Shares in Keras Resources rose 15% Friday after Togo’s government awarded an exploitation permit for the Nayega manganese project, clearing the way for mining operations and initial production sales under a newly secured offtake agreement.
The mining permit, issued to Societe Togolaise de Manganese (STM), Togo’s state-owned mining investment vehicle, represents the final regulatory hurdle for developing the project in northern Togo. STM simultaneously awarded a mining and logistics contract to Carrieres Mines Travaux Publics SA and secured a sales agreement with Fujax Group for the first 400,000 metric tons of manganese ore.
Under a 2023 cooperation agreement, Keras is entitled to advisory and brokerage fees linked to Nayega’s production. “The cashflow due under the cooperation agreement will underpin the progress and associated cashflows from the US operations,” said Russell Lamming, Keras’s interim executive chairman. 
The project’s advancement comes amid strong global manganese fundamentals, with prices averaging $5.65 per dry metric ton unit year-to-date, according to Fastmarkets data. Manganese is essential for steel production and increasingly important in battery manufacturing as electric vehicle demand grows.
Togo’s mining sector has attracted heightened interest as the West African nation seeks to diversify its economy beyond phosphate mining, which has historically dominated its extractive industry. According to Togo’s Ministry of Mines and Energy, the country aims to increase mining’s contribution to GDP from 2% to 10% by 2030.
Keras shares closed at 1.49 pence in London trading Friday. The company noted that revenue from its Togo arrangement will support its US-based phosphate operations, including the Diamond Creek mine in Utah, creating multi-commodity exposure across different jurisdictions.
