BlackEarth secures German supply for Indian expandable graphite plant

BlackEarth is working with Germany’s Technografit to supply graphite concentrate at its Indian expandable graphite joint venture with Metachem.

Under the agreement, BlackEarth and Metachem can acquire up to 2,500 tonnes per annum of graphite concentrate for their expandable graphite plant in India.

BlackEarth Minerals’ (ASX:BEM) plant is expected to have initial production of between 2,000 tonnes to 2,500 tonnes per annum that will increase to 4,000tpa with plans for further material growth.

First production and sales are expected to begin in 3Q 2022.

The company’s European sales and marketing partner LuxCarbon will work closely with Technografit to ensure its supply chain is managed to a world-class level.

Supply chained

Managing director Tom Revy said the agreement completed its supply chain and guaranteed its Indian operations a supply of world class concentrate to feed its operations for the next few years before production from its own Maniry project in Madagascar begins.

“We can now move forward quickly knowing that we not only have a product offtake agreement in place (with Grafitberbau, Austria) to sell the expandable graphite we produce, this agreement also provides us with immediate access to world class concentrate to ensure we are able to produce and sell quality high value product in the short term,” he added.

“The Agreement also assists to underpin our proposed plant development in Madagascar, as concentrate from this development will be provided to our downstream operations with Metachem as soon as this is available.

“Our relationship with Techniografit and Luxcarbon further broadens our association with industry leading Graphite product developers in Germany who have access to markets for expandable graphite and other downstream products in Europe and worldwide.”

This article was developed in collaboration with BlackEarth Minerals, 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.