EcoGraf (ASX: EGR) has completed all key technical documents required for the Independent Engineers’ Report, a major step toward securing debt financing from KfW IPEX-Bank for the development of the Epanko Graphite Project in Tanzania.
The company has now submitted an initial report to KfW IPEX-Bank, following a technical due diligence program that began in 2024 to meet stringent international project-financing standards.
EcoGraf previously mandated KfW IPEX-Bank to arrange a senior secured loan facility of up to US$105 million for Epanko under the German Untied Loan Guarantee scheme.
The Independent Engineers’ Report represents a critical prerequisite for the lenders’ Independent Expert, who will provide advice to the German Government Inter-Ministerial Committee as part of the cover-approval process.
EcoGraf metals and mining co-head Michael Waltz said the collaboration with KfW IPEX-Bank “reflects our shared vision of creating resilient supply chains, advancing clean energy solutions, and contributing to a low-carbon future for communities worldwide.”
Environmental and Social Due Diligence
The work completed to date includes the Resettlement Action Plan, environmental baseline studies, impact assessments, and a comprehensive suite of management plans aligned with various key guidelines, benchmarks, and principles.
These milestones collectively set the foundation for the finalisation of due diligence and the transition toward binding financing documentation.
Following meetings in Frankfurt, EcoGraf was invited to explore additional development financing instruments available through the wider KfW Group, which includes KfW DEG and KfW Development.
KfW DEG supports private-sector investments that foster sustainable economic growth in developing markets, while KfW Development funds government-backed programs across emerging economies.
KfW Development’s long-standing engagement in Tanzania — including projects in water supply, biodiversity conservation, climate resilience and renewable energy — aligns closely with Epanko’s objectives for community benefit and regional development.
Strategic Importance of Epanko
The Epanko project underpins EcoGraf’s vertically integrated battery anode materials strategy, which spans natural flake graphite mining, mechanical shaping, high-purity EcoGraf HFfree purification, and battery anode recycling.
The company has so far invested more than US$30m in developing a downstream graphite business positioned to supply high-performance materials to EV, battery, and anode manufacturers in Asia, Europe, and North America.
Epanko is the cornerstone of the company’s TanzGraphite business, providing long-term feedstock for downstream processing and high-quality large flake graphite for specialised industrial markets.
EcoGraf will continue working with KfW IPEX-Bank and the Independent Expert as term-sheet negotiations advance and financing due diligence nears completion.
