Talga Group (TLG) Status Update summary

Operational and strategic milestones

• Achieved a major milestone with the full clearance of the exploitation concession for the graphite mine in Nunswear South, following years of appeals and regulatory delays.

• Secured net zero strategic project status for the planned anode refinery, reflecting its sustainability and emissions reduction potential.

• Advanced partnerships and board changes, including the appointment of a new Group Finance Director and board member.

• Increased scale of the EVA plant to support growing offtake agreements and customer demand.

• Continued strong relationships with government agencies, expediting regulatory processes where possible.

Market and demand dynamics

• Demand for non-Chinese graphite anode material is rising due to supply chain de-risking and geopolitical shifts, especially in defense and battery energy storage sectors.

• U.S. anti-dumping tariffs and EU-U.S. trade agreements are driving opportunities for ex-China supply, with Chinese graphite exports to the U.S. plummeting.

• Battery energy storage and industrial applications are experiencing booming demand, with customers seeking high-performance, fast-charging anode materials.

• The global market is oversupplied with synthetic graphite, but ex-China there is a significant supply deficit, leading to rising prices.

Recycling and technology development

• Launched Talnode-R, enabling the use of recycled graphite from battery black mass as feedstock for anode production, leveraging proprietary purification and coating technology.

• Established offtake agreements with recyclers like Altilium, with potential for standalone plants in the UK or Sweden, and ongoing discussions with other partners.

• Demonstrated ability to process both production scrap and end-of-life battery graphite to battery-grade quality at industrial scale.

• The recycling process is modular and transferable, allowing for global expansion and partnerships in various jurisdictions.