Ann: Merelani Upgrade Paves Way for PFS, page-20

Thoughts on announcement:

1. Current production at Epanko pretty much spoken for with TK and EGT @30,000 tpa.
2. KNL confident they need more graphite to supply undisclosed/potential  off-take partners.
3. Merelani East Deposit  can be fast-tracked as brownfield site to satisfy demand.

KNL may need to  run  a couple of mines in parallel and long lead time items need immediate attention:

"The Company has commenced the Environmental and Social Impact Assessment (ESIA) process for its Merelani-Arusha Graphite Project by registering the Project with the National Environmental Management Council (NEMC), the first step in obtaining an Environmental Certificate and the key pre-requisite for a Mining Licence application. The environmental and social baseline study, receipt of the Environmental Certificate and subsequent Mining Licence, are all long lead time items in the approval and permitting process."

A rapid scale-up may be on the cards, driven by genuine European/USA demand for KNL's product....