Creates Framework for Potential Long-Term Collaboration in Electronic Scrap Supply and Metal Offtake in US
Metallium Limited announced that its U.S. subsidiary, Flash Metals USA Inc., has executed a Memorandum of Understanding (MOU) with a division of Glencore plc, one of the world’s largest diversified resource companies and a major recycler of end-of-life electronics, lithium-ion batteries, and other critical metal-containing products.
The MOU, which is effective immediately, creates a framework for a potential long-term collaboration in electronic scrap supply and metal offtake in the United States. The commercial agreement is subject to negotiation and execution of final definitive agreements. It runs until the end of the year, unless extended or replaced by definitive agreements.
Michael Walshe, Managing Director & CEO of Metallium said, “Executing an MOU with Glencore marks a defining milestone for Metallium. Glencore ranks among the world’s most successful diversified natural resource companies and its Horne Smelter in Quebec is North America’s largest processor of electronic scrap containing copper and precious metals.” Walshe added that the agreement secures critical feedstock supply, covering a significant share of Metallium’s Stage 1 requirements, “and supports our planned expansion to Stage 2, positioning Metallium alongside one of the most influential players in global recycling as we build a natural network of plants near major collection hubs and data center corridors,” he added. Both parties are working toward executing a definitive binding agreement by the end of the year, according to Walshe.
Key highlights include:
- Feedstock supply: Glencore will be a major supplier of feedstock to Metallium’s first commercial facility.
- Technical assistance: Glencore will provide technical services for incoming feedstocks including assaying.
- Offtake: Glencore will purchase up to 75% of Metallium’s production of marketable recycled products, including metallic metals, metal chlorides and metal hydroxides.
- Specialty metals excluded: Metallium retains the option to independently market high-value niche products such as gallium, Germanium, indium and rare earth elements.
- Exclusivity: Glencore holds exclusive negotiation rights over the to-be-contracted offtake volumes under the MOU.
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