Graphite One (TSX-V:GPH) has been offered an extension to its non-binding letter of intent from the Export-Import (EXIM) Bank of the United States, providing up to another US$570 million ($874.27 million) to advance the Graphite Creek Mine in Alaska.
The letter of intent holds a maximum repayment term of 10 years.
The EXIM Bank has now provided the company with a total of US$895 million, after its graphite materials facility in Ohio was granted US$325 million.
CEO Anthony Huston says the extension of the EXIM Bank’s letter of interest supports the company’s strategy to create a wholly US-based supply chain for graphite.
“[This] underscores the US Government’s keen understanding of the urgency to end the United States 100% dependence of foreign sources of graphite supply,” Huston says.
As reported by Mining.com.au, the Graphite Creek Project was recently accepted onto the Federal FAST-41 Permitting Dashboard, which intends to help the company with environmental review and authorisation stages by improving timeliness, predictability, and transparency.
The project has also retained two grants from the US Department of Defense, under the Defense Production Act and from the Defense Logistics Agency.
Graphite One intends to submit a formal application to EXIM Bank next year for both letters of intent. EXIM will conduct due diligence and underwriting following this.
Graphite One is focused on becoming a US producer of ‘high-grade’ anode materials for a domestic graphite supply chain.
Write to Maddison Elliott at Mining.com.au
Images: Graphite One
