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ReGIonAL RoUnDUP                                                                   AFRIcA





      BlackEarth revs up for more testing




           hen COVID-19 infections around the
       Wworld began to spike earlier this year
       and countries such as Madagascar started
       closing their borders, BlackEarth Miner-
       als Ltd managing director Tom Revy had a
       heart-in-mouth moment.
         A shipment carrying about 60t of graphit-
       ic material from BlackEarth’s Maniry pro-
       ject was due to leave Madagascar for the
       BGRIMM testing facilities in China. It was
       considered one of the most important de-
       liveries in the company’s short history given
       the results of the planned laboratory tests
       would ultimately be fed into an upcoming
       BFS.
         With international travel restrictions sud-
       denly  implemented  in  a  bid  to  slow  the
       spread of COVID-19, Revy could have
       been  forgiven  for  thinking  the  shipment
       might not make it into China. Fortunately,   BlackEarth managing director Tom Revy (pictured left) on site at the Maniry graphite project in
       those concerns were quickly alleviated and                                               southern Madagascar
       a three-month pilot programme to test the
       sample will soon be under way.
         That test work has since become even   Revy said the BGRIMM testwork would   and the variability that was contained in the
       more vital with BlackEarth recently signing   help  to  validate  RHI’s  required  product   material in the ground. Then it was to un-
       a binding offtake MoU with Tier 1 refractory   specifications  and  allow  both  parties  to   derstand what the offtakers wanted, what
       producer RHI Magnesita. Under the MoU,   advance  the  terms  and  conditions  of  the   products were in demand and what was be-
       BlackEarth will work with Austria-based   agreement.                     ing projected as high-demand, high-value
       RHI to explore opportunities to produce   “Like a lot of graphite producers, we’re   products in the future.
       tailor-made  natural  graphite  concentrate   held by confidentiality in terms of what the   “Then we did metallurgical test work to
       samples and products using material from   detail of the offtake arrangements are, but   make sure that based on our understand-
       Maniry.                             suffice to say they are binding in terms of   ing of the material in the ground and the
         “We’ve stated since day one our aim   moving to the next stage,” he said.  specifications  needed  in  the  marketplace
       was to work with Tier 1 companies and to   “Everyone is focused on what is required   that we could match the two together and
       that extent that also encompasses offtake,”   in order to formulate a formal sales offtake   have a robust flowsheet which could pro-
       Revy  told  Paydirt  after  announcing  the   arrangement and to that end some broad-  duce those specifications on a medium to
       MoU in August.                      based terms and conditions have already   long-term basis.”
         “The banks and equity markets take   been agreed to.”                    Revy said restrictions on regional travel
       greater comfort when they see you deal-  BlackEarth’s testwork so far has con-  in Madagascar had limited the company’s
       ing with a quality company because it gives   firmed that graphitic material from Maniry is   ability to undertake some work on the
       them greater comfort in terms of decreas-  suitable for anode production in the battery   Maniry project, located in the south of the
       ing the risk on the revenue side. It’s always   market, but it is the medium-sized material   island nation, but he did not believe Black-
       tough to get offtake arrangements with Tier   ideal for the refractory industry which the   Earth had been adversely impacted by the
       1s because  obviously  they’re  bombarded   company is especially targeting in this up-  shutdowns implemented to slow the spread
       by both up-and-coming and current pro-  coming programme.                of the coronavirus.
       ducers for product sales, but that didn’t de-  Coarse material for fire-retardant and foil   “The Government is doing its best. It has
       ter us. We understood it takes a long time   production in the expandables market is   quarantined people, they’ve basically re-
       and there’s perhaps more red tape involved   also part of the company’s potential product   stricted movement within the major cities,
       in getting there.                   suite.                               they’ve had curfews, etc to minimise the
         “We have now tested our material fairly   Revy said the company’s commitment to   impact,” Revy said.
       extensively and we are comfortable both   testing had put it in a strong position ahead   “I think in reality they’re no different com-
       from  an  offtaker  testing  and  independent   of the scheduled completion of a BFS on   ing out of this any faster or later than most
       laboratory testing point of view that our   Maniry during the first half of next year.  other  sub-Saharan  countries.  As  for  the
       products will fit into three main categories.”  “Everything we’ve done has been, I think   impact on us, we would like to do some
         RHI is a leading supplier of high-grade   it’s fair to say, Rolls Royce,” Revy said.   more drilling once regional travel is permit-
       refractory products, systems and solutions   “The aim was to understand the variabil-  ted because we already have the drill rigs
       which are critical for high-temperature pro-  ity in material which historically has been a   there. We would like to drill the higher grade
       cesses in a wide range of industries such   challenge to some operations in terms of   north-west area as part of the BFS and in-
       as steel, cement, non-ferrous metals and   producing a consistent product to the speci-  corporate those results into the final data.”
       glass.                              fications of their off-takers. Our first stage            – Michael Washbourne
                                           was to understand what was in the ground

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