Battery Minerals Ltd (Battery) and Qingdao Black Dragon Graphite Co. have signed an offtake agreement for 10 000 tpy of graphite concentrate from Battery’s Montepuez project for an initial term of three years.
Executive Chairman of Battery Minerals, David Flanagan, said: “The Montepuez is rapidly gaining momentum, as demonstrated by the fact that we now have three binding agreements covering 60% of our forecast annual production.
“At the same time, we are in discussions to finalise the Mining Licence and we are rapidly advancing the Montepuez project as part of our strategy to be in production by December 2018 and complete our first shipment in the March Quarter of 2019.”
Qingdao Black Dragon Graphite Co. Ltd is a privately-owned company based in Shandong China, and is one of China’s largest consolidated graphite companies. Established in 1987, Black Dragon has four mining operations in both Heilongjiang and Shandong producing 50 000 short t of concentrate per year. It also produces over 300 specifications of various downstream graphite products and is one of the few companies in China who has the complete industry value chain of mining, concentrate production, coated spherical graphite, expandable, graphite paper and a range of other high value products delivered to first tier global companies.
Minerals intends to commence graphite flake concentrate production from its Montepuez Graphite Project in the December 2018 Quarter and first shipment in the March 2019 Quarter at export rates of 45 000 to 50 000tpy at an average flake concentrate grade of 96.7% TGC.
As Battery Minerals executes subsequent expansions, it expects production to grow to over 100kt per annum graphite flake concentrate from its Montepuez Graphite Project by 2022.
Read the article online at: https://www.globalminingreview.com/finance-business/19012018/battery-minerals-signs-offtake-agreement-with-qingdao-black-dragon/