Lotus Signs Mercuria Facility, One Export Approval Remains

Lotus (ASX:LOT) Resources updated the market on funding, export permitting and production at the Kayelekera Uranium Mine after signing key documents for its Mercuria facility, with one approval still needed before its first uranium shipment.

Lotus has signed and executed key full form documentation with Mercuria Energy Trading S.A. for a marketing platform covering up to 3 million pounds of U3O8 over 30 months and an inventory-backed prepayment facility of up to US$30 million. Execution of the full suite of documents will complete the funding package announced on 23 July 2026, and Lotus intends to start using the facility from its first shipment. Approvals for the export route from Malawi through Zambia to Namibia have been received except the National Radiation Protection Authority (NRPA) transport approval. The first shipment is four containers, approximately 144k lbs of U3O8. Approximately 100k lbs of drummed uranium product was produced over 31 operating days in August and September, constrained by acid availability, onsite power interruptions and planned optimisation. The acid plant is at approximately 50-60% of design capacity, and uranium production is expected to broadly align with acid production in the near term.

The first shipment depends on the outstanding NRPA approval, for which no timing is given. The full suite of Mercuria documents is not yet executed, a sale of approximately 173k lbs of off-specification product is still under discussion, and grid connection commissioning is expected in Q1 CY2027.