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Murray Ward
Critica has appointed seasoned global commodities executive Hannah Badenach to its board in a move that looks to be less about finding minerals and more about selling them. The appointment comes as the company pushes both of its key critical minerals projects towards commercial reality.
The Hong Kong-based specialist brings more than 20 years of experience in commodity trading, marketing, offtake and financing, particularly in tin, tungsten and rare earths, exactly the suite of commodities in Critica’s portfolio.
Ms Badenach’s resume seems tailor-made for the challenge. She previously spent 13 years at global commodity trader Noble Resources, where her most recent role was executive director, Metals & Mongolia. In that position, she managed international trading activities and negotiated marketing, offtake, financing and prepayment arrangements.
Her board experience also spans several listed and private resources companies, including Peak Rare Earths, Materra Metals and Xanadu Mines.
‘As we advance Mt Lindsay and Jupiter, her commercial expertise and experience building commodity supply chains will be invaluable.’
Critica Limited chairman Tim Lindley
In a strong show of alignment, Ms Badenach intends to receive her non-executive director fees in equity, subject to shareholder approval. The appointment is effective from October 1st, with current director Jamie Byrde set to resign from the board on October 26th.
Critica chairman Tim Lindley said: “We are delighted to welcome a Director of Hannah’s calibre to the Critica Board. Hannah has traded the commodities we intend to produce. She has a deep understanding of the tungsten, tin and rare earths markets and, importantly, the commercial mechanisms that protect and enhance shareholder value, from offtake structuring and pricing to prepayment, project financing and supply chain development.”
Her appointment looks particularly timely given the company’s recent run of form. Just last week, a new scoping study for its Mt Lindsay tin-tungsten project in Tasmania delivered in spades, modelling a whopping pre-tax net present value of $1.42 billion and featuring an eye-catching 64.9 per cent internal rate of return. The study forecasts pre-production capital at a modest $244.5 million.
Mt Lindsay isn’t Critica’s only project rounding the corner towards commercialisation. The company recently produced its first high-purity mixed rare earth oxide sample from its Jupiter project in WA, grading a stellar 98.2 per cent total rare earth oxides. Critica says the sample, which contains a high concentration of valuable magnet rare earths, will now be put in front of strategic partners to kick off offtake discussions.
The market backdrop for Critica’s key commodities adds another layer of intrigue. Western tungsten markets remain tight, with an S&P Global report pointing to a sizeable ex-China supply gap. At the same time, China’s export controls and US defence procurement restrictions are expected to impact the supply of rare earths, making tungsten and rare earths commercial expertise particularly relevant as Western customers seek secure sources.
With a billion-dollar study now on the table for Mt Lindsay and its first saleable product samples emerging from Jupiter, Critica seems to be firing on both cylinders. Appointing a commercial heavyweight such as Badenach, whose remuneration is tied directly to share price growth, looks like a calculated move to turn impressive study numbers and high-grade samples into binding offtake deals.
Is your ASX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au
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