PERTH (miningweekly.com) – Graphite hopeful Renascor Resources has completed the acquisition of Ausmin Development, which holds the rights to the Siviour graphite project, in South Australia.
Renascor acquired Ausmin for 187.6-million shares, with shareholders in September agreeing to the issue of shares.
“The completion of the agreement to secure the 100% ownership of the Siviour graphite project is another important milestone in the development of Siviour, as we continue to rapidly progress this world-class project,” said Renascor MD David Christensen.
“We believe this will increase confidence in the project as we move forward with the Sivious definitive feasibility study, and more advanced offtake and finance negotiations.”
Renascor earlier this month entered into a strategic partnership agreement with contractor Royal IHC Australia to accelerate the development of the Siviour project.
Under the terms of the agreement, Royal ICH will establish an integrated team to deliver the definitive feasibility study, and has committed A$1-million to undertaking early project works, including metallurgical testing and detailed engineering and design work.
A prefeasibility study into Siviour has estimated that the project could deliver some 117 000 t/y of graphite over a 30-year mine life.
Renascor is considering a staged development of the Siviour project, with Stage 1 of the operation producing 22 800 t/y of graphite concentrate. In Stage 2, Renascor’s yearly production would increase to 156 000 t.
The staged development option would require an initial capital investment of $29-million, with the Stage 2 development expected to cost a further $91-million.