Buxton’s graphite ore gets top marks from world’s largest anode manufacturer

• Graphite Bull ore gets tick of approval from world-leading anode manufacturer
• The ore meets performance standards to make lithium-ion batteries 
• Company seeks to fill part of supply gap as graphite deficit looms

Special Report: Buxton Resources has achieved a major milestone for the Graphite Bull project with the world’s largest anode manufacturer qualifying the ore for its production process.

Graphite is crucial in lithium-ion batteries, acting as the anode material. In fact, there’s more graphite in a lithium-ion battery than there is lithium.

China has a stranglehold of a whopping 98% of global graphite supply, and the world is scrambling for new sources.

This is partly driven by the US Department of Commerce (DoC) decision to impose countervailing duty (CVD) tariffs of up to 721% on synthetic and natural graphite anode material imported from China.

While not expected to be finalised until December, the move has prompted research houses like Argonaut to forecast that prices could lift to ~US$36/kg which is ~US$1800 per EV (3.6% of average EV selling price).

Buxton Resources’ (ASX:BUX) WA project hosts a recently updated resource estimate of 20.7 Mt at 10.8% Total Graphitic Carbon (TGC) and today, the company welcomes the news that BTR New Material Group has qualified Graphite Bull ore for its entire ore-to-anode production process.

This follows the company’s supply of sample material, including ore and flake concentrates, for extensive testwork.

Perfect timing to be a graphite producer

The material meets BTR’s proprietary specifications for:

• Flake concentrate produced from ore via simple flotation; and
• Coated Purified Spheronised Graphite (CPSG), produced from both ore and Buxton-supplied concentrate, via BTR’s standard industrial processes.

The ore is also compatible with BTR’s anode production methods and electrochemical performance standards, meaning that batteries fabricated using Graphite Bull CPSG meet requirements for customers like major battery companies CATL and Samsung. 

The company said it was seeing growing inbound interest in commercialisation opportunities for Graphite Bull, particularly with graphite being the single largest component of LFP and NMC Li-ion batteries.

Last month S&P Global released a Graphite Commodity Briefing Service report which highlighted a bullish outlook for the natural flake graphite market over medium and longer terms with forecast prices to rise as a supply deficit develops. 

Natural flake graphite prices (94-95%% TGC) are forecast to rise >150% by 2030 and ~180% by 2035, when the supply deficit will approach 1.5Mt.

Buxton said all of this and the US-China tariff war, positioned Graphite Bull as a very attractive project, “being a high-grade deposit located in a Tier 1, US FTA, non FEOC, mining jurisdiction, with ore materials having demonstrated excellent electrochemical performance and with outstanding resource growth potential.” 

The company has also recently confirmed the discovery of a new graphite mineral system at Blackhawk project, around 100km south from Graphite Bull.

This article was developed in collaboration with Buxton Resources, 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.