Celsius Sells Namibia Cobalt Project to Chinalco for US$15m

Celsius Resources (ASX: CLA) is selling 95% of its Opuwo cobalt-copper project in Namibia to Chinalco (Xiong'an) Mining Corporation for US$15 million in cash. The money is earmarded for the MCB copper-gold project in the Philippines. Celsius can only spend it after it resolves an arbitration dispute with Makilala Mining Company.

The deal covers Celsius's stake in Opuwo Cobalt Holdings and an intercompany loan held through its wholly owned subsidiary. Chinalco will pay US$15 million, which Celsius converted to roughly A$21.7 million at the exchange rate in its announcement.

Opuwo is a large-scale exploration and development project in the Kunene region of northwestern Namibia. It hosts a mineral resource of 225.5 million tonnes grading 0.12% cobalt, 0.43% copper and 0.54% zinc. That works out to 259,000 tonnes of cobalt and 970,000 tonnes of copper. Most of the resource sits in the inferred category – 180.2 million tonnes versus 45.3 million tonnes indicated.

Celsius carried the asset at about A$3 million in its annual accounts. The project lost N$421,738 (A$37,157) in the year to June 2025.

Several conditions must be satisfied before the sale closes. Celsius needs shareholder approval. The parties must renew Opuwo's exclusive prospecting licence and environmental clearance certificate. The Namibian Competition Commission and the Bank of Namibia have to sign off. Chinese regulatory clearance is required from the National Development and Reform Commission, the Ministry of Commerce and the State Administration of Foreign Exchange.