Maputo, Sept. 9, 2026 (Lusa) - The Australian mining company Syrah Resources almost quadrupled graphite production at the Balama mine in Mozambique in the first half of the year and is preparing for the first commercial sales of material for electric vehicle batteries produced in the United States using Mozambican raw materials.
According to the half-yearly financial report published on Wednesday, as seen by Lusa, the Balama mine in Cabo Delgado, northern Mozambique, produced around 25,800 tonnes of graphite between January and June, compared with 6,500 tonnes in the same period of 2025, whilst sales and shipments to customers totalled approximately 26,600 tonnes, compared with 1,800 tonnes a year earlier.
The mining company notes that the operating results for this first half of the year were higher than those recorded in the corresponding period last year, which was heavily affected by the prolonged suspension of operations; however, production continued to be constrained by moderate demand for natural graphite outside China and by pressure on the market from global oversupply and competition from Chinese producers.
In the document, Syrah also highlights the progress made at its Vidalia plant in the US state of Louisiana, which is dedicated to the production of active anode material (AAM), a component used in electric vehicle batteries. During the half-year, the facility produced around 150 tonnes of AAM for customer qualification processes and for industrial demonstrations of the plant's production capabilities.
The company states that the teams focused on process optimisation, automation, improving industrial reliability and validating the technical requirements set by customers, adding that the production runs enabled the plant's main areas to operate close to their designed capacity.
According to the report, the launch of the first commercial sales of anode material produced at Vidalia is expected during the current half-year, and is considered an essential step towards securing new commercial contracts and moving forward with the planned expansion of that industrial facility.
Syrah emphasises that its strategy is to include the production of graphite mined at Balama in the manufacture of battery materials in the United States, at a time when governments and car manufacturers are seeking to strengthen supply chains outside China.
In May, the company informed shareholders that it intends to increase annual production at the Balama mine to between 200,000 and 240,000 tonnes, compared with current levels, citing the growth of the global battery industry as the main driver of demand. At the time, it described Balama as the largest source of high-quality graphite outside China, with a mine life of over 50 years and an installed production capacity of 350,000 tonnes per year.
Despite the operational recovery, the half-yearly results show that losses widened to $107.9 million (€94.8 million), up from the loss of $59.8 million (€52.5 million) recorded in the same period of 2025.
The result was affected by an impairment charge of $35.2 million (€30.9 million) recorded on Vidalia's assets, following changes in the market outlook for anode materials, and by an increase in financial expenses, which amounted to $23.9 million (€21.0 million).
The report also notes that there continue to be instances of non-compliance relating to loans granted by the International Development Finance Corporation (DFC) and the US Department of Energy, a circumstance that led the company to classify these loans as current liabilities.
PVJ/AYLS // AYLS
Lusa
