Kodal Minerals Secures Lithium Off-Take Deal for Bougouni Project

Strategic Lithium Off-Take Agreement Finalized for Bougouni

Kodal Minerals has finalized a major lithium off-take agreement for its Bougouni Lithium Project in southern Mali. Under this four-year deal, Hainan Mining Co. Ltd will purchase 100% of the spodumene concentrate produced from the Stage 1 DMS plant. The agreement starts upon receipt of an export permit from the Mali Government.

The agreement ensures Hainan exclusive rights to all DMS spodumene output from Les Mines de Lithium de Bougouni (LMLB), a subsidiary of Kodal Mining UK. LMLB will supply a minimum of 8,000 wet metric tonnes (WMT) per month. Pricing will be based on Shanghai Metals Market (SMM) listings, with adjustments for material quality and freight.

Kodal will receive 95% of shipment value at the port of loading—initially Abidjan Port, Côte d’Ivoire—with the remaining 5% paid after confirmation in Hainan, China. This structure boosts operational cash flow and secures revenue at an early stage of production.

Bougouni Lithium Project Nears Export Readiness

The Bougouni DMS processing plant has already produced over 40,000 tonnes of spodumene concentrate. The plant targets an annual output of 100,000–120,000 tonnes at greater than 5.5% Li₂O content. Kodal continues to upgrade the plant to reach nameplate capacity.

Quality control measures will include sampling, weighing, and assay procedures across three checkpoints—from mine site to loading port to destination. These measures will finalize certificates of analysis and weight, ensuring accurate invoicing.

Currently, Kodal is working with Mali authorities to secure the export permit required for shipment. CEO Bernard Aylward emphasized that this deal represents a “key milestone” for Bougouni and reflects Hainan’s strong commitment to the project’s long-term success.

SuperMetalPrice Commentary:

This off-take agreement locks in both pricing and demand for Kodal’s lithium output, stabilizing early cash flow as Bougouni enters production. The use of SMM-linked pricing also signals growing trust in Chinese benchmarks for global spodumene trade. As lithium demand remains resilient, expect more African assets to attract structured deals from Asian buyers.