Lifezone Metals Limited has moved its Kabanga Nickel Project in northwestern Tanzania closer to a 2026 Final Investment Decision (FID) by raising $75 million in capital during the second half of 2025. The funds are earmarked for early‑stage activities—geotechnical drilling, site preparation, procurement, and logistics planning—that de‑risk the project and position it for full‑scale execution once the FID is granted.
The capital raise is a key step in Lifezone’s execution‑readiness strategy. By securing liquidity, the company can accelerate the early works that are critical to validating the deposit, refining the mine design, and securing the infrastructure needed for a high‑grade nickel, copper, and cobalt operation. The allocation of the $75 million is focused on drilling, site prep, and procurement, ensuring that the project’s technical and logistical foundations are solid before the next funding round.
Lifezone’s proprietary hydrometallurgical technology underpins its competitive advantage. The company’s process is designed to recover nickel, copper, and cobalt from low‑grade ore at a lower environmental footprint and at a cost that places it in the first quartile of global nickel producers. A feasibility study estimates an all‑in sustaining cost of $3.36 per pound of nickel, supporting the company’s claim of a cost‑competitive position in the market.
The Kabanga project is strategically significant for both Lifezone and the broader supply chain. The deposit’s high grade and the company’s technology enable a Western‑aligned source of nickel, copper, and cobalt that can reduce dependence on Indonesian supply. The Tanzanian government holds a 16% non‑contributory equity stake through Tembo Nickel Corporation, and Lifezone is pursuing a mix of debt and equity financing, including discussions with the U.S. Development Finance Corporation and European ECA partners, to fund the project’s development phases.
Management emphasized the importance of the progress. CEO Chris Showalter said, “We are advancing a clean, green source of battery metals that leverages our hydrometallurgical expertise.” COO Gerick Mouton added, “The capital raise and early works are critical to de‑risking the project and moving toward a 2026 FID.” CTO Mike Adams highlighted the technology, noting, “Our process delivers lower environmental impact and cost advantages that set us apart in the nickel market.”
Investor sentiment has been cautious, with market participants citing valuation concerns. Despite the positive project update, the fundamentals—high‑grade resource, cost advantage, and strategic partnership—remain robust, positioning Lifezone for a strong long‑term trajectory.
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