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Highlights

  • Minbos approves AUD 800,000 in long lead item orders for Stage 2 of Cabinda Fertilizer Plant construction.

  • Project financing supported by African partners including Angola’s Sovereign Wealth Fund, IDC South Africa, and Bank Bai.

  • MNB share price surged 12.5% to 4.6 cents on Friday morning following the announcement.

Minbos Resources Limited (ASX:MNB) has taken a key step in advancing its Cabinda Phosphate Fertilizer Project in Angola, announcing that the Board has approved the procurement of long lead items for Stage 2 construction of the Subantando Fertilizer Plant. The news sparked investor interest, with MNB shares rising 12.5% to 4.6 cents on Friday morning.

The approved equipment purchase, valued at over AUD 800,000, includes a diesel storage and pumping system, power line infrastructure, and a compressed air system. These items are essential for maintaining the construction schedule as the project transitions from Stage 1 to Stage 2.

African-Financed Development Strategy

Minbos is delivering the Cabinda project in phases to align with the timing and commitments of its equity and debt partners. Stage 1 is currently under construction and is being financed by the Angolan Sovereign Wealth Fund.

The decision to proceed with Stage 2 long lead item orders follows encouraging progress on debt and construction funding, which is being arranged through the Industrial Development Corporation (IDC) of South Africa and Angola’s Bank Bai. These funding partnerships have given the Board confidence to continue investing in project development.

Strategic Alignment with Angola’s National Development Plan

The Cabinda Phosphate Project is a cornerstone initiative within Angola’s National Development Plan (PDN) 2023–2027, which lists food security as a primary pillar of national economic acceleration. Minbos’ fertilizer plant aims to improve agricultural productivity across the country and support the government’s drive for self-sufficiency in food production inputs.

By securing both equity and debt financing from African institutions, Minbos has also achieved alignment with regional policy and investor objectives. 

Minbos continues to demonstrate progress on both operational and strategic fronts. The approval of key infrastructure components for Stage 2 construction — combined with growing investor confidence reflected in Friday’s 12.5% share price jump.