S. Korea's POSCO to acquire 15% stake in Australia's Black Rock Mining

POSCO has agreed to buy a 15 percent stake in Black Rock Mining for US$7.5 million, paving the way for it to secure graphite fines, a material required to make anodes.

The steel company said no specific date has been set for the formal signing of an offtake agreement with the Australia-based graphite producer.

The Australian mining firm has a 100 percent interest in the Mahenge Project in Tanzania, which hosts a multi-generational graphite resource.

POSCO wants to lower its reliance on China for graphite to less than 50 percent in the medium to long term.

The steelmaker currently imports all of its graphite to produce anodes from China.

POSCO plans to import 220,000 tons of lithium and 100,000 tons of nickel per year by 2030, which would be used by its affiliate, POSCO Chemical Co., to produce 400,000 tons of cathodes and 260,000 tons of anodes by 2030.

POSCO Chemical is eyeing to supply cathodes to EV battery facilities in South Korea, the US, Europe, and China.