Renascor Resources has signed an agreement with leading Japanese-based company Hanwa for the supply of Purified Spherical Graphite (PSG) from its planned Battery Anode Material operation in South Australia.
The offtake agreement will see Renascor ship up to 10,000tpa of PSG over a period of up to ten years, which amounts to approximately one-third of the company’s stage 1 PSG production capacity of 28,000tpa.
Renascor Managing Director David Christensen said the Memorandum of Understanding with one of the largest traders of battery chemicals in the Asian region marked ‘another significant step’ toward Renascor constructing, in Australia, the first integrated, in-country mine and PSG operation outside of China.
“We are particularly pleased to be working with Hanwa, a leading Japanese-based global trading company, providing access to the Japanese anode market, which is the largest market for PSG outside of China,” he added.
Renascor, which recently commenced negotiations with the CEFC to secure financing for its vertically integrated Siviour battery anode material project in SA, is concurrently working to secure additional PSG offtake agreements and undertaking PSG validation with other anode and battery companies.
“Renascor has recently received a significant volume of inbound enquiries from leading anode and battery companies, and our current activities include PSG validation tests, responding to due diligence enquiries and negotiating potential offtake terms,” the company said in a statement.
“Customer product testing of Siviour PSG is ongoing with a number of leading battery anode material customers.”