Mozambique: AMG Secures Funding for Ancuabe Graphite Project
Sept 25
London — The Dutch based company AMG (Advanced Metallurgical Group) announced on Friday that it has secured funding for to develop its graphite mine and processing plant at Ancuabe in the northern Mozambican province of Cabo Delgado.
The 9.4 million US dollars will come from the German Investment and Development Corporation (DEG) - which is a subsidiary of the German state owned development bank KfW.
AMG is to start mining in the second quarter of next year with an expected initial production of 6,000 tonnes per year. Previous announcements from the company stated that it expects to produce medium flake graphite concentrate.
The current price of this is very roughly a thousand US dollars a tonne.
In 2012 AMG bought the German company Graphit Kropfmuhl and took over the Ancuabe mine. It also holds an exploration licence at Nipacue which holds an estimated 900,000 tonnes of graphite.
In addition, earlier this year AMG entered into a strategic partnership with Triton Minerals for the exploration, identification and development of graphite deposits elsewhere in Ancuabe district.
Graphite is a form of carbon that is highly valued due to its properties as a conductor of electricity. It is used in batteries and fuel cells and is the basis for the “miracle material” graphene, which is the strongest material ever measured, with vast potential for use in the electronics industries.
