EcoGraf Limited (ASX: EGR; FSE: FMK) has invested more than 3.5 million AUD over the past two years in comprehensive environmental and social programs to ensure that the planned Epanko graphite mine meets the highest sustainability standards. The independent audits by internationally recognized experts include detailed biodiversity studies, hydrogeological models of available process water, and an assessment of the tailings storage facility through to mine closure.
Furthermore, the study includes the resettlement plan and compensation plans approved by the government’s chief appraiser. A medical care station has just been completed at Epanko. The handover ceremony with local government officials and community leaders is planned for this month. The facility will provide medical assistance to the villagers of Epanko and reduce the need to travel to Mahenge for care. The results presented now show no obstacles to the development of the project.
Special Mining License Recently Granted
The completion of the environmental and social program follows the recently granted Special Mining License (SML), which fully supports the original 18-year mine life on which the current feasibility study is based, with the right to extend to 25 years or beyond, depending on the potential future life of ore reserves. The company will update the SML along with the revision of the life of mine plan.
The thoroughness of the preparation for future mining operations can be measured by the multitude of plans that have now been developed. There is an air quality management plan, a vibration management plan, a water resource management plan, a biodiversity management plan, a non-mining waste disposal plan, and a hazardous materials disposal plan. Similarly, there are plans for tailings disposal, soil, erosion and sedimentation control, control of invasive alien species, as well as an emergency preparedness and response plan. Additional plans regulate stakeholder engagement, community health, safety and protection, as well as traffic and road safety management and cultural heritage management.
In preparation for the planned construction phase, the company has appointed a highly experienced resettlement manager who will work with the environment and community manager to oversee resettlement activities with the community in accordance with the Equator Principles.
Conclusion: Ecograf has committed to adhering to the highest standards in environmental, social, and corporate governance. The effort for this is considerable. In the past two years alone, corresponding programs have cost 3.5 million AUD. Only this high level of transparency and the involvement of the local population make the project financeable for international lenders. One should not underestimate the strong multiplier effect of the project in Tanzania: The development of Epanko will bring generational financial and social improvements to the region. It is estimated that the projected 4,500 indirect employees will generate an additional indirect economic value of over 9 billion US dollars over the life of the mine.
