Tirupati Graphite has completed the installation and commissioning of its first 9,000 tpa flake graphite module at its Vatomina Project in Madagascar.
Shishir Poddar, CEO of Tirupati Graphite, say:s
“We are delighted to have completed the commissioning of the first of four modules at Vatomina, which marks the latest in a series of investments to increase production of high-quality graphite from our projects in Madagascar to support world demand and continue the expansion of our production capacity up to 84,000 tpa by 2024.
“This is a commendable achievement for the Company given the procurement and logistics challenges that were faced by the team whose tireless efforts enabled us to successfully execute our plans to upscale the plant capacity to 9,000 tpa and get into production. This is an important milestone as it now brings both our Madagascan projects into operation and advances us on our journey of becoming a material global supplier of sought-after Madagascan flake graphite.
“We recently announced 12-month trading results from our 3,000 tpa Sahamamy plant, which further demonstrated the low-cost advantage we possess in our operations. With 12,000 tpa of production capacity (i.e., 4x increase from current) now operational, we expect the unit cost of production to be improved, which will lead to an enhancement on the c.57% gross operating margins that was achieved at Sahamamy, as the production output at Vatomina ramps up to the full rated capacity of 9,000 tpa.
“The start of production at Vatomina provides us with additional revenues and operational margins, which will be used to partially fund our development funding costs going forward.
“Our recent announcement regarding the impending acquisition of a portfolio of advanced stage graphite assets in Mozambique will, if completed, boost our mineral resource base by over 152 million tonnes @ 8.5% TGC, complementing our existing mix of predominantly jumbo and large flake graphite products from our Madagascan projects.
“We continue to rework the development plans for these projects and look forward to updating the market as we progress to secure the approvals for completion of the acquisition.”