Evolution Energy Minerals

Evolution Energy Minerals is advancing the Chilalo graphite project in Tanzania. An updated definitive feasibility study outlines an 8.3 million tonne reserve at 10.5% graphite, producing 52,000 tonnes per year of graphite concentrate over a 17-year mine life. The project has low capital intensity, with pre-production capex of $120 million. Coarse flake graphite results in high operating margins of $841 per tonne at current prices.

A binding offtake agreement is in place with Yichang Xincheng Graphite for 30,000 tonnes per year of coarse flake concentrate. Uncontracted fines provide feedstock for Evolution's vertical integration strategy to produce battery-grade graphite in the US. The company is evaluating sites and positioning for government funding opportunities.

The project benefits from favorable geology containing coarse flake graphite with demonstrated performance in high-growth applications like batteries and Chilalo's development-ready status allows it to respond to rising graphite prices as demand is forecast to exceed supply.