Execution Risks Loom as International Graphite Advances Collie Facility with $2M Grant
International Graphite Limited has locked in a $2 million government grant to fund critical feasibility studies for its Western Australian battery anode materials project, reinforcing its mine-to-market strategy.
- Signed $2 million Financial Assistance Agreement with WA Government
- Part of a $6.5 million total grant package for feasibility and development
- Funding supports metallurgical testwork, flowsheet development, and plant design
- Grant drawdowns tied to expenditure milestones over a two-year term
- Advances Collie Micronising Facility towards mechanical completion
Government Support Bolsters Critical Minerals Ambitions
International Graphite Limited (ASX: IG6) has secured a further $2 million in funding from the Western Australian Government under the Collie Industrial Transition Fund. This latest tranche is part of a broader $6.5 million grant package aimed at underpinning the company’s feasibility activities for its battery anode materials production facilities.
The Financial Assistance Agreement, signed in January 2025, provides financial certainty for International Graphite’s ongoing development work at its Springdale Graphite Project and the downstream processing operations planned for Collie. The funding will be applied over a two-year period to support metallurgical testwork, flowsheet development, and plant design, all critical steps in assessing the technical, environmental, and financial viability of producing battery anode materials from Western Australian graphite.
Advancing the Mine-to-Market Vision
Managing Director Andrew Worland expressed appreciation for the Western Australian Government’s leadership in fostering critical minerals and downstream processing initiatives. The grant funding aligns with the company’s strategic goal of establishing a vertically integrated mine-to-market supply chain, which includes mining graphite concentrate at Springdale and processing it into advanced anode materials at Collie.
With all government grants now contracted, International Graphite has secured a solid financial foundation to progress its Front End Engineering and Design (FEED) study. The company anticipates that stage 1 of the Collie Micronising Facility will be fully funded to mechanical completion, a significant milestone that will bring it closer to commercial-scale production.
Strategic Implications and Market Positioning
This funding milestone not only de-risks the feasibility phase but also positions International Graphite as a key player in Australia’s burgeoning battery materials sector. The company’s focus on ESG excellence and technical rigor aims to meet growing demand from markets in the US, Europe, and Asia for secure, reliable graphite supply chains.
International Graphite’s integration into global initiatives such as the European Battery Alliance and the European Raw Minerals Alliance further underscores its ambition to be a trusted supplier in the critical minerals ecosystem. The Collie operations’ ISO 9001:2015 certification adds an additional layer of quality assurance to its downstream processing capabilities.
Looking Ahead
As International Graphite moves forward with its feasibility studies and engineering design, the drawdown of grant funds will be closely tied to the achievement of key milestones. The company’s ability to translate this funding into tangible progress will be a critical factor for investors watching the development of Australia’s battery materials supply chain.
Bottom Line?
With government backing now fully contracted, International Graphite is poised to turn feasibility into reality, but execution risks remain as it advances its Collie facility.
Questions in the middle?
- What are the expected timelines and key milestones for the Collie Micronising Facility’s completion?
- How will International Graphite manage potential cost overruns or technical challenges during feasibility and construction?
- What are the company’s plans for scaling production beyond stage 1, and how will it secure additional funding if needed?
