EcoGraf to evaluate battery anode material manufacturing facility development in Vietnam

Image credit: EcoGraf

ASX-listed battery manufacturing company EcoGraf has teamed up with Vietnamese clean energy solutions provider VinES Energy to evaluate the development of a Vietnam-based battery anode material (BAM) facility. 

The partnership is aligned with EcoGraf’s strategy to develop downstream supply chains within the global battery manufacturing hubs through the support of major battery and electric vehicle manufacturers, the company said in an ASX announcement

As part of the phased evaluation program, VinES and EcoGraf will qualify local Vietnam graphite suppliers, with a view to incorporating domestic production into the supply chain. 

Under a memorandum of understanding, EcoGraf will support VinES with its graphite expertise and US-patented battery anode material processing technology. Meanwhile, VinES will deliver its battery materials supply chain logistics, in-country expertise and manufacturing and construction capabilities in Vietnam. 

Following the evaluation, a feasibility study will be undertaken on a proposed BAM facility development that includes regulatory approvals and key project agreements for feedstock supply, construction, operations, logistics, offtake, investment, and financing to enable the parties to make a final investment decision. 

If the study yields positive results, the parties will sign commercial arrangements for the development, construction, and operation of the new BAM facility. 

“We are delighted to be partnering with VinES, a leading lithium-ion battery maker in Vietnam who shares our vision and values. More importantly, our businesses are highly complementary and our cooperation should allow both parties to strengthen our position in the electric vehicle battery material supply chain. We look forward to working with VinES to develop a highly cost-competitive operation with compelling ESG credentials in Vietnam,” said Andrew Spinks, managing director of EcoGraf. 

The ability to incorporate local BAM feedstock offers numerous advantages through lower production and transport costs, EcoGraf said. 

The ASX company is also looking into combining its Epanko graphite with the Vietnam material to develop a scalable localised supply chain. 

EcoGraf is advancing the development of its Epanko Graphite Project in Tanzania and recently completed a Tanzanian Mechanical Shaping Study to produce unpurified battery anode material for the lithium-ion battery market.