Name of the Project
Vittangi battery anode project.

Location
Northern Sweden.

Project Owner/s
Battery anode and advanced materials company Talga Group.

Project Description
A detailed feasibility study (DFS) has confirmed the project’s potential to supply globally competitive green graphite anode, suitable for multiple applications, including Tier 1 automotive lithium-ion batteries.

The DFS envisages a vertically integrated mine-to-anode operation producing 19 500 t/y battery anode Talnode-C from 100 000 t/y of Vittangi graphite ore over a 24-year mine life. Vittangi will use 100% renewable electricity to produce the initial 19 500 t/y of green anode.

A scoping study was also completed during the DFS to evaluate the potential addition of about 85 000 t/y Talnode-C production from the adjacent Niska resources. This study identified significant commercial synergies to unify deposit development and production plans to maximise the potential of the project area. This will be subject to separate studies following further discussions with customers and development partners.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $1.05-billion and an internal rate of return of 30%, with a payback of 2.5 years after the project is commissioned.

Capital Expenditure
$484-million, and a $44-million contingency.

Planned Start/End Date
Mining is planned to start in 2023, with commercial anode production expected in 2024.

Latest Developments
Early works and construction of the Vittangi anode project have started.

Talga has also completed the selection of a banking consortium to provide all the debt funding for the project.

Finalisation of project debt facilities with the selected banking consortium remains subject to finalisation of approvals, completion of remaining due diligence and execution of definitive debt facility documentation, which are expected to include customary project financing terms and conditions. Drawdowns under the facility will be subject to customary conditions precedent.

Customer negotiations to allocate supply and underpin debt financing agreements are progressing, Talga has reported. 

Key Contracts, Suppliers and Consultants
Worley (lead consultant – DFS); and ABB (delivery of production and process control solutions).

Contact Details for Project Information
Talga Group, tel +61 8 9481 6667 or email info@talgagroup.com.