International Graphite (ASX: IG6) Announces Land Acquisition for Collie Facility
International Graphite Limited (ASX: IG6) has, in a recent investor update, confirmed the settlement on its purchase of industrial land for its planned Collie processing plant. This marks a material milestone towards establishing Australia’s first commercial-scale graphite micronising facility and is an important step in addressing global supply chain vulnerabilities.
The company acquired three lots totalling 6,000 square metres in the Collie Light Industrial Area from DevelopmentWA. The land parcel is advantageously positioned directly opposite IG6’s existing research and development facility, which currently houses Australia’s first pilot graphite micronising plant.
Essential power supply has been approved by Western Power, and a development application is in its final stages with the Shire of Collie. Furthermore, the company is collaborating with designers to finalise the detailed facility design, with major plant and equipment items already ordered. The acquisition cost aligns with capital cost estimates previously published, demonstrating disciplined project forecasting.
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“The International Graphite Collie Facility is coming online at a pivotal moment for global graphite supply. Interest from manufacturers has been strong, with many seeking reliable alternatives to tenuous overseas supply. Several companies are now assessing our products,” said Andrew Worland, Managing Director and Chief Executive Officer.
What is Graphite Micronising and Why is it Important?
The facility at Collie will perform graphite micronising, the mechanical process of reducing natural graphite to ultra-fine particles, typically below 10 microns. This processing is critical for producing battery-grade graphite and expandable graphite for industrial applications.
Battery manufacturers cannot use natural graphite flakes directly in lithium-ion anodes. The material requires precise particle size reduction and shaping to meet the technical specifications for battery performance, energy density, and charging characteristics.
Currently, China controls approximately 95% of global graphite processing capacity, creating a considerable supply chain concentration risk. The Collie plant represents Australia’s entry into this supply chain segment, addressing the growing demand for supply diversification.
This development is part of IG6’s integrated mine-to-market business model. This vertical integration enables the company to capture margin at each processing stage whilst maintaining quality control. Processing capacity is the primary bottleneck in graphite supply chains globally, and this facility targets that constraint, positioning IG6 to generate revenue from its own mining operations and potential third-party feedstock.
| Key Terms | Definition | Investment Relevance |
|---|---|---|
| Micronising | Mechanical reduction of particles to micron-scale dimensions | Essential processing step for battery-grade graphite |
| Battery-grade graphite | Processed natural graphite meeting purity and particle size specifications for lithium-ion battery anodes | Highest-value graphite product segment |
| Expandable graphite | Intercalated graphite used in thermal management and fire retardants | Diversified revenue stream beyond battery markets |
| Integrated supply chain | Mine-to-market business model controlling key production stages | Margin capture and supply security |
Where is the Facility Located and What Are the Advantages?
The International Graphite Collie Facility will be located in the Collie Light Industrial Area in Western Australia, a government-designated “Super Town” earmarked for major industrial growth. The site selection reflects key infrastructure and logistical considerations.
Collie offers several advantages for industrial operations. Established infrastructure, including power, water, and transport logistics, reduces capital expenditure requirements. The site’s direct proximity to IG6’s research and development facility enables a seamless transfer of technology from pilot to commercial scale.
The town benefits from rail and road connectivity to Bunbury Port, approximately 60 kilometres away, facilitating export logistics. Moreover, labour availability in this established industrial town supports operational requirements.
Worland noted the value of the land acquisition: “Premium land in WA’s south-west is becoming scarce. In developing this site we expect to generate value well above the capital invested.”
The Western Australian Government has provided a $12.5 million package of grants over the past three years to progress IG6’s projects, demonstrating state-level commitment to critical minerals processing.
| Site Factor | Collie Advantage | Investment Significance |
|---|---|---|
| Infrastructure | Established power, water, transport | Reduces capital expenditure and project risk |
| Regulatory pathway | Power approved, development application in final stages | Accelerates construction timeline |
| Government support | $12.5M grant package, DevelopmentWA involvement | De-risks funding and shows policy alignment |
| Logistics access | 60km to Bunbury Port via rail/road | Export capability for international customers |
| Technology transfer | Direct proximity to operational R&D facility | Proven process scalability reduces technical risk |
How Does the Facility Address Global Supply Chain Vulnerabilities?
The timing of the International Graphite Collie Facility development aligns with significant stress points in global graphite supply chains. China’s control of approximately 95% of global processing creates concentration risk for battery manufacturers and downstream industries.
Consequently, manufacturers and governments are increasingly prioritising supply diversification, creating demand for alternatives in allied nations. The geopolitical dimensions of critical mineral supply chains have become a key priority following supply disruptions and concerns over export restrictions.
Worland confirmed strong pre-production interest: “Interest from manufacturers has been strong, with many seeking reliable alternatives to tenuous overseas supply. Several companies are now assessing our products.”
This manufacturer engagement before commercial production begins indicates potential pricing power and de-risks the commercial ramp-up phase. The pilot plant has demonstrated process viability, major equipment items have been ordered, and the regulatory pathway has advanced with power approval secured.
| Milestone | Status | Risk Reduction |
|---|---|---|
| Land acquisition | Completed (November 2025) | Site security established |
| Power supply | Approved by Western Power | Critical infrastructure confirmed |
| Equipment procurement | Major items ordered | Long-lead items secured, timeline de-risked |
| Development approval | Final stages with Shire of Collie | Regulatory pathway clear |
| Customer engagement | Multiple companies assessing products | Pre-production demand validation |
What Products Will the Collie Facility Produce?
The International Graphite Collie Facility will produce multiple graphite products targeting distinct market segments. Battery-grade graphite represents the highest-value product category, meeting stringent purity and sizing specifications for use in lithium-ion battery anodes.
In addition, the plant will produce expandable graphite, a value-added product used in fire retardants, building materials, and thermal management applications. This product diversification allows IG6 to target multiple revenue streams and mitigate risks associated with reliance on a single market.
This ASX announcement provides an update on a key development for International Graphite. The company is positioning itself to become a key participant in the ex-China graphite supply chain, a development that will be closely watched by investors.
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