Element 25 and OM Holdings Sign Manganese Offtake Agreement for Butcherbird Mine
Element 25 has finalized a five-year offtake agreement with OM Holdings for manganese concentrate from the Butcherbird mine, advancing the Butcherbird Expansion Project (BBX) targeting 1.1 Mtpa production. This deal aims to secure a reliable sales channel and bolster investor confidence for project financing.
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Element 25 (ASX:E25) has entered a long-term binding offtake agreement with OM Holdings (ASX:OMH) for manganese concentrate from its Butcherbird mine in Western Australia. The agreement, which spans five years, underpins the expansion of the Butcherbird mine targeting 1.1 million tonnes per annum (Mtpa) of manganese concentrate.
It is expected to enhance the project’s financial stability and de-risk the development pathway, attracting lender and investor support. The Butcherbird expansion is based on a feasibility study from January 2025, which indicates a life of mine exceeding 18 years with a total ore reserve of 101.4 million tonnes at 10.4% manganese. Element 25 aims for mechanical completion and commissioning by Q1 2027.
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