Euro Manganese (EMN), listed on both the TSX-V and ASX, has reported promising results from its Preliminary Economic Assessment (PEA) for the Chvaletice Manganese Project in the Czech Republic. The assessment indicates a pre-tax Net Present Value (NPV) of US$740 million and a post-tax NPV of US$492 million. The project is forecasted to yield a pre-tax internal rate of return of 16%, supported by a 48% operating margin.
This development emerges at a time when the demand for high-purity manganese, essential for electric vehicle batteries, is increasing. The supply shortfall is expected to become evident after 2027, and the global market is currently dominated by China, which controls approximately 95% of high-purity manganese refining. This places Western battery manufacturers in a vulnerable position. EMN’s initiative positions it uniquely as the only integrated high-purity manganese project under development in Europe, aligning with energy transition goals and strategic supply chain considerations.
Key highlights of the Chvaletice Manganese project include its distinction as the sole integrated high-purity manganese operation being developed in Europe and North America. The project’s economics are robust, boasting a 48% operating margin at a conservative pricing of US$2,888 per tonne for high-purity manganese sulphate monohydrate (HPMSM). This demonstrates the project’s resilience against fluctuating commodity prices, which is a significant advantage for investors in uncertain market conditions. Furthermore, recovery rates for HPMSM and high-purity electrolytic manganese metal (HPEMM) have reached 60% and 61% respectively, underscoring the technical advancements achieved through EMN’s demonstration plant and metallurgical testing.
The project is set to have an operational lifespan of 26 years, with an annual nominal production capacity of 150,000 tonnes of HPMSM. It also offers full conversion flexibility between HPEMM and HPMSM, allowing it to meet diverse and changing customer requirements.
Euro Manganese Inc., listed on TSX-V and ASX under the symbol EMN, is at the forefront of developing the Chvaletice Manganese Project, which represents Europe’s only imminent source of high-purity manganese. This critical material is vital for next-generation electric vehicles, energy storage solutions, and defense applications. By reprocessing historical mine tailings, the project aims to create a low-carbon, fully traceable supply chain within the European Union, positioning Euro Manganese as Europe’s first domestic producer of high-purity manganese. This initiative supports the increasing demand for sustainable and strategic battery materials while contributing to Europe’s clean-energy and supply-chain independence objectives.