IN BRIEF: Sovereign Metals inks initial offtake deal with Mitsui

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Sovereign Metals Ltd - Perth, Scotland-based rutile exploration and development company focused in Malawi - Signs non-binding memorandum of understanding with Japanese conglomerate Mitsui & Co Ltd, which will establish a marketing alliance and offtake for 30,000 tonnes of rutile per annum from its Kasiya project in Malawi.

The MoU is non-exclusive and non-biding with currently no pricing terms. The deal will expire on December 31, 2023, but can be extended via agreement by both parties if needed.

‘The Asia region is a key natural rutile market with all major end-use sectors well established and further strong growth forecast. We expect expanding technology developments and increasing environmental awareness to drive greater demand for natural rutile. This marketing alliance with a very high-calibre partner in Mitsui will assist Sovereign to penetrate these ever-growing markets,’ said Managing Director Julian Stephens.

Current stock price: 27.75 pence, up 11% on Thursday

12-month change: down 12%

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