Sovereign Metals has signed a non-binding memorandum of understanding (MoU) with Japan’s Mitsui & Co. for the sale and purchase of natural rutile from Sovereign’s Kasiya rutile-graphite project in Malawi.
The offtake agreement is for up to 70,000 tonnes per year of Kasiya natural rutile concentrate over an initial four-year period from first production, which is planned for 2030, with a potential extension to five years.
The agreement comes as governments around the world work to strengthen critical minerals supply chains.
Japan is the dominant supplier of titanium metal to the US, underscoring the importance of securing reliable natural rutile feedstock.
Japan is also the world’s second-largest producer of titanium sponge and is recognised globally for producing the highest-quality titanium alloys for use in aerospace, defence and other advanced manufacturing applications.
Sovereign CEO Frank Eagar said: “We are pleased to have signed this MoU with Mitsui. Mitsui brings deep expertise in commodity trading, resource investment, and logistics – areas that are directly relevant to the development of Kasiya.
“Following China, Japan is the world’s second-largest producer of titanium metal and a critical hub for high-value titanium manufacturing.
“Mitsui’s interest in securing a reliable natural rutile supply from Kasiya – the world’s largest natural rutile deposit – is a strong endorsement of the project’s strategic value and the quality of its product.”
The signing of the MoU follows the inaugural US Critical Minerals Ministerial, where over 50 nations, including Japan, advanced collective efforts to strengthen and diversify critical minerals supply chains.
