Glencore restructured a $5M Tantalex Lithium loan at SOFR plus 8%, added a 1% royalty on tin and lithium from three African licenses, and tightened conversion terms with a 20% ownership cap.
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Glencore has restructured its financing of Tantalex Lithium Resources, raising the interest margin on a $5 million convertible loan and adding a royalty on tin, lithium and tantalum from three African licenses.
The amended facility, disclosed in a filing Thursday, replaces a November 2023 agreement. The interest rate moved to one-month CME Term SOFR plus 8%, up from the previous three-month SOFR plus an undisclosed margin. The loans mature Sept. 30, 2028.
Glencore can convert the debt into Tantalex common shares at a price set during a window starting 21 trading days after closing and ending the business day before maturity. A cap prevents Glencore from holding more than 20% of outstanding shares after any conversion. Based on Tantalex's representation of 907 million shares outstanding, the maximum Glencore could acquire is about 227 million shares.
Tantalex's subsidiary TTX Metals joined as an additional guarantor under the amended terms. TTX also granted Glencore a security interest over its shares in Sandstone Worldwide, representing 50% of Sandstone's issued stock, under a February share pledge.
The companies signed a royalty agreement in February giving Glencore a 1% gross revenue royalty on tin, lithium and tantalum produced from Exploration Licence PR12448, Production Licence PE12447 and Licence 13698. The royalty constitutes an interest in those properties where law permits.
A lithium offtake agreement remains in place. In November, Glencore and Tantalex signed a tin offtake for the TiTan project in the Democratic Republic of the Congo. A June novation replaced Tantalex and TTX Metals with Sandstone as counterparty on the tantalum offtake, which now covers 100% of tin and tantalum production.
Glencore said it entered the amended facility for investment purposes and may increase or decrease its stake through market transactions, private agreements or treasury subscriptions. The filing was made under Canadian early warning rules.
Tantalex shares trade on the TSX Venture Exchange under the ticker TTX. The stock has fallen 62% in the past 12 months, giving the company a market capitalization of about C$18 million.
Glencore, the Swiss-based commodities giant with over 140,000 employees, reported $217 billion in 2025 revenue. The Tantalex financing represents a fraction of its marketing operations, which span more than 60 commodities across 30 countries.
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