BlackEarth in the previous year signed a memorandum of understanding (MoU) with India’s Metachem Manufacturing Company to start plant construction and the production of expandable graphite. Under the MoU, the two companies will invest in a new processing facility that will be responsible to meet demand from Europe-based groups, with the aim of starting production within nine to ten months.
The $3.5-million plant is expected to produce an initial 2 000 t/y of expandable graphite increasing to 4 000 t/y, with plans to also develop other
plants in Europe and other strategic locations.
4 000 t/y, with plans to also develop other plants in Europe and other strategic locations.
BlackEarth MD Tom Revy said on that the agreement with Technografit provided an enormous boost to the joint venture with Metachem, and the development of the Indian plant, completing the supply chain which would underpin operations.
“The agreement guarantees our Indian operations a supply of world-class concentrate to feed our operations for the next few years, prior to supplying product from our own operations at Maniry, in Madagascar.
“We can now move forward quickly knowing that we not only have a product offtake agreement in place with Grafitberbau to sell the expandable graphite we produce, [but that] this agreement also provides us with immediate access to world-class concentrate to ensure we are able to produce and sell quality high-value product in the short term,” said Revy.
He noted that the agreement also underpinned BlackEarth’s proposed plant development in Madagascar, as concentrate from this development would be provided to the downstream operations with Metachem, as soon as it was available.
