RCS - Tirupati Graphite - Global Graphite Outlook

Tirupati GraphiteAnnouncement

08/03/2024 07:00

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RNS Number : 0755G  Tirupati Graphite PLC  08 March 2024

8 March 2024

 

Tirupati Graphite plc

('Tirupati', 'TG' or the 'Company')

 

Global Graphite Outlook

 

Tirupati Graphite plc (TGR.L, TGRHF.OTCQX), the specialist flake graphite
company and supplier of the critical mineral for the global energy transition,
notes the recent report by Benchmark Mineral Intelligence ("BMI") on the
global graphite producers which highlights the strength of the Company's
position in this growing market.

 

BMI notes that China currently dominates today's supply chain, but as can be
seen on their newly released map, the supply being developed globally is
expected to shift this balance. BMI anticipates that by 2030 more production
will have come on stream outside of China including in North America, Africa
and Australia.

 

Importantly for Tirupati, Africa is set to become a key producer of natural
flake graphite with the continent forecast to produce an estimated 38% of the
world's mined supply by 2030.  The top 3 producing nations by 2030 in the
world are expected to be China, Mozambique, and Madagascar - overlapping
significantly with Tirupati's footprint in Mozambique and Madagascar.

 

BMI forecasts that global demand for natural graphite derived anode material
for use in lithium-ion batteries alone will be 1.2 million tonnes in 2030, a
major increase from the 255,000 tonnes consumed in 2023, and a clear signpost
of the impending growth in flake graphite demand. It is important to note that
for manufacture of 1.2 million tonnes of natural graphite based active anode
material as forecast, circa 2.5 million tonnes of below 100 mesh flake
graphite with 94-96% purity will be required as input material and the
Company's projects in Mozambique host a higher proportion of this type of
flake graphite.

 

The Benchmark Minerals global map can be seen here:
https://app-eu1.hubspot.com/documents/25724218/view/763116749?accessId=b8227d
(https://app-eu1.hubspot.com/documents/25724218/view/763116749?accessId=b8227d)

 

BMI is a widely-respected market intelligence platform specialising in
assessing market prices, supply chain data, and forecasting around the
technologies and supply chains central to the energy transition.

 

Shishir Poddar, Executive Chairman, said:

 

"Graphite has long been recognised as one of the critical minerals for the
energy transition.  With extremely limited production outside of China,
western governments and international OEMs are keen to see new sources come on
stream, but with significant demand growth forecast we believe that prices
will rise significantly in coming years to incentivise additional capacity
creation.  Our current and future operations in Mozambique and Madagascar
will be at the centre of one of the key regions of future graphite production,
further underlining Tirupati's incredible potential."

 

 

ENDS

 

For further information, please visit https://www.tirupatigraphite.co.uk/
(https://www.tirupatigraphite.co.uk/)  or contact:

 

 Tirupati Graphite Plc


 Puruvi Poddar - Joint Managing Director     admin@tirupatigraphite.co.uk

                                             +44 (0) 20 39849894
 Optiva Securities Limited (Broker)

 Ben Maitland - Corporate Finance            +44 (0) 20 3034 2707

 FTI Consulting (Financial PR)               +44 (0) 20 3727 1000

 Ben Brewerton / Nick Hennis / Lucy Wigney   tirupati@fticonsulting.com

 

About Tirupati Graphite

 

Tirupati Graphite Plc is a specialist Graphite producer and a supplier of the
critical mineral for a decarbonised economy and the energy transition. The
Company places a special emphasis on green applications including renewable
energy, e-mobility, energy storage and thermal management, and is committed to
ensuring its operations are sustainable.

 

The Company's operations include primary mining and processing in Madagascar
where the Company operates two key projects, Sahamamy and Vatomina with a
combined 30,000 tpa of currently installed capacity, producing high-quality
flake graphite concentrate with up to 97% purity and selling to customers
globally.

 

The Company also holds two advanced stage, world class, natural graphite
projects in Mozambique. Work has already commenced to optimise the economics
for development of the Montepuez graphite project, which is permitted for
100,000tpa production and where substantial construction work has already been
undertaken by the predecessor.

 

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