Evolution Energy Minerals (ASX: EV1, FSE: P77) recently announces that it has awarded Front End Engineering Design (“FEED”) contract for the processing plant at the Chilalo Graphite Project in southeast Tanzania.
The company has selected CPC Engineering the FEED contract for the processing plant and associated non-processing infrastructure for the project.
The scope of the FEED includes the evaluation of opportunities to improve plant design and, optimize and update estimated capital expenditure.
Evolution Energy Minerals Executive Director, Michael Bourguignon, commented: “The commencement of the FEED study is a significant milestone towards the realization of the Chilalo Graphite Project. We are pleased to be partnering with CPC, a firm I have previously executed projects with. We remain firmly focused on bringing Chilalo into production. With a binding offtake agreement for our high-value coarse flake graphite in place and continued engagement with potential financiers, we continue to target a final investment decision towards the end of this year. The appointment of CPC and commencement of the FEED is central to delivering on that objective.”
The FEED is expected to commence immediately and is targeted for completion by September 2022.
Chilalo Graphite Mine Project
The Chilalo Graphite Project is located in southeast Tanzania, within the Mozambique belt, which is well known for hosting some of the world’s highest grade and coarse flake graphite deposits.
The project hosts a high-grade mineral resource of 20.1Mt at 9.9% total graphitic carbon (TGC) for 1,991 Kt of contained graphite, as shown in the table below.
As of 2019, Tanzania’s estimated graphite reserves stand at 18 million tonnes ranking 5th in the world after Turkey (90 million tonnes), China (73 million tonnes), Brazil (72 million tonnes), and Mozambique (25 million tonnes).
Tanzania’s graphite reserves are being explored and developed by a number of Australia-based graphite developers. Production stages have not been reached yet.