King & Wood Mallesons (KWM) advised specialist mining private equity firm EMR Capital on the establishment of its Zambian joint venture with KoBold Metals, a Bill Gates-backed AI battery minerals explorer.
KoBold is investing US$150m to acquire an interest in, explore and develop the Mingomba copper mine in Zambia (formerly known as the Lumbambe Extension Project).
The deal is an important step forward for the green-energy transition, with copper in high demand for wind and solar farms and electric vehicles. It is also leading the way for innovation in the mining sector, with KoBold planning to use artificial intelligence to process drilling data and optimise copper and cobalt exploration at the Mingomba mine.
The KWM team was led by Partners, Paul Schroder, Mark McNamara and Mark Vanderneut, and supported by Gary Lock (HK) and Wilson Antoon (UK), Senior Associates, Jing Wang and Peixin Truong, Solicitors, Campbell Burns-McRuvie and Damon Scurria.
Commenting on the deal, Paul Schroder said:
“We’re proud to have advised EMR Capital, as lead international counsel, on this significant multi-jurisdictional transaction which is an important investment for copper and cobalt - key to the green-energy transition. It is also terrific to see the partnership between EMR Capital and KoBold Metals leading the way for innovation in the mining sector”.
Transactions of this nature are likely to increase following the Australian Federal Government’s commitment and funding into the Australian critical minerals sector to accelerate energy transition initiatives. The transaction also represents a significant milestone in the United States’ Department of State’s Minerals Security Partnership (MSP) policy regarding critical minerals.
KWM continues its contribution to a clean energy future through supporting economically important energy transactions. Recent deals include Qube’s strategic acquisition of Kalari, AEMO Services’s inaugural tender for long-term energy services agreements, and Canberra’s Big Battery.
