Strategic Funding Boosts Volt Resources’ Bunyu Graphite Project

Volt Resources Ltd has secured a significant new funding pathway after signing a binding term sheet with Unbounded Opportunities Fund SPC, marking an important milestone in the advancement of the Bunyu Graphite Project in Tanzania. The conditional US$11.1 million equity investment is structured to support a redesigned Stage 1 development plan, with a strong emphasis on improving project economics, enhancing capital efficiency, and accelerating the transition toward production. This agreement reflects renewed momentum at Bunyu following a reassessment of development priorities and market conditions.

Under the revised structure, the Bunyu project will be held through Volt Graphite Tanzania plc, with Unbounded Opportunities Fund expected to hold a 62 percent interest following completion of the investment, while Volt Resources will retain 38 percent. In line with Tanzania’s mining framework, the Tanzanian government will receive a free carried interest in the project. The updated Stage 1 development plan targets an initial capital cost of approximately US$37 million and annual production of 40,000 tonnes of graphite concentrate grading 94 percent total graphitic carbon.

A central feature of the revised strategy is the focus on higher production rates and lower unit operating costs compared with the 2023 feasibility update. Estimated operating costs are forecast at around US$450 per tonne on a free on board basis at the port of Mtwara, positioning Bunyu competitively within the global graphite cost curve. The redesigned approach aims to deliver stronger margins and resilience against graphite price volatility, while also improving the project’s attractiveness to lenders and offtake partners.

Unbounded Opportunities Fund will take a lead role in preparing an updated feasibility study and will oversee engineering, procurement, and construction, as well as future operations. Volt Resources, meanwhile, will concentrate on securing debt financing, finalising offtake agreements, and advancing permitting activities. The funding strategy for Stage 1 targets a 70 percent debt and 30 percent equity mix, which, if achieved, would limit shareholder dilution while providing sufficient capital to bring the project into production.

Beyond Bunyu, Volt continues to advance its downstream graphite ambitions in the United States, following encouraging results from a 2025 scoping study focused on graphite refining. Taken together, these developments could strengthen Tanzania’s position as a supplier of battery and industrial graphite, supporting local employment and export revenues. For Volt Resources, the partnership with Unbounded Opportunities Fund represents a strategic reset that could accelerate Bunyu’s development while aligning the company more closely with global demand for critical minerals used in energy transition technologies.

Mini-Glossary

• Binding term sheet: A legally enforceable document outlining the key terms and conditions of an investment agreement.
• Equity investment: Capital provided in exchange for ownership in a company or project.
• Free carried interest: An ownership stake granted without requiring the holder to contribute to development or operating costs.
• Total graphitic carbon (TGC): A measure of the graphite content within an ore or concentrate.
• Engineering, procurement, and construction (EPC): A project delivery model where a contractor manages design, purchasing, and construction.
• Offtake agreement: A contract securing the future sale of a project’s production to a buyer.

Editor: Vural Burç ÇAKIR