What's Happening?
Marula Mining PLC has entered into a binding agreement with Bamba Mining Company Limited to acquire a 60% interest in the Bamba Manganese Mining Project located in Kilifi County, Kenya. The project includes expired prospecting licenses and pending mining permit applications over an area of 40km2. Marula will hold a 60% interest in the project, while Bamba retains a 40% non-dilutable interest. Marula plans to fund a 12-month exploration and development program to establish a large-scale commercial manganese mining operation. The company will also invest in new mining and processing equipment to achieve a minimum monthly production target of 10,000 tonnes of saleable manganese ore.
Why It's Important?
This acquisition is significant for Marula Mining as it expands its operations in the manganese sector in Kenya, aligning with its strategy to develop high-impact battery metals assets across Africa. The partnership with Bamba Mining is expected to drive rural economic transformation and youth entrepreneurship in the Ganze region and Kilifi County. The project aims to increase domestic processing capacity and establish strategic export infrastructure, contributing to the economic development of the region. Marula's investment in the project reflects the growing global emphasis on sustainable resource extraction.
What's Next?
Completion of the acquisition is subject to satisfactory legal and financial due diligence by Marula, as well as the execution of community-related agreements and formal documentation. Upon meeting these conditions, Marula will assume operational control of the project through the proposed joint venture structure. The company plans to secure offtake agreements for the delivery of 100% of production on mutually acceptable terms, funded by its operating cash flow from existing manganese operations in Kenya.
