Australia's Evolution Energy signs graphite supply deal with China-based BTR (updated)

Evolution Energy Minerals

16/08/2023 02:44

(Updates with details and background from paragraphs 2-6)
       Aug 16 (Reuters) - Australia's Evolution Energy Minerals
 EV1.AX  said on Wednesday it had entered into a binding
agreement with China-based BTR New Material Group  835185.BJE 
to supply fine flake graphite from its Chilalo project in
Tanzania.
    The company will supply about 90% of the product from the
project to BTR under the three-year agreement, which can be
extended for another three years.
    BTR, one of China's largest lithium-ion battery materials
maker, will also engage with Evolution on battery anode
materials production.
    BTR, in return, will acquire a 9.9% stake in Evolution for
about A$4.9 million ($3.15 million) and support further
financing of the Chilalo project.
    "BTR and Evolution intend to work together to procure the
finance for development of the Chilalo project," the Australian
explorer said in a statement.
    The Chilalo project has potential for a multi-decade mine
life as Evolution works to grow resources and reserves.

($1 = 1.5540 Australian dollars)

 (Reporting by Rishav Chatterjee in Bengaluru; Editing by
Subhranshu Sahu)
 ((Rishav.Chatterjee@thomsonreuters.com;))