Australian mining company Black Rock Mining is continuing discussions with “multiple parties” to finalize financing for its Mahenge graphite project in Tanzania, the company said in a statement on Jan. 13.
The project had previously been expected to enter production in 2026, but financial close has yet to be achieved.
According to a feasibility study released in 2022, the Mahenge project has the potential to produce 340,000 tons of graphite per year over a mine life of 26 years. To advance the project, Black Rock Mining has been seeking to raise the $225 million required to begin construction, according to Ecofin Agency.
Although agreements have been announced with financial partners including CRDB Bank and the Development Bank of Southern Africa (DBSA), the project has not yet reached effective financial close. Black Rock Mining said conditions remain favorable, pointing to global policy momentum around critical minerals.
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The company noted that global financing conditions continue to support critical minerals, driven by government policies in the United States and the European Union.
It also cited international frameworks aimed at securing stable supply chains between key regions, which it said offer strong potential for strategic financing.
At present, no timetable has been provided for Mahenge’s financial close, a prerequisite for a final investment decision (FID).
Once approved, Black Rock Mining expects the project to reach production within 24 months. In the meantime, preparatory work has already begun on site, including earthworks, to facilitate construction once the FID is granted.
Under the project structure, the Tanzanian state is expected to hold a 16% stake, with Black Rock Mining owning the remaining 84%. In addition to Mahenge, Tanzania hosts several other graphite projects awaiting financing, including Epanko and Nachu.
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Image Credit: Investment Monitor
