Lindian Resources announced on November 10 that its Singapore subsidiary Lindian Global Rare Earths has executed a binding offtake term sheet for 30,000 dry metric tonnes of monazite concentrate from the Kangankunde rare earths project in Malawi. Stage 1 covers 10,000 dry metric tonnes over an initial one year term, with the first container scheduled to leave Nacala Port in January 2027, and Stage 2 covers 20,000 dry metric tonnes a year over five years. The buyer is described as a major global rare earths refining group with established chloride and solvent extraction operations, and was not named.
Pricing references the Asian Metals Index with a payability factor tied to rare earth oxides across ten elements, including neodymium, praseodymium, dysprosium and terbium. The specification is an average 54 percent total rare earth oxide concentrate with a 52 percent minimum. The term sheet is binding but conditions include a full form offtake agreement, production of concentrate at Kangankunde and third party consents and approvals.
Executive chairman Robert Martin said Stage 1 concentrate capacity is now fully allocated between offtake partners and Lindian’s own SARECO mixed rare earth carbonate facility. Stage 2 allocation sits at 45,000 dry metric tonnes a year, including up to 25,000 tonnes covered by Iluka Resources’ right of first refusal; Iluka separately holds a 6,000 tonne a year supply agreement over about 15 years to feed its Eneabba refinery in Western Australia, and France’s Carester is also a customer.
Kangankunde hosts a mineral resource of 261 million tonnes grading 2.19 percent total rare earth oxides. Lindian targets first production in December 2026 and says the project is fully funded through to that milestone. Its shares rose more than 17 percent in early trade to a high of 44.75 cents.