Company News

TESTWORK CONFIRMS PREMIUM GRAPHITE PRODUCT AT BUNYU NORTH

TESTWORK CONFIRMS PREMIUM GRAPHITE PRODUCT AT BUNYU NORTH

Highlights

  • Excellent results returned from Bunyu North product samples, including C content 99.6% and O content 0.08% with no impurities found – a highly ordered, defect-free material
  • Testwork conducted by US based off-take partner Nano Graphene (NGI) – renowned graphene expert confirms the quality across the entire Bunyu Project area
  • Bunyu North is the focus for Stage 1 and Stage 2 development
  • Bunyu graphite continues to be validated as a premium quality product across a range of markets by well-credentialed offtake partners NGI and CNBMGM

Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to advise that recent testwork undertaken on graphite product samples from the Company’s flagship Bunyu Graphite Project has further confirmed the premium quality of the products derived from the Project’s graphite.

Importantly, the purified graphite and graphene produced from Bunyu product samples by Volt’s North American offtake customer NanoGraphene Inc. (“NGI”) is of excellent quality and high purity.

NGI is using very clean and environmentally friendly processing technology for their graphene production. Of note the purified graphite and graphene was produced using physical processes with the addition of water only and without the use of damaging acids. As previously advised (ASX Announcement 5 October 2017), initial test work undertaken by NGI confirmed that the Bunyu product is among the highest quality graphite flakes NGI had tested to date and is eminently suited to graphene production.

Graphene is a one-atom-thick sheet of carbon atoms arranged in a honeycomb-like pattern. Graphene is considered to be the world’s thinnest, strongest and most conductive material – to both electricity and heat. Top quality graphene has numerous applications across a number of industrial fields including electricity, conductivity, energy generation, batteries and sensors.

Testwork completed by NGI had previously confirmed the high quality nature of product samples from Volt’s Bunyu South deposit – with the most recent testwork conducted using product samples from the Bunyu North deposit, which will be the focus of the planned Stage 1 near-term development.

NGI Head of Research and Development Dr Jay Mondal, who is a highly-credentialed expert in the graphene sector, confirmed after elemental analysis was conducted on the samples using ultra high vacuum XRF, the samples returned C content 99.6% and O content 0.08%, with no impurity found. In addition, the properties exhibited by Bunyu graphite were excellent (see Figure 1 below).

 

Volt Bunyu Graphite Testwork by NGI

 

The results confirmed the product quality at Bunyu and follows the positive feedback received from Chinese partner China National Building Materials General Machinery (“CNBMGM”) in October (ASX Announcement 5 October 2017).

It should be noted that NGI is in the process of securing supply agreements with a number of recogniseable end-users including a major semi-conductor producer and an emerging car manufacturer, both of which will utilise Volt’s Bunyu graphite product.

 

Volt’s Chief Executive Officer, Trevor Matthews commented:

“We are pleased to have received these results, which is further validation of the premium quality of our Bunyu graphite products and this positive feedback will strengthen ties with our existing offtake partners across the spectrum of graphite applications, including the high growth segments of expandable and spherical graphite, as well as graphene.

“Importantly, the initial testwork conducted by NGI earlier this year established the quality of the Bunyu South project area, but now that quality has also been replicated at Bunyu North which is a very significant step forward for the proposed Stage 1 development of the project in the near-term.

“Volt is also actively engaged in considering a number of funding options for the Stage 1 development of Bunyu and will provide shareholders with further updates on progress in due course.”

 

About NanoGraphene Inc.

NGI’s Brooklyn-based plant has been commissioned and is now fully operational. Graphene production has commenced and will be steadily ramped up over coming months.

Volt signed a binding offtake agreement with NGI in March 2017 for a minimum of 5,000 tonnes of flake graphite concentrate over 5 years commencing Q1 2018.

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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Posted by Volt Resources in Company News
VOLT TO RAISE $900,000 THROUGH TOP-UP PLACEMENT

VOLT TO RAISE $900,000 THROUGH TOP-UP PLACEMENT

Highlights

  • Recently completed Share Purchase Plan raised $2.338 million – additional funds from top-up placement take total funds raised to over $3.2 million
  • Top-up placement facilitated through new shares issued at 2.1 cents – same price as SPP
  • Funds will be deployed to complete the Stage 1 feasibility study and accelerate exploration and drilling program at the flagship Bunyu Graphite Project in Tanzania

Graphite exploration and development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to advise that following the recently completed Share Purchase Plan (“SPP”) (see ASX announcement dated 1 November 2017), which raised $2.338 million, the Company has received firm commitments to raise an additional $900,000 via a Top‐up placement (“the placement”) from sophisticated and professional investors.

Funds raised from the recently completed Share Purchase Plan and subsequent placement will be used to complete the feasibility study and associated activities for the Stage 1 Bunyu graphite project development and assist in accelerating exploration and drilling at the flagship Bunyu Graphite Project.

Patersons Securities Limited underwrote the SPP and received no shortfall due to strong take up by Volt shareholders. The Company is pleased to advise Patersons have agreed to facilitate the placement through the issue of new shares at an issue price of 2.1 cents per share, the same price as the SPP. The placement shares are planned to be issued in the week beginning Monday, 6 November. This placement of shares is being undertaken using the Company’s existing issuance capacity under ASX Listing Rule 7.1.

Volt’s Chief Executive Officer, Trevor Matthews, commented,

“We are very pleased with the strong support received from both existing shareholders and new investors during the SPP and subsequent placement, as it further supports Volt’s strategy to develop our world-class graphite deposit in Tanzania.

“Volt now has the requisite funding flexibility to scale-up its exploration and drilling activities at the Bunyu Graphite Project, as we target the completion of a feasibility study on the Stage 1 Development of Bunyu, which is expected to be delivered early next year.

“We are also actively progressing the recently announced Stage 1 funding process with Exotix Capital for the development of Bunyu and look forward to providing further updates on this process and other funding discussions in due course.”

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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Posted by Volt Resources in Company News
SHARE PURCHASE PLAN CLOSED HEAVILY OVERSUBSCRIBED

SHARE PURCHASE PLAN CLOSED HEAVILY OVERSUBSCRIBED

HIGHLIGHTS

  • $2,338,975 raised via oversubscribed Share Purchase Plan
  • Funds raised will be used to fund the completion of the Feasibility Study
    for the Stage 1 development of the Bunyu Graphite Project

 

Share Purchase Plan

Volt Resources Limited (the Company) (ASX: VRC) is pleased to advise that the Company’s Share Purchase Plan (SPP) announced to ASX on 5 September 2017 closed oversubscribed on 25 October 2017.

The SPP was strongly supported by Shareholders and was heavily oversubscribed with the Company receiving applications totalling $2,338,975. In light of this strong demand from Shareholders, the Company’s Board of Directors has elected to increase the original target which was set at $1,500,000 and accept all valid applications received to allow all eligible Shareholders who submitted valid applications to fully participate in the Offer.

The Company will now proceed to issue shares to the valid applicants of the SPP at an issue price of 2.1 cents per share, being a 20% discount to the 5-day Volume Weighted Average Price (VWAP) of shares traded on the ASX prior to the date of issue.

Use of Funds

The funds raised will be deployed towards the following key objectives:

  • Complete the feasibility study for the Stage 1 Bunyu graphite project development;
  • Continue development funding negotiations, obtain project development approvals, advance offtake and cooperation agreements into binding agreements, enter into engineering and construction agreements and other material contracts for the Stage 1 development;
  • Support in-country costs associated with the Project; and
  • Fund general corporate and other expenses.

Issue of Shares

The Company expects the shares under the SPP to be issued on 1 November 2017 with any refund and allotment advice to be despatched to Shareholders on 1 November 2017.

Patersons Securities Limited (Patersons) underwrote the SPP and received no shortfall. Patersons may now elect to facilitate a placement of new shares at an issue price of 2.1 cents per share, the same price as the SPP.

The Board of Directors wish to thank all Shareholders for their ongoing support as the Company continues to advance the development of the Bunyu graphite project.

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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Posted by Volt Resources in Company News
QUARTERLY ACTIVITIES AND CASHFLOW REPORTS (NOV 2017)

QUARTERLY ACTIVITIES AND CASHFLOW REPORTS (NOV 2017)

HIGHLIGHTS

  • Volt appoints experienced, well-qualified investment banking firm Exotix Capital to raise up to US$30 million via Tanzanian Bond Issue as funding for Stage 1 development
  • Offtake agreements progressing well, including:
    • Positive initial feedback received from potential Chinese offtake customer
    • North American offtake partner Nano Graphene Inc. ramps up graphene production and confirms premium quality of Bunyu graphite product
  • Capital raising initiative launched via a Share Purchase Plan.
    • Plan to be underwritten by Patersons Securities Limited and further sub-underwriting from two Volt Directors
  • Project name changed to Bunyu (previously Namangale)

 

Volt Resources Limited (ASX: VRC) (“Volt” or, the “Company”) is pleased to provide shareholders with an update on activities for the three-month period ended 30 September 2017.

Highlights for the quarter included the progression of key offtake agreements with positive results received from independent test work programs, advancement of Bunyu project development approvals and commencement of a Share Purchase Plan underwritten by Patersons Securities Limited and Directors of the Company.

COOPERATION AND OFFTAKE AGREEMENTS

During the quarter, Volt continued to advance discussions with China National Building Materials General Machinery (“CNBMGM”) and Guangxing Electrical Materials (“GEM”) (see ASX announcement “Volt Operational Update” dated 26 September 2017).

Product samples were sent to both CNBMGM and GEM to enable independent testing on the Bunyu Graphite product. Additional samples were also arranged for China-based AOYU Graphite. Assuming the product test work is successful, then offtake agreements totalling 15,000 – 20,000 tonnes per annum could be confirmed during Q4 2017.

Subsequent to the reporting period, positive initial product feedback was received from CNBMGM (see ASX announcement “Bunyu Graphite Test Work and Offtake Partner Update” dated 5 October 2017). Final results from the CNBMGM test work program are expected to be received in the coming weeks, and Volt will provide updates on additional offtake opportunities and test work programs conducted by other offtake partners in due course.

LEGISLATION CHANGES, KEY APPROVALS AND MINING LICENCE APPLICATION

The report for the ESIA (Environmental and Social Impact Assessment) and the RAP (Resettlement Action Plan), as noted in the previous quarterly report, was finalised. Volt is currently working in collaboration with the relevant government authorities, to ensure that the submission is compliant and expedites the grant of the mining license. Submission to the NEMC (National Environmental Management Council) is yet to be completed but is planned early in Q4 2017.

Three Bills passed through the Tanzanian Parliament containing changes to the legal framework governing the natural resources sector in Tanzania. Based on an initial review and external legal advice, the Board and Management believe the legislative changes – as passed by the Tanzanian parliament – would not cause or prevent Volt from progressing with its current business strategy and plans for the development of the Bunyu project (refer ASX announcement 7 July 2017).

With the post quarter appointment of Ms. Angellah Kairuki as the Mining Minister, Volt is looking forward to working with the Tanzanian Mines department in acquiring relevant approvals and developing the Stage 1 Bunyu Graphite Project.

BUNYU GRAPHITE PROJECT DEVELOPMENT

With the recent legislative changes in Tanzania, clarity on sample export was not available during the quarter. Therefore, the 1,000 tonnes bulk ore sample program with AOYU has not been progressed. Nevertheless, negotiations were able to be continued via the use of graphite product and ore samples from our existing inventory to enable AOYU to progress their assessment of the Bunyu graphite product.

EXPLORATION

The planned Bunyu Stage 1 Feasibility Study drilling program advised in the previous quarter was pegged out to facilitate landowner access agreements. Feedback received was exceptionally encouraging with landowners appreciative of the consultation and positive about the development of the area. Post completion of the Share Purchase Plan announced on 5 September 2017, drilling is expected to commence in November and be completed during Q4 2017. However, given the timing and the onset of the wet season, drilling will be concentrated on diamond core collection to facilitate sample availability for further metallurgical test work to refine process flow sheets, and to address pit geotechnical aspects of the proposed Stage 1 development.

Please note that in Section 9 of the Appendix 5B, the exploration and evaluation expenditure assumes the entire drilling programme is completed during the quarter.

UPDATE ON EXPANDABLE GRAPHITE MARKET

Under Volt’s strategy to supply graphite product to the expandable market, Volt announced to the market on 10 August 2017, positive expansion results for the Bunyu One (Namangale North) graphite product. As stated, “This outcome is very positive for Volt, as it means the mine plan can be optimised to source ore from any part of the project mineral resource to meet customer demand for expandable graphite.” Volt will be using the positive results, in collaboration with its agreement partners, in finalising offtake agreements in parallel with the completion of the Stage 1 Feasibility Study and arranging of project development funding.

CORPORATE ACTIVITY OVERVIEW

On 5 September 2017, Volt announced a Share Purchase Plan (SPP) to existing eligible shareholders. The SPP is underwritten by Patersons Securities Limited to $1,500,000 with further sub-underwriting by Volt Chairman, Asimwe Kabunga and Non-Executive Director, Matt Bull to $300,000 each. The funds raised will be deployed towards the following key objectives:

  • Complete the feasibility study for the Stage 1 development;
  • Continue further funding negotiations, obtain project development approvals, advance offtake and cooperation agreements into binding agreements, enter into engineering and construction agreements and other material contracts for the Stage 1 development;
  • Support in-country costs associated with the Project; and
  • Fund general corporate and other expenses.

Post quarter end, the Company engaged Exotix Capital (“Exotix”) to undertake a Tanzanian Bond issue to raise up to US$30 million in structured debt to fund the Stage 1 development of the Company’s flagship Bunyu Graphite Project in Tanzania. If successful, the proposed bond issue financing will ensure that project development funding will be undertaken with minimal equity dilution.

Exotix will act as structuring, financial and placement advisor and will leverage its significant East African networks to complete the proposed Issue, with a key focus on the Tanzanian, Kenyan and Ugandan capital markets respectively.

During the quarter the Company changed the name of its operating subsidiary in Tanzania to Volt Graphite Tanzania Limited (“VGT”) from Nachi Resources Limited. The decision was made to ensure a clear relationship between VGT and its parent company Volt and to eliminate any confusion with other companies operating in Tanzania. In addition, Volt’s flagship project is now referred to as the Bunyu Graphite Project and no longer the Namangale Graphite Project

 

Appendix 5B

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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BOARDROOM MEDIA INTERVIEW WITH CEO

BOARDROOM MEDIA INTERVIEW WITH CEO

Tanzanian focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to provide investors with an opportunity to listen to an interview with Chief Executive Officer Trevor Matthews on Boardroom Media.

The interview provides an update on key funding initiatives undertaken by the Company in Q4 2017 and on progress at Volt’s flagship Bunyu Graphite Project in Tanzania.

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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VOLT TO PURSUE US$30M TANZANIAN BOND ISSUE

VOLT TO PURSUE US$30M TANZANIAN BOND ISSUE

Volt appoints experienced, well-qualified investment banking firm Exotix Capital to raise up to US$30 million via Tanzanian Bond Issue

  • Proposed funding to be deployed early 2018 to complete Stage 1 development of Bunyu Graphite Project targeting production of 20,000tpa of graphite products by late 2018
  • Exotix is a market leader in structured finance packages for natural resource projects in African economies – funds sourced from African institutions, family offices and regional credit funds
  • Analysts expect soaring demand for graphite as a key component of lithium-ion batteries in electric cars, in addition to other key applications such as fire retardant building materials
  • Volt’s Bunyu project is Tanzania’s largest graphite mineral resource

Tanzanian-focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to advise that it has engaged Exotix Capital to undertake a Tanzanian Bond issue to raise up to US$30 million in structured debt to fund the Stage 1 development of the Company’s flagship Bunyu Graphite Project in Tanzania. If successful, the proposed bond financing will ensure that project development funding will be undertaken with minimal equity dilution.

Exotix will act as structuring, financial and placement advisor and will leverage its significant East African networks to complete the proposed Issue, with a focus on the Tanzanian, Kenyan and Ugandan capital markets, respectively.

Volt will continue to consider other funding proposals it is currently negotiating for the Stage 1 development of the Bunyu Project to ensure that momentum moving towards production by year-end 2018 is maintained.

Tanzania and Mozambique are home to Africa’s largest deposits of graphite, a mineral increasingly in demand because of its variety of uses, including as a fire retardant in building materials and for use in batteries for powering electric vehicles. The manufacture of lithium-ion batteries used in electric vehicles requires nine times more graphite than lithium.1 By 2020, analysts estimate the demand for flake graphite will exceed 500,000 tonnes per annum, largely due to an approximate 400% increase in battery graphite feedstock demand from 2016.2

Volt’s Banyu Graphite Project is the largest JORC mineral resource deposit in Tanzania and can produce graphite suitable for both battery production and building material uses.

As part of the proposed bond raising process, Volt will, upon completion, have the bonds listed on the Dar es Salaam Stock Exchange (“DSE”) in Tanzania. The estimated timeframe to complete a DSE listing is 8-12 weeks.

 

Volt’s Chairman, Asimwe Kabunga, commented:

Asimwe KabungaVolt is pleased to be partnering with the team at Exotix over the coming months as we pursue an in-country bond issue in Tanzania to fund the initial Stage 1 development of our Bunyu graphite project.

Exotix brings to the table an extensive network of East African investors and a comprehensive strategy to access these local parties who have a strong appetite for large-scale resource projects such as Bunyu.

We look forward to continuing to provide shareholders with further funding and operational updates in due course.

 

Exotix’s CEO, Duncan Wales, commented:

We are happy to be working on such an important project with Volt to support Tanzania’s growth as a major producer and exporter of natural graphite amid increasing demand for the mineral.

 

 

About Exotix Capital

Since 1999, Exotix has been enabling international investors to access the most dynamic and complex financial markets and economies in the world. Exotix specialises in equity and fixed-income markets, and investment banking, throughout developing economies in Africa, Central, South and Southeast Asia, emerging Europe, the Middle East, Latin America and the Caribbean. During the past year, Exotix has been named Best Boutique Investment Bank in Africa by Global Finance, Best Frontier Markets Investment Banking Team in the UK by Capital Finance International, and Best Broker in Tanzania and Nigeria by EMEA Finance. For more information about Exotix, go to https://www.exotix.com

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


1 http://northerngraphite.com/lithium-ion-batteries
2 http://benchmarkminerals.com/graphite-demand-from-lithium-ion-batteries-to-more-than-treble-in-4-years

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2017 ANNUAL GENERAL MEETING PRESENTATION

2017 ANNUAL GENERAL MEETING PRESENTATION

[Click on any thumbnail image above to enlarge the slides]

Posted by Volt Resources in Company News
BUNYU GRAPHITE TEST WORK AND OFFTAKE PARTNER UPDATE

BUNYU GRAPHITE TEST WORK AND OFFTAKE PARTNER UPDATE

  • Positive initial product feedback received from Chinese offtake partner– final test work results on Bunyu graphite product expected shortly
  • North American offtake customer, Nano Graphene Inc., ramps up graphene production and confirms premium quality of Bunyu graphite product
  • Flake graphite market experiencing strong price growth

Tanzanian focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) is pleased to provide the following update on its Bunyu graphite offtake partner product test work program and on recent developments made by Volt’s North American customer.

 

Chinese Partner Provides Positive Feedback on Bunyu Graphite

As previously advised, Volt has submitted graphite samples to its potential Chinese offtake partner, China National Building Materials General Machinery (“CNBMGM”), to enable independent testing to be undertaken on the quality and suitability of the Bunyu graphite product.

Volt is pleased to advise that recent feedback received from CNBMGM has been very positive, with test work indicating the Bunyu product meets all requirements for CNBMGM.

Volt entered into a non-binding Cooperation Agreement with CNBMGM in June 2017 which outlined the framework for CNBMGM to become an offtake partner and to provide Volt with project engineering/construction and financing support towards the development of the Bunyu Graphite Project in Tanzania.

CNBMGM is one of the world’s largest building materials producers, consumers and sellers and would provide Volt with significant leverage into the global expandable graphite market should a binding offtake agreement materialise.

The Cooperation Agreement is an important precursor to the signing of a Binding Offtake Agreement with CNBMGM, with the agreement providing for the potential offtake of 10,000-15,000tpa of graphite concentrate from Stage 1 production.

Final results from the CNBMGM test work program are expected to be received in the coming weeks, and Volt will provide updates on additional offtake opportunities and test work programs conducted by other offtake partners in due course.

 

North American Offtake Customer Update

Volt is also pleased to advise that its North American-based customer, Nano Graphene Inc. (“NGI”), has recently achieved a number of key operational and corporate developments. Volt signed a binding offtake agreement with NGI in March 2017 for a minimum of 5,000 tonnes of flake graphite concentrate over 5 years.

NGI recently advised that its Brooklyn-based plant has been commissioned and is now fully operational. Graphene production has commenced and will be steadily ramped up over coming months.

In addition, NGI is in the process of securing supply agreements with a number of recognisable end-users including a major semiconductor producer and an emerging car manufacturer, both of which are planned to utilise Volt’s Bunyu graphite product.

Initial test work undertaken by NGI confirmed that Volt’s Bunyu graphite product is amongst the highest quality graphite flakes NGI had tested to date. As a result, both NGI and Volt are in discussions to broaden their existing partnership to potentially incorporate downstream, value-added refining of Volt’s graphite utilising NGI’s proprietary technology. The Company will provide further updates on these discussions in due course.

 

Graphite Market Update

Volt is also encouraged by the current positive market conditions in the graphite sector, with prices rising as a result of increasing demand for flake graphite in battery anode and building material applications combined with China’s closure of graphite mines arising from environmental issues.

According to industry analyst Benchmark Data, these pressures recently pushed flake graphite prices to their highest point in over two years, with the Benchmark Flake Graphite Index climbing 16% during August continuing a series of monthly price rises since May this year. It is expected that further near-term price increases will continue as limitations on production and demand increases continue.

Furthermore, Volt also notes the increased domestic large flake consumption from China’s expandable graphite sector. As a result, the FOB price of +80 mesh material (94-95% C) from China increased by 19% to an average of $1,000/tonne, with some sales representing a month-on-month increase of up to 30%.

 

Volt’s Chief Executive Officer, Trevor Matthews commented:

Trevor Matthews“Our relationship with CNBMGM continues to progress very well and although still in the early stages we are excited about the prospect of potentially partnering with one of the world’s largest building materials suppliers.

“The fact that Volt’s Bunyu graphite product continues to be validated as premium quality is highly encouraging and we are now working hard to materialise a number of these offtake opportunities in the near-term.

“We are also highly encouraged by the bullish conditions currently being experienced within the global graphite market, in particular, the tightening of supply and increased demand for large flake graphite in China. Graphite is forecast to remain in short supply for the foreseeable future, providing highly conducive conditions to rapidly advance both key operational and funding milestones this year.”

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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VOLT OPERATIONAL UPDATE

VOLT OPERATIONAL UPDATE

Solid progress made with Environmental Impact Assessment – Mining Licence Application well advanced

  • Discussions progressing with two potential Chinese offtake customers
  • Testwork of Bunyu product underway
  • Development funding negotiations progressing with potential financiers
  • Bunyu Project expected to be in production within 12 to 18 months

Tanzanian focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) provides the following update in relation to a number of key corporate and operational developments.

TANZANIA BUNYU GRAPHITE PROJECT UPDATE

Environmental and Social Impact Assessment (ESIA) and Mining Licence Application

Volt is making significant progress in Tanzania, with the ESIA report for the Bunyu Graphite Project expected to be finalised within the next few weeks and lodged with the Minister of Environment.

The completion of this process is a key step towards submission of the Mining Licence Application for Stage 1 production at the Bunyu Project. Volt expects the Mining Licence Application to be lodged before calendar year end.

CORPORATE DEVELOPMENTS

Agreements with Chinese Groups Progressing

Volt confirms positive discussions are progressing with China National Building Materials General Machinery (CNBMGM: see ASX Announcement “Cooperation agreement with China’s largest building materials group” dated 16 June 2017) and Guangxing Electrical Materials (GEM: ASX Announcement “Offtake agreement with major graphite distributor” dated 23 June 2017).

 Flotation Optimisation Testwork

Figure 1: Flotation Optimisation Testwork currently in progress at Xinhai Laboratory, Yantai, China

Product samples have been sent to both groups to enable independent testing on the Bunyu graphite product.

Additional samples are also being arranged for Volt’s other off-take partners, including AOYU Graphite Group. Assuming the product testwork is successful, then offtake agreements totalling 15,000 – 20,000 tonnes per annum could be confirmed in the fourth quarter.

Furthermore, Volt is undertaking process flowsheet testwork in conjunction with Battery Limits and its partner Shandong Xinhai Mining Technology and Equipment Inc in China to optimise the processing and grade/recovery for graphite products.

This testwork builds on the knowledge gained from graphite market end-users about their product requirements and is being incorporated into the Bunyu project flowsheet design.

Project Development Funding Update

Management continues to progress project development funding discussions with potential financiers in the Middle East and with other financial institutions globally. CEO Trevor Matthews visited Dubai and Muscat in late July as part of this process, and the Company looks forward to providing further updates on this process in due course.

 

Chief Executive Officer, Trevor Matthews commented:

Trevor Matthews“Volt is fast-tracking the Stage 1 Development of our Bunyu Graphite Project, with a pathway now in place to have the project in production within the next 12-18 months.

“Product testing is well underway and we are advancing with our Chinese partners in a cooperative manner. Our aim is to materialise these relationships into binding offtake agreements in the vicinity of 15,00020,000tpa, underpinning the Stage 1 Development of Bunyu.

“The Company looks forward to providing further updates on both corporate and operational progress in the near-term.”

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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VOLT CORPORATE UPDATE

VOLT CORPORATE UPDATE

Tanzanian focused flake graphite development company Volt Resources Limited (ASX: VRC) (“Volt” or “the Company”) advises that it has changed the name of its operating subsidiary in Tanzania to Volt Graphite Tanzania Limited (“VGT”) from Nachi Resources Limited. The decision was made to ensure a clear relationship between VGT and its parent company Volt and to eliminate any confusion with other companies operating in Tanzania.

Furthermore, it is important to reiterate this is purely a name change and does not change VGT’s assets or financial position. In addition, with immediate effect, Volt’s flagship project will now be referred to as the Bunyu Graphite Project and no longer the Namangale Graphite Project.

Importantly, Volt has to date experienced no material adverse impact following recent legislative changes to the mining legislation in Tanzania, and the Company expects to provide further updates on corporate and operational progress shortly.

 

For and on behalf of Volt Resources Limited

Trevor Matthews
Chief Executive Officer

 


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