Mkango Magnetic Materials Limited Announces HyProMag USA Advances Texas Re Magnet Facility
Mkango halts its fundraise as Texas equipment arrives, shifting near-term focus away from capital raising efforts.
HyProMag USA LLC, the 50/50 Texas joint venture between CoTec Holdings and HyProMag Limited, has received the first major process equipment at its Northlake, Texas rare earth magnet recycling and manufacturing facility. The company repeats its existing development timeline, targeting initial magnet cutting and finishing operations for the first half of 2027, with Phase 1 integrated recycling and manufacturing commissioning targeted for mid-2028.
The Northlake facility is described as targeting approximately 1,526 tonnes per annum (tpa) of recycled NdFeB magnets and magnet products. The broader Expansion PFS targets approximately 4,192 tpa of NdFeB magnet production and approximately 6,000 tpa of total salable materials by 2034. The release reiterates previously disclosed items, including a December 2025 long-term lease at the Ironhead Commerce Center, Oncor power capacity, Weston Solutions permitting, contractor selection underway, and approximately 100 direct jobs. The release states the Project is advancing “towards financing, commissioning and operations,” confirming that project financing is still part of the path.
Separate from the equipment update, Mkango Resources Ltd. (MKA) announced an AIM Capital Access Window fundraise and halted trading on AIM and TSX-V at 02:00 on 2026-11-09.
Mkango Resources Ltd. (MKA) announced the delivery of equipment, marking an incremental procurement milestone that follows earlier disclosed steps including a lease signed in December 2025, occupation in June 2026, power secured in October 2026, and permitting and contractor selection underway. The company also released an Expansion PFS in October 2026. This release supports the H1 2027 finishing and mid-2028 Phase 1 timeline by demonstrating physical procurement progress, providing modest schedule de-risking for the HyProMag USA platform.
The announcement does not alter Northlake’s previously disclosed economics. On 2026-10-27, the company updated Northlake post-tax NPV to approximately US$723 million from the earlier US$797 million, citing later construction timing, higher capital costs, and updated operating cost assumptions. The new equipment release does not reverse or update that valuation.
No binding offtake, feedstock contract, EPC contract award, project financing, or final permit is announced in this release. Those remain the value-critical items for the Texas Hub. The most recent day’s broader news flow is dominated by the separate 02:00 proposed fundraise and trading halt. For the stock, financing terms and dilution will likely matter more near term than the arrival of first process equipment.
Mkango Resources Ltd., listed on the AIM and TSX-V under the ticker MKA, is repositioning its business around downstream rare earth magnet recycling and manufacturing. The company is also seeking to list its upstream mining and separation assets separately on Nasdaq via MKAR. Mkango Magnetic Materials Limited is the former name of the entity.
The group’s near-term operating flagship is the HyProMag USA Texas Hub, a 50/50 joint venture between CoTec Holdings and HyProMag Limited. HyProMag Limited is 100% owned by Maginito, which is in turn 79.4% owned by Mkango and 20.6% by CoTec. HyProMag USA’s Northlake, Texas facility is targeting initial cutting and finishing in the first half of 2027, with Phase 1 integrated recycling and manufacturing expected by mid-2028. This phase aims to produce approximately 1,526 tonnes per annum (tpa) of NdFeB magnets and magnet products. A broader Expansion PFS targets approximately 4,192 tpa of NdFeB magnets and approximately 6,000 tpa of total salable materials by 2034.
The company’s international footprint includes HyProMag UK at Tyseley Energy Park in Birmingham, which opened in January 2026 and has produced recycled NdFeB alloy powder. HyProMag Germany in Pforzheim opened in April 2026 and is permitted for up to 750 tpa. Additionally, the group acquired Remloy in Bitterfeld, Germany, for €8 million, targeting at least 500 tpa of NdFeB alloy powder.
Upstream assets include Songwe Hill in Malawi, which is 100% owned. A March 2026 DFS for Songwe Hill showed a post-tax NPV of approximately US$339 million, a 24% IRR, and initial capex of approximately US$325.5 million. The group also holds Pulawy in Poland, where a March 2026 PFS showed a post-tax NPV of approximately US$779 million and an IRR of approximately 40%. Both Songwe Hill and Pulawy, plus HyProMag GmbH, have been designated Strategic Projects under the EU Critical Raw Materials Act.
Regarding royalties, no schedule is provided for Songwe Hill, Pulawy, or the recycling assets. The release states that upon grant of the large-scale mining licence, the Government of Malawi may elect to take a free 10% interest in the licence-holding entity. Royalty-free status cannot be confirmed from the provided materials. No analyst rating, target range, or average target is provided in the supplied materials, so no consensus can be cited.