Globe Metals Confirms US$1B NPV and 24-Year Mine Life for Kanyika Project

Bankable Feasibility Study Validates Kanyika’s Economic Strength

Globe Metals & Mining Limited (ASX:GBE) has delivered a defining milestone with its recently completed Bankable Feasibility Study (BFS) for the Kanyika Niobium Project in Malawi, confirming a post-tax net present value (NPV) of approximately US$1.0 billion and an internal rate of return (IRR) of 48%. The study outlines a 24-year mine life, targeting first production in early 2028, and forecasts an average annual EBITDA of US$205 million supported by a gross margin of 72% over the life of mine.

The BFS highlights the project’s low operating cost position at US$14.26 per kilogram of Nb₂O₅, placing Kanyika firmly within the lowest cost quartile globally. This is underpinned by favourable geology, strong metallurgical recoveries, and an integrated mine-to-refinery operation designed to maximise value capture across the processing chain.

The project’s phased development strategy, starting with a modest initial capital expenditure of US$139 million and scaling up to a total of US$392 million, aims to reduce upfront financial intensity and enhance funding feasibility. This approach will see initial ore processing at approximately 500,000 tonnes per annum, expanding to 1.5 million tonnes per annum as market conditions allow.

Advancing Early Works and Community Engagement

Early works are progressing with upgrades to a 6-kilometre access road, establishment of site infrastructure including camps and offices, and preparatory earthworks targeting plant terraces and mining platforms. These activities support the transition towards full construction readiness and align with the Company’s timeline to commence mining in 2027 and deliver first ore to the plant in 2028.

Globe is also actively engaging with Project Affected Persons (PAPs) through sensitisation and resettlement planning meetings. These sessions are designed to ensure transparent communication on compensation and relocation, critical for maintaining the social licence to operate.

Strategic Positioning Amid Tightening Market Dynamics

Niobium demand has surged approximately 27% year-on-year, driven by aerospace, defence, and advanced manufacturing sectors, while tantalum has experienced around 55% growth with supply constrained by geopolitical and regulatory complexities. Kanyika’s conflict-free supply profile, located in stable Malawi, offers a rare alternative to the concentrated Brazilian niobium market and conflict-affected tantalum sources in Central Africa.

Interim CEO Charles Altshuler emphasised the strategic timing of the BFS, noting the project’s scale, low cost, and traceability as key differentiators. The Company is now focused on securing funding, offtake, and EPCM contracts, aiming for a Final Investment Decision in the second half of 2026.

Financial Position and Next Steps

At quarter end, Globe held $4.2 million in cash, down from $5.76 million the previous quarter, and remains debt free. The Company utilised proceeds from its Q4 2025 capital raise to complete the BFS and advance early works. While funding discussions with development finance institutions and strategic partners are ongoing, agreements remain non-binding and subject to customary conditions.

The BFS and recent operational progress build on earlier milestones including the Company’s debt-free status and $8.67 million capital raise and phased growth strategy outlined in the 2026 BFS. These underpin Globe’s pathway to construction and production, with a clear focus on de-risking critical path items through early contractor engagement and execution planning.

With the Kanyika project positioned to deliver a significant new source of niobium and tantalum, the coming months will be pivotal in securing binding project financing and offtake agreements that will determine the pace of development and ability to capitalise on tightening market conditions.