PERTH (miningweekly.com) – A definitive feasibility study (DFS) of a graphite micronizing plant in Collie, Western Australia, has proven positive for ASX-listed International Graphite.

The DFS contemplated the building and operating of a 4 000 t/y graphite micronizing facility, which could be installed in mid-2024 and be operational by the third quarter of 2024, making it one of the first of its kind in Australia.

The DFS estimated a capital cost of A$12.5-million for the plant, which marks the first step in the production of battery anode material (BAM). Operating costs for the project have been estimated at $1 980/t, with current sales pricing exceeding $3 000/t.

International Graphite MD and CEO Andrew Worland said on Wednesday that the low capital cost micronizing facility would enable the company to generate early cashflows as it continues building fully integrated battery anode material capability, with its planned mine at Springdale and downstream processing at Collie.

Strategically, a commercial micronising plant will help us launch into the graphite marketplace, build brand recognition, and develop operational skills in the milling phases of the future BAM production line,” Worland said.

“Micronised graphite is the critical first stage in the production of BAM and also a by-product from the graphite spheroidising process; building a market for it will significantly enhance our future BAM operations.

“There is also widespread demand for micronised graphite, as a cathode additive for lithium-ion batteries, and in industrial markets for its application in lubricants, engineered products, polymers and plastics.

“Establishing a commercial operation is the next step in building a new and significant international business in Collie that will play a critical role in battery supply for global decarbonisation,” said Worland.

A final investment decision on the micronizing facility will be made during product qualifications operations, and Worland said that the company is exploring a number of finance options for the facility.