Lifezone Metals Limited’s (NYSE: LZM) Chief Financial Officer, Ingo Hofmaier, announces the full-year 2024 financial results and the filing of Lifezone’s Annual Report on Form 20-F with the U.S. Securities and Exchange Commission, available on Edgar and the Company’s investor relations website.
Mr. Hofmaier commented: “Lifezone is navigating a challenging nickel price environment due to the significant supply increase from Indonesia in the last couple of years. Despite this, we remain fully committed to advancing our Kabanga Nickel Project and United States-based PGM recycling project as fast as possible, while strictly controlling costs.”
“We believe the Kabanga Nickel Project is the best nickel development project globally. Its superior grade will enable strong cash generation even at lower prices. This project is our top priority, reflecting our team’s dedication to long-term growth and value generation.”
“The net cash provided by financing activities in 2024 demonstrates strong investor confidence in our vision and capabilities. Our December 31, 2024 cash balance of $29.3 million means that we have sufficient funds to deliver on our key business objectives for the year, including completing the Kabanga Definitive Feasibility Study in mid-year.”
Lifezone Metals reported a cash balance of $29.3 million as of December 31, 2024, compared to $49.4 million as of December 31, 2023. The net decrease in cash and cash equivalents was $20.1 million in 2024, compared to a net increase of $28.8 million in 2023, detailed as follows:
- Operating activities: Net cash used in operating activities was $15.9 million in 2024, compared to $27.0 million in 2023. In response to recent market conditions, Lifezone has undertaken a cost reduction program to ensure that the Company is able to execute on its key objectives during this period of cyclically low nickel prices and increased market volatility.
- Investing activities: Net cash used in investing activities was $52.7 million in 2024, which includes $50.0 million related to the investment in the Kabanga Nickel Project and a final $4.0 million payment made in accordance with the 2021 agreement to acquire the physical assets and all historical IP related to the Kabanga Nickel Project. This compares to $59.9 million net cash used in investing activities in 2023.
- Financing activities: Net cash provided by financing activities was $48.4 million in 2024, primarily due to $49.3 million of net proceeds from the issuance of convertible debentures, $1.5 million of proceeds from Glencore for the U.S.-based PGM recycling project, and partially offset by the payment of lease liabilities and interest on the convertible debentures. For comparison, net cash provided by financing activities was $115.7 million in 2023, largely due to net proceeds from the PIPE transaction and the T1B Investment by BHP into Kabanga Nickel Ltd.
For the year ending December 31, 2024, Lifezone reported a basic and diluted loss per share of $0.59, based on a net loss of $46.3 million attributable to Lifezone shareholders and 78.7 million weighted average ordinary shares outstanding. This compares to a basic and diluted loss per share was $5.34 in 2023.
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