Volt Resources Ltd (ASX:VRC) is about to start a feasibility study to support the capital cost estimate, operating cost summary and financial model for its planned battery anode material (BAM) plant.
The plant remains a key component of the graphite producer and BAM developer’s downstream strategy.
Volt expects the feasibility study will be delivered by September 2023 and has engaged Worley Services Pty Ltd, a wholly-owned subsidiary of ASX-listed Worley Ltd, to help prepare parts of the study.
Strong interest in local natural graphite anode
“While mining and processing of raw materials is the foundation of the company, Volt anticipates greater value creation will be derived from being a vertically integrated manufacturer of natural graphite anode materials within the US and European markets,” Volt’s CEO Prashant Chintawar said.
“Due to a strong market interest in local natural graphite anode, supply deficit and robust financial incentives from governments, we expect the feasibility study to deliver highly favourable project economics. Volt plans to use the feasibility study results in the funding proposal to the US Government.”
The study comes just a week after Volt signed an offtake deal with global battery anode material producer Graphex Group for 10,000 tonnes of fine flake graphite product per year from the Bunyu Graphite Project.
Read: Volt Resources signs offtake deal with global battery anode material producer Graphex Group
Volt is in discussions with other potential offtake partners, highlighting growing demand in the graphite market.