EcoGraf Ltd (ASX: EGR) Surges 19% on Key Mining Licence Approval

Key Highlights:

• EGR stock skyrockets 19.05% to $0.125, with heavy trading volume of 8.9M shares.
• Tanzania grants Epanko Graphite Project a 25-year Special Mining Licence (SML733/2025).
• Mining area expands to 18.9 km², covering a 5.5 km strike length of high-grade graphite.
• KfW IPEX-Bank engaged to arrange US$105M debt financing for Epanko’s first stage of development.

Shares of EcoGraf Ltd (ASX: EGR) soared 19.05% today, fueled by a major regulatory milestone for its flagship Epanko Graphite Project in Tanzania. The company announced that the Government of Tanzania granted a Special Mining Licence (SML) for the entire life of the mine, paving the way for finalizing the project’s financing.

Epanko Graphite Project: A Game-Changer for EcoGraf

The newly approved SML733/2025 extends the Epanko mining area to 18.9 km², nearly doubling its previous size. The expanded area includes a continuous 5.5 km high-grade graphite deposit, which is expected to support a multi-generational mining operation.

With this approval in place, EcoGraf is one step closer to securing US$105M in senior debt financing from KfW IPEX-Bank, an established European lender. The funding will kickstart the construction of a 73,000 tpa graphite processing plant, positioning Epanko as one of Africa’s largest development-ready graphite projects.

Market Reaction & Investor Confidence

Investors reacted positively to the news, driving EcoGraf’s stock price up 19.05% to $0.125, with a massive trading volume of 8.9M shares—well above its 4-week average of 745K shares.

• 1-Month Gain: +32.98%
• YTD Gain: +42.05%
• 52-Week Range: $0.075 - $0.205

Despite a one-year decline of 28.57%, today's rally suggests growing investor confidence in EcoGraf’s long-term potential, particularly in the booming battery anode materials market.

What’s Driving the Momentum?

1️⃣ Regulatory Green Light: The Epanko mining licence secures operational certainty, unlocking long-term graphite production.
2️⃣ Global Graphite Demand Surge: The electric vehicle (EV) and energy storage markets are driving demand for high-purity graphite anodes.
3️⃣ Tanzania’s Strategic Support: The government is backing value-addition projects, including EcoGraf’s planned Mechanical Shaping Facility for spherical graphite production.
4️⃣ Strong European Interest: The EU Commission is engaging with EcoGraf on securing a sustainable battery anode supply chain.

Outlook: What’s Next for EcoGraf?

With the mining licence in hand and financing nearing completion, EcoGraf is poised for:
✅ Finalizing debt funding to commence construction.
✅ Advancing battery anode material production through its HFfree® purification technology.
✅ Expanding its graphite supply chain partnerships in Europe, Asia, and North America.

As demand for natural graphite in lithium-ion batteries soars, EcoGraf’s vertically integrated approach positions it as a key player in the global energy transition. Investors should watch for further financing updates, which could fuel another stock price rally.