THE BOURSE WHISPERER: Renascor Resources (ASX: RNU) has received approval from the South Australia Government’s Department for Energy and Mining (DEM) to extract a 60 tonne bulk sample from the company’s 100 per cent-owned Siviour graphite project on Eyre Peninsula.
Renascor Resources said the ore extracted from the bulk sample will be used in a pilot plant production trial in China and will provide large-scale marketing samples to permit potential end-users and strategic partners to conduct advanced testing and qualification.
“Since the completion of the Siviour Definitive Feasibility Study last month, we have received positive feedback from potential off-take and strategic partners who are seeking a secure, long-term supply of graphite to cover projected shortages in graphite supply as lithium-ion battery anode demand for graphite continues to grow,” Renascor Resources managing director David Christensen said in the company’s announcement to the Australian Securities Exchange.
“With this approval granted, we will now be able to supplement previously provided samples of Siviour graphite with large-scale quantities as we seek binding offtake agreements to permit us to finance the construction of the mine and processing plant at Siviour.”
Renascor submitted a Program for Environment Protection and Rehabilitation (PEPR) to the DEM earlier this year to extract a 60 tonne bulk sample from Siviour, which has now been approved application permitting Renascor to commence collection of the bulk sample.
Renascor previously conducted pilot testing on an 18 tonnes sample of Siviour ore to confirm grade, recovery and other flowsheet parameters used in the Siviour Definitive Feasibility Study.
Graphite concentrates produced from that trial were used for initial customer testing, as well as downstream spherical graphite testing.
The company indicated the graphite concentrates to be produced from this latest bulk sample and processing program will permit the production of large-scale marketing samples that will supplement the previously provided smaller-scale marketing samples.
This will permit potential end-users to undertake more advanced testing and qualification of Siviour graphite.