Euro Manganese (ASX:EMN) Offtake Term Sheet Announcement

Euro Manganese Inc. (ASX:EMN) has signed an offtake term sheet with FeMoCat Ltd for the sale of high-purity manganese sulphate and magnesium carbonate from its Chvaletice Manganese Project in the Czech Republic. The term sheet, dated September 6, 2024, outlines the agreement for FeMoCat to purchase a portion of the Project's planned high-purity manganese sulphate monohydrate production and a significant tonnage of magnesium carbonate produced as a by-product.

Executive Commentary on Offtake Term Sheet

The demand for Euro Manganese's high-purity products from the Chvaletice Project continues to accelerate with companies recognizing the impending deficit and securing their requirements via an offtake Term Sheet. The fact that FeMoCat requires locally sourced products for their existing operations in Pardubice, and potential for increased tonnages as they evaluate new opportunities, demonstrates the value of having a resource in the heart of Europe. Furthermore, the ability to provide FeMoCat with a valuable magnesium carbonate feedstock, from one of the Project's by-products, underscores both companies' commitments to maximizing process efficiency and circularity. We look forward to supplying FeMoCat with fully traceable, responsibly produced products and are proud to be partnering with a company who shares our ambition of seeking to reduce or eliminate the use or generation of hazardous substances in their processes and is focusing on reducing emissions, improving energy efficiency and recycling products, which is at the core of our values.

Summary of Euro Manganese (ASX:EMN) Offtake Term Sheet Announcement

Euro Manganese Inc. (ASX:EMN) has entered into an offtake term sheet with FeMoCat Ltd for the sale of high-purity manganese sulphate and magnesium carbonate from its Chvaletice Manganese Project. The agreement demonstrates the value of producing high-purity manganese sulphate with market-leading ESG credentials at Chvaletice and the ability to meet the needs of a larger and more diverse customer base. The offtake tonnages represent a portion of the Project's planned high-purity manganese sulphate monohydrate production and a significant tonnage of the magnesium carbonate produced as a by-product. Deliveries are set to commence from first production, ramping up with the Project's production capacity, for an initial term of seven years with potential for renewals. The pricing in the Term Sheet is designed to meet the Project's debt finance banking covenants, and both parties intend to enter into a binding offtake agreement. Euro Manganese's President & CEO, Dr. Matthew James, expressed enthusiasm for the partnership, highlighting the acceleration in demand for the Company's high-purity products and the shared commitment to sustainability. FeMoCat's President & CEO, Tommy Heino, also expressed excitement about the offtake, emphasizing the local sourcing of raw materials and the potential for a long-lasting and mutually beneficial relationship with Euro Manganese.