International Graphite has been awarded a $4.7m grant from the Australian Government to fast track its graphite “mine-to-market” development strategy in WA.

Funds will be used to advance feasibility studies for its proposed Springdale graphite project and advanced battery anode material manufacturing plant at Collie along with construction of a planned graphite micronising facility – also at Collie.

International Graphite (ASX:IG6) said the grants through the national Critical Minerals Development Program recognise early and mid-stage critical minerals projects that further Australia’s transition to net zero emissions and support economic development and jobs in regional communities.

“Australia has set its sights on becoming a critical minerals powerhouse and we are thrilled that the Federal Government has recognised our potential to contribute to that vision,” managing director Andrew Worland said.

“This grant is an important vote of confidence in our business and confirmation that projects like Springdale and Collie are vital in meeting global decarbonisation targets.”

He added that by moving from mining to downstream production, the company sought to ensure the full value of Australia’s natural resources remained in country whilst generating local jobs, supporting regional communities and developing new forward facing industries and minerals processing technologies.

Collie project

The company recently unveiled a Scoping Study for the proposed Collie Graphite Battery Anode Material facility which indicated that it would be capable of processing up to 40,000tpa of graphite concentrates to produce coated spheroidised purified graphite (CSPG).

Notably, this would be capable of delivering “outstanding” economics with forecast pre-tax and pre-finance net present value and internal rate of return of roughly US$626m and about 41% respectively.

Total capital cost to produce CSPG is estimated at approximately US$222 million.

Adding further interest, these numbers are based on the purchase of graphite concentrates from third party sources and could improve when the company integrates its wholly-owned Springdale graphite project.

Recent exploration activity at Springdale has also resulted in a fourth high-grade discovery at Mason Bay, which is in turn just one of seven high priority exploration targets identified by an airborne electromagnetic (AEM) survey.




This article was developed in collaboration with International Graphite, 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.