Eramet confirms its 2026 targets and signs an agreement to sell Arizaro for $71 million
In a press release published on 9 November 2026, the mining and metallurgical group confirmed its 2026 targets, including adjusted EBITDA of €540 to €610 million. It also announced that it has signed an agreement to sell its unexploited mining concessions in the Arizaro salt flat, in Argentina, for $71 million in gross value.
Higher volumes in 2027 and capex of €280 to €320 million
Eramet communicated its 2027 targets exceptionally early, ahead of its usual schedule, in connection with the preparation of its capital increase. On a constant scope basis, the group is targeting between 6.8 and 7.3 Mt of manganese ore transported in Gabon and lithium carbonate production of 20 to 24 kt-LCE at Centenario, in Argentina.
In Indonesia, external sales of nickel ore are expected to be in line with the last two years, subject to obtaining permits. In Senegal, mineralised sands production is expected to be around 900 kt-HMC, with a return to full capacity in the first quarter of 2027.
Investments are estimated at between €280 and €320 million, compared with a range of €250 to €290 million targeted for 2026. Maintenance and equipment renewal should account for €260 to €290 million, including approximately €100 million for the modernisation of the logistics chain in Gabon, with development capex limited to €20 to €30 million.
At Centenario, production reached nameplate capacity during October 2026, with a cash cost (Ex-Works) below $6,000/t-LCE, after a 16-month ramp-up according to the group. The latest studies revise the salt flat's long-term potential to nearly 150 kt-LCE per year.
Balance sheet restoration is a prerequisite for growth projects
The capital increase with preservation of pre-emptive subscription rights is expected by the end of 2026, subject to market conditions. It is based on the strategic agreement between the APE and Sorame-CEIR announced on 12 October 2026, with the APE having obtained on 26 October a waiver from the AMF regarding threshold crossings.
Pro forma for the transaction, the group is targeting adjusted leverage below 3x, gearing as defined in bank covenants below 100%, and liquidity of more than €1.6 billion at 31 December 2026, compared with more than €1.1 billion excluding the capital increase. It also anticipates positive adjusted free cash flow for the year.
The ten Arizaro concessions, covering nearly 33,000 hectares, are expected to generate nearly €60 million net of tax, with completion expected by the end of the year, subject to a final condition precedent. This sale is part of the strategy of concentrating on large lithium deposits that allow industrial-scale operations.
Processes are also underway for a minority stake in Centenario and for a significant portion of the 38.7% interest held in PT Weda Bay Nickel. No sale proceeds are expected from these two processes by the end of the year.
Most growth projects remain at the study stage and are subject to final investment decisions: expansion of the Centenario plant in two stages (+11 then +17 kt-LCE per year), two new plants of approximately 50 kt-LCE each, and a manganese oxide plant in Gabon, with an estimated investment of $40 million.
These projects will only be launched once the financing plan has been finalised. “We are fully aware that their realisation first requires the restoration of our balance sheet,” said Christel Bories, Chair and Chief Executive Officer.
