Hong Kong Xinhai Mining Services has completed its technical review of Arcadia Minerals’ Swanson Tantalum Mine in Namibia, with negotiations now advancing towards a definitive funding and development agreement as the project nears production.
Arcadia said Xinhai has prepared draft definitive terms that reflect the significantly improved tantalum market, while the company is simultaneously engaging European Development Finance Institutions and prospective strategic partners under the European Union’s Global Gateway for Raw Materials initiative to establish an alternative financing and development pathway.
A dramatic recovery in tantalum prices is underpinning the financing discussions.
According to Arcadia, market prices for 25% tantalum pentoxide concentrate have risen from about US$90 per pound in October 2025 to approximately US$200–210 per pound by March 2026, while China Tantalum is currently trading above US$225 per pound for 30% concentrate.
Arcadia said the stronger pricing environment significantly strengthens the economics of the Swanson project because tantalum price is the most sensitive variable in the mine’s 2023 Definitive Feasibility Study.
The study found that movements in tantalum prices have the greatest influence on both the project’s net present value and internal rate of return.
The company cautioned, however, that operational and capital costs from the 2023 study have not yet been updated and that a new Definitive Feasibility Study will be prepared if required.
The Swanson Tantalum Mine is fully permitted and construction-ready, with Arcadia seeking financing structures that would allow the project to enter production while minimising upfront capital expenditure and limiting shareholder dilution.
The company believes both the Xinhai discussions and engagement with European development financiers could help achieve that objective.
Arcadia nevertheless cautioned investors that there is no certainty that current negotiations with Xinhai or any other funding partner will result in definitive agreements, and said it would continue to update the market as discussions progress.
