Kwinana Development Schedule, page-2

Hi Wilma,

Great post. I cannot add to much, although the March QTR report detailed all due diligence reports have been completed.

Development Funding

In parallel with the A$54.6 million institutional placement that was completed, the Company has advanced the debt financing process for a proposed US$35 million loan arrangement that will support the planned expansion of the new EcoGraf™ Battery Anode Material Facility to reach 20,000 tonnes per annum.

The key focus during the quarter was the completion of the remaining due diligence reports and all reports, including the commissioning of an independent technical review, have now been finalised. These reports were submitted to Export Finance Australia in March to support the Development Report, Independent Market Study, financial model, feasibility and engineering studies provided for the credit review process.

Financial modelling undertaken with external consultants has confirmed that the new Australian facility is able to generate attractive economic returns to support the proposed debt financing, with a pre-tax project NPV8 of US$642 million, internal rate of return of 42.4% and annual EBITDA of US$35 million (refer ASX announcement Investor Presentation and Business Update 12 February 2021).


https://www.ecograf.com.au/wp-content/uploads/2021/04/2206605.pdf