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Renascor's Siviour BAM Project Confirmed as Low-Cost, High-Value Supplier of 100% Australian-Made Graphite for Lithium-Ion Battery Anodes — ASX:RNU| ASX Mining News & Discussion
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Lykeshares
2y
Official
$RNU
Renascor's Siviour BAM Project Confirmed as Low-Cost, High-Value Supplier of 100% Australian-Made Graphite for Lithium-Ion Battery Anodes
Renascor Resources (ASX: RNU) has released the results of its Optimised Battery Anode Material (BAM) Study, confirming the economic viability of the company's vertically integrated graphite mine and downstream Purified Spherical Graphite (PSG) facility located in South Australia (the BAM Project).
Robust Economics and World-Class, Low-OPEX Project
The study reveals a post-tax unleveraged NPV10 of A$1.5 billion, post-tax unleveraged IRR of 26%, and an average annual EBITDA of A$363 million. Renascor's BAM Project delivers globally competitive estimated PSG gross operating cost of US$1,782 per tonne over the first 10 years and US$1,846 per tonne over the 40-year mine life, including Graphite Concentrate operating cost of US$405 per tonne over the first 10 years and US$472 per tonne over the LOM.
Phased Development Strategy and Funding Sources
Renascor's phased development plan commences with the production of Graphite Concentrate, before shifting to PSG, and is designed to align with graphite market demand, reduce execution risk, and
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secure investment partners. The estimated capital requirement for the initial upstream operation is A$214.5 million, which is expected to be funded via Renascor's existing cash balance (A$129 million as at 30 June 2023) and debt facilities.
The Australian Government has conditionally approved a loan facility of A$185 million for the development of the BAM Project, and Renascor is also progressing discussions with Export Finance Australia (EFA), the Clean Energy Finance Corporation (CEFC), and commercial lenders.
Alignment with Offtakers and Next Steps
Renascor's phased production of Graphite Concentrates and PSG aligns with positive feedback from anode manufacturers seeking to diversify the supply of graphite with secure supply from low-risk mining jurisdictions. The company has entered into non-binding strategic cooperation and offtake agreements with potential offtake partners such as POSCO and Mitsubishi Chemical. Renascor's next immediate steps include securing binding offtake agreements, concluding lender due diligence, and commencing early contractor involvement.
Renascor's BAM Project confirms its position as a low-cost, high-value supplier of Australian-made graphite for lithium-ion battery anodes, offering robust economic viability and a world-class, low-OPEX project. The study provides a strong foundation for the company's continued progress towards commercialization.
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Lykeshares
133d
Official
Berkshire is hoarding so. much. cash.
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Lykeshares
133d
Official
Intel’s been lagging behind for years, while AMD has pulled far ahead in both consumer and professional-grade chips, it’s really not a close race anymore.
There’s this idea floating around that throwing enough cash at Intel will suddenly turn them into the next TSMC. But semiconductor manufacturing isn’t something you can
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rush, it’s a complex, slow-moving process that takes years of precision and experience.
Intel could recover some ground eventually, but framing them as the savior of American chipmaking feels more like a political talking point than a practical reality.
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Lykeshares
164d
Official
Buffet indicator is showing some wild times ahead perhaps, combine that with Berkshires record high cash hoard of 30%... chart via barchart.com / Longtermtrends
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Lykeshares
1y
Official
Looks like we're going through something, but who would have thought with all these tarrifs, inflation and trade wars going on
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Lykeshares
1y
Official
Where does this end up long term with small stocks suffering white giant caps are taking all the coin?
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Lykeshares
1y
Official
🔺 Student Loan Delinquencies Hit Record 12.9%...
The spike in red reflects financial strain returning fast. Credit card delinquencies are rising too, hinting that lower-income consumers might be nearing a breaking point. What's going on...
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Lykeshares
1y
Official
$ASN
Is Anson Resources’ US$330M Financing Deal the Key to Unlocking Utah’s Lithium Potential?
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