Developing JV On Plant To Support EV Markets
BlackEarth Minerals NL (ASX: BEM) has signed a Collaborative Memorandum of Understanding (MOU) with leading US-based downstream graphite processor Urbix, Inc.
Under the terms of the MOU, BEM will, initially, supply its high-grade graphite concentrate to Urbix’s downstream processing facility in the USA when Urbix’ facility is completed.
BEM will also source high grade product and provide this to Urbix as part of the terms of its MOU.
Following the successful completion of the Urbix plant in the USA, BEM and Urbix propose a Joint Venture plant that includes the potential development of a facility in Madagascar or Western Australia that will produce a substantial supply of purified graphite that will be available for the growing battery and alternative energy (EV) markets.
BEM Executives have commenced the process of site selection and assessing the most efficient and cost effective location for the proposed JV plant.
Urbix’s advanced technology includes environmentally friendly purification methods that are not reliant on unsustainable hydrofluoric acid treatments.
The company holds significant intellectual property across a wide range of graphite applications including proprietary Li-ion battery cells, electrolyte, graphene products and energy storage materials
Black Minerals Managing Director, Tom Revy, said his company’s executive team are confident there will be very strong global demand for the production of purified and value-added graphite and are developing global supply channels with several strategic partners.
“The Board are delighted to sign off on this MOU with Urbix and we are actively working toward developing an operational JV in the short term,” Mr Revy said.
“Clearly there is significant and growing demand for value added graphite projects for electric vehicles and many other applications, and we believe this JV will allow us to enter a growing market, with a world class product, at an exciting time of change of world energy and power demands.
“We strongly believe that the technical expertise of the Urbix team combined with our executive team’s experience in graphite production operations and developing supply arrangements world-wide, positions us well for an exciting future for BEM shareholders.”
Spheronized graphite (SPG) is typically produced from graphite concentrate and following a process of purification, is coated, further treated and developed in to Purified SPG.
The final coated, purified SPG is then packed into the shape of the anode required for Lithium-ion batteries (LIBs).
Urbix Executive Chairman, Nico Cuevas, said spherical graphite is a crucial ingredient to the efficient operation of LIBs.
“We‘re pleased to initiate this MOU with Tom and David and the team at BlackEarth Minerals,” Mr Cuevas said.
“They’re experienced and professional and understand the industry thoroughly. They appreciate the demand for our product, are cognizant of new energy challenges and appreciate our environmentally friendly production methods.
“Developing a joint venture that sees BlackEarth supply our US plant is a first step toward our companies potentially developing a plant in Madagascar or Australia. We see this as an important and exciting opportunity for Urbix and we look forward to growing our businesses together.”
