Construction of South Star’s Brazil graphite mine nearing completion
Canada-listed South Star is gearing up for production from the Phase 1 plant of its flagship Santa Cruz graphite mine, in Brazil, to start in the coming weeks.
Construction of the 1 000-t-a-month plant will be completed this month, followed by an estimated six weeks of commissioning and ramp-up.
South Star provided an update on the project on Wednesday in a statement, which also announced that it had made the final payment for the land purchase required for the Phase 1 mine and plant facilities.
In addition, the definitive mining licence for five areas, totalling 4 431 ha, has been approved by government and three additional claims were in final evaluation.
The approved licences cover the main areas required for Phases 1, 2 and 3 mining operations.
With the land purchased and definitive mining licences granted, the Santa Cruz project was derisked from a permitting and licensing standpoint.
“We have a clear path to scaling production as the markets and our clients ask for additional high-quality Brazilian graphite concentrates,” commented South Star CEO Richard Pearce.
Santa Cruz will be the first new graphite production in the Americas since 1996, with Phase 1 commercial production projected in the third quarter. Phase 2 production (25 000 t/y) is partially funded and planned for 2026, while Phase 3 (50 000 t/y) is scheduled for 2028.
“Our agreement with Sprott already secures approximately 50% of our Phase 2 capital expenditure, and our team is pushing to complete an updated feasibility study on Santa Cruz incorporating Phase 3 production,” added Pearce.
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