Syrah Resources has resumed natural graphite production at its Balama operation in Mozambique after restoring site access in May and completing preparatory inspections and maintenance.
The ASX-listed company announced on Thursday that it would gradually ramp up plant utilisation and production to rebuild finished product inventory.
Shipments to ex-China markets are expected to resume in the September quarter.
“There is significant and growing latent demand for Syrah’s natural graphite products, particularly in the ex-China market, due to global supply disruptions, including those from Balama,” the company said.
Initially, Syrah will prioritise large-volume breakbulk shipments to expedite customer deliveries and cash inflows.
It said operations at Balama will continue in "campaign mode," adjusted according to market demand.
Additionally, Syrah remains engaged with the Mozambican government and local stakeholders to address resettlement issues and ensure uninterrupted mine access.
A force majeure declaration issued earlier this year remains in effect pending the restart of shipments and further assessment of on-ground conditions.
Mathew Nyaungwa, Editor-In-Chief, Rough & Polished
