EcoGraf Secures $105M Financing, Targets 390,000 tpa Graphite Production

• Completion of Independent Engineers’ Report for US$105 million KfW IPEX-Bank financing
• Epanko Graphite Project expansion study targets staged growth to 390,000 tonnes per annum
• Advancement of EcoGraf HFfree® purification facilities in US and Europe with strong financial metrics
• US$9 million farm-in agreement commenced with AngloGold Ashanti for Golden Eagle gold project
• Identification of 21 high-potential gold prospects across EcoGraf’s Tanzanian Golden Frontier portfolio

Financing Milestone and Project Expansion

EcoGraf Limited (ASX – EGR) has achieved a pivotal milestone in its development of the Epanko Graphite Project in Tanzania, completing the Independent Engineers’ Report (IER) required to secure up to US$105 million in senior secured debt financing from Germany’s KfW IPEX-Bank. This report, a critical step in meeting international project financing standards, complements the company’s comprehensive environmental and social governance frameworks, positioning Epanko for imminent construction commencement.

Alongside financing progress, EcoGraf has finalised an expansion study outlining a staged production increase from an initial 73,000 tonnes per annum (tpa) to 390,000 tpa over ten years. This ambitious ramp-up aligns with surging global demand for battery anode materials, particularly in emerging lithium-ion battery manufacturing hubs across Europe, North America, and Asia.

Downstream Integration and Purification Facilities

Supporting its upstream graphite mining, EcoGraf is advancing its proprietary EcoGraf HFfree® purification technology, designed to produce high-purity battery anode materials with a significantly lower environmental footprint compared to traditional hydrofluoric acid methods. The company is progressing plans for commercial-scale purification facilities, with a 25,000 tpa plant proposed in the United States and a comparable facility targeted in Germany. Both projects demonstrate robust financial metrics, including an internal rate of return (IRR) of 42% and a pre-tax net present value (NPV10) of US$282 million, underscoring the economic viability of EcoGraf’s vertically integrated supply chain strategy.

Strategic Gold Exploration Partnership

In a diversification move, EcoGraf has commenced a US$9 million farm-in agreement with AngloGold Ashanti for the Golden Eagle gold project in Tanzania. The granting of prospecting licences has unlocked access to a highly prospective region within the Lake Victoria Goldfields, with early exploration identifying 21 promising gold prospects across the newly consolidated Golden Frontier portfolio. This partnership leverages EcoGraf’s strong local presence and geological expertise, potentially unlocking significant value amid a bullish gold price environment.

Operational and Corporate Developments

EcoGraf continues to strengthen its operational capabilities with the appointment of John Ciganek as General Manager – Corporate Development, tasked with advancing funding and co-investment opportunities. The company also reported a healthy cash position of A$8.1 million at quarter-end, bolstered by a A$1.7 million R&D tax incentive related to its proprietary purification technology. Engagement with governments and strategic partners remains active, including positive feedback on grant funding applications in the EU and US, and participation in key industry forums such as the European Commission’s Raw Materials Week.

Environmental and social governance commitments remain central to EcoGraf’s approach, with ongoing community liaison, resettlement planning, and environmental monitoring activities progressing in Tanzania. These efforts align with international standards including the IFC Performance Standards and the Equator Principles, reinforcing the company’s dedication to sustainable mining practices.

Outlook

With critical financing milestones achieved and a clear pathway to scale production and downstream processing, EcoGraf is well positioned to capitalize on the growing demand for sustainable battery materials. The integration of upstream mining with proprietary purification technology and strategic gold exploration partnerships signals a diversified growth trajectory that could enhance shareholder value in the coming years.

Bottom Line?

EcoGraf’s integrated strategy and financing progress set the stage for transformative growth in battery materials and gold exploration.

Questions in the middle?

• When will the binding financing offer from KfW IPEX-Bank be finalized and funds disbursed?
• How will global market dynamics and supply chain shifts impact demand for EcoGraf’s HFfree® purified anode materials?
• What are the next exploration milestones and potential timelines for resource definition within the Golden Frontier gold projects?