Marula Mining has signed a sales and offtake agreement with Fujax, a UK-based trading group, for manganese ore from the Larisoro mine in Samburu County, Kenya.
The deal marks a significant step for Africa-focused Marula Mining in securing a stable revenue stream for its manganese production.
Under the agreement, Marula will initially deliver 2,000t of manganese ore, followed by a minimum of 5,000t and up to 20,000t per month over a one-year period.
This arrangement includes the option for extension by mutual consent.
Deliveries to Fujax will begin immediately, utilising both stockpiled material in Nairobi and processed ore from the Larisoro mine.
Marula CEO Jason Brewer said: “Entering into this initial sales and offtake agreement with Fujax so soon after getting involved with our investment in the Larisoro manganese mine supports our belief in the potential of this manganese mining operation.
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“We are delighted by this agreement, which is in addition to the Blesberg Lithium offtake agreement with Fujax. We look forward to our collaboration with Fujax to deliver manganese ores into the international export markets whilst generating sales proceeds for the company.
“It has been a busy period for our team on site at the Larisoro Manganese Mine and I look forward to updating shareholders with more news as we complete our exports of manganese ores.”
Recently, Marula announced an investment to acquire stake in the Larisoro mine.
The company reached a binding terms sheet with Kenyan operator Gems and Industrial Minerals for an initial 60% commercial interest in Larisoro, a shallow open-pit mine.
Over the past six years, the mine has produced manganese ore with an average manganese content of 33.41%.
