Volt Resources Ltd (Australia) announced the signing of binding share purchase agreements to acquire a 70% stake in Zavalivskiy Graphite LLC (Kirovograd region).
The strategy behind the acquisition is the opportunity to become a leading producer of spherical purified graphite for lithium-ion battery anode market in the near future. Other advantages: excellent transport infrastructure, low labour costs, grid power, ample potable water and good communications, experienced technical, operational and marketing personnel.
Volt has entered into binding Share Purchase Agreements to acquire a 70% interest in the Zavalivskiy 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.
Press Service of Volt Resources
According to the company, the total purchase price is $7.6 million, and it will be paid in two equal amounts.
Volt Resources signed SPAs with the existing shareholders of ZG Group and will acquire a 70% stake in each of the ZG Group companies: Zavalivskiy 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 JSC Zavalivskiy Graphite Plant (mine, land, main administrative building).
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), Zavalivskiy Graphite LLC is one of the world’s top ten producers of natural graphite.
Presently, the shareholders of ZG Group are Vitaliy Liaschenko (Kirovograd region), Oleh Kheison (Cherkassy region), Tetiana and Volodymyr Kolesnichenko, Marta Yanko (all from Kyiv), and Mogra s.r.o. (Slovakia).
