Kazera Signs HMS Supply Agreement with Fujax South Africa

Whale Head Minerals

Kazera Global, a UK-based mining company, through its subsidiary Whale Head Minerals (WHM), has entered into a significant agreement with Fujax South Africa to supply heavy mineral sands (HMS). This move marks a critical step in expanding WHM’s operations in the South African minerals market.

Under the terms of the agreement, WHM will supply Fujax with an initial 100,000 tonnes of HMS, which will be delivered in monthly batches of 6,000 tonnes. The first shipment is slated for March 2025. Fujax, an energy and mineral trading firm based in South Africa, will be responsible for the transport, processing, and sale of the HMS. As part of the deal, Fujax will pay WHM 80% of the final sales price minus costs, and the transaction will involve two prepay instalments totaling $600,000 by January 2025.

Key Details of the Agreement and HMS Production

Heavy mineral sands (HMS) are a rich source of valuable minerals such as rutile, ilmenite, zircon, and monazite. These minerals are essential in producing titanium, zirconium, and rare earth elements, which are used in a wide range of industrial applications, from aerospace to electronics.

WHM’s production capacity is supported by its Walviskop plant located in South Africa. The site is home to an estimated 1.5 million tonnes of HMS, providing the necessary raw material to fulfill the agreement with Fujax. In addition to this agreement, Kazera is actively pursuing mining rights for the nearby Perdevlei HMS site, which holds much greater potential, estimated to be 34 times larger than the Walviskop site.

Kazera’s Strategic Expansion and Future Prospects

This deal with Fujax is part of Kazera Global’s broader strategy to strengthen its presence in the heavy mineral sands market, particularly in South Africa. The company’s CEO, Dennis Edmonds, highlighted the strategic importance of the Walviskop and Perdevlei sites in the future of their operations. As demand for minerals like zircon and titanium increases, Kazera’s operations stand to play a pivotal role in meeting the global need for these materials.