Communication - Presse
Africa’s largest graphite mine seals seven-year supply deal with Canada’s NextSource
The Balama operation, located in northern Mozambique, is the largest graphite mine in Africa, with a nominal production capacity of 350,000 tonnes per year.
Under the agreement, NextSource has committed to purchase between 34,000 and 68,000 tonnes of graphite over seven years starting June 1. The material will feed a large-scale anode production plant the Canadian firm plans to develop in the United Arab Emirates.
Sale prices will be set quarterly by mutual agreement and adjusted for product quality and freight costs, Syrah said.
The deal remains conditional on the UAE facility reaching commercial production and securing approval from its future customers to use Balama-sourced graphite.
NextSource expects to take a final investment decision soon as the project moves from pre-development toward construction.
The agreement comes at a crucial time for Balama, which has been operating below capacity due to weak global graphite prices and subdued demand.
