How Sarytogan’s High-Grade Graphite Drilling Is Shaping Its Future
Sarytogan Graphite Limited reports robust drilling results and key contract awards, progressing its flagship graphite project while advancing copper exploration and securing critical funding.
- High-grade graphite confirmed in 37 reserve definition drill holes
- Definitive Feasibility Study contracts awarded to Wood Group and WSP
- Power allocations secured for mine and downstream processing
- Copper exploration identifies significant anomaly at Baynazar
- Pending Kazakh approvals for A$3.6M Sarsenov investment and EBRD top-up
Strong Drilling Results Bolster Graphite Resource
Sarytogan Graphite Limited has delivered a promising update for its Sarytogan Graphite Project with results from 37 reserve definition drill holes, each 50 metres deep, confirming consistent high-grade graphite mineralisation. Notably, one hole returned 50.2 metres at 34.5% total graphitic carbon (TGC) from surface, including a high-grade interval of 29.2 metres at 40.1% TGC. These results underpin an updated Mineral Resource Estimate currently underway, which will feed into the Definitive Feasibility Study (DFS) targeted for completion mid-2026.
Progress on Feasibility and Infrastructure
The company has awarded key DFS contracts to global engineering firms Wood Group and WSP, covering processing, infrastructure, and resource evaluation. This marks a significant step towards project development, with construction anticipated to commence in 2027. Meanwhile, power allocation approvals have been secured from Kazakhstan Electricity Grid Operating Company (KEGOC) for both the mine site and a downstream processing facility near Agydyr, ensuring the project’s energy demands are met in line with pre-feasibility estimates.
Copper Exploration Uncovers Promising Anomaly
Beyond graphite, Sarytogan’s copper exploration at the Baynazar project has identified a substantial copper bedrock anomaly up to 0.5% copper, spanning 600 metres in diameter. This discovery, supported by 130 KGK drill holes, highlights the potential for a copper porphyry deposit. The next phase involves deeper diamond drilling to 200–500 metres, contingent on securing dedicated funding for this initiative.
Corporate Developments and Funding
On the corporate front, the company awaits final Kazakh Ministry approvals to complete a A$3.6 million investment from Dias Sarsenov, a strategic investor with expertise in transport and logistics. To facilitate DFS progress, a related party has advanced US$1 million as part of a US$2.2 million loan expected to convert to equity. Additionally, the European Bank for Reconstruction and Development (EBRD) has agreed to a A$1.4 million top-up investment, subject to regulatory approvals. A recent A$1.8 million placement to sophisticated investors further strengthens the company’s cash position, which stood at A$1.9 million at quarter-end.
Environmental and Market Engagement
Sarytogan has completed comprehensive environmental baseline surveys to meet both local and international bank requirements, reinforcing its commitment to sustainable development. Concurrently, the company is actively engaging with a broad spectrum of potential offtake partners, including automakers, lithium-ion battery manufacturers, and industrial users, positioning itself to capitalise on growing demand for high-purity graphite products.
Bottom Line?
With strong drilling results and strategic funding advancing, Sarytogan is poised to solidify its role in the critical raw materials supply chain, pending key regulatory approvals.
Questions in the middle?
- When will the Kazakh Ministry finalize approvals for the Sarsenov investment?
- How will the company secure funding for deeper copper drilling at Baynazar?
- What progress is expected on offtake agreements following pilot flotation testing?
