Month: January 2018

VOLT LODGES ENVIRONMENTAL AND SOCIAL IMPACT STATEMENT

VOLT LODGES ENVIRONMENTAL AND SOCIAL IMPACT STATEMENT

HIGHLIGHTS

  • Environmental and Social Impact Assessment study covers the area for Stage 1 and Stage 2 expansion projects at the flagship Bunyu Graphite project in Tanzania
  • Key step forward for stage 1 production at Bunyu Graphite Project

 


 

Tanzanian-focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to advise that it has lodged its Environmental and Social Impact Statement (“ESIS”) with the National Environment Management Council (“NEMC”) for the Company’s flagship Bunyu Graphite Project in Tanzania. This follows a thorough Environmental and Social Impact Assessment (“ESIA) study.

As previously advised (see ASX announcement dated 26 September 2017), the lodgement of the ESIS follows the completion of a significant body of work including flora and fauna surveys, heritage surveys, and stakeholder identification, including public consultation and the development of environmental and social monitoring and management plans.

The ESIA study covers the area required for the Stage 1 and Stage 2 expansion projects at Bunyu. The study forms a key component of Volt’s near-term development plans for Bunyu and following assessment and approval by NEMC, Volt will be issued with its Environmental Certificate for the project.

Furthermore, Volt is currently preparing its Mining Licence application (“MLA”) for submission with the Mining Commission following the recent publication of the new mining regulations in Tanzania. This process is progressing on-track and the submission of the MLA is the final key approval required for the commencement of Stage 1 development works at Bunyu.

Volt looks forward to updating shareholders shortly on the positive progress of the Exotix Capital US$40m bond issue and the Stage 1 Feasibility Study (FS) for the Bunyu Project.

 

Volt’s Chief Executive Officer, Trevor Matthews commented:

“Volt continues to make significant progress towards the proposed commencement of Stage 1 production at the Bunyu Project, and the submission of the ESIS is another notable step forward. “Our team remains focused on delivering a number of key near-term milestones including the submission of the MLA, the completion of the US$40m bond issue and the finalisation of the Stage 1 Feasibility Study for Bunyu– so we expect a steady flow of operational milestones to be executed over the coming months.

“We are focused on continually de-risking the development of the Bunyu project and together with the recent securing of an additional $4.7 million funding, Volt enters the year in a strong position to unlock the true potential of the Bunyu project.

“We look forward to keeping our shareholders informed on key corporate and operational developments during this busy period in Volt’s development.”

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

1 Refer to Volt’s ASX announcement titled “Pre-feasibility Study Completed” dated 15 December 2016. The Company confirms that it is not aware of any new information or data that materially affects the information included in this document and that all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed.


FOR PERSONAL USE ONLY
For further information please contact:

Trevor Matthews – Chief Executive Officer
Tel: +61 8 9486 7788

Released through Sam Burns, Six Degrees Investor Relations, M: 0400 164 067

Posted by Volt Resources in Company News
EXERCISE OF LISTED OPTIONS RAISES $4.7M TO PROGRESS BUNYU

EXERCISE OF LISTED OPTIONS RAISES $4.7M TO PROGRESS BUNYU

Highlights

  • Heavily supported exercise of listed options (approximately 90% exercised before underwriting) supports Volt’s development strategy and production pathway for the Bunyu Graphite Project
  • Volt’s robust cash position provides the financial capacity to aggressively progress the Stage 1 Development of flagship Bunyu Graphite Project
  • Volt proceeding with US$40m Tanzanian bond issue financing with Exotix Capital for Stage 1 Development with planned completion Q1 2018
  • Prices for flake graphite remained strong in the December 2017 quarter with increases across all product sizes driven by increasing demand from lithium ion battery manufacturers and flame retardant building materials

Tanzanian-focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to advise that it has successfully raised gross proceeds of $4.7 million through the exercise of 235,648,431 listed options at $0.02.

The listed options exercise process was strongly supported, with approximately 90% of Volt optionholders exercising their options. The shortfall of approximately 24 million options was jointly underwritten and taken up by Empire Capital Partners Pty Ltd (“Empire”) and Cove Capital Pty Ltd (“Cove”) (see ASX announcement dated 8 December 2017).

Importantly, this additional funding provides Volt with the required financial flexibility to aggressively progress the planned Stage1 development of the Company’s flagship Bunyu Graphite Project in Tanzania, with the Stage 1 Feasibility Study expected to be completed in late Q1 2018.

Volt’s near-term strategy is to develop Bunyu Stage 1 to process 400,000tpa of ore and produce a nominal 20,000tpa of graphite products. The Stage 1 development is to produce bulk graphite product which will both satisfy the existing offtake agreement and the non-binding offtake agreements entered into with four potential Chinese customers1. The Bunyu Graphite Project has already demonstrated PFS project economics of US$1.3 billion NPV (pre-tax) with a 1.4 year payback based on annual production of approximately 170,000 tonnes of graphite product (see ASX announcement dated 15 December 2016).

As previously announced (14 December 2017), Volt is proceeding with its proposed US$40 million Tanzanian bond issue with specialist frontier markets investment bank Exotix Capital. Exotix is a market leader in structured finance packages for natural resource projects in African economies. The following link includes comments on African financing and Volt’s bond issue by Exotix Capital’s Head of Natural Resources Andrew Moorfield.

 

 

Volt’s Chief Executive Officer, Trevor Matthews commented:

“We are extremely pleased to have further strengthened our cash position through the successful exercise of the options, and the Volt’s Board and I would like to thank our loyal shareholder base for their continued support. I would also like to thank both Empire and Cove for their support throughout the process.

“Volt is now strategically positioned to execute on a number of operational milestones as part of the Stage 1 Development of Bunyu, with key near-term deliverables to include the finalisation of all project approvals and completion of the Stage 1 Feasibility Study this quarter.

“We will also concurrently advance our planned Tanzanian bond issue through our partnership with Exotix Capital aimed at securing the required funding for the development of Stage 1.

“It is also worth noting the recent funding success of Tanzanian based Swala Oil & Gas PLC, with Exotix Capital placing an initial tranche of US$25 million. This demonstrates Exotix’s strength in financing selected high quality natural resource projects in Tanzania.

“We are excited to be entering the New Year with a number of significant value catalysts in the short term and we look forward to keeping our shareholders updated on these corporate and operational developments over the coming months.”

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


FOR PERSONAL USE ONLY
For further information please contact:

Trevor Matthews – Chief Executive Officer
Tel: +61 8 9486 7788

Released through Sam Burns, Six Degrees Investor Relations, M: 0400 164 067

Posted by Volt Resources in Company News