Critical Metals Secures £2.1 Million Loan to Advance Molulu Copper-Cobalt Project
Critical Metals Secures £2.1 Million Financing from NIU Invest to Drive Molulu Copper and Cobalt Project
NIU Invest SE, the majority shareholder of Critical Metals, has extended a £2.1 million loan (approximately $2.84 million) to support the company’s operations, particularly at its Molulu copper and cobalt project in Haut-Katanga province, Democratic Republic of Congo. The financing was announced on December 31, 2025.
The loan carries an annual interest rate of 10% and has an 18-month maturity, with interest payable at the end of the term. Structured as a convertible bond, the financing allows NIU Invest SE to convert the loan into equity in Critical Metals under certain conditions, a strategy it has previously used to gradually increase its stake. NIU Invest now holds 69.62% of the company, giving it effective control.
The injection of funds provides short-term relief for Critical Metals, whose Molulu project—70% owned by the company—has yet to generate commercial revenue. The company remains loss-making but has shown progress in reducing costs.
For the financial year ending June 30, 2025, Critical Metals reported losses of approximately £2.4 million, a 13% improvement from £2.8 million the previous year.
The reduction was largely driven by a 25% decrease in salary expenses, workforce cuts in the Democratic Republic of Congo—particularly among technical staff—and a 30% reduction in executive remuneration for the CEO position since January 1, 2025.
Leadership Changes Amid Transition
Critical Metals has also undergone leadership changes during its transition phase. Russell Fryer stepped down as CEO on September 4, 2025, and was replaced by Ali Farid Khwaja, who resigned on December 16, 2025. Danilo Lange currently serves as interim CEO.
Lange brings over 25 years of international experience in mining, consumer goods, and marketing, having held senior roles at Yahoo, Red Bull, and Auriant Mining AB, a Swedish mining company listed on Nasdaq in the United States.
The board views Lange as well-suited to guide the company through its current phase while a permanent CEO is sought.
Outlook for Molulu Project
The NIU Invest loan underscores the majority shareholder’s confidence in the Molulu project despite the company’s ongoing losses. The funding ensures the continuation of operations and positions Critical Metals for a ramp-up in activity.
According to the company’s latest report, the first mineral sales from the Molulu mine are now expected by mid-2026, marking a key milestone in the project’s development.
SOURCE:bankable.africa
