- Mineral Commodities (MRC) has entered into an exclusive non-binding memorandum of understanding (MOU) with Superior Graphite
- The companies will work together to form a 50:50 joint venture
- This venture will use Superior’s proprietary electro-thermal purification technology to purify MRC’s natural flake graphite at Superior’s existing purification facility in Sundsvall, Sweden
- The aim is to supply up to 20,000 tonnes per annum of sustainable graphite anode material to battery manufacturers in Europe, Scandinavia, the U.K. and Australia
- Notably, the Swedish facility offers benefits including a port-side location and experienced staff
- The arrangement will provide MRC with a faster route to vertical integration, greater margin capture and reduced technology risk and capex
- MRC is due to commence a period of due diligence immediately
- Mineral Commodities shares are up 8.06 per cent, trading at 33.5 cents each
Mineral Commodities (MRC) has entered into an exclusive non-binding memorandum of understanding (MOU) with Superior Graphite.
Through the MOU, the companies will work together to form a joint venture in which each partner will hold a fifty per cent stake.
The venture will use Superior’s proprietary electro-thermal purification technology to purify MRC’s natural flake graphite at its existing purification facility in Sundsvall, Sweden.
The arrangement is slated to provide MRC with a faster route to vertical integration, greater margin capture, reduced technology risk and capex.
Together, the companies will aim to produce, market and supply up to 20,000 tonnes per annum of sustainable graphite anode material to battery manufacturers in Europe, Scandinavia, the U.K. and Australia.
Notably, the Swedish operation offers several features that will be beneficial for production including a convenient port-side location, key infrastructure and access to low-cost hydro-nuclear renewable energy.
Furthermore, the Sunsdvall facility will be staffed and managed by personnel with decades of experience in advanced carbon manufacturing using Superior’s technology.
MRC Chairman David Baker said the company is privileged to partner with Superior.
“The joint venture would provide MRC with a faster route to vertical integration for greater margin capture, reduced technology risk and capex while maintaining our commitment to produce the most sustainable graphite anode material possible,” he said.
Superior Chairman and CEO Edward Carney also commented on the agreement.
“We are excited to partner with MRC to leverage our leading intellectual property and existing Sundsvall operations synergistically into the European battery anode market at this crucial time in demand for clean energy materials,” Edward added.
MRC is due to commence a period of due diligence on the Sundsvall facility immediately.
Mineral Commodities shares are up 8.06 per cent, trading at 33.5 cents at 3:13 pm AEST.