Tirupati Graphite PLC (LSE:TGR, OTCQX:TGRHF) said it has assessed its recently acquired Mozambique flake assets and will start pilot production as soon as possible.
A definitive feasibility study was carried out by the previous owner, Battery Metals Limited, in 2017 but Tirupati believes the pilot will enable substantial reductions in operating and capital costs, lower carbon emissions and produce samples for marketing.
The two assets that make up the project, Montepuez and Balama Central, potentially contain 12mln tons of contained graphite, which increases group resources by a factor of 12.
Together, Montepuez and Balama Central are fully permitted for 158,000 tons per annum of flake graphite production plus there is a possibility of a vanadium credit, Tirupati said.
Shishir Poddar, Tirupati’s executive chairman, added: "The pilot trials that we have announced today will be crucial in enhancing the economics of development plans of the Montepuez project, including reducing costs and environmental impact as well as for business development purposes.
“As a new operator in the country, we are also committed to engaging meaningfully with local stakeholders and are beginning to have conversations with the community to understand their needs and expectations.”