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.
“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.
