Renascor Resources (ASX:RNU) receives key approval for Siviour mine and concentrator

• Renascor Resources (RNU) receives a key approval for its proposed Siviour mine and concentrator in South Australia
• The South Australian Department of Energy and Mining has permitted the company to process up to 1.65 million tonnes of graphite concentrate per annum
• Renascor says this approval brings it another step closer to producing Australian-made purified spherical graphite for the lithium-ion battery industry
• The company will progress offtake and finance discussions ahead of the construction and operation of its proposed facility within the Siviour battery anode material project
• RNU shares are down 3.13 per cent to trade at 31 cents at 11:48 am AEDT

Renascor Resources (RNU) has received a key approval from the South Australian Department of Energy and Mining for its proposed Siviour mine and concentrator.

The graphite developer’s program for environment protection and rehabilitation (PEPR) has been approved, permitting it to process up to 1.65 million tonnes of graphite concentrate per annum. Ultimately, this would allow Renascor to produce up to 150,000 tonnes of graphite concentrates per year.

This milestone marks the second and final approval that Renascor needed before mining and processing operations could begin.

“Obtaining PEPR approval brings Renascor another key step closer to becoming a producer of 100 per cent Australian-made purified spherical graphite (PSG),” Managing Director David Christensen said.

“With this important regulatory milestone now achieved, Renascor is well poised to rapidly advance through the final development stages, into construction and operation of an important new supply line for the lithium-ion battery industry.”

The proposed Siviour mine and concentrator is the upstream component of Renascor’s vertically-integrated Siviour BAM project.

The South Australian operation comprises the Siviour graphite deposit, the mine and concentrator, and the BAM production facility. The BAM facility is where the company will produce PSG for lithium-ion battery anodes using the graphite concentrate from the Siviour mining and concentrator.

Renascor is now conducting an optimised BAM study to utilise the maximum processing capacity approved in the PEPR, as well as undertaking resource expansion drilling.

The company is also progressing offtake negotiations and financing discussions with the Australian Government, which previously committed to provide a $185 million loan facility to help fund the project.

RNU shares were down 3.13 per cent to trade at 31 cents at 11:48 am AEDT.