Volt Resources Limited (Volt, Australia) announced the signing of binding share purchase agreements to acquire a 70% stake in Zavalivsky Graphite LLC (Zavallia, Kirovohrad region).
“Volt has entered into binding Share Purchase Agreements to acquire a 70% interest in the Zavalivsky Graphite business located in Ukraine. The completion of the acquisition will position Volt significantly ahead of most of its peer graphite companies to become a graphite producer without the usual Greenfield financing and development risk,” according to the company’s press release.
According to the company, the total purchase price is $7.6 million, and it will be paid in two equal amounts.
Among the main advantages of the acquisition is, in particular, the opportunity to become a producer of spherical purified graphite for li-ion battery anode market in the near future, excellent transport infrastructure, low labor costs, grid power, ample potable water and good communications, experienced technical, operational and marketing personnel.
According to Nadra info, Volt’s press release states that the company has signed SPAs with the existing shareholders of ZG Group and will acquire a 70% stake in each of the ZG Group companies: Zavalivsky Graphite LLC (processing plant buildings, processing plant, mining equipment, substation and power distribution station); Stone Found LLC (operations for the production of crushed granite and a plant), as well as Graphite Invest LLC, which owns 70% of the shares of PrJSC Zavalivsky Graphite Plant (mine, land, main administrative building).
Nadra info also informs that currently the shareholders of ZG Group are Vitaliy Liaschenko (Kirovohrad region), Oleh Kheison (Cherkasy region), Tetiana and Volodymyr Kolesnichenko, Marta Yanko (all – Kyiv), and Mogra s.r.o. (Slovakia).
For many decades, Zavalivsky Graphite LLC has been a producer of natural graphite from the ores of the Zavalivsky deposit (Kirovohrad region), one of the largest graphite deposits in Europe. The enterprise has been operating since 1934. Production capacity is 30,000 tonnes of graphite per year.
According to Industrial Minerals (Great Britain), Zavalivsky Graphite LLC is one of the world’s top ten producers of natural graphite.
