NextSource Materials Inc. has completed its first commercial shipments of SuperFlake graphite concentrate from its Molo Graphite Mine in southern Madagascar.
The Molo mine is owned by NextSource Materials Inc., a Toronto-based battery materials developer, which obtained a 40-year mining license from the Madagascar government in 2019.
This first commercial shipment positions NextSource as a key player in the global supply chain for graphite, a crucial material for electric vehicle (EV) batteries, electronics, and fire-resistant products. The company has secured long term offtakes with reputable partners including a prominent Japanese trader that supplies Toyota and Tesla.
Full container loads of SuperFlake® graphite, characterized by high carbon purity and coarse flake size, were exported from Madagascar to clients in Germany and the United States under existing offtake agreements.
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“This is an important step in NextSource’s development as a supplier of critical materials to global markets and a contributor to economic development in Madagascar,” said Craig Scherba, CEO of NextSource.
The Molo mine began production last year and operates at a current annual capacity of 17,000 tonnes. Known for producing graphite with up to 98% carbon purity, the SuperFlake® product can be further upgraded to 99.97% battery-grade purity.
Given the rapidly growing EV market, which relies heavily on graphite for lithium-ion batteries, NextSource’s graphite production is expected to see robust demand. In response, the company plans a Phase 2 expansion aimed at increasing output to 150,000 tonnes per annum, with a feasibility study set for completion in November 2023.
As part of its strategy to become a vertically integrated supplier, NextSource is also developing Battery Anode Facilities (BAFs) capable of producing coated, spheronized, and purified graphite (CSPG) for direct delivery to EV and battery customers. Construction of a BAF in Mauritius is expected to conclude by the end of 2024.
NextSource’s Molo project highlights Madagascar’s potential as a significant player in the battery materials market, bringing economic development to the region while advancing the global shift towards clean energy.
