Australia-based graphite producer Black Rock Mining Limited has announced that South Korean steelmaker POSCO will invest $7.5 million to acquire 15 percent equity interest in Black Rock.
With this acquisition, POSCO secures the right to life-of-mine offtake supply of 100 percent of graphite fines from the Mahenge Module 1 of Black Rock in Tanzania, and has the right to nominate a director to the board of the company.
Following the signing of a strategic alliance and development MOU in June this year and then the completion of POSCO’s due diligence in November this year, both Black Rock and POSCO rapidly moved onto the next phase of their strategic alliance.
According to Black Rock’s statement, the agreement is expected to be finalized on or before January 15, 2021.