Zanaga Iron Ore reports solid progress

1st Jul 2026 14:42

(Sharecast News) - Zanaga Iron Ore said on Wednesday that it made significant progress in 2025 and the first half of 2026, including workstreams that delivered estimated life-of-mine cash cost savings of $2.2bn and confirmed the Zanaga project's ability to produce premium direct reduction iron-grade pellet feed concentrate.

The AIM-traded company said updated economics published in April showed Stage One post-tax NPV rising 30.9% to $2.54bn, while combined Stage One and Two NPV increased 29.4% to $4.9bn.

During the period, Zanaga raised $23.01m, used $15m to repurchase and cancel Glencore's 43% stake, and later agreed a proposed strategic investment with Red Arc Minerals to fund the project towards final investment decision.

Zanaga also raised £5.7m in May 2026 to support bulk sampling, in-country costs and working capital, leaving cash of $5.4m at 30 June.

Chairman Clifford Elphick said the period had been "transformational", adding that Zanaga was now better positioned as a potential major supplier of high-grade iron ore for low-carbon steel production.

At 0956 BST, shares in Zanaga Iron Ore Company were down 0.11% at 4.4p.

Reporting by Josh White for Sharecast.com.

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