Perth-based explorer Sarytogan Graphite (ASX: SGA) has reported significant graphite mineralisation from the final holes of a reserve definition drilling campaign at its namesake project in central Kazakhstan.
The company used the drilling at the Central Graphite Zone to infill 25 years of historical mining to a depth of 50 metres, feeding into a planned a mineral resource and ore reserve upgrade as part of the project’s definitive feasibility study (DFS).
Global mining consultant WSP is now working on an updated mineral resource for the Central Graphite Zone and will incorporate an updated mine schedule and re-estimated ore reserve into the DFS, which remains on-track for completion by mid-2026.
Thick Graphite Intersections
Sarytogan managing director Sean Gregory was pleased with the strength of the assays from the final 17 holes, which included intercepts of 50.2m at 34.5% total graphitic carbon (TGC) from surface, including 29.2m at 40.1% ending in mineralisation; 10m at 36.7% TGC, including 28.9m at 19.3% and 36.6m at 14.5%; and 45.6m at 31.5% TGC, including 41m at 33.42%.
“We have returned many thick intersections of high-grade graphite and improved the resolution of grade continuity within the ore body,” he said.
“We look forward to feeding these results into a planned mineral resource and ore reserve upgrade as part of the DFS process.”
The Sarytogan graphite deposit contains an indicated and inferred resource of 229 million tonnes grading 28.9% TGC and an ore reserve of 8.6Mt at 30% TGC.
Three Product Types
Sarytogan plans to output three product types from the project, namely microcrystalline graphite for traditional uses; ultra-high purity fines for advanced industrial uses; and spherical purified graphite for use in lithium-ion batteries.
A pre-feasibility study in mid-2024 outlined a staged development plan to match market penetration, minimise initial capital expenditure and deliver attractive financial returns.
The deposit received strategic project designation in June under the European Union’s Critical Raw Materials Act, highlighting the company’s vital contribution to the region’s supply chain and enhancing its access to European funding.
The European Commission considers strategic projects to be of public interest due to their importance in ensuring security of supply and safeguarding the functioning of the internal market.
