SYDNEY, AUSTRALIA: Renascor Resources (ASX: RNU), a graphite producer in South Australia, has announced that it has signed a non-binding memorandum of understanding (MOU) with Mitsubishi Chemical Corporation, a Japanese chemical giant and a leading manufacturer of lithium-ion battery anode materials.

The MOU outlines the potential sale of graphite concentrates, purified spherical graphite and other graphite products from Renascor’s Siviour Graphite and Battery Anode Material Project (BAM Project) to Mitsubishi Chemical. The MOU also sets out a framework for Mitsubishi Chemical to work with Renascor to explore a commercial partnership to help develop the BAM Project.

The parties have agreed to conduct further product validation testwork and negotiations to determine potential contract delivery terms and a commercial partnership.

Renascor said the MOU complements its product offtake workstreams, which are well advanced and include a non-binding strategic cooperation and offtake agreement with South Korean conglomerate POSCO.

Renascor’s Managing Director David Christensen said: “We are delighted to enter into this MOU with Mitsubishi Chemical, one of the world’s largest producers of lithium-ion battery anode materials. This MOU demonstrates the strong interest in our high-quality graphite products from leading battery manufacturers in Japan and globally. We look forward to working with Mitsubishi Chemical to advance our product validation testwork and negotiations towards a potential long-term commercial partnership.”

Mitsubishi Corporation