REG - GreenRoc Mining PLC - Successful Battery Test Work With Amitsoq Graphite

GreenRoc Strategic MaterialsAnnouncement

31/01/2024 07:00

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RNS Number : 4416B  GreenRoc Mining PLC  31 January 2024

GreenRoc Mining Plc / EPIC: GROC / Market: AIM / Sector: Mining

31 January 2024

GreenRoc Mining plc

("GreenRoc" or the "Company")

 

Successful Battery Test Work using Amitsoq Anode Material &

Update on Processing Plant Feasibility Study

 

GreenRoc Mining plc (AIM: GROC), a company focused on the development of
critical mineral projects in Greenland, is pleased to announce the successful
results of electrochemical battery test work using graphite from its Amitsoq
Graphite Project ("Amitsoq" or the "Project") in southern Greenland, along
with an update on its Processing Plant Feasibility Study following a visit to
processing plant manufacturers in China last week.

 

Overview

·   An anode electrode was prepared at a specialised battery research
facility in Europe using Amitsoq uncoated purified spherical graphite and then
assembled with other components in a test battery cell.

·    A series of charging and discharging cycles were performed. The
Amitsoq graphite anode performed well against all studied parameters, was very
stable and had no signs of damage or loss of capacity after several cycles of
both short and intensive charging.

·    This was the first battery test work of Amitsoq graphite. The
positive results are important because not all natural graphite is suitable
for use as active anode material in battery cells.

·    As part of GreenRoc's ongoing Feasibility Study into the construction
of an active anode processing plant, GreenRoc representatives recently visited
several of China's leading manufacturers of spheronisation equipment and
graphite processing plants.

 

Details

 

Battery Test Work

To qualify as potential feedstock for the production of active anode material
for lithium-ion ("Li") batteries, graphite concentrate must have its
performance tested in a battery setup. In autumn 2023, GreenRoc contracted
ProGraphite GmbH in Germany to order and oversee an electrochemical test work
programme at a well-established battery research centre on graphite extracted
in 2022 from the Lower Graphite Layer orebody at Amitsoq.

 

Amitsoq graphite concentrate was processed into spherical graphite with D50 of
16 µm (average particle size of 16 micrometre) and purified to >99.95%
graphite.  This material was combined with other components to form a final
slurry, which was coated onto a copper foil to form the anode.  This anode
was then inserted within a newly assembled single, disc-shaped Lithium-based
battery cell with a diameter of 10.95 mm.  The battery cell was then
subjected to a series of charging and discharging cycles.

 

The results of the programme reported a first discharge specific capacity
after battery formation and condition of 369 mAh/g. This is close to the
theoretical maximum achievable value of 372mAh/g, which is considered a good
result. In subsequent cycles, the charging capacities achieved were also
considered good for uncoated spherical graphite.

 

In tests with a long charging time (3-10 hours), the discharge performance was
very good with near 100% Coulombic Efficiency (99.81% +/- 0.06% to 100.09% +/-
0.2%).

 

At a high number of charge/discharge cycles (40-44), the battery maintained a
high capacity (363 mAh/g), which suggests good durability, and, after a high
charging rate/short charging time (6 minutes) cycle, the performance was still
good, showing that no damage occurred to the material at such elevated
charging rates.

 

Finally, differential capacity measurements showed staged intercalation of
Li-ions both during charging and during discharging, which in turn
demonstrates good crystallinity of the Amitsoq graphite anode material. This
is also a positive, since long cycle life correlates with stable graphite
crystallite size.

 

Please refer to the Glossary below for an explanation of certain technical
terms used in this section.

 

Active Anode Material Processing Plant

GreenRoc aims to become a vertically integrated producer of active anode
material ("AAM", also known as coated spherical purified graphite or "cSPG")
using graphite concentrate from its Amitsoq project in Greenland.

 

In September 2023, the Company commenced a Feasibility Study into establishing
a processing plant supported by a ca. £260,000 grant from the UK's Automotive
Transformation Fund. It is planned that the Feasibility Study will be
delivered by end of Q2, 2024.

 

The Company is pleased to report that the first and second work phases of the
Feasibility Study, namely collecting market and technical data and material
for the study, are now complete.  As part of that work, GreenRoc
representatives, together with a metallurgist from SLR Consulting Ltd, an
adviser on the Feasibility Study, last week visited three leading
manufacturers of processing equipment in the Zhejiang and Shandong provinces
in China. These manufacturers are able to provide both complete and modular
graphite processing lines and have extensive experience of delivering
equipment to graphite processing plants in China, a country which today
manufactures more than 90% of the world's AAM.

While in China, GreenRoc's representatives also visited an operating graphite
processing plant, including chemical purification lines, to view processing
equipment in operation.

 

The next stages of the Feasibility Study include the design of both a pilot
and a full-scale processing plant, estimation of production rates, energy
requirements and consumables, a full discounted cash flow model for the
full-scale processing plant and integrating a risk model.

 

GreenRoc's CEO, Stefan Bernstein, commented:

"The outcome of this battery test programme is hugely pleasing. This is the
first time that graphite material from our Amitsoq Project has been tested for
its performance within an assembled lithium ion battery cell. These results
demonstrate that uncoated purified spherical graphite from Amitsoq performs
very well as the active anode material in a battery cell, which is excellent
news given that not all natural graphite material is suitable for use in the
manufacture of batteries.

 

"Our Feasibility Study into the establishment of an active anode material
processing plant is also progressing well and is on schedule. We now have
comprehensive reports on the graphite anode market, on specifications for
graphite anodes, and on the various options for processing techniques and
equipment. During our visit to China, we saw at first hand the
state-of-the-art processing equipment which today, in Chinese processing
lines, is delivering active anode material to all of the world's battery
producers.

 

"We now have a much clearer understanding of the steps towards establishing an
AAM processing plant in our part of the world and look forward to completing
the Feasibility Study in the next few months. This will be a key step towards
GreenRoc becoming one of the first producers of active anode material for EV
batteries in a Western economy."

 

This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or
anticipated future events and anticipated results that are forward-looking in
nature and, as a result, are subject to certain risks and uncertainties, such
as general economic, market and business conditions, competition for qualified
staff, the regulatory process and actions, technical issues, new legislation,
uncertainties resulting from potential delays or changes in plans,
uncertainties resulting from working in a new political jurisdiction,
uncertainties regarding the results of exploration, uncertainties regarding
the timing and granting of prospecting rights, uncertainties regarding the
timing and granting of regulatory and other third party consents and
approvals, uncertainties regarding the Company's or any third party's ability
to execute and implement future plans, and the occurrence of unexpected
events.

 

Actual results achieved may vary from the information provided herein as a
result of numerous known and unknown risks and uncertainties and other
factors.

 

 

Glossary

Battery formation and condition: During the first charging/discharging cycles,
a solid electrolyte layer is formed at the surface of the graphite anode
particles. This is an integral process for the creation of lithium-ion battery
for the performance in terms of cycle life limitations, the capacity for
reversibility and safety.

Charging and discharging cycles: A discharge/charge cycle is commonly
understood as the full discharge of a charged battery with a subsequent full
recharge.

Coulombic Efficiency: Also known as "Current Efficiency", this describes the
efficiency by which electrons are transferred in batteries. Coulombic
Efficiency is the ratio of the total charge extracted from the battery to the
total charge put into the battery over a full cycle.

Differential capacity: This tracks a battery's capacity change on charge and
discharge as a function of voltage. Peaks in capacity during charge/discharge
are indications of graphite crystallinity (phase transitions).

Discharge performance: This indicates how efficiently the graphite anode
releases the lithium ions.

 

**ENDS** 

 

For further information, please contact: 

   GreenRoc Mining Plc                                        +44 20 3950 0724

   Stefan Bernstein, CEO 

  
   Cairn Financial Advisers LLP (Nomad)                       +44 20 7213 0880

   James Caithie / Sandy Jamieson / Louise O'Driscoll 

  
   SP Angel (Broker)                                          +44 20 3470 0500

   Ewan Leggat / Charlie Bouverat

   
   St Brides Partners Ltd (Financial PR & IR)                 +44 20 7236 1177

   Paul Dulieu / Isabel De Salis / Isabelle Morris            greenroc@stbridespartners.co.uk

  

 

About GreenRoc

GreenRoc Mining plc is an AIM-quoted company which is developing mining
projects in Greenland in critical, high-demand and high-value minerals.

 

Led by a group of highly experienced mining industry professionals, GreenRoc
has a portfolio of 100% owned projects all of which have defined Resources:

·    Amitsoq Graphite Project, one of the highest-grade graphite deposits
in the world with a combined Measured, Indicated and Inferred JORC Resource of
23.05 million tonnes (Mt) at an average grade of 20.41% graphite, giving a
total graphite content of 4.71 Mt;

·    Thule Black Sands Ilmenite Project ('TBS'), which has an initial
Mineral Resource of 19Mt at 43.6% Total Heavy Minerals with an in-situ
ilmenite grade of 8.9%; and

·    Melville Bay Iron Project, which has a Mineral Resource Estimate of
67Mt at 31.4% iron and has been proven to be processable to a high-grade, 70%
concentrate with low impurities.

 

About Amitsoq

Amitsoq is located in the Nanortalik region of southern Greenland and has been
confirmed as one of the highest-grade flake graphite projects in the world.
GreenRoc is focused on fast-tracking the development of Amitsoq into a
producing mine in the shortest possible timeframe to meet critical demand from
Electric Vehicle ('EV') manufacturers in Europe and North America for new,
high grade and conflict-free sources of graphite.

 

Key points about Amitsoq:

·    GreenRoc holds the Amitsoq exclusive exploration licence MEL2013_06
of a total of 72.52km2 in the South of Greenland.

·    Amitsoq has a total inferred, indicated and measured JORC Resource of
23.05 million tonnes (Mt) at an average grade of 20.41% Graphitic Carbon
("C(g)"), giving a total graphite content of 4.71 Mt.

·    Results of the Preliminary Economic Assessment were released on 31
October 2023 stating a post-tax NPV8 of US$179M at an IRR of 26.7%. Capex
estimated at US$131M including a 25% contingency.

·    Several samples have been extracted for the purpose of testing the
quality of the Amitsoq graphite.

·    Independent micronisation and spheronisation test work has proven
that Amitsoq graphite can be easily upgraded to high-grade anode-quality
graphite, otherwise known as high purity spherical graphite or cSPG, a key raw
material in the manufacturing of EVs.

·    In GreenRoc's test work programmes, Amitsoq spheronised graphite has
achieved higher than 99.95% purity with relatively little energy input and
processing and using the milder alkaline purification method compared to the
industry standard hydrofluoric acid, boding well for future production costs
and sustainability commitments.

·    Significant further upside exists at Amitsoq as the Amitsoq Island
Deposit is open in at least two directions with potential for considerable
further expansion via the similarly high-grade Kalaaq Mainland Deposit as well
as a series of other high-grade targets on GreenRoc's licence package.

·    The deposit was in small-scale production about 100 years ago, and
there remains considerable underground mine development in place from that
time, which will be of considerable benefit to GreenRoc in the mine
construction phase.

·    Following a detailed evaluation process, the European Raw Materials
Alliance has expressed its support of GreenRoc and its Amitsoq graphite
project, stating that "GreenRoc's graphite resource is of global importance
and, together with the Company's strategy, will enable the European Union to
achieve a certain level of independence for the electrical vehicle supply
chain. ERMA has approved the Amitsoq Graphite project and will engage to
support its development and financing to produce these critical raw materials
for the benefit of the European Union goals." (see RNS dated 8 February 2023).

·    On 9 October 2023, GreenRoc was awarded a grant of approximately
£250,000 by the Automotive Transformation Fund in the UK to part-finance a
feasibility study into the establishment of a graphite spheronisation
processing plant in the UK to produce active anode material from graphite
concentrate delivered from Amitsoq.

 

 

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