In a recent reports, Australian based EcoGraf Limited is making progress towards securing a senior debt financing for Epanko Graphite Mine with positive feedback from a presentation of the KfW IPEX-Bank debt financing proposal to the government in August last year. The Australian company’s local subsidiary which runs Epanko is TanzGraf.
The company which seeks to manufacture battery components in Australia for electric vehicles global market, further stated that the government’s due diligence processes have commenced with a view to preparing an internal submission for formal approval.
“Although the year has been challenged by the major disruptions caused by Covid19, the company has made significant progress advancing the debt financing for both developments,” said EcoGraf Managing Director, Andrew Spinks.
Spinks added, “We are introducing a third pillar of value through the innovation of utilising the company’s purification process to recover carbon anode material. Our management team is working hard to secure a combined debt financing of U$95m which will transform the company’s prospects.”
He further noted that the value proposition of recycling strategy, combined with the vertically integrated business developments using the company’s proprietary purification process is significant and more importantly matches the new European Union legislative changes.
”The board and management would like to take the opportunity to wish all shareholders a safe Christmas and looks forward to advancing the company’s development in the New Year,” Spinks assured.
Meanwhile EcoGraf Limited said battery graphite manufacturing facility is making encouraging progress in relation to securing approvals for a US$35 million debt funding arrangement for the new Kwinana development in Australia.
The company said a development report, independent market study, updated financial model, feasibility and engineering studies have been provided for lender analysis and EcoGraf is working with the lenders through the approval process.
“In parallel, work is being undertaken to finalise the EPC contract, feedstock supply contract, operations and maintenance arrangements and the early works program that will facilitate commencement of the detailed engineering design works,” the company said in its report dated December 2020.
The report said EcoGraf also remains confident of finalising further sales and offtake arrangements as discussions advance with existing customers in Europe and Asia. The proposed 20,000 tonne per annum facility will manufacture battery anode products for export to Asia, Europe and North America using a superior, environmentally responsible purification technology to provide customers with sustainably produced, high performance battery anode graphite, the company stated.
A proposal is being finalised to undertake engineering design works for a containerised pilot plant supported by the recent positive results of up to 99.8 percent carbon achieved during testing with potential European customers on the recovery of high purity carbon anode material from battery black mass.