Evion Group NL (ASX:EVG) says recent “outstanding” independent test results strengthen the case for establishing a standalone downstream graphite processing business to supply the lithium battery industry in Europe.
Tests conducted by an independent German battery mineral consultancy show Evion’s graphite is highly suitable for lithium batteries, returning fixed carbon grades of up to 99.99% on graphite from the Maniry Project in Madagascar.
The concentrate sample used was obtained from the large-scale pilot program completed in 2021.
Grades well above benchmark
Grades achieved during the test-work are well above the 99.95% fixed carbon grades adopted as a standard benchmark by battery anode manufacturers.
The test-work used a proven technology that does not require hydrofluoric acid (HF), enhancing the product’s status as a greener form of purified graphite.
It also demonstrated low reagent consumption and low power requirements – all of which contribute to a more environmentally sustainable solution, as well as resulting in materially lower operating costs.
Robust financials
These test results will be used in the Evion scoping study underway on a downstream graphite processing plant.
The recently completed Maniry definitive feasibility study found the project will be technically robust and deliver strong financial returns.
Evion is also signing up offtakers – it recently inked a non-binding offtake agreement with Urbix Resources Inc, USA, under which Evion would provide 15,000 tonnes per annum of product from Maniry to feed Urbix’s early-stage production of anode material for the EV industry.
The agreement would account for roughly 40% of Maniry’s initial production, leaving sufficient product to supply Evion’s proposed processing plant in Europe.
Evion managing director Tom Revy said: “These are exceptionally strong results which are well in excess of the fixed carbon grades adopted as a standard benchmark in the lithium battery industry.
“The results show Maniry graphite is perfectly suited for use in lithium batteries and can be processed into the required form using an environmentally friendly process which also requires less energy than more conventional processes.
“We will feed these results into the scoping study on the processing plant we are proposing to build in Europe. This plant will supply processed graphite as a feedstock to the battery anode makers.”