EcoGraf Signs Preliminary Offtake Agreement With German Graphite Trader for Epanko Project

MT Newswires Live

Aug 12

EcoGraf (ASX:EGR) executed a binding term sheet constituting a preliminary offtake agreement under German law with a German graphite trader for the sale of natural flake graphite products from its Epanko graphite project in Tanzania, according to a Wednesday Australian bourse filing.

The company said the agreement covers the purchase of 20,000 tonnes per year of natural flake graphite product from the commencement of production at Epanko, doubling to 40,000 tonnes per year after the initial five years, over a 10-year term.

Pricing is based on market reference prices, supported by a floor price designed to provide downside protection and ensure the long-term commercial viability of Epanko, with the increased contracted volumes providing support for future staged expansions of the project beyond its initial 73,000 tonnes per year production capacity, the filing added.

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