International Graphite Secures $3m US Investment to Boost Mine-to-Market Strategy

International Graphite (ASX: IG6) has attracted $3 million in support from US-based institutional investor Pioneer Resource Partners (PRP) to help fund its rapidly developing “mine-to-market” strategy.

The company will use the investment to fund feasibility study work at its Springdale graphite project in Western Australia’s far south, and further progress the company’s graphite processing operations at Collie.

Pioneer provides funding to junior and mid-cap companies, particularly in the mining and energy sectors, in exchange for shares.

Three-Tranche Investment

The PRP investment will come in three tranches, each through prepayment of new issues of IG6 ordinary shares.

International Graphite expects the initial investment of $500,000 for $545,000 worth of placement shares to come through in the next week.

Pioneer has agreed to make a second investment of $300,000 for placement shares worth $327,000 sometime within the next 12 months.

A final further investment of up to $2,200,000 may proceed for placement shares worth an equivalent amount only with the mutual consent of both parties.

Recent US Delegation Visit

International Graphite recently visited the US to further expose its “mine-to-market” expertise.

As part of delegation by Australia Trade and Invest, the company was on show in Washington DC from mid September.

The delegation held meetings with leading US government agencies including the Department of Defense, Department of Commerce, and Export-Import Bank.

The company has already been the subject of Australian and foreign government recognition for its growing network of WA downstream processing operations.

Enhanced Flexibility

Chief executive officer Andrew Worland said the funding would provide International Graphite with added flexibility as the company continues to advance its various projects.

“Graphite is one of the most important critical minerals to western world supply chains and is at the heart of US government defense, industrial and energy policy making,” he said.

“The geopolitical landscape and regulatory framework sets up perfectly for International Graphite’s mine-to-market business plan.”