International Graphite Ltd (ASX:IG6, FRA:H99) has signed a memorandum of understanding with Italian chemical group Alkeemia S.p.A. to establish a graphite processing facility in Europe, anchoring its push into Western battery materials supply chains.
The proposed joint venture will be located at Alkeemia’s Porto Marghera industrial complex near Venice and is targeting first production from late 2027, combining International Graphite’s downstream processing capabilities with Alkeemia’s established chemical platform.
Under the proposed structure, Alkeemia would hold a 51% stake and International Graphite 49%, with profits shared equally. Alkeemia would provide the fully permitted site, workforce, infrastructure and proprietary purification technology, while International Graphite would fund plant and equipment and contribute its graphite processing intellectual property.
Fast-tracking a European footprint
The agreement advances International Graphite’s strategy to establish cost-competitive processing capacity in key Western markets, alongside its planned downstream operations in Collie, Western Australia.
Managing director and CEO Andrew Worland said the partnership would help accelerate delivery while reducing development risk.
“Our priority is production and delivery,” he said. “We are delighted to consolidate our collaboration with Alkeemia. Their existing infrastructure, chemical platform and highly skilled team will significantly reduce capital cost, execution risk and time to market.”
By leveraging an existing industrial site, the partners aim to compress timelines and avoid the capital burden of building new infrastructure.
The companies are targeting binding joint venture agreements by the end of May 2026, followed by a final investment decision in June. Initial production is expected to reach around 10,000 tonnes per year, with scope for expansion.
IG6 and ALKEEMIA teams meet at Porto Marghera, January 2026.
Positioning for European demand
The proposed facility is designed to capture growing European demand for processed graphite, particularly as the region looks to reduce reliance on imports dominated by China.
Under the European Union’s Critical Raw Materials Act, the bloc is aiming to process at least 40% of its strategic raw material consumption domestically by 2030, providing a supportive policy backdrop for new processing capacity.
International Graphite said the facility would process feedstock sourced from multiple mining operations and trading houses, helping diversify supply and strengthen supply chain resilience.
Negotiations are under way with a specialist European graphite sales firm, indicating early progress on potential offtake channels.
Building on existing collaboration
The MOU builds on an existing partnership between the companies, which has already delivered technical and commercial progress.
In late 2025, the parties signed a letter of intent for toll purification services at Porto Marghera, with International Graphite allocated up to 50% of start-up capacity at the new plant.
More recently, pilot-scale test work achieved graphite purity levels above 99.9%, supporting the production of high-specification graphite products, including potential battery anode materials.
Strategic advantages of the JV model
International Graphite said the joint venture structure offers access to established infrastructure, integrated chemical supply — particularly hydrofluoric acid — and proprietary purification technology.
This combination is expected to reduce costs and streamline production, positioning the operation as a competitive European supplier of high-purity graphite.
Alkeemia CEO Lorenzo Di Donato said the collaboration would expand the company’s role in advanced materials.
“Together with International Graphite, we are establishing a scalable and competitive European platform for high-specification graphite production, enabling greater security of supply for European industry,” he said.
Inspecting ALKEEMIA’s base in Porto Marghera, Italy, home of the new graphite processing joint venture.
Expanding a global graphite network
The European project would become International Graphite’s second production hub and a key part of its integrated mine-to-market strategy.
Alongside progress at Collie and ongoing work to secure purification pathways and commercial partnerships, the Alkeemia joint venture strengthens the company’s position in global battery materials supply chains.
While the MOU remains non-binding — aside from exclusivity and confidentiality provisions — both parties have agreed to negotiate exclusively through to the end of 2026 as they work towards definitive agreements and a final investment decision.
Location of International Graphite projects.