China’s Export Controls Tighten Supply Chains, Elevating EcoGraf’s Strategic Role

Epanko Project Debt Financing Advances

EcoGraf Limited is on the cusp of a significant financing milestone with the imminent release of the Independent Engineer’s Report (IER) for its Epanko Graphite Project in Tanzania. This report, a critical component of the US$105 million senior secured loan arranged through KfW IPEX-Bank under the German Untied Loan Guarantee scheme, follows an exhaustive technical due diligence process. The IER will underpin the final debt financing arrangements, enabling EcoGraf to progress construction of the Epanko mine, a cornerstone of its vertically integrated battery anode materials strategy.

Alongside financing progress, EcoGraf has completed its Resettlement Action Plan (RAP), adhering to International Finance Corporation standards and the Equator Principles. The RAP includes development of resettlement infrastructure and livelihood restoration programs, reflecting the company’s commitment to responsible environmental and social governance.

Strong Economics for HFfree® Purification Facility

Downstream, EcoGraf’s HFfree® purification technology continues to demonstrate compelling financial metrics. The company’s initial 25,000 tonnes per annum purification facility is projected to require a capital investment of US$95 million, delivering a pre-tax net present value (NPV10) of US$282 million and an internal rate of return (IRR) of 42%. Operating costs have been optimized to US$478 per tonne, a 25% reduction from previous estimates, driven by process efficiencies such as reduced reagent consumption and improved chemical recycling.

These advances position EcoGraf’s HFfree® process as a cost-effective and environmentally superior alternative to traditional hydrofluoric acid-based purification methods, supporting the company’s strategy to supply high-purity battery anode materials to key markets in Europe, North America, and Asia.

Intellectual Property and Market Positioning

In a notable intellectual property development, IP Australia has granted EcoGraf its first original patent for the HFfree® purification technology, securing protection for 20 years. This patent complements an earlier granted patent family and covers applications across battery anode manufacturing and recycling. The company is actively progressing patent applications in multiple jurisdictions, reinforcing its competitive moat.

EcoGraf is also advancing product qualification and recycling programs with battery manufacturers and electric vehicle OEMs, underscoring its integrated approach to sustainable battery material supply chains. The company’s participation in international forums, including the German-Australian Critical Raw Materials Roundtable and the AusIMM Critical Minerals Conference, highlights its growing profile and engagement with key stakeholders.

Geopolitical Shifts Highlight Strategic Importance

Adding urgency to EcoGraf’s initiatives, China’s government announced expanded export controls on graphite and anode materials effective 8 November 2025. These measures tighten global supply chains and reinforce the strategic value of EcoGraf’s ex-China supply chain positioning and proprietary HFfree® technology. The company’s ability to offer a secure, sustainable alternative supply is increasingly critical amid shifting geopolitical dynamics.

Corporate and Financial Updates

On the corporate front, EcoGraf appointed Maria Du Plooy as General Manager – Finance and Joint Company Secretary, alongside key personnel additions to support the Epanko project development. The company ended the quarter with cash and cash equivalents of A$8.53 million, maintaining a runway of just over three quarters at current expenditure levels. Discussions for government grant funding in the EU and US remain active, including a US$76.3 million award submission to the US Department of Defence.

EcoGraf’s integrated business model, spanning upstream mining, midstream processing, and downstream purification and recycling, positions it well to capitalize on the growing demand for battery anode materials amid the global energy transition.