Australian graphite company EcoGraf (ASX: EGR; Frankfurt: FMK) announces the completion of the updated Resettlement Action Plan (RAP) for its Epanko graphite project in Tanzania. With the completion of the plan, which will now be submitted to the relevant authorities, the company has taken a key step towards debt financing and orderly land use for the planned project start.
RAP Aligned with International Standards and Financing Path
The updated RAP provides the framework for land access and resettlement around the Epanko Graphite Project.It has been designed to meet the performance standards of the International Finance Corporation (IFC) and the Equator Principles. This includes the complete demarcation of the land, an inventory of assets, and socio-economic surveys of all affected households (“project-affected persons,” PAPs). Parallel to the planning, implementation has already begun: PAPs are being registered with the National Identification Authority (NIDA) on an ongoing basis, which enables the opening of accounts for the payment of compensation.
EcoGraf emphasizes that the cost estimates for RAP implementation are within the total capital costs updated in 2023. The new plan builds on the 2017 RAP, which could not be implemented under the regulatory situation at that time. With the completion of the revision, EcoGraf is now addressing both the physical and economic impacts of resettlement and creating a robust basis for the further development of the Epanko graphite project.
Engagement of Communities and Authorities – Structured Dialogue
Transparency with local stakeholders is a core element of the EcoGraf RAP, according to the Company. The contents are disclosed to the affected communities, and copies are also sent to the Ulanga District Council and the Morogoro Regional Council. At the national level, the Ministry of Minerals, the Chief Government Valuer, the National Environment Management Council (NEMC), and the Ministry of Lands, Housing and Human Settlements Development, among others, are involved.
For ongoing coordination, a Resettlement Working Group (RWG) consisting of representatives from the community and the district administration was reactivated in 2023. It acts as a formalized body for communication and decision-making. In addition, EcoGraf employs community liaison officers who act as an interface between the implementation team and residents. Overall coordination is handled by an experienced RAP manager on site. For EcoGraf, this structured process is crucial for bringing together the requirements of various stakeholders and making the implementation steps for Epanko plannable.
New Settlement Area and Livelihood Restoration Programs
Together with local stakeholders, EcoGraf has selected the Mbera–Kitonga and Epanko B areas as resettlement sites. This location is preferred by the Epanko community because it maintains proximity to the district capital Mahenge and offers access to agriculturally suitable land. The new site includes replacement homes for all households choosing in-kind compensation, as well as central facilities such as a primary school, a health care facility, and a church.
Beyond the physical resettlement, the RAP provides for extensive programs to restore and diversify livelihoods. The aim is to stabilize existing sources of income in the new environment and to open up additional earning opportunities through training and equipment. For EcoGraf, this is an integral part of addressing economic resettlement on an equal footing with physical relocation and structuring the transition for the families affected.
Significance for EcoGraf and the Epanko Graphite Project
With the completion of the RAP, EcoGraf fulfills an essential prerequisite on the path to external financing for Epanko! The plan is the central steering document for the orderly implementation of land access, compensation, and infrastructure measures—and thus for creating the conditions for further project development in Tanzania’s graphite sector. In practice, this means that compensation payments are prepared, infrastructure is defined, and administrative processes between municipalities, districts, and national authorities are coordinated.
Managing Director Andrew Spinks comments that the revaluation of community assets and the updating of the RAP have been a major focus over the past two years and were among the critical path activities of the debt due diligence. The completion marks an important milestone that was only possible through close cooperation with the community as well as district and regional governments.
For readers of GOLDINVEST.de, the message is clear: with the finalized resettlement plan, EcoGraf is strengthening the governance and financing basis for Epanko. The focus is on compliant implementation in accordance with IFC standards and Equator Principles, the early involvement of all stakeholders, and the integration of resettlement, infrastructure, and income programs. In the further project chronology, the RAP is likely to serve as a reference framework for the next implementation steps – from land transfer and compensation to the establishment of project-related infrastructure in Epanko. In line with the central importance of this step in the development of Epanko, the EcoGraf share price in Australia has continued its upward trend of 2025. The share closed 15.5% higher at AUD 0.56 Down Under, with high trading volume!
