• Lifezone Metals launched a $15 million share offering after securing a $60 million loan from Taurus Mining Finance.

• The Kabanga project, expected to produce 902,000 tons of nickel over 18 years, requires $942 million in total investment.

• Lifezone recently agreed to buy BHP’s stake in Kabanga, strengthening its control amid a weak nickel market.

Lifezone Metals has launched a $15 million direct share offering to advance work on its Kabanga nickel project in Tanzania, the company said in a statement dated November 10. The move follows a $60 million loan concluded with Taurus Mining Finance several weeks earlier.

The U.S.-based mining firm aims to use these funds to sustain project development as it prepares for a final investment decision (FID) by mid-2026. Lifezone said proceeds from the share offering will go toward exploration work at Kabanga but did not provide technical details.

According to a revised feasibility study released earlier this year, Kabanga could deliver about 902,000 tons of nickel over 18 years, alongside copper and cobalt by-products. The company estimates total investment needs at $942 million.

In July, Lifezone announced an agreement to acquire BHP’s stake in the project, a move designed to consolidate its control and accelerate development. “This transaction will allow us to strengthen our position on one of the most promising nickel deposits in Africa,” the company stated at the time.

The fresh fundraising comes amid a global nickel downturn. Prices have fallen about 60% since 2022 due to persistent market oversupply, with futures recently trading near $15,000 per ton, according to Trading Economics.

Despite the weak price environment, Lifezone continues to push forward with Kabanga, viewing the project as a strategic long-term asset for the energy transition. The company must still secure multiple mining permits from Tanzanian authorities before construction begins. The Tanzanian government holds a 16% stake in the future mine through a joint venture arrangement.

This article was initially published in French by Aurel Sèdjro Houenou

Adapted in English by Ange Jason Quenum