Volt Resources has made significant strides in its US graphite refinery project and secured major funding for its Bunyu Graphite Mine in Tanzania, positioning itself strongly in the critical minerals sector.
- Memberships in US DARPA-supported Critical Minerals Forum and Alabama Mobility & Power Consortium
- Received initial high purity graphite order from US supplier, with Alabama refinery plans underway
- Achieved ultra-high purity graphite production milestone using proprietary HF-free process
- Completed $2.23 million capital raise to fund feasibility study and development activities
- Executed binding term sheet with Unbounded Opportunities Fund for $11.1 million investment in Bunyu project
Strategic US Partnerships and Market Access
Volt Resources Limited (ASX, VRC) has reinforced its commitment to becoming a key player in the global critical minerals supply chain through strategic memberships in the US Defense Advanced Research Projects Agency (DARPA) supported Critical Minerals Forum and the Alabama Mobility and Power Consortium. These memberships, announced in October 2025, provide Volt with enhanced market access, industry networking opportunities, and valuable market intelligence, underpinning its ambitions to establish a resilient and innovative graphite refining business in the United States.
Progress on High Purity Graphite Production
In a notable technical achievement, Volt successfully produced ultra-high purity graphite (UHPG) with purity levels between 99.96% and 99.98% using its proprietary hydrofluoric acid (HF)-free chemical purification process during bench-scale trials. This milestone validates Volt’s patent-pending technology as a safer and more cost-efficient alternative to conventional methods, potentially giving it a competitive edge in the advanced materials market.
Additionally, Volt secured an initial order for high purity graphite (HPG) from a leading US graphite and carbon solutions provider. The supply will initially come from its Zavalievsky Graphite operations in Ukraine, while discussions continue with other potential customers for the planned Alabama refinery output. The company is confident that once sufficient offtake agreements are secured and engineering design for the Stage 1 refinery circuit is complete, it can fund the relatively low capital expenditure required to commence commercial production in the US.
Capital Raise and Strengthening of US Operations
Volt raised $2.23 million through a share placement supported by existing shareholders, new sophisticated investors, and the board, with directors subscribing $500,000. These funds will primarily support the definitive feasibility study (DFS) for the Alabama graphite refinery, debt repayment, and ongoing development of the ultra-high purity graphite product. The company also bolstered its US team by appointing industry veterans Dr. Diptarka Majumdar and Gerard Hand as advisors to its US subsidiary, Volt Energy Materials LLC. Both bring extensive expertise from Superior Graphite, a century-old leader recently acquired by ExxonMobil.
Binding Term Sheet for Bunyu Graphite Mine Development
In a major funding development, Volt executed a binding term sheet with Dubai-based Unbounded Opportunities Fund SPC (UOF) for a conditional equity investment of USD 11.1 million to develop the Bunyu Graphite Mine and processing plant in Tanzania. The deal envisages UOF holding a 62% equity stake in Volt’s Tanzanian subsidiary post-financial close, with Volt retaining 38%. UOF will also prepare a revised feasibility study targeting a 40,000 tonnes per annum graphite concentrate production at a capital cost of USD 37 million and a unit operating cost of USD 450 per tonne, which is notably competitive given the current flat graphite price environment.
The agreement includes provisions for UOF to fund any capital cost overruns and performance-based adjustments to equity stakes if operating costs exceed targets. Volt will focus on securing project debt funding with a target gearing ratio of 70% debt to 30% equity, alongside locking in coarse and fine flake graphite offtake agreements.
Financial Position and Outlook
Volt ended the quarter with $830,000 in cash after repaying a $500,000 loan from RiverFort Global Capital Ltd. The company continues to exercise fiscal discipline, with net operating cash outflows of $448,000 and exploration expenditure focused mainly on the Bunyu asset. With the DFS for the Alabama refinery underway and the Bunyu project funding framework established, Volt is positioning itself to advance towards production and revenue generation in both the US and Tanzania.
While graphite prices remain subdued, Volt’s targeted operating costs and innovative purification technology could provide resilience and competitive advantage. The company’s strategic moves in critical minerals forums and partnerships signal a clear intent to integrate deeply into the evolving global supply chain for battery and advanced material markets.
Bottom Line?
Volt’s dual-track progress in US refinery development and Tanzanian mine funding sets the stage for critical milestones in 2026, but execution risks and market conditions remain key watchpoints.
Questions in the middle?
- How will Volt secure additional offtake agreements to support commercial production at the Alabama refinery?
- What are the timelines and key risks for completing the definitive feasibility study and securing project financing?
- How will unresolved tenement issues in Guinea impact Volt’s broader exploration strategy and resource base?