Australia grants loans to Alpha HPA, Renascor for critical minerals projects (updated)

Renascor Resources

17/04/2024 04:42

(Adds details, context on Australian government grants in
paragraphs 3-5, shares in last paragraph)
       April 17 (Reuters) - Alumina producer Alpha HPA  A4N.AX 
and graphite producer Renascor Resources  RNU.AX  will receive
aggregate A$585 million ($375.63 million) in loans from the
Australian government under its critical minerals strategy.
    Under the government's A$4 billion Critical Minerals
Facility, Alpha HPA will receive A$400 million to develop a
construction facility, while Renascor will get A$185 million for
its anode material manufacturing operations, the companies said
in separate filings on Wednesday.
    The loans would be drawn from Export Finance Australia and
Northern Australia Infrastructure Facility.
    The funding would enable Alpha HPA to establish a full-scale
commercial aluminium purification facility, while Renascor would
utilise funds for the construction of an upstream portion at its
BAM Project which includes the Siviour graphite project in South
Australia.
    The Australian government is offering low-interest loans and
related grant programmes to speed up the development of critical
minerals project, with the aim of becoming a key global supplier
of battery chemicals and metals.
    Shares of Alumina supplier Alpha HPA rose as much as 15.2%
to hit their highest level since September, while graphite
explorer Renascor Resources surged as much as 32.5%, their
highest level since October.
        
  
        ($1 = 1.5569 Australian dollars)

 (Reporting by Roshan Thomas in Bengaluru; Editing by Rashmi
Aich)
 ((Roshan.Thomas@thomsonreuters.com;))