Newly-listed battery metals player International Graphite has wasted little time familiarising itself with its new market surroundings, inking a binding Memorandum of Understanding, or ‘MoU’ with power supplier ZEN Energy that it says could provide a renewable power source for its graphite technologies at its downstream processing facility in Collie, Western Australia.
International Graphite is currently in the midst of constructing the facility where it will conduct research and development and pilot testing of its graphite concentrates to produce battery anode material or ‘BAM’ and micronised graphite.
ZEN Energy is a renewable energy seller providing power solutions to the South Australian Government, CSIRO facilities in the eastern states, several commercial and industrial enterprises and more than two dozen regional councils in New South Wales.
South Australian-based ZEN is evaluating the possibility of constructing and operating a ‘big battery’ in Collie that could allow it to supply power to a wider client base.
Interestingly, the WA government has backed both ventures, awarding International Graphite $2 million through the Collie Futures Industry Development Fund for its Collie plant and up to $1 million for the first stage of ZEN’s 200MW battery feasibility study.
According to International Graphite, ZEN’s battery project could aid in the management of wholesale market risk and supply renewable energy to several industrial projects spread around Collie.
Given the battery is slated to supply 200MW of power capacity and possibly store up to 800MWh of energy, it is expected to play a key role in the new Collie Battery and Hydrogen Industrial Hub Project that is the centrepiece of the WA Government’s $100 million policy to establish a major renewable energy hub in Collie and move the local economy away from coal.
News of the MoU with ZEN follows International Graphite’s entrance to the ASX earlier this month following the completion of a $10 million IPO and the acquisition of the Springdale graphite project in WA from Comet Resources.
Springdale is a shallow, open pit mining operation near Hopetoun in WA with access to well-developed infrastructure including roads and ports.
According to International Graphite, Springdale incorporates a 15 million tonne-plus inferred resource with a total graphite content, or TGC, of 6 per cent with a higher grade inferred resource of 2.6 million tonnes going 17.5 per cent TGC.
The company quickly followed up its ASX debut by launching on the Frankfurt Stock Exchange to allow it to engage with European-based investors and if recent events are anything to go by, International Graphite could have plenty more in the pipeline.
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