Highlights

  • Glencore and CNGR each sign five-year offtake agreements to purchase 100,000 dry tonnes of nickel concentrate annually from Jaguar, covering the project's full output.
  • Each party subscribes for US$20 million in Centaurus equity at A$0.425 per share; first tranche of US$12.5 million each is on execution.
  • Combined offtake covers approximately 45,000 tonnes of contained nickel per year at a combined net sales value of approximately US$900 million over the five-year term.
  • FID, shareholder approval and US$7.5 million second tranches from each party must all occur by 31 January 2027.

Nickel projects looking for a final investment decision need more than geology. They need buyers and, often, equity from those buyers as proof of commitment. Centaurus Metals (ASX:CTM) has now secured both for its Jaguar nickel sulphide project in Brazil's Carajás mineral province, announcing on 29 October 2026 that Glencore and China-based CNGR Advanced Material have each signed a five-year offtake agreement and a US$20 million equity subscription.

The Offtake Structure

Each offtake agreement covers 100,000 dry tonnes of nickel sulphide concentrate per year for five years, on market-based pricing terms. The combined 200,000 dry tonnes per year represents Jaguar's entire planned concentrate output. At approximately 22,500 tonnes of contained nickel in each party's allocation — based on the ore reserve-implied nickel-to-concentrate ratio — the agreements cover roughly 45,000 tonnes of contained nickel per year in total. The company has estimated a combined net sales value of approximately US$900 million over the five-year offtake term.

Glencore is among the world's largest commodity traders and nickel producers. CNGR Advanced Material is a major Chinese manufacturer of cathode precursor materials for lithium-ion batteries and is a significant consumer of nickel sulphate feedstock. That the two parties serve different end markets — trading and battery chemicals — diversifies Centaurus's customer base from the outset.

The Equity Component

Alongside each offtake, Glencore and CNGR have each subscribed for US$20 million in Centaurus equity at A$0.425 per share — a 5% premium to the 20-day volume-weighted average price. Each subscription is structured in two tranches: US$12.5 million on execution (unconditional, subject only to ASX listing rule compliance) and US$7.5 million conditional on FID and shareholder approval, both required before 31 January 2027. If the conditions are not met by that date, the second tranche lapses. Combined, the two equity subscriptions total US$40 million, with US$25 million flowing unconditionally on execution.

What Comes Next

The combined announcement of two Tier 1 offtake partners and US$40 million of strategic equity clearly positions Centaurus to take Jaguar to a final investment decision. The company has not confirmed the date or scope of a planned FID announcement; the 31 January 2027 deadline for second-tranche conditions is the clearest timing signal. Centaurus previously identified Jaguar as a project targeting conventional open-pit mining with on-site flotation, processing approximately 3.5 million tonnes of ore per year to produce a high-grade nickel sulphide concentrate. A DFS for the project was published previously; no changes to project parameters were announced alongside the offtake deal.