Kodal Minerals is on track to become West Africa’s first London-listed lithium producer in the fourth quarter of 2024, as its Bougouni lithium project in southern Mali nears production.
On Tuesday, the company confirmed a $117.75 million (£89.75 million) funding package for stage one of the Bougouni project, originally announced in November.
Kodal Mining UK has also taken ownership of the project in exchange for a $100 million investment from its operating partner, Hainan Mining, a subsidiary of Fosun International. Kodal now holds a 49% stake in the Bougouni project.
Kodal Minerals CEO Bernard Aylward commented, “The past 12 months have been transformative for Kodal as we transition from developer to producer, with first-stage production on track for Q4 2024.
This milestone will make Bougouni the first London-listed lithium producer. We are excited about Kodal’s role in the global electric vehicle (EV) revolution, supplying feedstock to Hainan’s lithium hydroxide plant in China, which serves Asian markets, including Japanese and Korean car battery manufacturers.”
The Bougouni project will be the first of several West African projects Kodal plans to bring into production. Located 170 km south of Mali’s capital, Bamako, the mine is positioned near major operations such as B2Gold’s Fekola mine and Hummingbird’s Yanfolila mine. The project remains on track and within budget for commercial production by Q4 2024.
Kodal Minerals also reported a 266% increase in net assets due to a rise in mineral resources, boosting its share price by 3% to £0.50 in London at market close on Tuesday.
