Kibaran secures exclusive rights to graphite processing expertise of leading German consultants and lodges provisional patent
20 December 2017 - Kibaran Resources Ltd. ("Kibaran" or the "Company") (ASX: KNL) is pleased to announce that it has taken another important step in its strategy to be a global leader in graphite mining and processing, with a deal which will give it exclusive access to world-class expertise in this field. Key Highlights:
- Binding heads of agreement signed with ProGraphite GmbH to produce battery grade graphite, secure intellectual property rights and processing expertise
- Provisional patent application lodged for the battery graphite purification process
Kibaran has signed a binding agreement with German-based ProGraphite GmbH ("ProGraphite") under which ProGraphite will grant Kibaran full access to its extensive technical and commercial knowledge relating to the processing of graphite for use in battery product applications.
This exclusive agreement follows Kibaran's release earlier this month of the feasibility study on downstream processing of graphite from its Epanko Graphite Project in Tanzania. The study found that production of battery-grade graphite using Kibaran's proprietary purification technology would be low-cost and environmentally friendly. In light of these findings, Kibaran has decided to establish a pilot plant in Germany in early 2018 which will be subsequently expanded to enable commercial scale production and supply of premium battery graphite to customers in Europe and Asia.
ProGraphite, which has Kibaran non-executive director and global graphite specialist Christoph Frey as its Managing Director, will play an active role in the establishment and operation of this pilot plant.
Kibaran Managing Director Andrew Spinks said "ProGraphite's leading-edge knowledge and capability would help ensure Kibaran met the exact product specifications required by the market."
ProGraphite Agreement
ProGraphite is a leading technical group specialising in the processing and evaluation of graphite materials. The agreement sets-out the basis for the Company and ProGraphite to collaborate to create a downstream processing business.
ProGraphite will provide Kibaran with exclusive rights to the intellectual property, trademarks, licences, technology, and other assets developed for the downstream processing business. As consideration for granting these rights, ProGraphite will be entitled to receive a future royalty from the commercial sales of the downstream processing business. Kibaran may also elect to buy-back the royalty at any time up to 31 December 2020 for A$2 million, payable in cash or shares. The royalty rate will be finalised within the definitive agreement which both parties have agreed to be completed no later than 1 May 2018.
The principal activities of ProGraphite will be on an exclusive basis and include:
- undertaking development programmes for battery graphite and other value-added graphite materials (including nanoparticles);
- managing downstream processing facilities; and
- optimising the effectiveness and efficiency of production and purification processes.
Patent Application
Further to the Company's ASX announcement of 5 December, it is pleased to report that it has filed a provisional patent application in relation to intellectual property rights for its new eco-friendly battery graphite purification process.
Preparation and submission of the final patent application will be undertaken as part of the ProGraphite pilot plant program next year with the objective of securing exclusive rights to the Company's unique processing technology.
Further information, please contact:
Managing Director Media
Andrew Spinks Paul Armstrong
Read Corporate
+61 8 9388 1474