Name of the Project
Battery anode facility (BAF).

Location
BAF1 will be located in Mauritius, close to NextSource’s Molo graphite mine, in Madagascar, and on a strategic shipping route that supplies Asian markets.

Project Owner/s
NextSource.

Project Description
NextSource plans to build multiple BAFs in stages worldwide, in key jurisdictions that can produce commercial-scale graphite anode material for lithium-ion batteries used in electric vehicle applications.

BAF1 will initially have a capacity of 3 600 t/y of coated, spherical and purified graphite to be advanced on an accelerated timeframe.

The BAF1 facility has the capacity to house three additional production lines of 3 600 t/y each, resulting in total production of 14 400 t/y coated, spherical and purified graphite.

The operation is expected to have a life of about 30 years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
BAF1 has an after-tax net present value (NPV), at an 8% discount rate, of $106.9-million and an internal rate of return (IRR) of 42.7%, a with a payback of 2.2 years. The additional production lines will result in an NPV, at an 8% discount rate, of $439.7-million and an IRR of 45.8%, with a payback of 3.2 years.

Capital Expenditure
$23.5-million.

Incremental capital costs for the additional production lines are estimated at $74-million, which could potentially be financed from BAF1 cash flows.

Planned Start/End Date
BAF1 is targeting first production in 2024.

Latest Developments
Going forward, NextSource aims to complete the front-end engineering and design, as well as the environmental- and social-impact assessment permitting.

The company is in discussions with strategic offtake partners and debt and equity financiers who have expressed an interest in funding the construction of the project.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
NextSource, tel +1 (416) 364-4911 or email info@nextsourcematerials.com.