(Ecofin Agency) - Triton Minerals announced yesterday May 8, it has concluded with the Chinese company Chengyang, a binding agreement to supply a part of the graphite concentrate produced at its Ancuabe mine in Mozambique. This agreement is the company’s second of the sort, the one signed with Tianshengda being the first.

Under the agreed terms, Triton will annually deliver Chengyang up to 16,000 tons of graphite concentrate for at least five years (renewable). The minimum volume to be delivered is 10, 000 tons/year, and the sales price will depend on prices on Chinese market.

The company indicated in a statement that it has now secured, thanks to the two binding agreements, the sale of more than 50% (32,000 tons) of Ancuabe's future annual production.

“Securing binding agreements for up to 50% of forecast annual production with experienced graphite producers in Chenyang and Tianshengda demonstrates the success of Triton’s product marketing strategy and the demand for large flake, high purity graphite in the Chinese market,” said CEO Peter Canterbury.

Once in production (mid-2019), the mine is expected to produce 60,000 tons of graphite concentrate a year over a 27-year lifespan.

Louis-Nino Kansoun