Mining industry needs $2.1 trillion in new investments by 2050 – BloombergNEF
The report highlights that critical energy transition metals could face supply deficits this decade—some as early as this year.
Lifezone Metals (NYSE: LZM) has signed a memorandum of understanding (MOU) with the Japan Organization for Metals and Energy Security (JOGMEC) that aims to support the Japanese agency’s efforts to secure cleaner metals from Lifezone’s Kabanga nickel project.
Located in Tanzania, Kabanga is considered to be one of the world’s largest and highest-grade undeveloped nickel sulfide deposits, containing 881,000 tonnes of nickel in measured and indicated resources and 391,000 tonnes inferred. The project also contains copper and cobalt as byproduct.
The project will support a fully integrated mine-to-metal operation, with Lifezone proposing a refinery in Kahama that utilizes its proprietary hydrometallurgical (Hydromet) technology, which the company says has the potential to significantly reduce emissions compared to traditional smelting methods.
Development of the Kabanga project is entails two phases, with 1.7 million tonnes mined per year in Phase 1 and another 1.7 million tonnes added in Phase 2. The specifics will be included in a definitive feasibility study, which Lifezone aims to complete this year.
Earlier in July, the project produced its first nickel metal since its discovery in 1975.
Under the terms of the MOU, the parties will work together to facilitate the supply of nickel from Kabanga, through Lifezone’s portion of marketing rights, for Japan’s growing battery market, ensuring a sustainable and traceable metals value chain.
JOGMEC will consider providing financial support for Japanese companies upon its submittal of an application for the Japanese governmental funding support program. This potential investment, said Lifezone, underscores the importance of the Kabanga project in meeting the increasing demand of Japanese industry for cleaner metals.
This initiative aligns with both Lifezone’s and JOGMEC’s commitment to advancing responsible mining practices and supporting the global transition to clean energy, the nickel miner said in a press release Thursday.
“With BHP as our project development partner, Societe Generale as our lead financial advisor for the project financing process, the support of the US International Development Finance Corporation and the government of Tanzania, and now strategic cooperation with JOGMEC, we see a clear indication of intent to drive this globally significant project forward to the benefit of all partners and stakeholders,” CEO Chris Showalter said.
JOGMEC, while independent from the Japanese government, is a partner of the US-led Minerals Security Partnership (MSP) that aims to accelerate the development of diverse and sustainable critical energy minerals supply chains.
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