Lincoln Minerals (ASX:LML) has been invited by the Australian government on its upcoming trade mission to Europe aimed at generating greater interest from overseas buyers for the country’s critical minerals.
Shares were lifted by the news, advancing nearly 17% to an intra-day high of $0.007 today (14 May).
The European Union has placed a greater emphasis on shoring up its critical minerals supply, having just passed a new bill, the Critical Raw Materials Act, aimed at reducing dependence on Chinese supply.
This follows China’s decision to restrict exports of graphite, which now require government approval to leave the country. China is the top producer of graphite, accounting for around 60% of global supply, according to Fastmarkets.
European Commission President Ursula von der Leyen says the EU is strengthening its cooperation with reliable trading partners globally to reduce its dependence on just one or a few countries.
“It’s in our mutual interest to ramp up production in a sustainable manner and at the same time ensure the highest level of diversification of supply chains for our European businesses,” she says.
The new legislation covers 34 critical and 17 strategic minerals vital for the green and digital transitions, as well as defense and space industries.
The trade mission in early June will take participants to the UK, France and Germany.
Lincoln is advancing its flagship Kookaburra Graphite Project in South Australia, which has a combined resource of 12.8 million tonnes @ 7.6% total graphitic carbon.
CEO Jonathon Trewartha says Lincoln has potential to play a pivotal role in meeting the EU’s critical minerals needs as it progresses development of the Kookaburra Project.
“Our participation … comes at an opportune time as we are expanding the scale and scope of our potential tier one graphite project which will be enhanced by the potential involvement of strategic offtake and funding parties such as those in the EU,” he says.
The trade mission will give participants the opportunity to engage with potential offtakers in the electric vehicle battery space, as well as with potential buyers in the areas of automotive, defense, aerospace, electronics, industrial and renewable energy value chains.
Meetings are being organised with mineral processors, refineries and battery manufacturers.
Meanwhile, Australian government representatives will engage in talks around bilateral cooperation and support for establishing robust supply chains between Australia and the EU.
Write to Angela East at Mining.com.au
Images: Unsplash
