Euro Manganese Inc secures EU-backed support to advance manganese project
Support from the EIT InnoEnergy is a vote of confidence in the company and validates the potential of the Czech project to provide a key resource to drive Europe’s intention for a cleaner and greener future.
() () (OTCMKTS:EROMF) (FRA:E06) has secured the support of European Union-backed knowledge and innovation organisation EIT InnoEnergy to accelerate integration of the Chvaletice Manganese Project in the Czech Republic into Europe’s battery supply chain.
EMN’s and its wholly-owned Czech Republic subsidiary Mangan Chvaletice s.r.o have signed a Project Support Agreement and a Value-Added Services Agreement to secure the support of EIT InnoEnergy, which is supported by the European Institute of Innovation and Technology.
The Chvaletice project, the only sizeable manganese resource in the European Union (EU), is designed to produce high-purity manganese products by reprocessing manganese-rich tailings from a decommissioned mine site in the Czech Republic.
EIT InnoEnergy leads the industrial stream of the European Battery Alliance, an initiative launched by the European Commission in October 2017 with the objective to build a strong and competitive battery industry in Europe.
Securing offtake agreements and financing
EIT InnoEnergy’s services will focus on securing offtake agreements with consumers of high-purity manganese products and supporting strategic financing efforts.
Additionally, EIT InnoEnergy has also further agreed to help Euro Manganese secure financing of up to €362 million for the commercial development of the Chvaletice Manganese Project.
Potential funding sources include Europe-wide and regional grant programs as well as European project finance and economic development banks.
Financial support for the Chvaletice Manganese Project will be conducted through the Business Investment Platform created by the European Battery Alliance.
EIT InnoEnergy’s services are non-exclusive and it will work alongside Euro Manganese’s financial and other advisers.
Big vote of confidence
Euro Manganese chief executive officer Marco Romero says the Chvaletice Manganese Project offers Europe’s only realistic opportunity to deliver local, primary production of a critical battery raw material for which demand is growing rapidly, driven principally by electric vehicle battery manufacturing.
He says the EIT InnoEnergy support marks a big vote of confidence for the company and solidifies its presence in Europe. This supports the company’s aim to be a key supplier of manganese to a self-reliant ‘cleaner and greener’ Europe in the future.
“We are grateful to have enlisted the support of EIT InnoEnergy and look forward to working with them to bring our project to fruition.
“By recycling the Chvaletice tailings, our Czech subsidiary, Mangan Chvaletice, will be providing Europe with high-purity manganese products that meet or exceed the EU and Czech Republic’s stringent environmental standards.”
Long-term supply of high-purity manganese
EIT InnoEnergy chief executive officer Diego Pavia said he was confident the Chvaletice Manganese Project was well-placed to provide Europe’s fast-growing EV industry with a secure, long-term supply of high-purity manganese.
“Euro Manganese’s proposed development is the only sizeable manganese resource in the European Union.
“It represents a unique opportunity for Europe to secure a measure of self-sufficiency in manganese, which is a critical battery raw material.
“The Chvaletice Manganese Project has the potential to provide up to 50% of projected 2025 European demand for high-purity manganese and around 28% of anticipated 2030 requirements.”
Pavia also noted that the project would deliver significant environmental benefits.
“Our society is moving to electric mobility as part of Europe’s green transition and this project exemplifies the ideals of a sustainable, circular economy.
“This 25-year project’s low carbon…
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