Volt Resources cooperates with Chinese graphite company regarding Bunyu offtake
HAIDA Graphite will carry out tests on flake graphite samples from Volt’s Tanzanian project.
Company
ASX:VRC
Volt Resources Ltd (ASX:VRC) is a critical minerals and battery material company with a 70% interest in the Zavalievsky Graphite (ZG) business in Ukraine. The ZG mine and processing facilities have been in operation since 1934 and are near key markets with significant developments in lithium-ion battery production. Volt has acquired three licence applications in Serbia that are prospective for lithium-borate mineralisation. The company is also progressing the development of its large wholly-owned Bunyu Graphite Project in Tanzania.
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HAIDA Graphite will carry out tests on flake graphite samples from Volt’s Tanzanian project.
Volt is currently completing the environmental approval for the Bunyu project and has lodged two mining licence applications.
The agreement with Qingdao Tiangshengda Graphite takes total annual commitment from stage I of Bunyu to a nominal 10,000 tonnes.
The company expects to remain on track with a development schedule of 12 months to first ore production.
The Bunyu Project is ideally located near to critical infrastructure.
Shares in the company last traded at 2.9 cents before entering the trading halt.
Volt’s share price surged more than 15% last Friday as the significance of the US$40 million note issue was highlighted.
An amended Environmental Social Impact Statement is expected to be lodged within the next week.
Management expects stage I should be capable of producing about 20,000 tonnes per annum of high-quality graphite.
Hayes noted that Bunyu North product samples have returned excellent first-stage processing results.
The company's shares were last trading circa 8% higher intra-day, at $0.042.
The company is aiming to be a top three global supplier of natural graphite by 2020.
Two Mining Licence Applications have been lodged with the Tanzanian government.
Volt is currently preparing its mining licence application for submission.
The exercise of options is strongly supported by option holders.
The acquisition of options has increased Asim Kabunga's stake in the graphite company.
The Tanzanian bond issue is to fund the Stage 1 development of Bunyu.
Underwriting agreement guarantees $4.7 million in sale of options at $0.02.
Talks with Tanzanian government fruitful in terms of being granted a mining license.
The new test work results follow the recent positive feedback received from Chinese partner.