• Process design breakthroughs and optimisations delivered significant cost savings
• EcoGraf HFfree® process has a significant competitive advantage over competitors
• Strong financial metrics for an initial 25,000tpa Purification Facility

Following the decision in September 2022 to focus on a single-phase commercial scale Purification Facility development, a Product Qualification Facility was designed and then commissioned in 2024 to continue optimisation at a pilot scale and to run purification production trials in a continuous operation. This work program has resulted in a breakthrough in process efficiency and significant reductions in purification cost. The updated capital cost estimate for the initial 25,000tpa Purification Facility is US$95m, with a pre-tax NPV10 of US$282m and IRR of 42%. The savings have been delivered through reductions in reagent consumption at various stages of the process, resulting in reduced volumes of waste and lower waste disposal costs. The EcoGraf HFfree® process has a significant competitive advantage over competitors in process cost, quality and sustainability, with process costs 34% lower than HF purification processes and considerably lower than the other known processes. The Company intends to produce up to 300,000tpa of flake graphite at its Epanko Graphite Project in Tanzania and build the purification facilities in the major battery manufacturing centres across Europe, North America and Asia, using its patented technology.

The initial 25,000tpa Purification Facility is forecast to have an annual EBITDA of US$42m.

The Company is ideally positioned to establish a scalable, cost competitive and eco-friendly battery graphite business that meets the increasing requirement of lithium-ion battery manufacturers for new and environmentally responsible supply chains. Government grant funding discussions are underway in the EU and US, with positive feedback received.