Australia's Sarytogan Graphite discovers high-grade graphite deposit in Central Kazakhstan

ASTANA. Oct 7 (Interfax) - Australian company Sarytogan Graphite Limited has discovered a high-grade graphite deposit in Kazakhstan's Karaganda region.

"The first batch of assays from 20 drill holes has been received. Results from a further 17 drill holes are pending," the company said in a press release.

All drill holes displayed high-grade graphite mineralization, ranging from 30.8% to 41.3%.

The European Union has granted strategic project status to the study and development of the Sarytogan graphite deposit. The European Commission initiated the process of attracting investment for the project's development. According to estimates, total capital expenditure ranges from $62 million-$344 million.

According to information on Sarytogan Graphite Limited's website, the company, through its 100% subsidiary Ushtogan LLP, is the sole owner of the Sarytogan Graphite Deposit development project. The exploration concession covers 70 square kilometers. The exploration license was issued to Ushtogan LLP in August 2018, confirmed by contract in October 2018, and was extended in June 2022.

In August 2024, Sarytogan Graphite completed a preliminary feasibility study for the project, which envisages a staged development with a production capacity of 50,000 tonnes per year over the first 60 years of the mine's operation. This allowed the declaration of a probable ore reserve of 8.6 million tonnes. The deposit is located in an industrial mining region and is connected by highway to the city of Karaganda (190 km) and the capital of Kazakhstan, Astana (390 km). Exploration in the Sarytogan area has identified two large zones of graphitic mineralization - Central and Northern.