A half-billion US$$ leg up? The World Bank has a mighty infrastructure gift for BlackEarth’s Maniry graphite project
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BlackEarth Minerals is the direct beneficiary of an extraordinary US$535M infrastructure spree, with the World Bank and the Government of Madagascar green-lighting a whole new logistical future for the Maniry graphite project.
A significant portion of the funds will be used to upgrade the key proposed logistics route from the project site to the port at Tolagnaro.
“The World Bank has significantly ramped up its investments in the transport and connectivity sector in the past couple years because we firmly believe that better transport connectivity is key to unlocking Madagascar’s economic and social development,” World Bank Country Manager for Madagascar Marie-Chantal Uwanyiligira said.
“This proactive approach to supporting both local and foreign investment in the area is certainly a win-win for all current and future stakeholders and reinforces the positive investment climate that exists in Madagascar,” BlackEarth Minerals (ASX:BEM) MD Tom Revy said.
Maniry currently has a total Resource of around 23 million tonnes grading just shy of 7% total graphitic carbon, or 1.6 million tonnes of contained graphite – and the definitive feasibility study for the project is expected to be released in the near-term.
The project will now finance the rehabilitation and paving of a 400 km stretch of road on the RN10 – an upgrade which Revy says has the potential to materially impact both Project capital and operating costs as well as assist with the company’s expansion plans post 3-4 years of operations.
“The upgrade of RN10 certainly has the potential to enhance safety on the roads as well as result in significant savings in operating (logistics-related) costs,” he said.
“It will now provide us with the option of using both the ports of Toliara and where we have already been granted export rights, at Tolagnaro.”
This article was developed in collaboration with BlackEarth Minerals NL, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.