Graphite and gold explorer and developer Volt Resources has provided an update on the progress of due diligence for the acquisition of a 70% interest in the Zavalievsky group of companies.

The graphite mine and processing facilities are located adjacent to the town of Zavallya, approximately 280 km south of the Ukraine capital Kyiv and 230 km north of the main port of Odessa.

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Volt Resources has previously advised the appointment of four international and locally recognised consultants to undertake the acquisition due diligence in accordance with agreed scopes of work to review and report on the following areas of the Zavalievsky business:

  • Financial and Tax – Deloitte Ukraine
  • Legal and Commercial – AVELLUM
  • Technical (processing, engineering, capital projects, organisation) – Bilfinger Tebodin Ukraine
  • Technical (geology, mining, environment) – Wardell Armstrong International

Highlights

  • Acquisition of 70% of ZG Group on track
  • Due diligence by Volt appointed international and locally recognised consultants nearing completion:
  1. Financial and Tax draft due diligence report by Deloitte Ukraine and the Legal and Commercial draft due diligence report by AVELLUM have been received and both currently under review by the Volt board and management
  2. The combined Technical draft due diligence report by Bilfinger Tebodin Ukraine and Wardell Armstrong International expected imminently
  3. Nothing identified to date that would prevent the acquisition from completing ZG Group acquisition to transform Volt into one of the few ASX listed graphite producers this quarter
  4. The completion of the acquisition will position Volt significantly ahead of most of its peer graphite companies to become a graphite producer without the usual time and risk related to complete greenfield project financing, construction, commissioning and ramp up
  5. ZG Group planning to produce LIB anode material to create the only European integrated mine and SPG producer
  6. ZG group graphite business produces a high value “green” purified 99.5% TGC product