Tirupati Graphite PLC (LSE:TGR, OTCQX:TGRHF) said it had consolidated its resources over the past quarter and this month to align and streamline its operations.
Operations have remained intermittent since April 2024, with production suspended for most of the time. However, the company continued to make shipments, received payments for goods shipped, and carried out various other activities.
All resources are being directed towards the efficient operation of one of its two projects in Madagascar, namely the Vatomina project, it added, targeting production and sales equivalent to its current capacity of 8,000 tons per annum in light of the 3% head grade achieved.
The Sahamamy project will be kept in care and maintenance pending the completion of financing arrangements at an estimated monthly cost of approximately US$30,000. This will reduce the overall cost base of the company and allow for the efficient utilisation of resources at Vatomina.
Tirupati added it had realigned its order book from this month, August, shipping to customers that either prepay or pay against shipment of goods
Shishir Poddar, chief executive, said: "We continue to take appropriate decisions to navigate through the current difficult environment for the company and prepare ourselves to capitalise further on the significant emerging opportunities presented by the critical and growing role flake graphite is set to play in the energy transition economy."