Tirupati secures prepayments in support of ramp-up efforts
Madagascar-focused flake graphite miner Tirupati Graphite has received $1-million net of prepayments from existing clients to support the ramp-up of its operations in Madagascar.
The company is ramping up the Vatomina and Sahamamy flake graphite projects to installed capacity of 30 000 t/y, following which it plans to increase capacity further to 84 000 t/y as per a medium-term development plan.
Executive chairperson Shishir Poddar explains that, since Tirupati completed the expansion of its two projects to the 30 000 t/y capacity mark, it has been advancing discussions with multiple new customers and closed deals with certain existing clients in the US and Europe.
He says the prepayments will significantly support Tirupati’s working capital requirements and provide suppliers and customers with confidence, while allowing the company to maintain a strong pipeline of business.
Tirupati has, to date, preferred to meet its working capital needs for ramping up of operations through non-dilutive arrangements.
The orders for which the upfront prepayments were received are to be shipped over a six-month period. These orders represent about 15% of the quantum of sales Tirupati expects to make over this six-month period.
The company offered a discount of between 7% and 15% to the price in return for the prepayment arrangement, which also reflected the recent softening in the market price for flake graphite.
Poddar points out that the company has sufficient finished product inventory required to ensure it satisfies customer requirements in a timely manner, and also to allow the company to take the benefits of the spot market and further business development purposes as it ramps up production.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
ALBIS FLANGES — founded in 1965 — is a petro-chemical approved manufacturer of flanges and fittings in most grades of steel, listed with Sasol,...
VISIT SHOWROOM
Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
