are still unknown to us as investors.

Remember, B.A. has said things before that ultimately turned out completely differently and that can happen again. Many uncontrollable factors are present or suddenly appear.

About the "ore", if that is a typo for you? 🤔🤔

But agree, everyone makes mistakes or errors, even "the best"

DYOR

GLA

LMLB uses ore in his process to produce Spodumene Concentrate, don't see any advantage in transporting ore to the port?

Nameplate has nothing to see with export license. The moment they have the export permit, they'll start to transport to export to China. They can't afford waiting till reaching nameplate to export if it takes a few months. Who is going to pay the bills?

Storage of the end product of the plant (SC) on the grounds of Bougouni Mine does not generate income and if there is no income for several months, how will they pay the bills. Taking out a loan facility is possible but not desirable.

Export permit is urgently needed to generate income to be able to pay the bills in the coming months.

DYOR

GLA

Not going in detail but these figures can't be correct

Suay Chin has stil 10.99% untill an RNS is telling us different.

But maybe it's better to control the source.

DYOR

From the RNS 01 Nov 2024

The State and national investors will have an equity interest in LMLB of 35% through the issue of new shares, the acquisition of which has been calculated in accordance with the provisions of the 2023 Mining Code. The State always had an initial 10% free participation right in the Project and the agreed acquisition price for the additional 25% of new equity is approximately US$4.3 million. The 35% equity interest holds priority rights, including preventing the State and national investors' interest from being diluted below 35% in the event of any capital increases in LMLB. It is noted that the KMUK partners retain the right to recover all capital investment and intercompany loans from the operation as a priority.

=> NO fair market value, only +/- $US 4.3 for the 20%+5%

And in total the Malians have 35% of LMLB

DYOR

Idd, percentages are as agreed in MOU and confirmed in decree and as such executed in the new structure of LMLB to include those Mali participations.

The financial part is not clear and maybe that is a possible reason or part of possible reasons why the export permit is still not delivered.

Surely they will come to a solution but it will take time

GLA

About the Mali Gov share, it doesn't matter if they have already purchased their extra part or not. We know they go for the 10%+20%+5% and the structure of LMLB is modified as such. So LMLB shareholders: 65% KMUK and 35% Mali. This was part of the MOU and confirmed in the Decree n2024-0723/PT-RM of December 13, 2024 establishing the terms of State participation in the share capital of the Company "Les Mines de Lithium de Bougouni (LMLB-SA)"

From RNS 05 Apr 2025:

"The update of LMLB's company structure to include the Mali Government's shareholding has been completed and all necessary compliance has been approved by the Ministers of Mining and Finance. "

So, structure of LMLB is known but we don't know if the financial part is completed. That again can be described in the MOU but that agreement is not available for shareholders.

DYOR

GLA

Yes, that's what they decided formal in December 2024

Take their 10% free, purchase 20% extra and also purchase the 5% participation for national investors.

DGABE managing the 30% the states stake in LMLB and SOREM managing the national investors stake in LMLB.

Gov has 2 independent Directors

I only discovered these small details today

It's all described in the DECRET N°2024-0723/PT-RM DU 13 DECEMBRE 2024 published in JO 2024-28

https://sgg-mali.ml/JO/2024/mali-jo-2024-28.pdf

DYOR

GLA

From SGG Mali

Communiqués du Conseil des Ministres de 16 04 2025

https://sgg-mali.ml/fr/communiques-du-conseil-des-ministres/communiques-du-conseil-des-ministres.html

2. On the report of the Minister of Mines, the Council of Ministers adopted a draft decree authorizing the transfer to Les Mines de Lithium de Bougouni-S.A. of the large lithium mine operating permit awarded to Future Minerals-SARL in Foulaboula, in the Bougouni Circle, Bougouni Region.

A research permit for lithium and group 2 mineral substances was awarded to Future Minerals-SARL in Foulaboula.

The research work carried out by the Company on the Foulaboula perimeter led to the discovery of a lithium deposit with estimated reserves of 21.31 million tonnes at a grade of 1.11% lithium oxide, exploitable by the conventional open-pit method over a period of 10 years

Following this discovery, a large-scale lithium mine operating permit was awarded to Future Minerals-SARL by Decree No. 2021-0774/PM-RM of November 5, 2021.

Pursuant to the provisions of the Mining Code, Future Minerals-SARL created the Malian public limited company called "Les Mines de Lithium de Bougouni-S.A."

The draft decree, adopted, authorizes the transfer to Les Mines de Lithium de Bougouni-S.A. of the large-scale lithium mine operating permit awarded to Future Minerals-SARL

DYOR

GLA

It was 21Mt when the license was signed in Nov 2021

https://saheltribune-com.translate.goog/bougouni-capitale-du-lithium-une-decision-strategique-pour-lavenir-minier-du-mali/?_x_tr_sl=fr&_x_tr_tl=en&_x_tr_hl=nl&_x_tr_pto=wapp

DYOR

GLA

Maybe this time that 1 is really the code announcing an RNS for Thursday 17 April 2025

License transfer?

Other?

DYOR

GLA

Doesn't change the situation that Hainan Mining has in Yangpu

Since 2020 China started a "Zero Tariff" in Yangpu

https://govt.chinadaily.com.cn/s/202412/30/WS678b32f7498eec7e1f72d9b7/hainan-ftp-raw-materials-zero-tariff-policy-saves-1-2-bn-in-taxes.html

In the Yangpu Economic Development Zone, new material and new energy industries are popping up at a rapid rate. The Hainan Xingzhihai New Materials Company has invested a total of 1.056 billion yuan ($0.14 billion) in the production of 20,000 tons of battery-grade lithium hydroxide. The company enjoys the benefits of the 'zero tariff' policy for the import of raw and auxiliary materials, and the finished product is expected to save around 10% in taxes.

DYOR

GLA

Translation of the communication (not perfect)

Minister of Mines Press Release

Partial lifting of the suspension measure for the treatment of certain cases relating to mining titles

The Minister of Mines informs all players in the mining sector that the measure to suspend the processing by the Mining Administration of applications for the allocation, renewal or disposal of mining titles, in force since 28 November 2022, is partially lifted as of 15 March 2025.

This decision, which followed (major remediation work) on the mining land registry, marks a major turning point in the implementation of the reforms undertaken by the Transition Government for rigorous governance of the mining sector.

Upon the entry into force of the terms of this press release, the Mining Administration, in accordance with the provisions of Law No. 2023-040 of 29 August 2023 on the Mining Code in the Republic of Mali and its implementing texts, will receive for processing:

applications for renewal of research permits and permits exploitation;

requests relating to the transition from the research phase to the exploitation phase;

requests for direct or indirect transfer (s) of permits exploitation.

Applications for new allocations of mining titles and transfer of research permits are not affected by this measure.

The Minister of Mines is confident that the mining sector will cooperate fully with a view to a full resumption of mining activities in the Republic of Mali.

ERE OF MIN Minister

1h.

#Mines_Mali PRESS RELEASE ON THE PARTIAL LIFTING OF THE SUSPENSION OF THE PROCESSING OF CERTAIN FILES RELATING TO MINING TITLES

The #Ministre of #Mines of the #Mali informs all stakeholders in the mining sector that the measure to suspend the processing by the mining administration of applications for the allocation, renewal or authorization of the transfer of mining titles, in force since November 28, 2022, is particularly lifted as of March 15, 2025.

AEM Mali For the Promotion of Mali's Mining Sector

DYOR

The translation I posted earlier is from the LinkedIn post from AEM Mali about the same video

https://www.linkedin.com/posts/aemmali_maliabrlithium-bougouni-bougouni-ugcPost-7303181638027341825-IlMP?utm_source=share&utm_medium=member_android&rcm=ACoAADGDKa8B3tEaihLDDpeDjD8IXaWYalo7tOk