(Ecofin Agency) - Bass Metals Ltd, gold and base metal mining company listed on ASX, will acquire a 25% strategic interest in Graphmada which operates the high grade Lorahano graphite project, in Central-East Madagascar and about 100 km from the Tamatave Port.

Through a strategic agreement signed for this purpose with British Stratmin Global Resources Plc, holding 100% of Graphmada, Bass Metals will bring investments worth £ 2 million in this project, according to the communiqué.

The Lorahano graphite project is already in production to deliver prime quality graphite concentrate, large flakes and jumbo graphite, to an important off-taker based in the USA. “This is an excellent opportunity to position ourselves on a graphite asset in production with a cash flow supported by a wealthy off-take partner and an experienced technical team to sustain growth in the portfolio”, Rick Anthon, President of Bass Metals, commented.

Bass Metals Ltd, which had focused its operations on Tasmania and recently Turkey, has the option to get a better stand on the Loharano graphite through additional investments to acquire up to 35% interest in the Madagascar subsidiary of Stratmin Global.