Images of flake (left) versus spherical natural graphite (right). Syrah’s BAM strategy will initially focus on precursor (unpurified, purified spherical graphite) and finished BAM product (coated spherical graphite). Image: Syrah Resources.
BY ELIZABETH FABRI
ASX-listed Syrah Resources will become a battery anode material (BAM) producer, after purchasing a US industrial site to establish downstream processing facilities.
The $US1.225 Vidalia industrial site in Louisiana covers 25 acres and has an existing 50,000 square foot building.
Once developed, the commercial plant will process graphite from Syrah’s Balama project in northern Mozambique to produce BAM for anodes in lithium ion batteries.
The 60,000tpa capacity plant will have an initial output of 20,000tpa using proven technology and processes.
Syrah managing director and chief executive Shaun Verner said the company expects to complete the purchase in advance of a 90 day due diligence period.
“With the purchase agreement for the Vidalia site, we continue to progress our initial entry into the BAM market,” Mr Verner said.
“Consistent with our approach in Mozambique, Syrah is committed to environmental sustainability and community engagement through development and into operations.
“The Company’s recently awarded ISO Certifications for Health, Safety and Environmental management systems for its Balama Operation demonstrates the Company’s commitment to global best practice.”
Syrah’s Balama operation began production in November 2017, and was officially opened in April.
The project is set to be one of the leading global producers of high purity graphite.
In the March quarter, the mine produced 11,200t of graphite, lower than expected due to a slower ramp up in recoveries.
The company’s 2018 guidance remains between 160,000t and 180,000t, with 75 per cent of production to come in the second half of the calendar year.