Eramet outlines its short- and medium-term operational and strategic roadmap
Summary by AI BETAClose X
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Paris, 9 November 2026, 7:30 a.m.
PRESS RELEASE
Eramet outlines its short- and medium-term operational and strategic roadmap
Solid operational performance confirmed in 2026
- Confirmation of targets published in Q3: Adjusted EBITDA1 between €540m and €610m and Capex between €250m and €290m
- Return to positive adjusted Free Cash-Flow1 over the year, notably thanks to the results of the performance improvement programme (including ReSolution)
- Confirmation, subject to the completion of the capital increase, of adjusted leverage1 below 3x, gearing2 below 100% and liquidity estimated at more than €1.6bn at year-end
Continued deleveraging of the Group, with progress on two asset monetisation options and one disposal agreed in 2026
- Two processes underway: one concerning the disposal of a minority stake in Centenario and the other a significant disposal of Eramet’s minority stake in PT Weda Bay Nickel3
- Disposal, for $71m4, of undeveloped mining concessions in the Arizaro salar in Argentina
Outlook for 2027: higher volume targets5 and controlled capex
- Manganese ore: transported volumes in Gabon between 6.8 and 7.3 Mt
- Lithium carbonate: production between 20 and 24 kt-LCE
- Nickel ore: external sales volumes expected to be in line with the last two years, subject to obtaining the permits
- Mineral Sands: production of around 900 kt-HMC, with a return to full capacity in Q1 2027
- Controlled capex: between €280m and €320m, close to the 2026 level, with strict capital allocation
Continued implementation of the strategic roadmap in critical metals
- Lithium growth options confirmed, notably with preparation for a potential first phase of expansion of the existing Centenario plant and an upward revision of the salar’s long-term potential to close to 150 kt-LCE per year
- Progress under the memorandum of understanding signed in July with the Gabonese State regarding the transformation of the manganese value chain, particularly for steels used in critical applications and for the battery industry
Christel Bories, Eramet Group Chair and CEO:
Eramet is finalising the preparation of its capital increase. On this occasion, we wanted to share our outlook for the Group through to 2027 and provide an update on the progress of our strategic roadmap.
Eramet has tier-one assets and solid development prospects, with growth options, particularly in lithium. We are fully aware that their realisation first requires restoring our balance sheet. This is the purpose of the actions we have initiated and are currently implementing, particularly as part of our funding plan and performance improvement programme.
All our teams are fully mobilised to ensure the successful implementation of these actions, which will enable Eramet to enter a new chapter in its history, with a restored financial structure and the necessary resources to seize its growth opportunities.
***
As part of the preparation of its capital increase project, expected by year-end6, Eramet is exceptionally communicating its targets for 2027. This outlook is based on the full execution of the Group’s funding plan, particularly operational performance improvement and asset monetisation, in order to sustainably strengthen its financial position.
The Group is also outlining the next steps planned as part of the implementation of its strategic plan, particularly in lithium and manganese.
- Plan to enhance cash generation and strengthen the balance sheet
- Preparation of the capital increase project
On 12 October 2026, Eramet announced a strategic agreement between its two reference shareholders, the French State Shareholding Agency (Agence des Participations de l’État, “APE”)7 and Sorame-CEIR, enabling the Group to confirm its intention to launch the capital increase planned by end-2026.
As part of the steps preceding the launch of the capital increase, the APE7 obtained a waiver from the French Financial Markets Authority (“AMF”) on 26 October related to individual threshold crossings triggered by its agreement with Sorame-CEIR, with the appeal period having expired.
- Asset monetisation, with a first disposal in 2026; ongoing discussions concerning two other assets
As part of the funding plan announced in February 2026, the Group conducted a strategic review of its portfolio aimed at a targeted monetisation of assets.
The Group signed an agreement to sell its undeveloped mining concessions in the Arizaro salar (in Argentina), with closing expected by year-end8. In 2017, Eramet was granted these ten concessions covering nearly 33,000 hectares, representing one of the largest concession holdings in the Arizaro salar. Proceeds from the sale of $71m (equivalent to close to €60m, net of taxes) will contribute to reducing net debt at year-end. This disposal is consistent with the Group’s strategy of focusing on the development of large lithium deposits enabling industrial-scale operations.
In addition, the Group has received expressions of interest from potential investors, and processes are underway concerning two assets:
- Centenario (lithium in Argentina): Interest from several potential partners in a minority stake and in contributing to the development of the asset;
- Weda Bay (nickel in Indonesia): interest from several investors in a significant portion of the Group’s minority stake in PT Weda Bay Nickel3.
No proceeds from these two processes are expected by year-end.
- A financial outlook confirming the Group’s potential
- Confirmation of 2026 targets
The Group provided its 2026 targets in its Q3 2026 turnover press release, based on confirmed volume targets and Q4 price assumptions9:
- Adjusted EBITDA1: €540m to €610m;
- Capex10: between €250m and €290m;
- Covenant gearing below 100% (pro forma for the capital increase);
- Adjusted leverage1 below 3x (pro forma for the capital increase).
In addition, the Group indicates that it expects to generate positive adjusted Free Cash Flow1 in 2026. Liquidity, excluding the capital increase, is estimated at more than €1.1bn as at 31 December 2026 (€1.6bn including the capital increase).
- Outlook for 2027: volume growth and continued performance improvement initiatives
In the context of the capital increase, the Group is exceptionally communicating its targets for 2027 today, ahead of its usual communication schedule.
Volume5 targets for 2027 are higher than in 2026, notably thanks to the continued implementation of the Group’s performance improvement programme:
- Manganese ore: transported volumes in Gabon are expected to reach between 6.8 and 7.3 Mt, notably reflecting the continued improvement in rail transport performance in Gabon;
- Lithium carbonate: production at Centenario in Argentina is expected to reach between 20 and 24 kt-LCE, reflecting the achievement of targets and necessary maintenance shutdowns;
- Nickel ore: expected external sales volumes in Indonesia should be in line with the previous two years, subject to obtaining permits;
- Mineral Sands: production of around 900 kt-HMC is expected in Senegal, factoring in a return to full production capacity in Q1 2027.
Capex10 remains controlled and is estimated between €280m and €320m in 2027, with sustaining and equipment renewal capex expected to range between €260m and €290m, including around €100m for the continued modernisation of the supply chain in Gabon. Development capex remains limited (between €20m and €30m), mainly relating to the preparation of future growth in lithium, as well as investments in the transformation of the manganese value chain in Gabon.
Furthermore, the agreement with the State regarding the financing of SLN remains unchanged11. The objective remains to find a sustainable solution, in the interests of the territory and without any impact on the Group’s balance sheet.
- Continued implementation of the strategic roadmap for critical metals
The Group continues to implement its strategic roadmap aimed at developing activities in critical metals for electrification and energy storage.
As a result, the Group is providing further details today on progress towards certain key milestones in its lithium and manganese roadmap.
Most of the projects detailed below are at the study stage and remain subject to a final investment decision (“FID”). They will only be launched once the funding plan is finalised and the Group’s financial position is confirmed as restored. Cash generation and strict capital allocation remain Eramet's priorities at this stage.
- Centenario expansion phases, with long-term potential of close to 150 kt-LCE per year
A major milestone was reached in October 2026, with production at nameplate capacity over the month (without any maintenance-related shutdowns), ahead of target. Cash cost (Ex-Works) was below $6,000/t-LCE for the month, in line with the post-ramp-up target12. This demonstrates a successful ramp-up in just 16 months.
Moreover, the latest studies have led to an upward revision of the salar’s full long-term development potential, estimated at close to 150 kt-LCE per year. This potential leverages drainable mineral resources of up to 15 Mt-LCE, and secured access to water resources.
This development potential could be unlocked over the next ten years. It includes:
- A two-phase brownfield expansion of the existing plant, with lower capital intensity. This will serve to further strengthen Centenario’s position within the first quartile of the global lithium industry cost curve. The first phase of the contemplated expansion (+11 kt-LCE per year) is currently undergoing a Detailed Feasibility Study (“DFS”), as previously announced13. For the proposed second phase (+17 kt-LCE per year), a Pre-Feasibility Study (“PFS”) is underway.
- A greenfield expansion phase involving two new plants (around 50 kt-LCE each). Concept studies were kick-started.
A limited amount of €20m is planned in 2027 to complete these studies.
- Roadmap continued to transform the manganese value chain in Gabon
Under the memorandum of understanding signed with the Gabonese authorities in July 202614, several studies are underway, including detailed engineering studies (DFS) regarding a manganese oxide (“MnO”) production plant. MnO is a strategic metal for steels used in critical applications and for the battery industry. This project, with an annual production capacity of 60 kt15, would require an estimated investment of $40m. A final investment decision (“FID”) will be made, subject to the validation of the technical, environmental, economic and industrial conditions necessary for the project’s success.
This project would represent an important step in the development of a competitive manganese processing industry in Gabon.
Calendar
17.02.2027: Publication of 2026 Group annual results
29.04.2027: Publication of 2027 Group first-quarter turnover
ABOUT ERAMET
Eramet transforms the Earth’s mineral resources to provide sustainable and responsible solutions to the growth of the industry and to the challenges of the energy transition.
Its employees are committed to this through their civic and contributory approach in all the countries where the mining and metallurgical group is present.
Manganese, nickel, mineral sands and lithium: Eramet recovers and develops metals that are essential to the construction of a more sustainable world.
As a privileged partner of its industrial clients, the Group contributes to making robust and resistant infrastructures and constructions, more efficient means of mobility, safer health tools and more efficient telecommunications devices.
Fully committed to the era of metals, Eramet’s ambition is to become a reference for the responsible transformation of the Earth’s mineral resources for living well together.
www.eramet.com
| INVESTOR CONTACT Director of Investor Relations Sandrine Nourry-Dabi T. +33 1 45 38 37 02 sandrine.nourrydabi@eramet.com | PRESS CONTACT Group Communications Director Laurent Cicolella +33 1 45 38 41 38 laurent.cicolella@eramet.com |
| Media Relations Officer Nedjma Amrani T. +33 7 65 65 44 49 nedjma.amrani@eramet.com |
Important information
No communication and no information in respect of the transaction referenced in this document may be distributed to the public in any jurisdiction where a registration or approval is required. No steps have been or will be taken in any jurisdiction (other than France) where such steps would be required. The issue, the subscription for or the purchase of securities of Eramet S.A. (“Eramet” or the “Company”) may be subject to specific legal or regulatory restrictions in certain jurisdictions. Eramet assumes no responsibility for any violation of any such restrictions by any person.
This document is not and should not be construed as a “prospectus” within the meaning of Regulation (EU) 2017/1129 of the European Parliament and of the Council of 14 June 2017, as amended (the “EU Prospectus Regulation”) or within the meaning of the Public Offers and Admissions to Trading Regulations 2024 (the “POATR”).
In accordance with the EU Prospectus Regulation, the Company will make available a French voluntary prospectus relating to the share capital increase with preferential subscription rights (the “Rights Issue”) prepared in accordance with the EU Prospectus Regulation that will be submitted for the approval of the French financial markets authority (Autorité des marchés financiers) in connection with the public offering in France (including New Caledonia (la Nouvelle-Calédonie)) and the admission on Euronext Paris of the new shares issued in the Rights Issue.
With respect to the member states of the European Economic Area other than France (the “Member States”), no action has been undertaken or will be undertaken to make an offer to the public of securities requiring the publication of a prospectus in any Member States. As a result, any securities of Eramet may only be offered in Member States (i) to “qualified investors”, as defined by the EU Prospectus Regulation; (ii) to fewer than 150 natural or legal persons per Member State, other than “qualified investors” (as defined in the EU Prospectus Regulation); or (iii) in any other circumstances, not requiring Eramet to publish a prospectus as provided under Article 1(4) of the EU Prospectus Regulation; and provided that none of the offers mentioned in paragraphs (i) to (iii) above requires the publication of a prospectus by Eramet pursuant to Article 3 of the EU Prospectus Regulation, a supplement to the EU Prospectus Regulation pursuant to Article 23 of the EU Prospectus Regulation, or the publication of an Annex IX document pursuant to Article 1(4) of the EU Prospectus Regulation.
With respect to the United Kingdom, no action has been undertaken or will be undertaken to make an offer to the public of securities requiring the publication of a prospectus in the United Kingdom. As a result, any securities of Eramet may only be offered in the United Kingdom (i) to “qualified investors”, as defined under paragraph 15 of Schedule 1 to the POATR; (ii) to fewer than 150 natural or legal persons, other than “qualified investors” (as defined under paragraph 15 of Schedule 1 to the POATR); or (iii) in any other circumstances falling within Part 1 of Schedule 1 to the POATR.
This document and any other materials in relation to the securities of Eramet have not been made, and have not been approved, by an “authorised person” within the meaning of Section 21(1) of the Financial Services and Markets Act 2000 (as amended, the “FSMA”). As a consequence, this document is directed only at persons who (A) are located outside the United Kingdom or (B) are “qualified investors” within the meaning of paragraph 15 of Schedule 1 to the POATR (i) who are investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended, the “Order”), (ii) who fall within Article 49(2)(a) to (d) of the Order, or (iii) to whom it may be lawfully communicated (all such persons collectively being referred to as “Relevant Persons”). Any securities are intended only for Relevant Persons and no invitation, offer or agreements to subscribe, purchase or acquire the securities may be proposed or made other than with Relevant Persons. Any person other than a Relevant Person may not act or rely on this document or any provision thereof. This document is not a prospectus which has been approved by the Financial Conduct Authority or any other United Kingdom regulatory authority within the meaning of Section 85 of the FSMA.
This document does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States of America, its territories and possessions, any State of the United States of America and the District of Columbia (the “United States”). Securities may not be offered, subscribed or sold in the United States absent registration under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), except pursuant to an exemption from, or in a transaction not subject to, the registration requirements thereof. The securities of Eramet have not been and will not be registered under the U.S. Securities Act. Eramet does not intend to register any portion of the offering of its securities in the United States or to conduct a public offering of its securities in the United States.
The distribution of this document in certain countries may constitute a breach of applicable law and regulation.
The information contained in this document does not constitute an offer of securities for sale in the United States, Canada, Australia, Japan or South Africa.
This document may not be published, forwarded or distributed, directly or indirectly, in or into the United States, Canada, Australia, Japan or South Africa.”
Appendix 1: Financial glossary
Consolidated performance indicators
The consolidated performance indicators used for the financial reporting of the Group's results and economic performance and presented in this document are restated data from the Group's reporting and are monitored by the Executive Committee.
Adjusted EBITDA
Adjusted EBITDA is presented to provide a better understanding of the underlying operational performance of the Group's activities. Adjusted EBITDA corresponds to EBITDA including Eramet's share of the EBITDA of significant joint ventures accounted for using the equity method in the Group's financial statements.
In 2026, EBITDA was adjusted to include the proportional EBITDA of PT Weda Bay Nickel, a company in which Eramet owns a 38.7% indirect interest. Eramet owns a 43% interest in Strand Minerals Pte Ltd, the holding which owns 90% of PT Weda Bay Nickel and is booked in the Group’s consolidated financial statements under the equity method.
In addition, adjusted EBITDA excludes the EBITDA of SLN as a standalone company, since the entity’s losses have been fully financed by the French State since 2024, following an agreement signed with Eramet. However, EBITDA linked to ferronickel trading is still booked in the adjusted EBITDA (under “Holding”), given the existence of a purchase agreement between SLN and Eramet S.A., and a sales agreement between Eramet S.A. and end customers.
Adjusted Free Cash-Flow
Adjusted Free Cash-Flow is presented to provide a better understanding of the underlying cash generation of the Group's activities. Adjusted Free Cash-Flow corresponds to Free Cash-Flow net of financing granted by the French State to SLN (in the form of undated fixed rate subordinated bonds – Titres Subordonnés à Durée Indéterminée – “TSDI”) to neutralise the New Caledonian entity’s cash consumption.
Adjusted leverage
Adjusted leverage is defined as consolidated net debt, restated for the available cash provided by the French State (via “TSDI”) to finance SLN’s future losses, over adjusted EBITDA (as defined above).
However, in the future, should other significant joint ventures restated for adjusted EBITDA have external debt, net debt will be adjusted to include Eramet's share in the external debt of the joint ventures (“adjusted net debt”). Adjusted leverage would then be defined as adjusted net debt to adjusted EBITDA, in compliance with a fair and economic approach to Eramet’s debt.
Ex-Works cash cost for lithium carbonate
The Ex-Works cash cost for lithium carbonate produced by Eramine is defined as all the production and structure costs covering the entire extraction and refining stages required to make the finished or final product upon leaving the plant, and which have an impact on EBITDA in the Company's financial statements, over tonnage sold for a given period. This cash cost does not include land and sea transport costs, mining taxes and royalties from which the Argentine State benefits, or marketing costs.
Appendix 2: Footnotes
1 Definitions presented in the financial glossary in Appendix 1
2 Gearing within the meaning of bank covenants
3 Group's share in PT Weda Bay Nickel: 38.7%
4 Gross value
5 At constant scope
6 Subject to market conditions
7 Acting through FSI-Equation (Strategic Investment Fund)
8 Subject to the satisfaction of one final condition precedent, expected in the coming weeks
9 2026-10-29-Eramet-PR-Q3-2026.pdf
10 Net of the French State’s contribution to SLN’s capex
11 Cf.2024-03-04-Eramet-Agreement-with-the-French-State-PR
12 Optimised cash cost (Ex-Works) is expected to be between $5,400 and $5,800/t-LCE (based on 2025 economic conditions) at nameplate capacity
13 2026-10-01-Eramet-PR-Centenario-Expansion-RIGI-EN.pdf
14 2026-07-20-MoU-Eramet-Gabonese-State-PR-EN.pdf
15 Involving the processing of around 90 kt of manganese ore per year
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