Terms Agreed for Landmark Joint Venture and Offtake Transaction

Graphex Mining (ASX: GPX) is pleased to announce that it has signed a non-binding term sheet (the ‘Term Sheet’) which sets out a number of the key commercial terms relating to the proposed joint venture, offtake and prospective financing for the Chilalo Graphite Project.
The Term Sheet has been signed by CN Docking Joint Investment & Development (‘CN Docking’), a subsidiary of China National Building Materials Group. CN Docking intends to lead a syndicate of Chinese investors through a new special purpose investment entity.
Graphex Managing Director, Phil Hoskins, commented:

“We are extremely pleased to have signed a term sheet with CN Docking, which lays out key commercial terms for a joint venture, offtake and prospective financing arrangements for Chilalo. This is an important milestone for Graphex, and paves the way for the early development of Chilalo with minimal dilution to our shareholders.”
This commitment from such a high calibre partner is supportive of the quality of the Chilalo Graphite Project and is testament to the market opportunity we have been relentlessly focussed on for some time – supplying coarse flake graphite direct to the Chinese expandable graphite market.”

The Term Sheet follows the completion of a comprehensive due diligence program that included:

• A five-day site visit including meetings with various Tanzanian Government departments and officials, logistics providers and the Mtwara Port Authority;
• Detailed metallurgical testwork that confirmed the marketability of Chilalo graphite; and
• A feasibility study completed by CN Docking to assess the technical and economic viability of the Chilalo Project. Commenting on the importance

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