http://www.proactiveinvestors.com.au Proactiveinvestors RSS feed en Fri, 25 May 2018 05:38:57 +1000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Volt Resources progresses towards securing graphite offtake agreements for stage I of Bunyu project ]]> http://www.proactiveinvestors.com.au/companies/news/195606/volt-resources-progresses-towards-securing-graphite-offtake-agreements-for-stage-i-of-bunyu-project-195606.html Volt Resources Ltd (ASX:VRC), a Tanzanian-focused flake graphite development company, has received positive feedback as it seeks to negotiate offtake agreements.

Management has met with a number of parties in China, reporting that there is strong demand for coarse flake +150 micron material for use in the expandable graphite market.

Providing confidence that offtake agreements are pending is the fact that progress is being made towards exchanging draft binding offtake agreements from stage I production.

Another step in de-risking project

Volt’s recent progress with funding, combined with offtake agreements, would substantially de-risk the company’s Bunyu Graphite Project.

Clarity around these issues would also provide valuable input into the stage I feasibility study.

Shares rally 15%

Volt’s share price surged more than 15% last Friday as chief executive officer Trevor Matthews highlighted the significance of the recent US$40 million note issue.

WATCH NOW: Volt Resources strives to be leading flake graphite producer

Matthews expects that the company can be back on track to commence construction of a 20,000-tonnes per annum stage I project in the current quarter.

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Tue, 24 Apr 2018 09:19:00 +1000 http://www.proactiveinvestors.com.au/companies/news/195606/volt-resources-progresses-towards-securing-graphite-offtake-agreements-for-stage-i-of-bunyu-project-195606.html
<![CDATA[Media files - Volt Resources strives to be leading natural flake graphite producer ]]> http://www.proactiveinvestors.com.au/companies/stocktube/9087/volt-resources-strives-to-be-leading-natural-flake-graphite-producer-9087.html Wed, 18 Apr 2018 16:47:00 +1000 http://www.proactiveinvestors.com.au/companies/stocktube/9087/volt-resources-strives-to-be-leading-natural-flake-graphite-producer-9087.html <![CDATA[News - Volt Resources on track with Tanzanian approvals process for graphite project ]]> http://www.proactiveinvestors.com.au/companies/news/195094/volt-resources-on-track-with-tanzanian-approvals-process-for-graphite-project-195094.html Volt Resources Ltd (ASX:VRC) continues to advance the approvals process at the Bunyu Graphite Project in Tanzania.

Environmental approvals are progressing in line with Volt’s expectations with a site verification visit and a technical review completed.

As a result, further information has been sought by authorities for inclusion in the Environmental Social Impact Statement (ESIS).

READ: Volt Resources Limited's Bunyu Graphite Project prepares for first production in 2018

Volt is preparing this information and expects to submit the amended ESIS to the National Environment Management Council (NEMC) within the next week.

Subject to meeting NEMC requirements, the amended ESIS will be sent to the Department of Environment and the Minister will provide a decision within 30 days.

Resettlement Action Plan completed

Volt has also completed a Resettlement Action Plan (RAP) and the associated valuation report of compensation payable to people affected by the project.

The RAP has been approved by the government’s chief valuer and is nearing approval completion at district and regional levels.

Drafting of the implementation plan for the RAP is underway.

Volt has been working closely with authorities to ensure this process is compliant with legislation and that all people affected by the development are appropriately compensated.

Mining licence application progresses

The mining licence application for Bunyu is progressing.

It is awaiting the appointment of the Minerals Commission, the body which approves the applications, as well as receipt of an environmental certificate.

The company expects that the stage I feasibility study for the project will be completed this quarter.

Timing has been adjusted due to delays in sample exports in Tanzania.

These delays have impacted the delivery of stage I resource and reserve calculations, the mine production schedule and associated product revenue and mining and processing costs.

Volt says the delays are expected to have minimal to no impact on the overall development schedule.

READ: Volt Resources lodges draft prospectus to raise US$40 million for Bunyu graphite project

Tanzanian regulators are reviewing the company’s draft prospectus for a US$40 million note issue.

There is no prescribed timeframe for completion of the reviews by the Tanzanian Capital Markets and Securities Authority and the Dar es Salaam Stock Exchange.

Based on previous note issues, the initial review generally takes three weeks to receive feedback and Volt expects to receive it later this month.

Following this, Volt and its advisors will make any requested changes and re-submit the

prospectus to the regulators for final approval.

The prospectus will then be distributed to investors in East Africa to begin the fundraising process.

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Tue, 17 Apr 2018 09:33:00 +1000 http://www.proactiveinvestors.com.au/companies/news/195094/volt-resources-on-track-with-tanzanian-approvals-process-for-graphite-project-195094.html
<![CDATA[News - Volt Resources lodges draft prospectus to raise US$40 million for Bunyu graphite project ]]> http://www.proactiveinvestors.com.au/companies/news/193827/volt-resources-lodges-draft-prospectus-to-raise-us40-million-for-bunyu-graphite-project-193827.html Volt Resources Ltd (ASX:VRC) will today lodge the draft prospectus for its US$40 million note issue.

The draft prospectus will be lodged with the Tanzanian Capital Markets and Securities Authority (CMSA) and the Dar es Salaam Stock Exchange (DES).

This news should be well received by investors, as following a review of the note issue it will be forwarded to potential investors in Tanzania, Uganda and Kenya.

Financing for Bunyu graphite project

Investment via the note issue will potentially provide Volt with a portion of the capital required to develop stage I of the Bunyu Graphite Project in Tanzania.

Management expects this should be capable of producing about 20,000 tonnes per annum of high-quality graphite products.

READ: Volt Resources Limited's Bunyu Graphite Project prepares for first production in 2018

Volt is undertaking the note issue in partnership with specialist investment bank Exotix Capital.

Orbit Securities has been appointed as the co-lead advisor and placing broker for the Tanzanian note issue alongside Exotix.

Graphite producers unlikely to be impacted by regulatory changes

Volt has been interrupted in developing the project because of concerns regarding regulatory changes to the mining industry in Tanzania.

However, it would appear that changes are unlikely to impact producers of industrial metals and that it will be more the precious metals and diamond sectors that are affected.

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Tue, 27 Mar 2018 10:47:00 +1100 http://www.proactiveinvestors.com.au/companies/news/193827/volt-resources-lodges-draft-prospectus-to-raise-us40-million-for-bunyu-graphite-project-193827.html
<![CDATA[News - Volt Resources Limited's Bunyu Graphite Project prepares for first production in 2018 ]]> http://www.proactiveinvestors.com.au/companies/news/193585/volt-resources-limited-s-bunyu-graphite-project-prepares-for-first-production-in-2018-193585.html Volt Resources Ltd (ASX:VRC) has strung together two impressive years, with 2016 marked by outstanding success on the exploration front and 2017 being the building blocks for 2018.

The company is focused on the exploration and development of its Bunyu Graphite Project in Tanzania, and the company secured a number of offtake partners in 2017.

Though this news seemed to be missed, it was the release of exploration results, increases in mineral resources and completion of studies in 2016 that provided substantial share price momentum.

In the 12 months leading up to the company hitting a high of 15 cents, its shares increased ten-fold.

Not surprising in a way, given that the company confirmed that it had one of the largest graphite resources in Africa during that period.

Prefeasibility study returns compelling fundamentals

Volt also finished 2016 on a strong note, delivering a prefeasibility study (PFS) of the Namangale Project (renamed Bunyu) featuring a pre-tax net present value of US$1.31 billion.

The study was based on a mineral resource estimate of 461 million tonnes at 4.9% total graphitic carbon (TGC).

With a 22-year resource, 87% internal rate of return and a 1.4-year payback period, Volt is well-positioned to deliver an impressive definitive feasibility study in the coming months.

Definitive feasibility study due mid-2018

From a broader perspective, the PFS proved that the Bunyu project’s business case was commercially and technically viable.

This paved the way for progression to a definitive feasibility study (DFS), which should be completed by mid-2018.

The metrics contained in the study should increase the confidence level of resources and reserves to support DFS level planning, a near-term potential share price catalyst.

READ: Volt Resources' offtake partner validates quality of Bunyu graphite products

The company made excellent progress in developing relationships with end users in 2017, signing agreements with strategic partners for a minimum of 36,000 tonnes per annum.

These included high-profile players such as China National Building Materials General Machinery, NanoGraphene and Aoyu Graphite, effectively endorsing the graphite quality.

Volt’s aim is to be one of the top three global suppliers of natural graphite by 2020, and given the size of its resource, this appears to be within its reach.

Benefits of existing infrastructure

Also working in its favour is the project’s close proximity to road and port infrastructure.

The Bunyu Graphite Project is in southeast Tanzania.

While this has its obvious operational benefits, there is a material impact on the capital development costs and logistics costs during the construction and operation phases.

From a financial perspective, these factors also can potentially drive down overheads, enabling better margins and/or the opportunity to be more competitive in the marketplace.

With regard to transport, there is sufficient capacity at the Mtwara Port to support the project’s export requirements.

Regulatory changes panic investors

With all bases seemingly covered, one couldn’t be blamed for pondering why the company’s share price fell so sharply in 2017.

For the best part, its shares were sold down during that period as a result of uncertain conditions emerging for the mining industry in Tanzania as regulatory changes were flagged.

On this front, it is important to note the nature of the Tanzania government’s concerns and the industry sectors that could potentially be affected.

In July 2017, the Tanzanian parliament passed three bills containing changes to the legal framework governing the natural resources sector.

Management’s view is that the changes will not prevent Volt from developing Bunyu.

However, the changing environment discouraged the raising of funds in the short term and delayed the initial progress of the stage I feasibility study.

Is the graphite industry really under threat

With issues regarding mining licenses, environmental and social impact studies having been addressed in collaboration with both government and community, Volt is back on the front foot.

READ: Volt Resources ticks off another milestone for graphite project in Tanzania

While the Tanzanian government is still taking a strict stance on projects being developed in the country, there is a point of view that it isn’t graphite miners that are under attack.

It was only a week ago that Tom Hayes, a UK based analyst for Edison Investment Research, said: “The risks appear to be restricted to the gold and diamond sectors, and we see little transfer of risk to the industrial minerals sector, of which graphite is a constituent.”

Two-stage production strategy

The company plans to develop Bunyu in two stages.

Stage I will be focused on the production of 20,000 tonnes per annum of graphite concentrates using a low strip ratio.

This will reduce costs and lower upfront capital investment to about US$29 million while generating first cash flows by the fourth quarter of 2018.

The scale of operation could be maintained for more than seven years with the company able to expand to a multi-decade life of mine through a stage II development.

Increased production in stage II to meet uptick in demand

Stage II development is an expansion of production based on an anticipated increase in market demand by 2020.

Management expects the new plan, which will have the capacity to produce 170,000 tonnes per annum, to be completed and in production by 2020.

Crunching the numbers

Annual operating expenditure at full tilt is estimated at US$93 million which equates to a life of mine average of US$536 per tonne.

Based on these metrics the project is expected to deliver annualised earnings before interest, tax, depreciation and amortisation (EBITDA) of US$195 million.

However, taking a step back, Hayes from Edison has run the numbers on stage I, attributing a valuation of 7.9 cents per share, increasing to 9.6 cents in 2020.

The reason behind the increase is that there will be a period when production and sales move through a ramp-up stage before reaching steady-state status by 2020.

Should Volt trade in line with the mid-point of Hayes’ valuation it would imply upside of about 100% based on the company’s recent trading range.

Perhaps this justifies the near doubling of the company’s shares to a 12-month high of 4.8 cents since the start of 2018.

Edison attracted by high-quality product

Hayes believes that the production of a graphite concentrate via flotation to a 95% TGC purity level should be relatively simple for the majority of junior graphite developers.

By contrast, he is of the view that the production of higher-purity graphite beyond 95% has exponentially higher energy requirements for every extra percent in purity gained.

He highlighted that the other major factors in determining the quality of graphite concentrates were the inclusion of impurities and the crystalline structure of graphite.

This impacts its effectiveness in holding and discharging electrical charge.

If the graphite is to be used for fire-retardant applications, another critical factor is how well the graphite expands.

Offtake partner gives product tick of approval

Hayes noted that Bunyu North product samples have returned excellent first-stage processing results including carbon purity of 99.6% and oxygen content of 0.08%.

This test was performed by Volt’s US-based offtake partner, NanoGraphene, a producer of graphene products utilising environmentally friendly technology.

Volt has engaged Exotix Capital to undertake a Tanzanian Bond issue to raise the required funding for the development of stage I.

READ: Volt Resources receives solid investor feedback in advance of bond issue

Volt is to proceed with a formal bond prospectus process and listing of the bonds on the Dar es Salaam Stock Exchange in Tanzania.

The decision followed positive investor meetings with investor groups, including Tanzanian and Ugandan Pension Funds, during November and early December 2017.

While their support is important from a financial perspective, this could also be viewed as a vote of confidence by major local funds with a low appetite for risk who know the landscape.

US$40 million funding

Volt and Exotix have sized the debt transaction at US$40 million which will allow net project development and working capital funding of about US$31 million.

This takes into account funding for a Debt Service Reserve Account (DRSA) and costs of issue.

The bond raising is expected to be completed by June.

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Thu, 22 Mar 2018 08:40:00 +1100 http://www.proactiveinvestors.com.au/companies/news/193585/volt-resources-limited-s-bunyu-graphite-project-prepares-for-first-production-in-2018-193585.html
<![CDATA[News - Volt Resources’ share price continues to rise ahead of bond issue in Tanzania ]]> http://www.proactiveinvestors.com.au/companies/news/192642/volt-resources-share-price-continues-to-rise-ahead-of-bond-issue-in-tanzania-192642.html Volt Resources Ltd’s (ASX:VRC) share price has increased 50% over the last one month as it prepares to lodge a draft prospectus for a US$40 million bond issue in Tanzania.

The company recently hosted a visit of its Bunyu Graphite Project in Tanzania for potential bond investors.

READ: Volt Resources receives solid investor feedback in advance of bond issue

The investor visit covered the planned mine and mineral processing site and the Mtwara port facilities.

Attendees included representatives from Exotix and Orbit Securities Limited, as well as local community leaders from Utimbula and Namangale.

Importantly, the site tour confirmed that East African investor appetite for U.S. dollar linked Tanzanian listed fixed income instruments is robust.

READ: Volt Resources submits final approval documents for graphite development

Last month, Volt submitted Mining Licence Applications, which are the final approval documents required for the development of its graphite project in Tanzania.

The applications cover stages I and II of the Bunyu Graphite Project with development expected to start later this year, pending approvals.

Aiming to be one of the top three global natural graphite suppliers

Volt has the largest mineral resource in Tanzania and is aiming to be one of the top three global suppliers of natural graphite by 2020.

The company is targeting the production of circa 20,000 tonnes per annum of high-quality graphite products.

Funds raised from the completion of the bond Issue will be deployed towards the stage I development of the Bunyu Graphite Project.

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Tue, 06 Mar 2018 15:09:00 +1100 http://www.proactiveinvestors.com.au/companies/news/192642/volt-resources-share-price-continues-to-rise-ahead-of-bond-issue-in-tanzania-192642.html
<![CDATA[News - Volt Resources receives solid investor feedback in advance of bond issue ]]> http://www.proactiveinvestors.com.au/companies/news/192141/volt-resources-receives-solid-investor-feedback-in-advance-of-bond-issue-192141.html Volt Resources Ltd (ASX:VRC), an emerging Tanzanian-focused flake graphite development company has hosted a visit of its Bunyu Graphite Project for potential bond investors.

The company is currently in the process of undertaking a US$40 million Tanzanian Bond Issue.

This is being done in partnership with developing markets investment bank Exotix Capital, a group that focuses on raising finance in the natural resources sector.

Earlier in the month, Volt submitted mining licence applications for stages I and II of the project.

READ: Volt Resources submits final approval documents for graphite development Capital to assist in production of graphite products

Funds raised from the completion of the bond Issue will be deployed towards the Stage I development of the Bunyu Graphite Project.

The company is targeting the production of circa 20,000 tonnes per annum of high-quality graphite products.

Volt has the largest mineral resource in Tanzania and is aiming to be one of the top three global suppliers of natural graphite by 2020.

Visit focuses on processing site and port facilities

The investor visit covered the planned mine and mineral processing site and the Mtwara port facilities.

Attendees included representatives from Exotix and Orbit Securities Limited, as well as local community leaders from Utimbula and Namangale.

The discussion of the Bunyu Project covered infrastructure access, community programs and graphite markets.

This overview was presented by Volt management including Trevor Matthews, chief executive officer.

Investor appetite remains robust

Andrew Moorfield, Exotix’s head of natural resources, said: “The Volt site tour confirmed that East African investor appetite for US dollar linked Tanzanian listed fixed income instruments is robust.

“The Volt growth story and management strength is reflected in solid investor feedback.”

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Mon, 26 Feb 2018 09:49:00 +1100 http://www.proactiveinvestors.com.au/companies/news/192141/volt-resources-receives-solid-investor-feedback-in-advance-of-bond-issue-192141.html
<![CDATA[News - Volt Resources submits final approval documents for graphite development ]]> http://www.proactiveinvestors.com.au/companies/news/191342/volt-resources-submits-final-approval-documents-for-graphite-development-191342.html Volt Resources Ltd (ASX:VRC) has submitted Mining Licence Applications, the final approval documents required for the development of its graphite project in Tanzania.

The applications cover stages I and II of the Bunyu Graphite Project with development expected to start later this year, pending approvals.

Lodgement of the applications follows submission last month of the Environmental and Social Impact Statement (ESIS) for assessment by the National Environment Management Council.

READ: Volt Resources ticks off another milestone for graphite project in Tanzania

Trevor Matthews, chief executive officer, said: “We are continuing to make significant strides towards the planned stage 1 development of Bunyu Graphite Project this year.

“The submission of the Mining Licence Applications is another key component of this strategy.

“Coupled with recent submission of the ESIS and the partnering with Exotix on project funding, our focus remains squarely on our shareholder value proposition with the near-term development of what will be a globally significant graphite asset."

Applications cover both stages

The applications cover both proposed stages.

Stage I involves processing an estimated 400,000 tonnes of ore annually, producing a nominal 20,000 tonnes of graphite products.

This is intended to produce bulk graphite product to satisfy an existing offtake agreement and the non-binding offtake agreements entered into with four potential Chinese customers.

The stage II expansion will be based on the pre-feasibility study metrics of 3.8 million tonnes of ore feed to annually produce 170,000 tonnes of graphite product.

This is targeted for completion by late 2020.

Same footprint for stages I and II

As the footprint of stage I also accommodates the stage II development, two Mining Licence Applications have been lodged with the Minister for Minerals of Tanzania.

Both development stages are set to utilise the same mine infrastructure.

The total area covered by the applications is circa 18 square kilometres, with single licences limited to 10 square kilometres in size.

Volt expects to provide an update shortly on the progress of the Exotix Capital US$40 million bond issue and finalisation of the stage 1 feasibility study.

READ: Volt Resources in-the-money options provide cash boost for Bunyu Graphite Project

The company recently raised $4.7 million from the exercise of options after raising $3.2 million in a share purchase plan and top-up placement.

Bunyu is the largest JORC mineral resource deposit in Tanzania with 461 million tonnes at 4.9% total graphitic content (TGC) for 22.6 million tonnes of graphite.

This comprises 20 million tonnes of measured resources at 5.3% TGC, 155 million indicated tonnes at 5% TGC and 286 million tonnes of inferred resources at 4.9% TGC.

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Thu, 08 Feb 2018 11:03:00 +1100 http://www.proactiveinvestors.com.au/companies/news/191342/volt-resources-submits-final-approval-documents-for-graphite-development-191342.html
<![CDATA[News - Volt Resources ticks off another milestone for graphite project in Tanzania ]]> http://www.proactiveinvestors.com.au/companies/news/190424/volt-resources-ticks-off-another-milestone-for-graphite-project-in-tanzania-190424.html Volt Resources Ltd (ASX:VRC) has lodged the Environmental and Social Impact Statement (ESIS) for its flagship Bunyu Graphite Project in Tanzania.

The submission of the ESIS follows the completion of a significant body of work including flora and fauna surveys, heritage surveys and the development of environmental and social monitoring and management plans.

The study covers the area required for the Stage 1 and Stage 2 expansion projects at Bunyu.

READ: Volt Resources in-the-money options provide cash boost for Bunyu Graphite Project

Volt’s environmental study forms a key component of its near-term development plans for Bunyu and following approval by the authorities, Volt will be issued with the Environmental Certificate for the project.

Mining licence application submission process on-track

Volt is currently preparing its Mining Licence Application (MLA) for submission with the Mining Commission following the recent publication of the new mining regulations in Tanzania.

This process is progressing on-track and the submission of the MLA is the final key approval required for the commencement of Stage 1 development works at Bunyu.

Steady flow of operational milestones

Volt is expected to update shortly on the positive progress of the Exotix Capital US$40 million bond issue and the Stage 1 feasibility study for the Bunyu Project.

Trevor Matthews, chief executive officer, said: “Our team remains focused on delivering a number of key near-term milestones including the submission of the MLA, the completion of the US$40m bond issue and the finalisation of the Stage 1 Feasibility Study for Bunyu– so we expect a steady flow of operational milestones to be executed over the coming months.”

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Tue, 23 Jan 2018 11:17:00 +1100 http://www.proactiveinvestors.com.au/companies/news/190424/volt-resources-ticks-off-another-milestone-for-graphite-project-in-tanzania-190424.html
<![CDATA[News - Volt Resources in-the-money options provide cash boost for Bunyu Graphite Project ]]> http://www.proactiveinvestors.com.au/companies/news/189688/Volt-Resources-in-the-money-options-provide-cash-boost-for-Bunyu-Graphite-Project-189688.html Volt Resources Ltd (ASX:VRC) will use $4.7 million raised from the exercise of options to support its development strategy for the Bunyu Graphite Project in Tanzania.

The listed options exercise process was strongly supported by circa 90% of option holders.

There were more than 235 million options exercised at $0.02.

A shortfall of circa 24 million options was jointly underwritten and taken up by Empire Capital Partners Pty Ltd and Cove Capital Pty Ltd.

Cash position strengthened

Together with the $3.2 million raised in a recent share purchase plan and top-up placement, the company’s cash position has been strengthened.

Volt is also proceeding with a US$40 million Tanzanian bond issue financing with Exotix Capital.

The company’s strong cash position provides it with the financial capacity to progress stage I development of the flake graphite project.

Feasibility study nears completion

This includes a feasibility study, which is expected to be completed by the end of the first quarter of 2018.

Trevor Matthews, chief executive officer, said: “Volt is now strategically positioned to execute on a number of operational milestones as part of the stage I development of Bunyu.

“Key near-term deliverables to include finalisation of all project approvals and completion of the stage I feasibility study.”

READ: Volt Resources proceeds with issue of US$40 million in structured debt to fund Bunyu Graphite Project

Matthews said: “We will also concurrently advance our planned Tanzanian bond issue through our partnership with Exotix Capital aimed at securing the required funding for the development of Stage I.

“It is also worth noting the recent funding success of Tanzanian based Swala Oil & Gas PLC, with Exotix Capital placing an initial tranche of US$25 million.

“This demonstrates Exotix’s strength in financing selected high quality natural resource projects in Tanzania.”

Stage I strategy

Volt’s strategy for stage I is to annually process 400,000 tonnes of ore producing a nominal 20,000 tonnes of graphite products.

Stage I is intended to produce bulk graphite product which will satisfy an existing offtake agreement and the non-binding offtake agreements entered into with four potential Chinese customers.

The company aims to begin stage I construction this year.

The project has already demonstrated key pre-feasibility study project economics of US$1.3 billion NPV (pre-tax) with a 1.4 year payback.

Bunyu resources

Bunyu is the largest JORC mineral resource deposit in Tanzania with 461 million tonnes at 4.9% total graphitic content (TGC) for 22.6 million tonnes of graphite.

This comprises 20 million tonnes of measured resources at 5.3% TGC, 155 million indicated tonnes at 5% TGC and 286 million tonnes of inferred resources at 4.9% TGC.

READ: Volt Resources paves way for Bunyu graphite mining license

Flake graphite prices remained strong in the December 2017 quarter with increases across all product sizes.

This was driven by increasing demand from lithium ion battery manufacturers and flame retardant building materials.

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Tue, 09 Jan 2018 10:58:00 +1100 http://www.proactiveinvestors.com.au/companies/news/189688/Volt-Resources-in-the-money-options-provide-cash-boost-for-Bunyu-Graphite-Project-189688.html
<![CDATA[News - Volt Resources director increases stake through acquisition of further options ]]> http://www.proactiveinvestors.com.au/companies/news/188827/volt-resources-director-increases-stake-through-acquisition-of-further-options-188827.html Volt Resources Ltd's (ASX:VRC) director Asim Kabunga, has acquired 805,000 listed options (ASX:VRCO) with an expiry date of December 31, 2017 at $0.02.

Volt is a graphite exploration company focused on the exploration and development of its Bunyu Graphite Project in Tanzania.

Kabunga’s options are held under the Kabunga Holdings Pty Ltd, and this recent acquisition increases that entities total holding to nearly 147 million fully paid ordinary shares and 13.2 million options at a strike price of $0.02.

READ: Volt Resources proceeds with issue of US$40 million in structured debt to fund Bunyu Graphite Project

Notably, the company recently advanced the issue of US$40 million in structured debt funding to assist in the development of Bunyu.

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Fri, 15 Dec 2017 09:17:00 +1100 http://www.proactiveinvestors.com.au/companies/news/188827/volt-resources-director-increases-stake-through-acquisition-of-further-options-188827.html
<![CDATA[News - Volt Resources proceeds with issue of US$40 million in structured debt to fund Bunyu Graphite Project ]]> http://www.proactiveinvestors.com.au/companies/news/188759/volt-resources-proceeds-with-issue-of-us40-million-in-structured-debt-to-fund-bunyu-graphite-project-188759.html Volt Resources Ltd (ASX:VRC) is proceeding with the issue of US$40 million in structured debt funding to assist in the development of the Bunyu Graphite Project in Tanzania.

The company engaged Exotix Capital to undertake a Tanzanian Bond issue to raise the required funding for the development of stage 1 of the Bunyu project.

Following recent meetings with investment groups in Tanzania, Uganda and Kenya, Exotix has recommended Volt proceed with a formal bond prospectus.

It has also advised Volt to list the bonds on the Dar es Salaam Stock Exchange (DSE) in Tanzania.

This builds on an option funding agreement negotiated in early December.

READ: Volt Resources raises further funds to fast-track Bunyu Graphite Project Funding provides project development working capital of circa US$31 million

Funding arrangement will allow net project development and working capital of circa US$31 million.

It is estimated that the facility interest and bond maturity payments can be serviced by projected project cash flows.

Importantly, the US$40 million debt sizing allows meaningful participation from Tanzanian and Ugandan pension funds combined with other investment groups seeking income investments.

Increased size of bond issue provides financial flexibility

Trevor Matthews, chief executive, said: “We are buoyed by the level of support received from the Exotix bond roadshow.

“The appetite for investing in local resource projects in this market is evident, and the increased sizing of the bond issue provides us with added financial flexibility as Bunyu is developed over the next 12 months.”

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Thu, 14 Dec 2017 09:47:00 +1100 http://www.proactiveinvestors.com.au/companies/news/188759/volt-resources-proceeds-with-issue-of-us40-million-in-structured-debt-to-fund-bunyu-graphite-project-188759.html
<![CDATA[News - Volt Resources raises further funds to fast-track Bunyu Graphite Project ]]> http://www.proactiveinvestors.com.au/companies/news/188480/volt-resources-raises-further-funds-to-fast-track-bunyu-graphite-project-188480.html Volt Resources Ltd (ASX:VRC) will use $4.7 million to be raised through the sale of options to advance the Bunyu Graphite Project in Tanzania.

The company has entered into an option underwriting agreement with Empire Capital Partners and Cove Capital to guarantee the funds.

The two will act as joint underwriters to exercise any shortfall from the issue of options with an expiry date of 31 December 2017.

Company’s cash position strengthened

Together with the $3.2 million raised in a recent share purchase plan (SPP) and top-up placement, the company’s cash position has been strengthened.

This gives Volt the flexibility to deliver on near-term objectives, including fast-tracking stage I development of Bunyu.

READ: Volt Resources’ off-take partner validates quality of Bunyu graphite products

The project has already demonstrated key pre-feasibility study project economics of US$1.3 billion NPV (pre-tax) with a 1.4 year payback.

Trevor Matthews, chief executive officer, said: “This is a significant development for the business as it shows confidence in our development plans for Bunyu Graphite Project.

“It provides a clear and flexible funding pathway for Volt’s immediate future.

“Following the recent oversubscribed SPP and placement, Volt now has a very healthy cash position.

“This enables us to fast-track a very focused and active development program for the project.”

Start of stage I construction expected in 2018

Matthews said: “We are targeting the commencement of stage I construction next year with development debt funding options well advanced.”

The Bunyu project is the largest JORC resource deposit in Tanzania with 461 million tonnes at 4.9% TGC (total graphitic content).

READ: Volt Resources paves way for Bunyu graphite mining license

Volt recently established a pathway to obtain a mining licence for stage I following meetings with senior Tanzanian government and community officials.

A key takeaway from the meetings completed this week is that the positive benefits of an export-oriented industry are well understood by many within the Tanzanian government and community.

The development of Bunyu will significantly boost regional employment.

The company will provide skills and safety training for local people to participate in the project development, and provide opportunities for local and regional businesses.

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Fri, 08 Dec 2017 09:46:00 +1100 http://www.proactiveinvestors.com.au/companies/news/188480/volt-resources-raises-further-funds-to-fast-track-bunyu-graphite-project-188480.html
<![CDATA[News - Volt Resources paves way for Bunyu graphite mining license ]]> http://www.proactiveinvestors.com.au/companies/news/188151/volt-resources-paves-way-for-bunyu-graphite-mining-license-188151.html Volt Resources (ASX:VRC) has established a pathway to obtain a mining license for stage 1 of the Bunyu graphite project following meetings with senior Tanzanian government and community officials.

The Bunyu Project is the largest JORC Resource deposit in Tanzania with 461 million tonnes at 4.9% TGC (total graphitic content). 

Meeting Strategically important in being granted a mining license

A key takeaway from the meetings completed this week is that the positive benefits of an export-oriented industry are well understood by many within the Tanzanian government and community.

The development of Bunyu will significantly boost regional employment.

The company will provide skills and safety training for local people to participate in the project development, and provide opportunities for local and regional businesses.

Trevor Matthews, chief executive officer, commented: "We are very grateful for those who took the time to meet with the company this week, including The Honourable Ms Angellah Kairuki, who affirmed her commitment to foreign investment following her recent appointment as Tanzanian Minister for Minerals."

Volt Resources is also making progress in terms of establishing offtake partners.

READ: Volt Resources offtake partner validates quality of Bunyu graphite products ]]>
Mon, 04 Dec 2017 12:38:00 +1100 http://www.proactiveinvestors.com.au/companies/news/188151/volt-resources-paves-way-for-bunyu-graphite-mining-license-188151.html
<![CDATA[News - Volt Resources’ off-take partner validates quality of Bunyu graphite products ]]> http://www.proactiveinvestors.com.au/companies/news/187337/volt-resources-off-take-partner-validates-quality-of-bunyu-graphite-products-187337.html Volt Resources Ltd’s (ASX:VRC) offtake partner has confirmed the premium quality of the products derived from graphite at Volt’s Bunyu Graphite Project in Tanzania.

Importantly, the purified graphite and graphene produced from Bunyu product samples by Volt’s North American offtake customer Nano Graphene Inc. (NGI) is of excellent quality and high purity.

Trevor Matthews, chief executive officer, commented: “We are pleased to have received these results, which is further validation of the premium quality of our Bunyu graphite products and this positive feedback will strengthen ties with our existing offtake partners across the spectrum of graphite applications, including the high growth segments of expandable and spherical graphite, as well as graphene.

“Importantly, the initial testwork conducted by NGI earlier this year established the quality of the Bunyu South project area, but now that quality has also been replicated at Bunyu North which is a very significant step forward for the proposed Stage 1 development of the project in the near-term.”

Bunyu graphite validated as a premium quality product

Testwork completed by NGI had previously confirmed the high quality nature of product samples from Volt’s Bunyu South deposit.

The most recent testwork was conducted using product samples from the Bunyu North deposit, which will be the focus of the planned Stage 1 near-term development.

Elemental analysis was conducted on the graphene samples using ultra high vacuum XRF, which returned C content of 99.6% and O content of 0.08%, with no impurity found.

In addition, the properties exhibited by the Bunyu graphite were excellent.

These results follow the positive feedback received from Chinese partner China National Building Materials General Machinery in October.

Binding offtake agreement progressing well

NGI’s Brooklyn-based graphene plant has been commissioned and is now fully operational. Graphene production has commenced and will be steadily ramped up over the coming months.

Volt signed a binding offtake agreement with NGI in March 2017 for a minimum of 5,000 tonnes of flake graphite concentrate over 5 years commencing Q1 2018.

NGI is in the process of securing supply agreements with a number of end-users including a major semi-conductor producer and an emerging car manufacturer, both of which can utilise Volt’s Bunyu graphite product.

Graphene is used across a number of industrial fields

Graphene is a one-atom-thick sheet of carbon atoms arranged in a honeycomb-like pattern.

It is considered to be the world's thinnest, strongest and most conductive material - to both electricity and heat.

Top quality graphene has numerous applications across a number of industrial fields including electricity, conductivity, energy generation, batteries and sensors.

READ NEXT: Volt Resources attracts further funding for graphite project in Tanzania ]]>
Thu, 16 Nov 2017 13:02:00 +1100 http://www.proactiveinvestors.com.au/companies/news/187337/volt-resources-off-take-partner-validates-quality-of-bunyu-graphite-products-187337.html
<![CDATA[News - Volt Resources attracts further funding for graphite project in Tanzania ]]> http://www.proactiveinvestors.com.au/companies/news/186697/volt-resources-attracts-further-funding-for-graphite-project-in-tanzania-186697.html Volt Resources Ltd (ASX:VRC) has received firm commitments to raise an additional $900,000 at $0.021 per share via a top‐up placement to sophisticated and professional investors.

The company’s recently completed share purchase plan had raised $2.338 million – the additional funds from the top-up placement takes total funds raised to over $3.2 million.

Volt will use the funds to complete the Stage 1 feasibility study and accelerate exploration and drilling programs at its flagship Bunyu Graphite Project in Tanzania.

Meanwhile, the company continues to advance product offtake discussions with China National Building Materials General Machinery (CNBMGM) and Guangxing Electrical Materials (GEM).

Product samples were sent to both CNBMGM and GEM to enable independent testing on the Bunyu Graphite product.

Significantly, positive initial product feedback was received from CNBMGM and final results from the test work program are expected to be received in the coming weeks.

Volt recently engaged Exotix Capital to undertake a Tanzanian bond issue to raise up to US$30 million in structured debt to fund the Stage 1 development.

READ NOW: Volt Resources appoints Exotix Capital to raise up to US$30 million

If successful, the proposed bond issue financing will ensure that project development funding will be undertaken with minimal equity dilution.

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Fri, 03 Nov 2017 11:10:00 +1100 http://www.proactiveinvestors.com.au/companies/news/186697/volt-resources-attracts-further-funding-for-graphite-project-in-tanzania-186697.html
<![CDATA[News - Volt Resources to finalise placement following oversubscribed SPP ]]> http://www.proactiveinvestors.com.au/companies/news/186611/volt-resources-to-finalise-placement-following-oversubscribed-spp-186611.html Volt Resources Ltd (ASX:VRC) has been granted a trading halt this morning to finalise details of a placement.

Funds will be applied to the Stage 1 development of the Bunyu Graphite Project located in Tanzania.

The recent Share Purchase Plan (SPP) was received very well by investors, and had to be increased due to demand.

READ NOW: Volt Resources increases share purchase plan to meet demand

The halt will remain in place until the opening of trade on Monday 6th November 2017, or earlier if an announcement is made to the market.

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Thu, 02 Nov 2017 09:59:00 +1100 http://www.proactiveinvestors.com.au/companies/news/186611/volt-resources-to-finalise-placement-following-oversubscribed-spp-186611.html
<![CDATA[News - Volt Resources increases share purchase plan to meet demand ]]> http://www.proactiveinvestors.com.au/companies/news/186542/volt-resources-increases-share-purchase-plan-to-meet-demand-186542.html Volt Resources (ASX:VRC) has elected to increase its share purchase plan (SPP) limit from $1.5 million after receiving over $2.3 million in applications.

The heavily oversubscribed SPP closed 25 October 2017 and will see $2.33 million worth of shares issued at $0.021.

Funds raised will be used to fund the completion of the feasibility study for the Stage 1 development of the Bunyu Graphite Project located in Tanzania.

Recently, the company engaged Exotix Capital to undertake a Tanzanian Bond issue to raise up to US$30 million in structured debt to fund the Stage 1 development.

READ NOW: Volt Resources appoints Exotix Capital to raise up to US$30 million

If successful, the proposed bond issue financing will ensure that project development funding will be undertaken with minimal equity dilution.

Use of funds

The funds raised under the SPP will used for objectives including:

- Complete the feasibility study for the Stage 1 Bunyu graphite project development;
- Continue development funding negotiations, obtain project development approvals, advance offtake and cooperation agreements into binding agreements, enter into engineering and construction agreements and other material contracts for the Stage 1 development; and
- Support in-country costs associated with the project.

Off-take agreements in place

Volt continues to advance discussions with China National Building Materials General Machinery (CNBMGM) and Guangxing Electrical Materials (GEM).

Product samples were sent to both CNBMGM and GEM to enable independent testing on the Bunyu Graphite product.

Positive initial product feedback was received from CNBMGM and final results from the test work program are expected to be received in the coming weeks.

READ NOW: Volt Resources' shares rise on positive feedback for Bunyu graphite product

Additional samples were also arranged for China-based AOYU Graphite.

Assuming the product test work is successful, then offtake agreements totalling 15,000 to 20,000 tonnes per annum could be confirmed during Q4 2017.

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Wed, 01 Nov 2017 16:38:00 +1100 http://www.proactiveinvestors.com.au/companies/news/186542/volt-resources-increases-share-purchase-plan-to-meet-demand-186542.html
<![CDATA[News - Volt Resources appoints Exotix Capital to raise up to US$30 million ]]> http://www.proactiveinvestors.com.au/companies/news/186224/volt-resources-appoints-exotix-capital-to-raise-up-to-us30-million-186224.html Volt Resources Ltd (ASX:VRC) has appointed the experienced and well-qualified investment banking firm, Exotix Capital, to raise up to US$30 million via a Tanzanian Bond Issue.

The proposed funding is to be deployed in early-2018 to complete the Stage 1 development of Bunyu Graphite Project targeting production of 20,000 tonnes per annum of graphite products by late 2018.

Volt’s Bunyu project is Tanzania’s largest graphite mineral resource, and can produce graphite suitable for both battery production and building material uses.

READ NOW: Volt Resources' shares rise on positive feedback for Bunyu graphite product

Volt will also continue to consider other funding proposals it is currently negotiating.

Timeline for funding

Upon completion of the proposed raising, Volt will have the bonds listed on the Dar es Salaam Stock Exchange (DSE) in Tanzania.

The estimated timeframe to complete a DSE listing is 8-12 weeks.

Asimwe Kabunga, chairman for Volt, commented:

"Volt is pleased to be partnering with the team at Exotix over the coming months as we pursue an in-country bond issue in Tanzania to fund the initial Stage 1 development of our Bunyu graphite project.

"Exotix brings to the table an extensive network of East African investors and a comprehensive strategy to access these local parties who have a strong appetite for large-scale resource projects such as Bunyu.

"We look forward to continuing to provide shareholders with further funding and operational updates in due course."

Exotix’s CEO, Duncan Wales, added:

"We are happy to be working on such an important project with Volt to support Tanzania’s growth as a major producer and exporter of natural graphite amid increasing demand for the mineral."

Importance of the region

Tanzania and Mozambique are home to Africa’s largest deposits of graphite, a mineral increasingly in demand because of its variety of uses, including as a fire retardant in building materials and for use in batteries for powering electric vehicles.

The manufacture of lithium-ion batteries used in electric vehicles requires nine times more graphite than lithium.

By 2020, analysts estimate the demand for flake graphite will exceed 500,000 tonnes per annum, largely due to an approximate 400% increase in battery graphite feedstock demand from 2016.

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Thu, 26 Oct 2017 10:12:00 +1100 http://www.proactiveinvestors.com.au/companies/news/186224/volt-resources-appoints-exotix-capital-to-raise-up-to-us30-million-186224.html
<![CDATA[News - Volt Resources' shares rise on positive feedback for Bunyu graphite product ]]> http://www.proactiveinvestors.com.au/companies/news/185089/volt-resources-shares-rise-on-positive-feedback-for-bunyu-graphite-product-185089.html Volt Resources Ltd (ASX:VRC) has received positive initial feedback for the Bunyu graphite product from its Chinese offtake partner, with the final graphite product test work results expected shortly.

The Tanzanian focused flake graphite development company is focused on the exploration and development of its wholly-owned Bunyu Graphite Project in Tanzania.

Volt’s shares were trading 12% higher intra-day, at $0.028.

The company had submitted graphite samples to its potential Chinese offtake partner, China National Building Materials General Machinery (CNBMGM), to enable testing of the Bunyu graphite product.

Importantly, the recent feedback received from CNBMGM has been positive, with test work indicating the Bunyu product meets all requirements for CNBMGM.

Volt had signed an agreement earlier this year with CNBMGM to provide the company with project engineering and financing support towards the development of the Bunyu Graphite Project.

CNBMGM is one of the world’s largest building materials producers, which can provide Volt with significant leverage into the global expandable graphite market should a binding offtake agreement materialise.

Meanwhile, Volt’s North American-based customer, Nano Graphene Inc has commissioned its Brooklyn-based graphene plant and has commenced production.

Volt had signed a binding offtake agreement with Nano Graphene in March 2017 for a minimum of 5,000 tonnes of flake graphite concentrate over 5 years.

Nano Graphene is in the process of securing supply agreements with a number of end-users including a major semi-conductor producer and an emerging car manufacturer, both of which are planning to utilise Volt’s Bunyu graphite product.

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Thu, 05 Oct 2017 14:46:00 +1100 http://www.proactiveinvestors.com.au/companies/news/185089/volt-resources-shares-rise-on-positive-feedback-for-bunyu-graphite-product-185089.html
<![CDATA[News - Volt Resources shares bound higher on graphite off-take talks with Chinese ]]> http://www.proactiveinvestors.com.au/companies/news/184559/volt-resources-shares-bound-higher-on-graphite-off-take-talks-with-chinese-184559.html Volt Resources Ltd's (ASX:VRC) shares have climbed 17.4% to $0.027 intra-day on firm volume of 8 million, as the company continues to progress discussions with two potential Chinese off-take customers.

Volt is focused on the exploration and development of its wholly-owned Bunyu Graphite Project in Tanzania.

Progress in Tanzania

The company is making significant progress in Tanzania, with the Environmental and Social Impact Assessment (ESIA) well advanced.

The ESIA report for Bunyu is expected to be finalised within the next few weeks and lodged with the Minister of Environment. 

The completion of this process is a key step towards submission of the Mining Licence Application for Stage 1 production.

Volt expects the Mining Licence Application to be lodged before calendar year end.

Trevor Matthews, chief executive officer, commented:

"Volt is fast-tracking the Stage 1 Development of our Bunyu Graphite Project, with a pathway now in place to have the project in production within the next 12-18 months.

"Product testing is well underway and we are advancing with our Chinese partners in a cooperative manner.

"Our aim is to materialise these relationships into binding off-take agreements in the vicinity of 15,000 to 20,000tpa, underpinning the Stage 1 Development of Bunyu.

"The company looks forward to providing further updates on both corporate and operational progress in the near-term."

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Tue, 26 Sep 2017 00:03:00 +1000 http://www.proactiveinvestors.com.au/companies/news/184559/volt-resources-shares-bound-higher-on-graphite-off-take-talks-with-chinese-184559.html
<![CDATA[News - Volt Resources opens Share Purchase Plan for Namangale graphite ]]> http://www.proactiveinvestors.com.au/companies/news/184169/volt-resources-opens-share-purchase-plan-for-namangale-graphite-184169.html Volt Resources Ltd (ASX:VRC) has opened it Share Purchase Plan (SPP) to raise up to $1.5 million, with directors having the right to expand the raising if required.

Volt’s non-executive chairman, Asimwe Kabunga, and non-executive director, Matt Bull, have both agreed to sub-underwrite $300,000 each of the plan in the event of a shortfall.

Patersons is also providing an underwriting.

Shareholders can apply to up to $15,000 worth, with the price determined on a 20% discount to the volume weighted average price.

Graphite from the Namangale project is suitable for a wide array of expandable graphite applications.

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Tue, 19 Sep 2017 10:19:00 +1000 http://www.proactiveinvestors.com.au/companies/news/184169/volt-resources-opens-share-purchase-plan-for-namangale-graphite-184169.html
<![CDATA[News - Volt Resources lifting funds for feasibility study on Namangale graphite project ]]> http://www.proactiveinvestors.com.au/companies/news/183412/volt-resources-lifting-funds-for-feasibility-study-on-namangale-graphite-project-183412.html Volt Resources Ltd (ASX:VRC) has launched a Share Purchase Plan (SPP) to raise up to $1.5 million, with directors having the right to expand the raising if required.

Volt’s non-executive chairman, Asimwe Kabunga, and non-executive director, Matt Bull, have both agreed to sub-underwrite $300,000 each of the plan in the event of a shortfall.

Patersons is also providing an underwriting.

Shareholders can apply to up to $15,000 worth, with the price determined on a 20% discount to the volume weighted average price.

Volt remains focused on its Namangale graphite project in Tanzania.

Graphite from the project is suitable for a wide array of expandable graphite applications.

This enhances the scalability and commercial viability of the entire Namangale deposit as a primary expandable graphite supplier.

Trevor Matthews, chief executive officer, commented:

"It is important that the company continues to advance the Stage 1 development of the Namangale project which provides the platform for the Stage 2 expansion to follow.

"The support of Volt’s board members for the capital raising should be seen as a strong endorsement of the company’s plans and the potential of the Namangale project.

"The plan gives all Volt shareholders an opportunity to participate in this capital raising and contribute to the company and the Namangale project development."

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Tue, 05 Sep 2017 12:06:00 +1000 http://www.proactiveinvestors.com.au/companies/news/183412/volt-resources-lifting-funds-for-feasibility-study-on-namangale-graphite-project-183412.html
<![CDATA[News - Volt Resources to lift cash balance for Tanzanian graphite ]]> http://www.proactiveinvestors.com.au/companies/news/183266/volt-resources-to-lift-cash-balance-for-tanzanian-graphite-183266.html Volt Resources Ltd (ASX:VRC) recently revealed that graphite concentrate from the company's Namangale project is suitable for a wide array of expandable graphite applications.

The company already has off-take agreements in place.

Volt has today been granted a trading halt by the ASX, pending details of a capital raising.

The halt will remain in place until the opening of trade on Tuesday 5th September 2017, or earlier if an announcement is made to the market.

READ NOW: Volt Resources shares higher on expandable graphite results ]]>
Fri, 01 Sep 2017 09:35:00 +1000 http://www.proactiveinvestors.com.au/companies/news/183266/volt-resources-to-lift-cash-balance-for-tanzanian-graphite-183266.html
<![CDATA[News - Volt Resources Ltd's share ride higher on expandable graphite results ]]> http://www.proactiveinvestors.com.au/companies/news/182232/volt-resources-ltd-s-share-ride-higher-on-expandable-graphite-results-182232.html Volt Resources Ltd's (ASX:VRC) shares have traded 12% higher at A$0.028 in morning trade following confirmation that graphite concentrate from the company's Namangale project is suitable for a wide array of expandable graphite applications.

This enhances the scalability and commercial viability of the entire Namangale deposit as a primary expandable graphite supplier.

The results are timely given the recent offtake and cooperation agreements signed by Volt.

Trevor Matthews, chief executive officer, commented: "These results provide Volt’s metallurgists and engineers with a more flexible platform to efficiently optimise the most economic development and operation plans for Stage 1 and Stage 2 production across the entire Namangale deposit."

The tests were done by a German metallurgical laboratory.

Off-take agreements

Volt recently signed its fifth offtake agreement this year filling 100% of proposed Stage 1 capacity from Namangale.

The company signed a non-binding offtake term sheet with Qingdao Tianshengda Graphite for 10,000 tonnes per annum of flake graphite product from Stage 1 production.

This is the fourth agreement that Volt has signed with a Chinese graphite group since management completed a successful product marketing trip in May 2017.

Tanzanian changes

Volt confirms that recent changes to Tanzania’s mining laws have not deterred customer’s confidence in management’s ability to start production at the Namangale project by mid-2018.

Analysis

Today's outcome is very positive for Volt, as it means the mine plan can be optimised to source ore from any part of the project mineral resource to meet customer demand for expandable graphite.

Demand for expandable graphite is increasing significantly, primarily for its non-toxic flame retardant qualities and coupled with the reduction in supply from Chinese mines.

This is creating an increase in graphite prices.

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Thu, 10 Aug 2017 11:26:00 +1000 http://www.proactiveinvestors.com.au/companies/news/182232/volt-resources-ltd-s-share-ride-higher-on-expandable-graphite-results-182232.html
<![CDATA[News - Volt Resources welcomes new chairman to the board ]]> http://www.proactiveinvestors.com.au/companies/news/181954/volt-resources-welcomes-new-chairman-to-the-board-181954.html Volt Resources (ASX:VRC) has appointed Asimwe Kabunga as chairman of the company’s board of directors effective immediately.

Kabunga will replace Stephen Hunt in line with the Volt’s succession planning aimed at preparing the company for the next stage of development at its Namangale graphite project.

Kabunga joined Volt’s board as a non-executive director in April 2017 and notably is the original vendor of the Namangale tenements and also remains the largest single shareholder.

During mid-July, Volt signed its fifth offtake agreement this year filling 100% of proposed Stage 1 capacity at its flagship Namangale graphite project in Tanzania.

This was the fourth agreement that Volt has signed with a Chinese graphite group since management completed a successful product marketing trip in May 2017.

Asimwe Kabunga background

Kabunga is a Tanzanian-born Australia-based entrepreneur with 20 years technical and commercial experience in Tanzania, the US and Australia.

Kabunga has been instrumental in establishing the Tanzania Community of Western Australia Inc, and served as its first President.

He was also a founding member of Rafiki Surgical Missions and Safina Foundation, both NGOs dedicated to helping children in Tanzania.

He is currently non-executive chairman on the board of Lindian Resources Limited (ASX:LIN) and non-executive director of Strandline Resources Limited (ASX:STA).

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Fri, 04 Aug 2017 09:40:00 +1000 http://www.proactiveinvestors.com.au/companies/news/181954/volt-resources-welcomes-new-chairman-to-the-board-181954.html
<![CDATA[News - Volt Resources on track for graphite production in Tanzania ]]> http://www.proactiveinvestors.com.au/companies/news/180934/volt-resources-on-track-for-graphite-production-in-tanzania-180934.html Volt Resources (ASX:VRC) has signed its fifth offtake agreement this year filling 100% of proposed Stage 1 capacity at its flagship Namangale graphite project in Tanzania.

The company signed a non-binding offtake term sheet with Qingdao Tianshengda Graphite for 10,000 tonnes per annum of flake graphite product from Stage 1 production.

This is the fourth agreement that Volt has signed with a Chinese graphite group since management completed a successful product marketing trip in May 2017.

Volt confirms that recent changes to Tanzania’s mining laws have not deterred customer’s confidence in management’s ability to start production at the Namangale project by mid-2018.

Trevor Matthews, CEO, commented: “It is encouraging to see our business as usual approach with prospective customers has delivered our fourth agreement with a Chinese group this year.”

Qingdao off-take details

Qingdao, which is a large processor and distributor of graphite products in China, signed a detailed non-binding offtake term sheet for 10,000 tonnes per annum of flake graphite product from Stage 1 production.

Volt and Qingdao are targeting 30 September 2017 to complete a binding offtake agreement.

Volt now has indicative commitments for a minimum 36,000 tonnes per annum to a maximum 51,000 tonnes per annum of graphite product for Stage 1 production, which is nominally set at 20,000 tonnes per annum.

Notably, the diversity among the prospective clients’ intended uses of Volt’s product includes graphene, expandable and spherical graphite.

Recent loan secured to fast-track Namangale

Volt recently raised $1 million for working capital purposes from institutional and sophisticated investors through a 12-month convertible loan facility.

The loan will act as important interim funding while Volt executes its strategy to fast-track mining operations at its flagship Namangale graphite project in Tanzania.

The terms of the convertible loan funding demonstrates the confidence that these investors have in Volt’s strategy.

During the fourth quarter of 2017, the board expects circa $4.8 million will be received from the exercise of Volt’s listed $0.02 options which mature on 31 December 2017.

Analysis

With the recent changes to Tanzania’s mining legislation unfolding, this deal can be seen as a vote of confidence in Volt’s ability to bring Namangale into production despite the evolving regulatory environment.

Collectively, Volt now has up to 51,000 tonnes per annum in confirmed and indicative commitments for Stage 1 production.

This is another vote of confidence in the Namangale project and shows the increasing demand for our expandable graphite products.

The sales and cooperation agreements are important development milestones while Volt advances discussions with financial institutions and strategic investors to secure development funding for Stage 1 production.

Given the strategic importance of the China market and the success of the last trip, management is currently undertaking a follow up visit with key customers.

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Mon, 17 Jul 2017 10:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/180934/volt-resources-on-track-for-graphite-production-in-tanzania-180934.html
<![CDATA[News - Volt Resources Ltd secures interim funding ]]> http://www.proactiveinvestors.com.au/companies/news/180494/volt-resources-ltd-secures-interim-funding-180494.html Volt Resources Ltd (ASX:VRC) has raised $1 million for working capital purposes from institutional and sophisticated investors through a 12-month convertible loan facility.

Volt’s strategy is to fast-track mining operations at its flagship Namangale graphite project in Tanzania in order to facilitate the transition to producer status and commence generating cash flow.

The terms of the convertible loan funding demonstrates the confidence that these investors have in Volt’s strategy.

Trevor Matthews, CEO, commented: "After considering various short term funding initiatives, the board agreed the optimal solution was the convertible loan facility given the very attractive pricing available.

“The funds raised from the facility will be enough for Volt’s working capital purposes for the rest of the year.”


Funding expected from options

During the fourth quarter of 2017, the board expects circa $4.8 million will be received from the exercise of Volt’s listed $0.02 options which mature on 31 December 2017.

Furthermore, negotiations with Middle East and Chinese counter parties to provide long-term working capital and project development funding for Stage 1 of the Namangale project are planned to conclude well before the end of calendar 2017.

This will support Stage 1 construction commencement in Q4 2017.


Convertible loan details

The key terms of the convertible loan facility are as follows:

- Convertible loan facility for 12 months, with a 10% coupon payable quarterly in arrears in cash or Volt shares (lenders election to receive interest in the form of Volt shares issued at the conversion price);
- Lenders can convert the facility into Volt shares at any time prior to maturity at a conversion price of $0.05 per Volt share;
- Volt can prepay amounts owing under the facility at any time, provided always that Volt will be liable to pay the balance of any interest which would otherwise have become payable if the facility was repaid on maturity;
- If the facility is repaid early by Volt, lenders will have a subscription right to acquire Volt shares at the conversion price at any time prior to the agreed maturity date (up to the maximum number of Volt shares which the lender would have been able to acquire if the lender converted amounts owing under the facility); and
- Senior security over Volt’s assets can be put in place at the lenders’ election.

The key benefits from progressing with this convertible loan facility in its current form are:

- Funds are immediately available for working capital purposes;
- Dilution at less than 2% on a fully diluted basis; and
- Conversion pricing is attractive.

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Fri, 07 Jul 2017 11:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/180494/volt-resources-ltd-secures-interim-funding-180494.html
<![CDATA[News - Volt Resources Ltd to update on Namangale graphite project ]]> http://www.proactiveinvestors.com.au/companies/news/180334/volt-resources-ltd-to-update-on-namangale-graphite-project-180334.html Volt Resources Ltd (ASX:VRC) has been granted a voluntary suspension following an ASX trading halt.

Volt requested the additional time pending an announcement regarding draft changes to mining legislation proposed by the Tanzanian Government.

The company's Namangale graphite project has an estimated a pre-tax net present value of US$1.31 billion based on a 22-year mine life, with an 87% internal rate of return and pay-back period of only 1.4 years.

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Wed, 05 Jul 2017 10:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/180334/volt-resources-ltd-to-update-on-namangale-graphite-project-180334.html
<![CDATA[News - Volt Resources Ltd awaits news from Tanzania ]]> http://www.proactiveinvestors.com.au/companies/news/180185/volt-resources-ltd-awaits-news-from-tanzania-180185.html Volt Resources Ltd (ASX:VRC) is another Australian explorer in Tanzania which has been granted a trading halt by the ASX today.

The companies are awaiting draft changes to mining legislation proposed by the Tanzanian Government.

The halt will remain in place until the opening of trade on Wednesday 5th July 2017, or earlier if an announcement is made to the market.

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Mon, 03 Jul 2017 14:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/180185/volt-resources-ltd-awaits-news-from-tanzania-180185.html
<![CDATA[News - Volt Resources signs graphite offtake term sheet ]]> http://www.proactiveinvestors.com.au/companies/news/179711/volt-resources-signs-graphite-offtake-term-sheet-179711.html Volt Resources (ASX:VRC) has signed a detailed offtake term sheet with Guangxing Electrical Materials (GEM) for 5,000 tonnes per annum of flake graphite concentrate.

The flake graphite concentrate will come from Volt’s planned Stage 1 production at its flagship Namangale graphite project in Tanzania.

Both parties are committed to completing a binding offtake agreement by 30 September 2017.

This is the third agreement that Volt has signed with a China-based group since mid-May, highlighting the success of management’s recent visit to meet prospective graphite customers.

Trevor Matthews, CEO, commented: “The benefits from our recent visit to China continue to flow through with GEM agreeing to take 5,000 tonnes of flake graphite concentrate from mid-2018.”


Agreement details

The detailed offtake term sheet signed between GEM and Volt has the following key terms:

- Both parties agree to complete a binding offtake agreement by 30 September 2017;
- The initial contract term is five years with an option to extend by mutual agreement for a further five years;
- Annual quantity is for 5,000 tonnes of flake graphite concentrate from Stage 1 production commencing from mid-2018;
- Pricing will be set six-monthly based on prevailing rates for expandable and spherical products, flake size distribution and grade; and
- Payment terms, packaging and shipping arrangements included.


Namangale graphite project

Volt has completed a pre feasibly study which projected robust technical and financial viability of the Namangale project.

The project has an estimated a pre-tax net present value (NPV) of US$1.31 billion based on a 22-year mine life, with an 87% internal rate of return and pay-back period of only 1.4 years.

Volt has the largest JORC graphite resource in Tanzania with 461 million tonnes grading 4.9% total graphitic content.

The project has outstanding large flake size distribution and is ideally located near to critical infrastructure.

Sealed roads run through the project area with ready access to the deep-water port of Mtwara located 140 kilometres away.


Analysis

Based on all current and prospective customer agreements, Volt can potentially secure minimum commitments for 26,000 tonnes per annum of flake graphite concentrate by Q4 2017.

This would adequately cover Stage 1 production, which is now targeted at 20,000 tonnes per annum of graphite concentrate and potential downstream products for the battery anode market.

These agreements will also provide considerable comfort to financial institutions currently reviewing the provision of development funding for the Namangale project.

Furthermore, these agreements provide Volt with a strong framework to transition into a producer by mid-2018.

The company board is confident that development funding for Stage 1 of the Namangale project will be secured in the coming months.

 

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Fri, 23 Jun 2017 11:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/179711/volt-resources-signs-graphite-offtake-term-sheet-179711.html
<![CDATA[News - Volt Resources signs agreement with one of China’s largest companies ]]> http://www.proactiveinvestors.com.au/companies/news/179350/volt-resources-signs-agreement-with-one-of-chinas-largest-companies-179350.html Volt Resources (ASX:VRC) has entered into a broad non-binding cooperation agreement with China’s largest building materials group, China National Building Materials General Machinery (CNBMGM).

The agreement sets out a framework for CNBMGM to become integrally involved with the development of Volt’s Namangale graphite project in Tanzania.

Volt now has a clear opportunity to be a producer by mid-2018 and gain direct entry to China’s fast-growing expandable graphite market.

Trevor Mathews, CEO, commented: “Management’s recent trip to China highlighted there is a ready market for Namangale concentrate to make expandable graphite, if the product trials with CNBMGM are successful.

“More pleasing, however, is having a clear three-month timeline in place that could result in project development funding and credit insurance support for the development of Stage 1 of the Namangale project by mid-2018.”


Agreement details

If certain condition precedents are met, CNBMGM can deliver a complete solution to develop the Namangale project Stages 1 and 2.

This potentially includes a 10,000-15,000 tonnes per annum initial off-take agreement from Stage 1 production, project engineering/construction, project finance and credit insurance.

Under the first phase of the agreement, which is planned to be completed within three months, Volt will provide CNBMGM the following:

- As soon as practical, Volt will send up to one tonne of Namangale graphite concentrate to CNBMGM to enable product trial tests to be conducted on its suitability to make expandable graphite for flammable retardant building materials; and
- Open a data room for CNBMGM to access the PFS, Stage 1 feasibility study and other relevant information.

If the product trials are successful, CNBMGM and Volt will commence discussions to enter into an off-take agreement.


Recent trip to China

Volt is following a two-pronged product distribution objective, delivering concentrate suitable for making expandable and spherical graphite.

Management’s recent trip to visit prospective customers in China and South Korea revealed the expandable graphite market is experiencing rapidly growing demand and creating significant opportunities.

During the China visit, feedback from prospective customers in the battery anode sector confirmed a specific requirement for spheroinised graphite, not concentrate.

The main reason is that very few groups, if any, in the battery anode sector in China or elsewhere in the world are backwards integrated to convert concentrate into spheroinised graphite.

Hence, the recent cooperation agreement with Aoyu Graphite Group, which potentially enables Volt to utilise excess capacity to produce up to 20,000 tonnes per annum of spheroinised graphite, provides an excellent platform to directly supply to the battery anode sector from mid-2018 onwards.


Namangale graphite project

Volt has completed a pre feasibly study which projected robust technical and financial viability of the Namangale project.

The project has an estimated a pre-tax net present value (NPV) of US$1.31 billion based on a 22-year mine life, with an 87% internal rate of return and pay-back period of only 1.4 years.

Volt has the largest JORC graphite resource in Tanzania with 461 million tonnes grading 4.9% total graphitic content.


Analysis

This latest cooperation agreement highlights what has been a successful and productive China visit, with now two cooperation agreements with high profile groups being signed.

The agreements now cover expandable and spherical graphite, off-take agreements, project engineering and construction, finance and credit insurance for Stage 1 of the Namangale project.

This provides Volt with a strong framework to transition into a producer by mid-2018.

Discussions have also allowed Volt to gain a clear strategic competitive advantage over east Africa peers to enter the important spheroinised graphite market through its recent discussions with Aoyu.

The company continues to advance the development of its wholly-owned Namangale graphite project, the largest JORC deposit in Tanzania.

The project has outstanding large flake size distribution and is ideally located near to critical infrastructure.

Sealed roads run through the project area with ready access to the deep-water port of Mtwara located 140 kilometres away.

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Fri, 16 Jun 2017 11:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/179350/volt-resources-signs-agreement-with-one-of-chinas-largest-companies-179350.html
<![CDATA[News - Volt Resources shares rise on U.S. graphene off-take contract win ]]> http://www.proactiveinvestors.com.au/companies/news/174246/volt-resources-shares-rise-on-us-graphene-off-take-contract-win-174246.html Volt Resources (ASX:VRC) has signed a binding off-take agreement to supply 5,000 tonnes of flake graphite concentrate to U.S.-based Nano Graphene Inc.

Volt’s shares closed up 8% of Friday at $0.042, following an intra-day peak of $0.046.

Earlier this year, the graphite concentrate from Volt’s Namangale project in Tanzania was found to be highly suitable for producing commercial grade, expandable graphite.

The Namangale project is the largest JORC graphite resource in Tanzania with 461 million tonnes grading 4.9% total graphitic carbon.

Volt’s December 2016 pre-feasibility study estimates a pre-tax net present value of US$1.31 billion for Namangale based on a 22-year mine life, with a pay-back period of only 1.4 years.

The new off-take agreement is a significant breakthrough for Volt given the company’s definitive feasibility study has only recently commenced.

The key contract terms comprise:

- Binding off-take agreement for a minimum 5,000 tonnes over five years, with the flexibility to increase sales volume as Nano Graphene’s global footprint expands;
- Flake graphite concentrate grade of 98% total graphitic carbon with no specified flake size;
- Fixed price for the initial 5-year term of the agreement which is at a premium to Volt’s basket price of US$1,684 in the pre-feasibility study; and
- Targeting graphite concentrate delivery to commence in Q1 2018.

Nano Graphene is expected to commence graphene production in the U.S. later this year.

The graphene produced will be sold to Nano Graphene’s U.S. and European clients across a range of sectors comprising lithium-ion batteries and composites, as well as in numerous hi-tech applications.

This new agreement is expected to enable Volt to move to producer status and commence the generation of cash flow from small scale mining and processing in 2018, much earlier than planned.

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Mon, 06 Mar 2017 08:00:00 +1100 http://www.proactiveinvestors.com.au/companies/news/174246/volt-resources-shares-rise-on-us-graphene-off-take-contract-win-174246.html
<![CDATA[News - Volt Resources confirms valuable graphite concentrate at Namangale ]]> http://www.proactiveinvestors.com.au/companies/news/171906/volt-resources-confirms-valuable-graphite-concentrate-at-namangale-171906.html Volt Resources’ (ASX:VRC) graphite concentrate from the Namangale graphite project in Tanzania has been found to be highly suitable for producing valuable, commercial grade, expandable graphite.

The concentrate achieved high expansion volumes, making it suitable for use in flame retardant foam, graphite foil and other applications.

This is highly encouraging as regulatory changes are proposed in China and Europe for the mandatory use of non-toxic substances in flame retardant building materials.

Volt has the largest JORC graphite resource in Tanzania with 461 million tonnes grading 4.9% total graphitic content.

This test-work paves the way for potential substantial future demand for expandable graphite produced from Volt’s Namangale project.


Test-work details

The test-work was completed at a German laboratory which is a global specialist in graphite testing and analysis.

Having independent test work confirm the suitability of Volt’s graphite product in the flame retardant building materials market is a key differentiating feature from rivals.

The German laboratory test-work continues to demonstrate the quality of Volt’s graphite concentrate, having previously confirmed battery grade results of 99.99% total graphitic content.

Volt’s graphite concentrate product was found to be suitable for a variety of commercial applications, including spherical graphite for the lithium-ion battery sector.

The company is discussing with prospective customers across the globe from a range of end-user industries to facilitate product market diversification.


Namangale graphite project

Last month, the company completed a pre feasibly study which projected robust technical and financial viability of the Namangale project.

The project has an estimated a pre-tax net present value (NPV) of US$1.31 billion based on a 22-year mine life, with an 87% internal rate of return and pay-back period of only 1.4 years.

Last month, Volt’s board endorsed the recommendation to immediately progress Namangale and undertake a definitive feasibility study in 2017, paving the way for finalising off-take agreements and project finance.

The study will also target additional high quality large flake size graphite from Namangale South.


Analysis

This follow-up independent test-work confirms recent initial tests in the U.S. that found Volt’s concentrate to be high quality and able to be used in lithium-ion batteries.

Furthermore, it is encouraging to have independent confirmation that the graphite concentrate is highly suitable for expandable graphite too.

The sales and marketing team will be targeting prospective end-user customers globally across a range graphite end-user markets.

These independent test results will provide Volt with a significant differentiating feature and competitive edge to be able to deliver concentrate that can make high quality spherical and expandable graphite for various downstream applications.

Two of Volt’s board members recently purchased shares on market, showing their confidence in both the company and its high quality project.

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Fri, 20 Jan 2017 09:30:00 +1100 http://www.proactiveinvestors.com.au/companies/news/171906/volt-resources-confirms-valuable-graphite-concentrate-at-namangale-171906.html
<![CDATA[News - Volt Resources to update on Namangale ]]> http://www.proactiveinvestors.com.au/companies/news/170370/volt-resources-to-update-on-namangale-170370.html Namangale is located in Tanzania.

Volt recently appointed the experienced Trevor Matthews as chief executive officer, effective from 1 January 2017.

The halt will remain in place until the opening of trade on Thursday 15th December 2016, or earlier if an announcement is made to the market.

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Tue, 13 Dec 2016 15:30:00 +1100 http://www.proactiveinvestors.com.au/companies/news/170370/volt-resources-to-update-on-namangale-170370.html
<![CDATA[News - Volt Resources Ltd appoints the experienced Trevor Matthews as CEO ]]> http://www.proactiveinvestors.com.au/companies/news/169637/volt-resources-ltd-appoints-the-experienced-trevor-matthews-as-ceo-169637.html Matthews will assume full management responsibility for Volt Resources strategic direction and operations, with his mandate to fast-track the Namangale project into production.

Namangale is located in Tanzania,

Tests by an independent German metallurgical laboratory confirm Namangale graphite flake concentrate produced battery-grade graphite of 99.99% TGC purity.

In addition, tests confirmed concentrate suitable for wide range of applications including expandable graphite, graphite foil, refractory and lubrication products.

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Tue, 29 Nov 2016 09:00:00 +1100 http://www.proactiveinvestors.com.au/companies/news/169637/volt-resources-ltd-appoints-the-experienced-trevor-matthews-as-ceo-169637.html
<![CDATA[News - Volt Resources Ltd tests super-size graphite flake at Tanzania project ]]> http://www.proactiveinvestors.com.au/companies/news/147144/volt-resources-ltd-tests-super-size-graphite-flake-at-tanzania-project-70160.html Volt Resources Ltd (ASX:VRC) has confirmed the highest super jumbo and jumbo graphite flake distribution amongst its East African peers, from a test-work program at the Namangale Project in Tanzania.

The July 2016 results show exceptional flake size distributions with up to 81.3% in the super jumbo, jumbo and large flake size categories compared with 67.7% previously reported in June 2016.

With flake distribution skewed towards the ‘in-demand’ higher flake size categories from the thriving lithium-ion battery sector, Volt is expected to command a higher blended basket price than rivals.

Furthermore, concentrate graphite from Namangale has not been chemically treated to remove impurities - only a simple crushing and flotation process has been used to separate out the graphite.

This potentially delivers a comparative cost advantage over rivals who may have to deploy costly methods to extract impurities that could compromise product quality.

Reviewing the combined test-work from June and July 2016 holistically, the graphite concentrates produced from Namangale returned grades of up to 99.3% total graphitic carbon (TGC) within the +500 micron category.

The Namangale 1 deposit contains an indicated resource of 62.6 million tonnes at 5.1% TGC.

The pre-feasibility study for the project remains on track for completion by Q4 2016.

Volt has already signed non-binding offtake MOUs with major Chinese graphite end-users operating in the lithium-ion battery market, totalling 100,000 tonnes per annum.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Mon, 01 Aug 2016 16:30:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147144/volt-resources-ltd-tests-super-size-graphite-flake-at-tanzania-project-70160.html
<![CDATA[News - Volt Resources Ltd to reveal material agreements ]]> http://www.proactiveinvestors.com.au/companies/news/147143/volt-resources-ltd-to-reveal-material-agreements-69198.html Volt Resources Ltd (ASX:VRC) has been granted a trading halt by the ASX, with its shares placed in pre-open.

Volt requested the halt pending the material signing of MOU by multiple end user companies and a material placement to a strategic institution.

The company recently revealed that the Namangale Pre-Feasibility Study testwork has produced an exceptional graphite concentrate product for the lithium-ion battery market.

The halt will last until the opening of trade on Thursday 16th June 2016, or earlier if an announcement is made to the market.

 

Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.

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Tue, 14 Jun 2016 16:30:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147143/volt-resources-ltd-to-reveal-material-agreements-69198.html
<![CDATA[News - Volt Resources Ltd in ASX trading halt ]]> http://www.proactiveinvestors.com.au/companies/news/147142/volt-resources-ltd-in-asx-trading-halt-68661.html Volt Resources Ltd (ASX:VRC) has been granted a trading halt by the ASX, pending additional details to an announcement on the initial Pre-Feasibility Study (PFS Stage 1) work on its Namangale Graphite Project in Tanzania.

The halt will remain in place until the opening of trade on Thursday 19th May 2016, or earlier if an announcement is made to the market.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 17 May 2016 16:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147142/volt-resources-ltd-in-asx-trading-halt-68661.html
<![CDATA[News - Mozambi Resources logs heavy investor demand for Tanzanian graphite development ]]> http://www.proactiveinvestors.com.au/companies/news/147141/-mozambi-resources-logs-heavy-investor-demand-for-tanzanian-graphite-development--67070.html Tanzanian graphite developer Mozambi Resources (ASX:MOZ) has moved out of a trading halt to raise $4.5 million at $0.033 each reflecting the strong interest in its graphite project.

This included an additional $1.87 million that was accepted in over-subscriptions and the company is funded to now complete a Pre-Feasibility Study for development at Namangale.

Interest was strong from sophisticated investors with Taylor Collison as lead manager and interestingly supported by the vendor of the project as well as from directors and major shareholders.

The Namangale Project in Tanzania has a 179 million tonne resource at 5.1% graphitic carbon but it is the metallurgical results that show a very high proportion of super jumbo (+500μm) and jumbo (+300μm) flake sizes that provides a platform for a development case.

Mineralisation at the three drilled deposits, occurs from surface and bullishly is open in all directions.

Stephen Hunt, previously a non-executive director has been appointed executive chairman to oversee off take negotiations and financing, leveraging his experience with Magnis Resources (ASX:MNS) where he secured finance and off take agreements.

As Hunt put it, "...Mozambi is progressing Namangale towards production...and Mozambi is on the way to providing a key ingredient of clean battery cell technology."

 

Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.

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Wed, 17 Feb 2016 16:00:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147141/-mozambi-resources-logs-heavy-investor-demand-for-tanzanian-graphite-development--67070.html
<![CDATA[News - Mozambi Resources to lift cash position ]]> http://www.proactiveinvestors.com.au/companies/news/147140/mozambi-resources-to-lift-cash-position-67023.html Tanzanian-graphite play Mozambi Resources (ASX:MOZ) is heading to market with a capital raising, and the ASX has granted the company a trading halt to prepare.

The halt will remain in place until the opening of trade on Wednesday 17th February 2016, or earlier if an announcement is made to the market.

 

Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.

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Mon, 15 Feb 2016 15:30:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147140/mozambi-resources-to-lift-cash-position-67023.html
<![CDATA[News - Mozambi Resources readies graphite drilling results ]]> http://www.proactiveinvestors.com.au/companies/news/147139/mozambi-resources-readies-graphite-drilling-results-66473.html Graphite company Mozambi Resources (ASX:MOZ) has requested a trading halt of its shares on the ASX pending an announcement expected by January 11 detailing material drill results and flake size distribution.

The move follows quickly on the confirmation of super jumbo flake mineralisation of up to 1,000 microns in size at the company’s Namangale project in Tanzania.

Mozambi has recently completed a total of 82 reverse circulation holes and nine diamond holes in the area.

Resource modelling is already underway with early indications that the export infrastructure-connected property could host a substantial graphite inventory.


Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.

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Thu, 07 Jan 2016 13:30:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147139/mozambi-resources-readies-graphite-drilling-results-66473.html
<![CDATA[News - Mozambi Resources edges closer to Mozambique graphite asset ]]> http://www.proactiveinvestors.com.au/companies/news/147138/mozambi-resources-edges-closer-to-mozambique-graphite-asset-62389.html Mozambi Resources (ASX:MOZ) has extended the exclusivity period to acquire two prospective graphite licences in Mozambique’s highly-regarded Cabo Delgado region.

The region is one of the hottest graphite exploration areas on the planet, which has seen the values of some companies increase dramatically in recent years.
   
Shares in Syrah Resources (ASX:SYR) have risen from below $0.20 in 2011 to over $4.00 while Triton Minerals (ASX:TON) have jumped nearly 500% since the end of 2013 to the last traded price of $0.385.

This is unsurprising given their respective exploration efforts have resulted in the discovery of world-class graphite deposits that have drawn considerable investing and off-take attention.

Triton’s Nicanda Hill Project is one of the largest known graphite-vanadium deposit in the world with a Resource of 1.46 billion tonnes at 10.7% graphitic carbon and 0.27% V2O5 while Syrah’s Balama Project hosts 1.15Bt at 10.2% graphitic carbon and 0.23% V2O5.

Already, Triton has signed offtake agreements with China’s Yichang Xincheng Graphite and Shenzhen Qianhai Zhongjin Group and formed joint ventures with the former that ensures it is involved in all aspects of the graphite value chain.

All these factors have no doubt played into Mozambi’s decision to extend the term sheet for the acquisition of licences 6140L and 6142L, which are both in close proximity to the giant graphite deposits.

In particular, 6142L is contiguous with Nicanda Hill and 5 kilometres north of Balama.

In addition, recent exploration results 30 kilometres to the north of Licence 6142 by Metals of Africa (ASX:MTA) highlight the prospective nature of the wider Balama- Montepuez region of Mozambique.

Mozambi has now signed a variation of the Term Sheet extending the exclusivity period to 4th November 2015 or the date of execution of formal documentation.


Looking Ahead

Mozambi is currently working with geologists based in Mozambique and Australia and carrying out desktop studies on the tenements under application.

Post granting, it will carry out the following fieldwork:

- Trenching;
- Rock Chip Sampling;
- Mapping;
- Potentially Ground Geophysical Surveys; and
- Drilling Program.

This is aimed at accessing the potential that license area 6142L contains a continuation of the same stratigraphic unit hosting the Balama and Nicanda Hill graphite Resources.

Work at defining targets on license area 6140L will occur concurrently and the company hopes to identify priority targets that will then be drill tested in order to define JORC Resources.


Geology

The underlying geology of the tenements are high grade metamorphic rocks of the Mozambique mobile belt which stretches from Mozambique in the south to the Red Sea in the north marking a continent scale suture.

The belt comprises rocks that have undergone intense deformation, and as a result contains high-grade metamorphic rocks up to granulite level.

Where the initial host rock contained carbon, this is typically converted into graphite at this metamorphic grade during the metamorphic process and there are widespread graphite occurrences throughout the belt.

Several areas within the mobile belt are known to host large tonnage graphite deposits, typically with a relatively high proportion of larger flakes sizes.

The deposits that have been identified to date are primarily in Mozambique and Tanzania to the north.


Analysis

Extending the exclusivity period for acquisition of the two licences will allow Mozambi Resources to deal itself into the hunt for world-class graphite deposits in the Cabo Delgado province, Mozambique.

Recent activity by fellow Australian companies Triton Minerals and Syrah Resources have already resulted in the definition of giant graphite deposits that have placed their respective share prices into overdrive.

This has also resulted in increased investor and offtake interest.

License 6142L offers the opportunity for Mozambi to explore a licence that could contain a continuation of the same stratigraphic unit hosting that occurs at the Balama and Nicanda Hill Resources, both of which have major graphite resources.

Success could lift MOZ’s valuation.



Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Fri, 15 May 2015 10:11:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147138/mozambi-resources-edges-closer-to-mozambique-graphite-asset-62389.html
<![CDATA[News - Mozambi Resources completes issue of options ]]> http://www.proactiveinvestors.com.au/companies/news/147137/mozambi-resources-completes-issue-of-options-61892.html Mozambi Resources (ASX:MOZ) has raised $20,000 through the completed issue of 20 million options to limited invitees determined by the company.

Proceeds will be used to list both the new options and the 133,499,999 existing options in the same class.

The company will now seek quotation of these options.

The options are exercisable at $0.02 expiring 31st December 2017.

Earlier this month, the company unveiled plans to carry out initial exploration work on two highly prospective graphite licences in Mozambique that it has the option to acquire.

The current owner of licences 6140L and 6142L had advised that all conditions precedent to granting of these licences have now been met.

These licences are in close proximity to existing world class graphite and vanadium deposits held by Triton Minerals (ASX:TON) and Syrah Resources (ASX:SYR).

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Wed, 22 Apr 2015 11:00:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147137/mozambi-resources-completes-issue-of-options-61892.html
<![CDATA[News - Mozambi Resources raising funds to list options ]]> http://www.proactiveinvestors.com.au/companies/news/147136/mozambi-resources-raising-funds-to-list-options-61581.html Mozambi Resources (ASX:MOZ) is raising up to $20,000 through an offer of 20 million options to limited invitees determined by the company.

Proceeds will be used to list both the new options and the 133,499,999 existing options in the same class.

The options are exercisable at $0.02 expiring 31st December 2017.

Earlier this week, the company unveiled plans to carry out initial exploration work on two highly prospective graphite licences in Mozambique that it has the option to acquire.

The current owner of licences 6140L and 6142L had advised that all conditions precedent to granting of these licences have now been met.

These licences are in close proximity to existing world class graphite and vanadium deposits held by Triton Minerals (ASX:TON) and Syrah Resources (ASX:SYR).
   
License 6142L is contiguous with Triton’s Nicanda Hill Project (1.46 billion tonnes at 10.7% graphitic carbon and 0.27% V2O5) and 5 kilometres north of Syrah’s Balama Project (1.15Bt at 10.2% graphitic carbon and 0.23 % V2O5).

In addition, recent exploration results 30 kilometres to the north of Licence 6142 by Metals of Africa (ASX:MTA) highlight the prospective nature of the wider Balama- Montepuez region of Mozambique.

Post granting of the licences, Mozambi will carry out the following fieldwork:

- Trenching;
- Rock Chip Sampling;
- Mapping;
- Potentially Ground Geophysical Surveys; and
- Drilling Program.

This fieldwork will be aimed at accessing the potential that license area 6142L contains a continuation of the same stratigraphic unit hosting the Balama and Nicanda Hill graphite Resources.

Work at defining targets on license area 6140L will occur concurrently and the company hopes to identify priority targets that will then be drill tested in order to define JORC Resources.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Thu, 02 Apr 2015 12:00:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147136/mozambi-resources-raising-funds-to-list-options-61581.html
<![CDATA[News - Mozambi Resources closes in on Mozambique graphite licences ]]> http://www.proactiveinvestors.com.au/companies/news/147135/mozambi-resources-closes-in-on-mozambique-graphite-licences-61530.html Mozambi Resources (ASX:MOZ) is preparing to carry out initial exploration work on two highly prospective graphite licences in Mozambique that it has the option to acquire.

It has been advised by the current owner of 6140L and 6142L that all conditions precedent to granting of these licences have now been met.

These licences are in close proximity to existing world class graphite and vanadium deposits held by Triton Minerals (ASX:TON) and Syrah Resources (ASX:SYR).
   
License 6142L is contiguous with Triton’s Nicanda Hill Project (1.46 billion tonnes at 10.7% graphitic carbon and 0.27% V2O5) and 5 kilometres north of Syrah’s Balama Project (1.15Bt at 10.2% graphitic carbon and 0.23 % V2O5).

In addition, recent exploration results 30 kilometres to the north of Licence 6142 by Metals of Africa (ASX:MTA) highlight the prospective nature of the wider Balama- Montepuez region of Mozambique.


Next Steps

Mozambi are currently working with geologists based in Mozambique and Australia and carrying out desktop studies on the tenements under application.

Post granting of the licences, Mozambi will carry out the following fieldwork:

- Trenching;
- Rock Chip Sampling;
- Mapping;
- Potentially Ground Geophysical Surveys; and
- Drilling Program.

This fieldwork will be aimed at accessing the potential that license area 6142L contains a continuation of the same stratigraphic unit hosting the Balama and Nicanda Hill graphite Resources.

Work at defining targets on license area 6140L will occur concurrently and the company hopes to identify priority targets that will then be drill tested in order to define JORC Resources.


Graphite Licences

The licence applications are both located in close proximity to the Triton’s Nicanda Hill deposit (1.457 billion tonnes at 10.7% graphitic carbon and 0.27% V2O5) and Syrah’s Balama deposit (1.15Bt at 10.2% graphitic carbon and 0.23% V2O5 in the Cabo Delgado region.

License 6142L is contiguous with Nicanda Hill and about 5 kilometres north of Balama while License 6140L is located in a largely underexplored area which may hold a lot of potential.

The underlying geology of the tenements are high grade metamorphic rocks of the Mozambique mobile belt which stretches from Mozambique in the south to the red sea in the north marking a continent scale suture.

The belt comprises rocks that have undergone intense deformation, and as a result contains high- grade metamorphic rocks up to granulite level.

Where the initial host rock contained carbon, this is typically converted into graphite at this metamorphic grade during the metamorphic process and there are widespread graphite occurrences throughout the belt.

Several areas within the mobile belt are known to host large tonnage graphite deposits, typically with a relatively high proportion of larger flakes sizes. The deposits that have been identified to date are primarily in Mozambique and Tanzania to the north.


Analysis

Mozambi Resources continues to step closer towards securing the 6140L and 6142L graphite licences in Mozambique.

All conditions precedent to granting of these licences have now been met and the company is preparing to carry out initial exploration work.

In particular, License 6142L offers the opportunity for Mozambi to explore a licence that could contain a continuation of the same stratigraphic unit hosting that occurs at the Balama and Nicanda Hill Resources, both of which have major graphite resources.

This has significant potential given that Triton has noted that graphite concentrate from its Mozambique assets are not only suitable for use in a diverse range of graphite products, it is also capable of being expanded up to 1,000 times.



Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 31 Mar 2015 10:38:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147135/mozambi-resources-closes-in-on-mozambique-graphite-licences-61530.html
<![CDATA[News - Mozambi Resources lands Mozambique graphite licences ]]> http://www.proactiveinvestors.com.au/companies/news/147134/mozambi-resources-lands-mozambique-graphite-licences-60603.html Mozambi Resources (ASX:MOZ) is the latest Australian company to take up graphite tenements in the highly prospective Cabo Delgado Province of Mozambique.

The company has signed an option to acquire two licence applications, one of which is contiguous with Triton Mineral’s (ASX:TON) Nicanda Hill Project and 5 kilometres north of Syrah Resource’s (ASX:SYR) Balama Project.

Both licences are currently under application with the Mozambique Mines Ministry with their grant expected in the near future.

“We are very excited about the potential this area holds in an emerging basin for graphite and vanadium,” executive director Alan Armstrong said.

“The board is extremely pleased with the quick turnaround time we have seen from the start of negotiations through to this point. The smooth way in which we have been able to conduct this transaction is testament to the emerging mining industry in Mozambique.”


Graphite Licences

The licence applications are both located in close proximity to the Triton’s Nicanda Hill deposit (1.457 billion tonnes at 10.7% graphitic carbon and 0.27% V2O5) and Syrah’s Balama deposit (1.15Bt at 10.2% graphitic carbon and 0.23% V2O5.

License 6142L is contiguous with Nicanda Hill and about 5 kilometres north of Balama while License 6140L is located in a largely underexplored area which may hold a lot of potential.

Under the agreement, Mozambi Resources will pay US$50,000 on acquiring the option and a further US$50,000 and 15 million shares on execution of the sale agreement option.

Further payments are:

- 15 million shares on reaching a JORC compliant resource of 300 million tonnes at more than 5% total graphitic carbon;
- 15 million shares and US$250,000 on reaching a JORC compliant resource of 600 million tonnes at more than 5% total graphitic carbon;

An ongoing Net Smelter Royalty of 3% has also been agreed on all minerals.

The underlying geology of the tenements are high grade metamorphic rocks of the Mozambique mobile belt which stretches from Mozambique in the south to the red sea in the north marking a continent scale suture.

The belt comprises rocks that have undergone intense deformation, and as a result contains high- grade metamorphic rocks up to granulite level.

Where the initial host rock contained carbon, this is typically converted into graphite at this metamorphic grade during the metamorphic process and there are widespread graphite occurrences throughout the belt.

Several areas within the mobile belt are known to host large tonnage graphite deposits, typically with a relatively high proportion of larger flakes sizes. The deposits that have been identified to date are primarily in Mozambique and Tanzania to the north.


Next steps

There has been limited fieldwork conducted on the tenements acquired to date.

Mozambi Resources plans to begin fieldwork immediately after the two licenses are granted and is optimistic about being able to begin fieldwork as early as late February or early March.

This fieldwork will include a program of:

- Trenching;
- Rock chip sampling;
- Mapping; and
- Potentially ground geophysical surveys.

This fieldwork will be aimed at confirming the theory that license area 6142L contains a continuation of the same stratigraphic unit hosting that occurs at the Balama and Nicanda Hill Resources.

Work at defining targets on license area 6140L will occur concurrently and the company hopes to identify priority targets that will then be drill tested in order to define JORC compliant mineral resources.


Analysis

Mozambi Resources move into graphite in Mozambique is a potential game changer given the exploration success enjoyed by fellow Australian companies in defining graphite resources and exploration potential, respectively.

It provides an opportunity to explore a licence that could contain a continuation of the same stratigraphic unit hosting that occurs at the Balama and Nicanda Hill Resources, both of which have major graphite resources.

While it is early days and work to be done, there is potential news flow and price catalysts ahead with fieldwork starting as early as late February or early March and an exploration program beyond that.

Given its tiny market cap, this is a re-setting of Mozambi with a fresh approach and is now a strategic graphite "play".



Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 10 Feb 2015 09:55:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147134/mozambi-resources-lands-mozambique-graphite-licences-60603.html
<![CDATA[News - Mozambi Resources to reveal material transaction ]]> http://www.proactiveinvestors.com.au/companies/news/147133/mozambi-resources-to-reveal-material-transaction-60544.html Mozambi Resources (ASX:MOZ) has been granted an ASX trading halt in relation to a material transaction.

The halt will last until the earlier of the announcement being made or the commencement of trade on Tuesday, 10th February 2015.

Mozambi has been evaluating potential investment opportunities both within Australia and overseas.

In the December Quarter 2014, it did not conduct any on ground exploration work at its Bowen River project in Queensland though it worked together with consultants to identify a potential reduced-scale phase 1 drilling program which could be conducted on existing road reserve areas.



Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Mon, 09 Feb 2015 12:30:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147133/mozambi-resources-to-reveal-material-transaction-60544.html
<![CDATA[News - Mozambi Coal heads to market ]]> http://www.proactiveinvestors.com.au/companies/news/147132/mozambi-coal-heads-to-market-59592.html Mozambi Coal (ASX:MOZ) has been granted a trading halt by the Australian Stock Exchange, pending details of a capital raising.

Mozambi's shares have been placed in pre-open.

The halt will remain in place until the opening of trade on Wednesday 17th December 2014, or earlier if an announcement is made to the market.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Mon, 15 Dec 2014 12:00:00 +1100 http://www.proactiveinvestors.com.au/companies/news/147132/mozambi-coal-heads-to-market-59592.html
<![CDATA[News - Mozambi Coal in alliance with Moultrie Group, cornerstone investor ]]> http://www.proactiveinvestors.com.au/companies/news/147131/mozambi-coal-in-alliance-with-moultrie-group-cornerstone-investor-54191.html Mozambi Coal's (ASX: MOZ) shares should trade firmer after placing 10 million shares to Moultrie Group, a service provider to the exploration, mining and infrastructure sectors based in Queensland.

Moultrie will also oversee an initial 7-hole drilling program at the company’s Bowen River project in the Bowen Basin, acquired from Rio Tinto (ASX:RIO).

Moultrie is the leading mining services group in Queensland and provides services to major and small cap resources companies operating in Queensland, New South Wales and through-out Australia.

The placement, which is subject to shareholder approval, is on the same terms as the recently arranged placement to sophisticated investors at $0.01.

This raises an additional $100,000, and Moultrie Group will also receive 5 million free attaching $0.02 options expiring 31 December 2017.

Funds raised from the placement will be used for priority coal exploration activities in the Bowen Basin.


Bowen River project

The area covered by EPC 1768 was previously drilled by Xstrata prior to Rio Tinto acquiring the project looks especially prospective.

All drill holes are reported as having intersected coal, which is encouraging. Previous drilling was sparse and coal seams intersected still have not yet been correlated.

Mozambi has started to compile and database all historical drilling, local field mapping, photogeological studies, and interpretation of airborne geophysics available.

Exploration target

Mozambi is targeting up to three deposits ranging in size from 20 million and 50 million tonnes of coal that are shallow enough to open cut in multiple benches.

EPC 1768 in the Bowen Basin contains outcrops of the Rangal, Moranbah and Fort Cooper coal measures and is close to existing rail infrastructure. It borders Xstrata Coal's granted tenement.

The Rangal and Moranbah are mined extensively within the Basin for coking coal, PCI coal and to a lesser extent, thermal coal.

Adjacent EPC title holders include Aquila Coal, Bowen Central Coal, Dyart Coal Mine Management and Xstrata Coal.

It is also north of the Hail Creek mine owned and operated by Rio Tinto and east of Xstrata’s Newlands mine.

Analysis

Mozambi Coal has an Exploration Target of between 70 million and 140 million tonnes of metallurgical coal for EPC 1768, one of two coal licences it acquired from Rio Tinto.

That previous drilling by Xstrata prior to Rio Tinto acquiring the project - intersected coal in all holes is an obvious pointer to prospectivity and upside.

Based on the coal exploration target and drilling catalysts ahead we estimate value accretion to $0.021-$0.028 for Mozambi Coal within 6-9 months.  

Gaining the backing of Jason Moutrie, one of the leading coal geologists in Australia that provides specialist mining services Australia-wide through the Moultrie Group, adds another leg to the upside for Mozambi.

This should lead to an initial resource being defined.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

 

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Tue, 08 Apr 2014 10:56:00 +1000 http://www.proactiveinvestors.com.au/companies/news/147131/mozambi-coal-in-alliance-with-moultrie-group-cornerstone-investor-54191.html