공고 • Jul 27
NextSource Materials Announces Updated Feasibility Study Results for Molo Mine Expansion to 150,000 Tpa of Superflake Graphite Concentrate
NextSource Materials Inc. announced the positive results of an updated Technical Feasibility Study for a Phase 2 mine expansion of its Molo Graphite Mine Project in southern Madagascar. The Feasibility Study considered a staged expansion beyond the existing Phase 1 mining and processing operation to reach a total capacity of 150,000 tonnes per annum of flake graphite concentrate over a 37-year life of mine. The Feasibility Study estimates Phase 2 expansion capital costs of USD 290.8 million, and financed in stages, with a pre-tax Net Present Value (8% discount rate) of USD 402.5 million and a nominal pre-tax Internal Rate of Return of 21.0% (real pre-tax IRR of 18.5%). The Feasibility Study assumes the construction of three new 50,000 tpa processing modules in two stages, adjacent to the current Phase 1 processing plant, and using the same fully modular construction approach. The fully modular approach is expected to greatly reduce build time, associated costs and development risks in relation to conventional mine construction. The Feasibility Study includes the procurement of all mining equipment, and the full costs of off-site modular fabrication and assembly, factory acceptance testing, module disassembly, shipping, plant infrastructure construction, on-site module re-assembly, commissioning, project contingencies, and working capital. The capital and operating costs estimates are prepared in line with a Class 3 estimate as per the American Association of Cost Engineers classification and a target accuracy of -15 to +25% at an 80% confidence level. The Feasibility Study’s phased approach to 150,000 tpa was developed based on its offtake agreement with Mitsubishi Chemical Group for purified graphite and spheronized and purified graphite from NextSource’s planned Battery Anode Facility in the United Arab Emirates, and ongoing discussions with automotive manufacturers and battery anode offtake partners on the expected demand for flake graphite. The Company has not yet made a production decision in respect of the first phase of the expansion to 150,000 tpa and discussions with offtakers and other potential strategic partners to determine the timing of a mine expansion are ongoing. The Feasibility Study was prepared by Stantec Consulting International Ltd., an independent engineering and consulting firm specializing in the mining and processing of commodities and battery materials. The following summary highlights the financial metrics provided in the Feasibility Study: Pre-tax NPV (8% discount rate) USD 402.5 million, Post-tax NPV (8% discount rate) USD 348.4 million, Pre-tax Nominal IRR 21.0%, Post-tax Nominal IRR 20.0%, Payback Period 7.2 years, Project Capital Expenditure (including a contingency of USD 32.3 million) USD 290.8 million, Sustaining Capital Expenditure and Closure Costs USD 72.2 million, Minesite Operating Cost EXW (per tonne of concentrate) USD 419, Total Cash Cost FOB (per tonne of concentrate) USD 650, All-in Sustaining Cost FOB (per tonne of concentrate) USD 665, Life of Mine Weighted Average Basket Price of SuperFlake graphite concentrate (USD/tonne) USD 1,138, Life of Mine 37 years. Waste Mined: Total (Mt) 56.3, Ore Mined: Total (Mt) 82.6, Ore Mined: Steady-State (Mtpa) 2.5, Average ROM Grade: Cg (%) 6.27%, Strip Ratio: Average (tw:to) 0.68:1, Recovery: Cg (% wt:wt) 92.0%, Mass Yield to SuperFlake Concentrate (% wt:wt) 5.9%, SuperFlake Concentrate Produced: Total (Mt) 4.9, SuperFlake Concentrate Produced: Steady-State (ktpa) 150, SuperFlake Concentrate Grade: Cg (%) 97.0%. The capital cost summary is as follows: Direct Capital Costs USD 183,270,000, Operating Equipment & Consumables USD 70,630,000, Infrastructure USD 68,447,000, Services USD 44,193,000, Indirect Capital Costs USD 107,518,000, Indirect USD 42,753,000, Capitalized Operating Costs USD 32,487,000, Contingency USD 32,278,000, Total: Project CAPEX USD 290,788,000. The operating cost summary is as follows: Phase 1 OPEX USD 15,880,000, Mining USD 464,990,000, Tailings USD 116,260,000, Processing USD 636,220,000, Infrastructure USD 521,250,000, Site G&A USD 300,600,000, Sub-Total: Site OPEX Cost USD 2,055,180,000, Selling Costs USD 652,930,000, Royalties USD 483,090,000, Sub-Total: Site Cash Cost USD 3,191,210,000. The Molo Mine hosts the following Mineral Resources and remains open along strike and to depth: Measured Mineral Resources of 23.51 Mt at 6.31% Cg, Indicated Mineral Resources of 76.75 Mt at 6.25% Cg, Inferred Mineral Resources of 40.91 Mt at 5.78% Cg. The Molo Reserve Estimate Statement Effective Date: March 31, 2025 is as follows: Proven Reserves Total 21,356 kt at 6.39% Cg, Probable Reserves Total 61,228 kt at 6.23% Cg, Total Reserves 82,584 kt at 6.27% Cg. The Feasibility Study is based on a full suite of metallurgical test work performed by SGS Canada Metallurgical Services Inc. in Lakefield, Ontario, Canada. These tests included lab and bench scale process development work, a bulk sample/pilot plant program, and metallurgical optimization and variability program. The overall graphitic carbon recovery into the final concentrate is 92.0% and the mass pull to concentrate is 5.9%. The life of mine average selling price East Africa FOB of USD 1,138/t of concentrate (Real) used in the Feasibility Study is the volume weighted average sales price for the various flake sizes and grades of SuperFlake graphite concentrate that are expected to be produced from the Molo deposit. Current market prices in real US dollar terms were used through to 2040 and held constant thereafter over the rest of the life of mine. A pricing premium for increased carbon grade was applied based on recent market trends for products exceeding 94% carbon. No other premiums were applied. Furthermore, no financial or operational calculations and/or scenarios in the Feasibility Study financial model with regard to downstream value-added processing of SuperFlake graphite concentrate were included.
