Giyani Metals Shares Progress on Demonstration Plant Status

Update on Giyani Metals Corp.'s Demo Plant Commissioning

Giyani Metals Corp. (TSX-V: EMM, Frankfurt: KT9) is proud to share the latest updates regarding the commissioning of its Demonstration Plant (Demo Plant) dedicated to producing battery-grade manganese. This project is a vital part of Giyani's strategy to become a significant player in the electric vehicle (EV) market by offering sustainable, high-purity manganese from its K.Hill Battery-Grade Manganese Project.

Commissioning Progress and Challenges

The Demo Plant in Johannesburg is nearing the completion of its commissioning phase, with the team working diligently to ensure the initial production of battery-grade high-purity manganese sulphate monohydrate (HPMSM) occurs shortly. However, some unforeseen incidents, such as power outages and water supply disruptions, have delayed production, which is now likely to begin in early Q1 2025.

Recent Challenges Detailed

Significant setbacks occurred due to a power outage caused by vandalism and theft at a key substation on December 11. This incident led to a complete disruption of water supply from December 12 to December 17, affecting the commissioning process. The operations team took prompt action, reinstating water flow, and conducting a thorough recovery procedure for the crystallizers on-site.

Long-Term Objectives of the Demo Plant

The Demo Plant's primary aim is not just to produce manganese but also to identify potential design flaws and refine the processes prior to full-scale commercial production. Lessons learned will significantly assist in the construction and operation of the planned Commercial Facility adjacent to Giyani’s manganese oxide ore resources in Botswana.

Insights from Giyani’s Leadership

Charles FitzRoy, President and CEO of Giyani, expressed optimism about the progress, highlighting that despite challenges, the endeavor is instrumental in validating the company's operational blueprint for the main plant. Emphasizing the value of these learnings, FitzRoy stated that adjustments made during the Demo Plant's commissioning will pave the way for smoother operations and cost-effective solutions in the future.

Production Timeline and Future Prospects

The management team is committed to commencing hot commissioning of the plant's processes soon as key reagents are delivered. The Demo Plant, designed at approximately 1:10 scale to the upcoming Commercial Plant, will provide essential data that will guide construction and operational efficiencies when scaling up to commercial levels.

Operational Readiness

With all process modules being tested and nearing operational readiness, Giyani is on track to engage its potential offtake partners. The continuous operation of the Demo Plant will allow the team to demonstrate its capability to produce consistent quantities of high-purity manganese and strengthen relationships with industry stakeholders.

The Laboratory and Instrumentation Details

The independent laboratory, operated by Quality Lab Services, is almost fully operational, providing critical analytical support and quick result turnaround necessary for effective plant operation. Key instrumentation, including ICP-OES and XRF, has commenced operations, ensuring that full analytical assays can be delivered promptly.

Giyani's Vision for Sustainability

Giyani Metals is laser-focused on establishing itself as a leader in the low-carbon, high-purity battery-grade manganese production sector. Securing financing of US$26 million from strategic partners has bolstered its ambition to advance the K.Hill project toward construction.

Frequently Asked Questions

What is the significance of the Demo Plant for Giyani?

The Demo Plant plays a crucial role in validating processes and designs for the eventual full-scale Commercial Plant, helping to mitigate risks.

Why was the commissioning delayed?

Delays stemmed from power and water outages due to vandalism and necessary restoration efforts, along with slow progress in system commissioning.

When is the expected start of production?

The expected start of production is now likely in early Q1 2025, following recent mitigations and recovery procedures.

What are the long-term goals associated with the Demo Plant?

The long-term goals include perfecting processes, building a strong operational foundation, and establishing partnerships for the high-purity manganese market.

How does the Demo Plant relate to Giyani's overall strategy?

The Demo Plant is integral to Giyani's strategy to supply the EV market with sustainable, low-carbon manganese, which is increasingly in demand.

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