Graphite and gold explorer Volt Resources has signed binding share purchase agreements (SPAs) to buy a 70% stake in the Ukraine-based Zavalievsky group of companies (ZG Group).

The deal will see Volt Resources picking majority interest in each of the companies comprising the ZG Group, including Zavalievsky Graphite, Stone Found and Graphite Invest.

The acquisition will have an aggregate price of $7.6m, which is payable in two equal instalments.

ZG Group owns a 79% stake in 636ha of land, on which a graphite mine, processing plant and other facilities are located.

The graphite mine and processing facilities are located adjacent to the town of Zavallya.

Volt managing director Trevor Matthews commented: “The signing of the binding share purchase agreements is a significant step forward for Volt in its ambition to be a graphite producer.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“The acquisition of a controlling interest in the ZG Group positions Volt years ahead of its peer graphite companies and without the usual development risks associated with a greenfield project.

“Following Volt’s recently announced membership of the European Battery Alliance providing Volt with access to business development opportunities and a business investment platform, the ZG Group acquisition has the potential to make Volt a key participant in the supply of graphite and battery anode materials into the growing European market with excellent access to other markets in the USA and the Middle East.”

The deal is subject to Volt completing favourable due diligence by 14 May 2021.

ZG Group plans to install a processing plant and equipment to start spheronised purified graphite production within the next 12 months, for the LIB anode market.

Volt said that the acquisition provides a number of advantages, including its close proximity to key Eastern European markets and ZG Group’s range of graphite products.