Australia’s first commercial graphite micronising plant

International Graphite (ASX: IG6) has secured funding to construct the first purpose-built commercial graphite micronising plant in Australia.

The company has entered into a funding agreement with the WA Department of Jobs, Tourism, Science and Innovation (JTSI) on behalf of the WA Government for $4.5m.

International Graphite managing director and chief executive Andrew Worland says the company is excited to be pushing ahead with the construction of the new plant at Collie.

“Establishing a micronising business in Collie has been an important step in our development plans,” he said.

“Critically it will establish the company as a producer in the graphite industry and build further our technical skills as we progress our Springdale mine to market battery anode material strategy.”

Stage 1 of the JTSI grant is available to be drawn down progressively over the project construction period as milestones are achieved. The balance of the JTSI grant of $2.5m will be applied towards expansion of the facility in Stage 2.

Ultimately, the company envisages expanding the Collie Micronising Facility to around 10,000tpa capacity. It is expected to produce 95% total graphitic content (TGC) and 99% TGC micronised products from graphite concentrates produced at International Graphite’s 100% owned Springdale graphite project once the mine is in production.

“At those production levels, our Collie facility will be amongst the most significant global producers of micronised graphite outside of China”, Mr Worland said.

A front-end engineering and design (FEED) study is expected to be completed over the coming months which will confirm the implementation schedule and forecast economics for Stage 1.

The critical path items for the project include local building approvals, construction of new buildings and connection to services, including to the electricity grid, on new development lots adjacent to the company’s existing facilities in Collie.