8th Mar 2024 14:05
(Alliance News) - Tirupati Graphite PLC on Friday celebrated a recent report on global graphite products from market intelligence platform Benchmark Mineral Intelligence.
The graphite and mineral producer, which is currently focused on flake graphite mining projects in Madagascar, said the report "highlights the strength of the company's position in this growing market".
Tirupati said that according to the report China currently dominates the global supply chain, but BMI expects this balance to shift as supplies will are developed in other areas.
Tirupati noted that Africa is expected to produce around 38% of the world's mined graphite supply by 2030, making it "a key producer of natural flake graphite". It said that while China will remain one of the top three producing nations, it will be competing with Mozambique and Madagascar, "overlapping significantly with Tirupati's footprint" in those countries.
The company further said that its Mozambique projects host a higher proportion of below-100 mesh flake graphite with 94% to 96% purity. According to the BMI report, around 2.5 million tonnes of this will be required in 2030 as input to fulfil demand for natural graphite based active anode material.
Tirupati said this was "a major increase from the 255,000 tonnes consumed in 2023, and a clear signpost of the impending growth in flake graphite demand".
"Graphite has long been recognised as one of the critical minerals for the energy transition," commented Executive Chair Shishir Poddar. "With extremely limited production outside of China, western governments and international OEMs are keen to see new sources come on stream, but with significant demand growth forecast we believe that prices will rise significantly in coming years to incentivise additional capacity creation.
"Our current and future operations in Mozambique and Madagascar will be at the centre of one of the key regions of future graphite production, further underlining Tirupati's incredible potential."
Shares in Tirupati Graphite were down 4.6% at 5.20 pence in London on Friday afternoon.
By Emma Curzon, Alliance News reporter
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