15 August 2022

Tirupati Graphite plc

('Tirupati', 'TG' or the 'Company')

Vatomina Preconcentrate and Road Infrastructure Rebuilding Update

Addressing Operational Challenges and Moving Closer to our target of Net-Zero Emissions

Tirupati Graphite plc (TGR.L, TGRHF.OTCQX), the specialist graphite and graphene company developing sustainable new age materials, is pleased to provide a progress update on three important workstreams.  First, on the installation and commissioning of the Vatomina preconcentrate plant, secondly, on the progress to-date with regards to the rebuilding of the road infrastructure to streamline operations for the installed 12,000 tons per annum capacity, and thirdly, a progress update on the construction phase of the upcoming 18,000 additional capacity in Sahamamy.

Vatomina Preconcentrate Installed and Plant Recommissioned

·    The Company decided to divide its processing flow sheet into two parts (see RNS of 21 July 2022), shifting the first leg of processing, which removes 80-90% of impurities from the ore, to the mine pit heads referred to as the 'pre-concentrate' units.

·    The construction and relocation of the first leg of Vatomina's 9,000 ton per annum plant was initiated in mid July 2022. This has now been completed and the preconcentrate and final concentrate plant recommissioned and synchronised in operation.

·    As a result, the previous requirement for the transport of c.250,000 tons of ore per annum to the plant has been replaced by the pumping of c.30,000 tons per annum of 'pre concentrate' in slurry form to the main processing plant, eliminating reliance on roads and ore transport vehicles.

·    The elimination of the transportation of ore and the transformation to the preconcentrate concept is expected to result in:

o a reduction of c.75,000 litres of diesel annually for the 9,000 tons Vatomina plant;

o a reduction in other costs related to the operation of the ore transport fleet estimated to be equivalent to the cost of diesel consumption saved;

o elimination of the necessity for building a high-cost metalled road from the mine areas to the main processing plant; and

o the possibility to enhance capacity of the Vatomina current facility to 18,000 tons per annum by installation of a second preconcentrate plant with limited additions in the mining fleet and main processing plant, which the Company is currently assessing.

Sahamamy 18,000 tons per annum facilities and road rebuilding update

·   The construction of both pre-concentrate and main processing plants at Sahamamy continues to progress and remain on track for September 2022 completion.

·    The 18,000 tons per annum plant is designed substantially using the scaled up equipment installed at Vatomina, and the Company remains confident that with the extensive ramp up activities and related modifications made over the past few quarters, these have provided enough inputs for the Company to ramp up the Sahamamy plant in more or less one quarter. This leads the management team to believe that from 2023 the Company will be well placed to operate at an estimated minimum 80% of installed capacity of 30,000 tons per annum.

·    Over the past three weeks, the Company used its mining and earthmoving fleet to rebuild all the road network and has reached the stage that all road connectivity is now operational and steps are being taken to strengthening the c. 5 km weak points, which should help to counteract the effect of rain when the next wet season commences in January 2023.

The Company currently remains focussed on streamlining its operations and to complete the next 18,000 tons per annum facilities. Further guidance will be announced as soon as practicable.

Shishir Poddar, Executive Chairman, said:

"We are pleased to have substantially overcome the difficulties we faced in operations over the past few quarters. We have used the time as a learning period to better prepare ourselves for the future.

With the Vatomina operations coming back online and mobility restored across the two projects, we are well placed to push forward our progress and transform further as we plug in the additional capacity upcoming in Sahamamy."

ENDS

For further information, please visit https://www.tirupatigraphite.co.uk/ or contact:

About Tirupati Graphite

Tirupati Graphite Plc is a specialist graphite and graphene company.  The Company places a special emphasis on "green" applications, including renewable energy and energy efficiency, energy storage and thermal management and is committed to ensuring its operations are sustainable as well. 

The Company's operations include primary mining and processing in Madagascar, where the Company operates two key projects, Sahamamy and Vatomina; 12,000 tpa installed capacity of high-quality flake graphite concentrate with up to 96% purity is currently being produced and sold to customers globally, planned to increase to 84,000 tpa by end 2024 as per the Company's modular medium-term development plan. 

The Company has an acquisition agreement, subject to regulatory approvals, with Tirupati Speciality Graphite Private Limited ('TSG'). TSG operates and is developing a suite of speciality graphite for use in hi-tech applications like lithium-ion batteries, fire retardants, thermal management, and composites. It also operates a technology centre developing advanced materials including graphene and its applications, and mineral processing technology on commercial basis. The Company is working on various possibilities in this respect as announced by RNS on 11 July 2022.