HomeBattery metalsSir Mick Davis appointed Chair of NextSource Board

Sir Mick Davis appointed Chair of NextSource Board

NextSource Materials has announced the appointment of Sir Mick Davis, former CEO of Xstrata Plc, as Chair of its Board.

In addition it has also announced and the closing of the first tranche of a non-brokered private placement of common shares of the Company previously announced on February 8, 2021.

NextSource secures investment to fully fund construction of Molo

The Initial Private Placement is the first part of the previously announced Total Financing Package of US$29.5 million committed by Vision Blue Resources, a newly created battery commodity/resource-focused private investment company founded by Sir Mick Davis.

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The Total Financing Package includes a US$6.1 million equity private placement of common shares; a US$12.4 million equity private placement of units to close following shareholder approval; and US$11.0 million in non-dilutive royalty financing, and will be used to fully fund the construction of the Company’s Molo graphite mine in Madagascar.

Sir Mick Davis comments:

“A major structural change in global battery mineral demand is underway, driven by government regulation and a global consensus to urgently reduce greenhouse emissions.

“The impact on battery mineral demand could dwarf even the commodity impact of China’s industrialization in the last 20 years. Our investment in NextSource underlines my belief that graphite in particular will play a key role in the demand for critical battery material resources.

“I am pleased to play an active role in assisting the NextSource management team in unlocking Molo’s potential and supporting its growth to realize value for all investors and stakeholders, and to create a major battery materials producer on a global scale.”

Sir Mick Davis is a successful mining executive credited with building Xstrata Plc into one of the world’s largest global diversified mining and metals companies prior to its acquisition by Glencore Plc.

Before listing Xstrata on the London Stock Exchange as CEO, he was CFO of Billiton Plc and Chairman of Billiton Coal, which he joined after serving as CFO of Eskom, South Africa’s power utility company that provides 60% of the total electricity consumed on the African continent.

During his career in mining, he has raised over US$40 billion from global capital markets and successfully completed over US$120 billion of corporate transactions, including the creation of the Ingwe Coal Corporation in South Africa; the listing of Billiton on the London Stock Exchange; the merger of BHP and Billiton; as well as numerous transactions at Xstrata culminating in the sale to Glencore Plc.

In December 2020, Sir Mick Davis created Vision Blue, a battery commodity/resource-focused investment company focussed on critical battery material resources.

Vision Blue’s purpose is to assemble a portfolio of strategically significant investments in high-quality, responsibly managed and proven battery material mining assets. NextSource Materials is Vision Blue’s first major investment into their strategic portfolio.

Sir Mick Davis is a Chartered Accountant by profession and holds an honours degree in Commerce from Rhodes University, South Africa and an Honorary Doctorate from Bar Ilan University, Israel.