Loading…
Kodal Minerals ships maiden lithium from Mali's Bougouni, narrowing H1 loss to £355k and securing $21.3M in first export.
This article covers information on Kodal Minerals PLC.
LON:KODKodal Minerals has crossed a big milestone at Bougouni in Mali. The company secured its export permit, produced saleable product, and post period end completed its maiden shipment of spodumene concentrate to China – with US$21.3 million received for the first tranche. Financially, the interim loss narrowed and cash remains robust as operations transition towards steady-state exports in 2026.
Below I break down the operational progress, the numbers that matter, and the key risks to keep on your radar.
The focus in H1 2025 was mining and producing spodumene concentrate via the Stage 1 DMS plant at Bougouni. Dense Media Separation (DMS) is a relatively simple, low-capex process that upgrades ore by density difference. Kodal mined ore grading 1.17% Li2O on average, in line with its preliminary feasibility study, and produced approximately 45,000 tonnes of concentrate at an average grade of 5.39% Li2O during the period.
The wet season limited pit access from July to September, so Kodal used the downtime to de-bottleneck the plant, carry out maintenance, and upgrade haul roads. The plant re-started in late September on lower grade, transitional ore to test improvements, then paused while the team prioritised moving the growing stockpile to port.
In September, Kodal received an export permit for an initial 125,000 tonnes of concentrate – crucial for unlocking revenue. Post period end, the first shipment of 28,950 tonnes left the port of San Pedro, Côte d’Ivoire, in November and Les Mines de Lithium de Bougouni SA (LMLB) received US$21.3 million from Hainan Mining for the maiden export.
The plan is to complete the full 125,000-tonne export over the next 12 months, with regular shipments supported by the company’s relationship with the Mali government. Kodal expects the export permit to be renewed as required.
Related
Polar Capital Technology Trust sees 102% NAV growth in FY2026, beating its benchmark by 47 points thanks to AI and semiconductor exposure.
JoshuaJuly 10, 2026
Last updated
Category
InvestingViews
39 viewsLikes
No ratings yet
Occasional emails on automation, AI and finance. Unsubscribe any time.
Stage 1 of Bougouni was officially opened in November by Mali’s President, General Assimi Goïta, underlining strong state support. That visibility matters in the current environment. Mali’s security situation has deteriorated in the north and centre, with violence edging south. Kodal disclosed a site security incident in August and has worked with authorities to increase military presence in the Bougouni area and on site. Safety of staff remains the stated priority.
All assays from the 2025 diamond drilling at the Boumou prospect are now in and confirm wide, high-grade pegmatite mineralisation with multiple pegmatite bodies. A further drilling campaign is planned for early 2026. This supports the company’s ambition to advance the Stage 2 flotation plant in 2026, which would target higher recoveries and potentially broaden the product slate. Flotation is a processing step that separates fine particles by surface chemistry, typically improving recovery beyond DMS.
Kodal reported a total comprehensive loss of £1.131 million for H1 2025, driven by a currency translation loss. The loss for the period was £355,019, a marked improvement on H1 2024 (£1.486 million). Cash at 30 September 2025 stood at £15.6 million, and £15.0 million as at 17 December 2025.
Kodal owns 49% of Kodal Mining UK Limited (KMUK), which operates Bougouni. The company’s share of KMUK’s profit for the period was £218,000, which included a £4.395 million foreign exchange gain. The carrying value of the KMUK investment was £20.895 million at 30 September 2025.
| Metric | H1 2025 / Latest | Comparative |
|---|---|---|
| Loss for the period | £355,019 | H1 2024: £1,485,975 |
| Total comprehensive loss | £1,130,979 | H1 2024: £3,851,323 |
| Cash balance | £15.6 million (30 Sep 2025) | £18.1 million (30 Sep 2024) |
| Cash (latest update) | £15.0 million (17 Dec 2025) | Not applicable |
| Share of KMUK profit | £218,000 | H1 2024: £(831,819) |
| Investment in KMUK | £20.895 million | H1 2024: £28.207 million |
| Concentrate produced | ~45,000 tonnes at 5.39% Li2O | Not disclosed |
| Export permit | 125,000 tonnes approved | Not applicable |
| First shipment | 28,950 tonnes (Nov 2025) | Not applicable |
| Initial payment received | US$21.3 million (post period end) | Not applicable |
Operating cash outflow was £1.378 million in the half, reflecting corporate overheads while Bougouni ramped. There was a modest net inflow from investing activities and £65,000 from warrant exercises. Net assets were £44.58 million at period end.
Importantly, Kodal states it has sufficient cash resources to meet liabilities for at least 12 months from the approval of these interims. The company has also changed its financial year end to 31 December, with audited accounts for the nine months to 31 December 2025 due by 30 June 2026.
The board is pursuing targeted M&A across critical minerals and precious metals in West Africa. Work on Kodal’s gold assets is delayed due to licence renewal uncertainty. Proceeds of £1.5 million from the agreed sale of Bougouni West remain unrecognised pending the renewal of the N’kemene Ouest licence.
Kodal and Hainan continue discussions on responsibility for a US$15 million settlement payment under an MoU with the State. Based on legal advice, the directors judge a successful claim against Kodal by Hainan to be unlikely, but the outcome and any potential outflow are currently not determinable.
This is a solid step-change half for Kodal. The DMS plant has produced saleable concentrate, the export permit is in hand, and cash from the first shipment has landed post period end. Those are the markers investors needed to see to believe Bougouni’s transition from project to operation.
Near term, expect numbers to be noisy as exports ramp and FX moves bite. The security backdrop in Mali is a genuine risk, and management’s increased on-site protection is prudent. On balance, though, the combination of operational progress, supportive government relations, and exploration upside puts Kodal in a stronger position heading into 2026. If the team can execute the 125,000-tonne export plan over the next year and advance Stage 2, the valuation debate shifts from promise to production.
Impax Q3 AUM rises to £23.3bn despite £1.7bn net outflows, driven by market gains and strong investment performance.
JoshuaJuly 10, 2026
MJ Gleeson FY2026 trading update: steady profits, mixed home sales with operational restructuring improving outlook.
JoshuaJuly 10, 2026
No comments yet - start the conversation.