International Graphite Ltd (ASX:IG6) is now trading on the Frankfurt Stock Exchange under the ticker FSE:H99.
The move is designed to help the company develop close ties with European investors, battery technology companies, and potential customers.
IG is pursuing sales contracts in Europe for its battery anode graphite in a move that would put it squarely in the crosshairs of the region’s progressive battery market, estimated to be worth €250 billion (AU$363.4 billion) per annum by 2025.
The company has set an ambitious milestone: to be one of the first all-Australian producers of high-quality battery anode graphite. It hopes to establish a new supply of graphite for global markets and supporting technologies that are driving global decarbonisation.
The move onto the Frankfurt exchange is a strategic one as it will assist IG’s investigation into German downstream battery technologies companies for testing of the company’s graphite concentrates.
DGWA CEO Stefan Müller said, “It is an excellent time for International Graphite to dual list in Frankfurt and commence engaging with European investors and stakeholders.
“The tailwinds for downstream graphite companies in Europe are significant as car makers and OEMs attempt to lock in long term supply agreements and investors seek companies offering sustainably and ethically sourced battery metals and materials, such as from International Graphite’s future production.”
IG targeting priority EV market
As demand for electric vehicles revs up, car manufacturers and suppliers are looking to develop a domestic supply chain for batteries and battery components.
In December 2021 and January this year, the development or expansion of battery assembly factories in Germany, France, the UK and Poland was a hot topic. Further to this, the Renault, Mitsubishi, and Nissan alliance is expected to increase its budget by €20 billion over the next five years to launch five EV platforms.
"We forecast that EV production in Europe will grow from 20.5% of global EV output in 2021 to 31% in 2030. … In 2030, we forecast that Greater China will be home to production of 14.9 million EVs, Europe 11.6 million, and North America 5.8 million units," IHS Markit Principal Analyst Stephanie Brinley wrote in a January report.
IHS Markit has projected Europe to be the world's fastest-growing EV market this decade. If that is the case, supply chain puzzle issues become especially important.
IG plans to be an integral supplier of its battery anode graphite into this growing market and will look to secure vital sales contracts for its battery anode materials in Germany and other European markets once operations are up and running.
The company has already begun discussions with German downstream battery technology companies for testing of the Springdale graphite concentrate.
International Graphite’s vertically integrated projects incorporate the Springdale Graphite Resource and planned downstream Collie processing facilities, both located in Western Australia.
ESG focus
IG is heavily focused on ESG initiatives and plans to be a leader in ESG practices, operating in a manner that minimises its carbon emissions.
Its vertically integrated operation will provide product oversight from mine to customer, allowing the company to maintain control of its ESG practices over the complete supply chain.
IG is represented in Europe by the German Institute for Asset and Equity Allocation and Valuation (DGWA) and is a member of the European Battery Alliance (EBA250) and European Raw Minerals Alliance (ERMA).
For a more detailed overview of the IG6, its projects and objectives read: International Graphite to list on the ASX with a vision to establish an integrated graphite production business