Volt Resources has inked a binding offtake agreement with battery anode material producer Graphex Group for the sale of 10 000 t/y of fine natural flake production from its Bunyu project, in Tanzania.
The offtake would run for an initial five-year term, with the option to extend for a further five years.
The offtake agreement meant that all fine product from the Stage 1 operation at Bunyu has now been sold, with Volt telling shareholders that the company was continuing with other potential offtake partners for coarse graphite product from the Stage 1 operation.
“With projected strong demand in the graphite market, we are continuing to progress discussions with additional parties in respect to further graphite offtake opportunities,” said Volt CEO Prashant Chintawar.
“Looking ahead, Volt remains firmly focused on obtaining the development funding for the Bunyu project and moving towards construction and first production. We look forward to providing shareholders with further updates on progress.”
Stage 1 study was based on a mining and processing plant with a throughput rate of 400 000 t/y of ore to produce an average 23 700 t/y of graphite products. The Stage 1 project is aimed to establish Volt’s market position and infrastructure to support the development of the larger Stage 2 expansion project, which would increase production to 170 000 t/y of graphite product annually