Related party transactions

3 Months Ended

Mar. 31, 2024

Related Party Transactions [Abstract]

Related party transactions

Related party transactions

Related Party Debt

The Company has convertible debt instruments with affiliates of Glencore plc. (“Glencore”), refer to Note 14 for more information.

Related Party Revenue

The Company has agreements with Glencore, pursuant to which it sells certain products and by-products produced at the Company's Spokes to Glencore. During the three months ended March 31, 2024, the Company recorded a net loss of $0.3 million from sales to Glencore, which is driven by losses from the finalization of provisional assays, which exceeded sales in the period (sales to Glencore were $0.9 million for the three months ended March 31, 2023). Account receivables from Glencore as of March 31, 2024 were $1.3 million ($0.3 million as of December 31, 2023). The receivables balance with Glencore increased in the three months ended March 31, 2024 as a result of recognizing receivables, booked against a decrease in research and development expense, from Glencore as part of a cost sharing arrangement between the parties related to the Portovesme Hub of $1.3 million ($nil as of December 31, 2023).

Related Party Expenses

The Company has engaged Fade In Production Pty. Ltd., which is controlled by certain members of the immediate family of the interim non-executive Chair of the Company’s Board, to provide it with corporate video production services since 2017. Total expense and accrual were below $0.1 million and $nil for three months ended and as of March 31, 2024, respectively.

On May 31, 2022, the Company entered into agreements with Glencore, pursuant to which Glencore earns (i) sourcing fees on feed purchased for the Company's Spokes; and (ii) marketing fees on the sale of Black Mass sold to third parties. Sourcing fees and marketing fees payable to Glencore as of March 31, 2024 were $0.1 million (December 31, 2023: $0.1 million).