Giyani Metals aims to be Africa's first low-carbon producer of high-purity manganese sulphate

Giyani Metals Corp is a battery metal development company focused on becoming one of Africa's first low-carbon producers of high-purity manganese sulphate monohydrate (HPMSM), a precursor material used by lithium-ion battery manufacturers for the expanding electric vehicle (EV) market.

The company is currently developing a portfolio of high quality manganese oxide assets within the Kanye Basin, located in south-eastern Botswana, Africa including its flagship K.Hill project, which is scheduled to become the next large scale producer of HPMSM, a market expected to grow ten times (10x) by 2030.

Giyani Metals Corp (TSX-V:EMM, OTC:CATPF) said on Monday it has received a non-binding letter of interest from the Export-Import Bank of the United States (EXIM) for up to $225 million in financing to support the construction of its K.Hill battery-grade manganese project in Botswana.

The potential funding, in the form of long-term debt with a repayment period of up to 15 years, would fall under EXIM’s Supply Chain Resilience Initiative (SCRI), a program launched earlier this year aimed at reducing US reliance on critical mineral supply chains dominated by China.

The letter of interest follows months of engagement between Giyani and the US government’s official export credit agency. While the letter is not a binding commitment, it represents a first step in the formal application process, the company said.

Export credit agency funding can offer more favorable terms than traditional financing, Giyani noted, including lower interest rates and longer repayment periods, helping to maximize shareholder value.

Giyani Metals Corp (TSX-V:EMM, OTC:CATPF), the developer of the K.Hill battery-grade manganese project in Botswana, announced several updates to its board of directors and executive team.

Nigel Robinson has been appointed as the new chair of the board, succeeding Mark Burnett, who had served as interim chair.

Giyani Metals Corp (TSX-V:EMM, OTC:CATPF) earlier this week confirmed the shipment of its first high purity manganese oxide samples from its demonstration plant in Johannesburg to potential off-takers.

The company said this shipment represents a key milestone as it transitions from laboratory to demonstration scale—a process it claims sets it apart from competitors outside China. Giyani is the only group to reach this scale in battery-grade manganese production outside of China.

The International Energy Agency (IEA) is forecasting a significant shift in the automotive industry: by the end of the decade, one in every five cars on the road in the US and Europe will be electric.

In China, the transition is expected to be even more rapid, with one in three family sedans and SUVs being battery-powered.

Giyani Metals Corp (TSX-V:EMM, OTC:CATPF) CEO Charles FitzRoy talked with Proactive's Stephen Gunnion about the company's advancements in developing battery-grade manganese projects in Botswana. FitzRoy highlighted the commissioning of the demonstration plant in Johannesburg, capable of producing up to 600 kilograms per day of high-purity manganese sulfate monohydrate. This critical material is used in NMC electric vehicle batteries, aligning with growing global demand driven by policies like the US Inflation Reduction Act and the EU Critical Materials Act.

He explained that the demonstration plant serves as a key phase for securing offtake agreements with OEMs. Testing will start in early 2024, with the first product batches leading to indicative terms by Q2. FitzRoy emphasised Giyani's strategic positioning to meet increasing demand for battery-grade manganese by 2027-2028, leveraging Botswana’s favourable mining environment and the country's efforts to diversify its economy.

“Botswana is a fantastic place to develop projects,” FitzRoy said, noting the country’s quick approvals and focus on critical metals.