Element 25 Limited has made significant strides in advancing its Butcherbird Expansion Project in Western Australia, securing $60 million in funding and progressing key engineering and contract milestones. Simultaneously, the company moves closer to finalising financing for its US-based battery-grade manganese refinery.
- Butcherbird Expansion Project targets 1.1Mtpa manganese concentrate production
- Completed $10 million equity placement and secured $50 million senior debt from NAIF
- Advanced engineering design and procurement of critical processing equipment
- Offtake agreements nearing finalisation with key industry players
- Louisiana HPMSM refinery financing progressing with US government grants and automotive partners
Butcherbird Expansion Gains Momentum
Element 25 Limited has accelerated its Butcherbird Expansion Project (BBX) during the December 2025 quarter, moving from planning into detailed engineering and procurement phases. The project aims to increase manganese concentrate production to 1.1 million tonnes per annum, a substantial scale-up from current operations. This expansion is designed to meet demand from both traditional steel markets and the emerging battery materials sector.
Engineering design activities are well advanced, led by Altris Engineering in close collaboration with Element 25’s in-house team. The integrated project approach is delivering early process improvements and cost-saving opportunities, signalling a focus on execution flexibility and efficiency. Key long-lead equipment, including mineral sizers and a logwasher, have been procured, aligning with the project’s construction timeline.
Robust Funding and Contracting Progress
Financially, Element 25 has strengthened its position by completing a $10 million equity placement and securing a $50 million senior debt facility from the Northern Australia Infrastructure Facility (NAIF). These funds are earmarked primarily for advancing detailed engineering and securing critical equipment. The company is actively negotiating additional funding to fully finance the expansion.
On the commercial front, the tender process for mining services is nearing final selection, with shortlisted contractors evaluated on experience and value. Offtake discussions for the increased manganese concentrate production are well advanced, with term sheets under final review. The unique properties of Butcherbird manganese concentrate, such as high silica content and low contaminants, make it particularly attractive to smelters in the silico-manganese market.
Battery-Grade Manganese Refinery in Louisiana
Parallel to the Butcherbird expansion, Element 25 is progressing its lithium-ion battery grade high-purity manganese sulphate monohydrate (HPMSM) refinery project in Louisiana, USA. The company is finalising project financing, supported by a US$166 million grant from the US Department of Energy, alongside senior debt and equity commitments from automotive giants General Motors and Stellantis. This refinery aims to produce low-carbon, high-purity manganese critical for electric vehicle batteries, leveraging Element 25’s proprietary processing technology.
Corporate Developments and Capital Management
In corporate news, the company announced the retirement of Non-Executive Director Rudolph (Fanie) van Jaarsveld, who will continue as a consultant to support the Butcherbird Expansion Project. Additionally, Element 25 has established a $30 million standby equity facility with Acuity Capital, providing flexible capital to support ongoing growth and working capital needs. This facility offers the company discretion over timing and pricing, with no obligation to draw funds.
Element 25 maintains all necessary regulatory approvals for the Butcherbird Project, including environmental licences and mining proposals, ensuring compliance as the expansion progresses. The company’s focus on integrating advanced digital business intelligence systems aims to optimise operations from pit to port, enhancing safety, performance, and cost efficiency.
Bottom Line?
With robust funding in place and engineering well underway, Element 25 is poised to transform its manganese operations and battery materials footprint, though final financing and contract awards remain critical next steps.
Questions in the middle?
- When will Element 25 achieve full financial close for the Butcherbird Expansion Project?
- Which mining services contractor will be selected to support the expanded operations?
- How will the Louisiana HPMSM refinery timeline align with manganese concentrate production ramp-up?