Renascor Resources Limited (ASX: RNU) (Renascor) is pleased to announce that it has entered into a connection agreement with SA Power Networksto upgrade the existing electrical distribution network for the Siviour mine and processing plant, the upstream portion of Renascor's proposed Battery Anode Material (BAM) Project, a vertically integrated battery anode material manufacturing operation located wholly within South Australia.

Commenting on the agreement with SA Power Networks, Managing Director David Christensen said: 'The growth of the lithium-ion battery and anode markets continues to put pressure on the graphite market to meet increasing demand, with the graphite demand trend supporting the need for large, low-cost graphite mines like Siviour. Our agreement with SA Power Networks to upgrade the existing electrical distribution network for Siviour permits us to move forward on a key critical path workstream for the project, as we seek to minimise the length of the construction phase for our planned Siviour mine to permit Renascor's new supply to enter the market in alignment with forecasted nearterm shortages of graphite.'

Renascor's planned graphite mine and processing operation is in the advanced stages of development, with Renascor having obtained its primary mining approvals with the award of the Program for Environment Protection and Rehabilitation2 , completed a DFS-level assessment in its August 2023 Battery Anode Material Study3 and acquired the freehold land hosting both the Siviour Graphite Deposit and the wider mineral lease4 . Renascor's current work programs include a focus on accelerating detailed design, procurement and infrastructure works to minimise the construction period for the planned mining and processing operation. The connection agreement provides for the upgrade of SA Power Network's existing substation in Cleve, located approximately 25km from the proposed Siviour mine and processing plant, with the construction of a new 33kV voltage regulator and transformer. The Cleve substation has the capacity to supply the majority of Renascor's electricity requirements for its planned phase one production at Siviour, with supplementary power to be supplied from solar photovoltaic arrays and on-site diesel generation. The connection agreement also provides for upgrades to portions of the existing overhead powerline network between the Cleve substation and Siviour to permit the transmission at 33kV voltage. The connection agreement with SA Power Networks follows Renascor's previously announced procurement of the long-lead capital equipment for the electrical distribution network5 , with this equipment to be installed as part of the works undertaken with the connection agreement. SA Power Networks has indicated that it will commence physical works next quarter and expects to complete the upgrades in approximately twelve months

Renascor continues to accelerate the development of phase 1 of the planned Siviour graphite mine and concentrate operation to permit Renascor's new supply to enter the market in alignment with forecasted near-term shortages of graphite. Subsequently, Renascor plans to commence a downstream operation to produce Purified Spherical Graphite. This phased development plan is designed to align with graphite market demand and to reduce execution risk prior to investment in the downstream facility

Current and upcoming work programs include

Detailed engineering and design. Renascor continues to advance more detailed engineering and design activities with a view to optimising and minimising the time-period for the planned construction phase. Key work programs include front-end engineering design for the mineral processing plant, with the design for phase one adjusted to account for recent optimisations to flow sheet parameters6 . Additional on-going activities include advancing design work on the tailings storage facility, desalination plant and construction accommodation facility. On-site activities. Renascor recently completed the purchase of the freehold land hosting the Siviour Graphite Deposit and the wider mineral lease7 , permitting Renascor to undertake additional on-site preparatory works. Upcoming work programs include additional geotechnical assessments within the mineral lease to support construction of the mineral processing plant and tailings facility. Pending regulatory approval, further drilling is planned to support further mine pit extensions. Offtake. Renascor is currently in negotiations with lithium-ion battery supply chain participants, including its existing8 and other potential offtake partners, regarding binding offtake terms and potential equity investments to help meet the BAM Project's capital requirements. In addition, in view of the increased production of coarser flake graphite from phase one of its planned production, Renascor is advancing discussions regarding potential offtake terms for coarser flake graphite

Contact:

David Christensen

Tel: +61 8 8363 6989

Email: james@mandatecorporate.com.au

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