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New feasibility study supports vertically integrated graphite supply for EVs

By Michelle Froese | March 26, 2025

Nouveau Monde Graphite Inc. (NMG) has released the results of its Updated Technical Feasibility Study for the Matawinie Mine and Bécancour Battery Material Plant, confirming the technical and economic viability of its integrated Phase-2 operations.

The study, prepared by BBA Inc. and specialist consultants in accordance with NI 43-101, incorporates technological updates, engineering advancements, and revised economic assumptions.

Designed to serve the North American electric vehicle (EV) and energy storage markets, NMG’s vertically integrated model provides a local, turnkey source of natural graphite active anode material. The company has signed offtake agreements covering over 80% of its planned Phase-2 production with Panasonic Energy and General Motors, establishing strong customer alignment and market validation.

The feasibility study indicates a combined after-tax Net Present Value (NPV) of US$1.05 billion and after-tax internal rate of return (IRR) of 17.5% for the integrated project. Capital expenditures for the two greenfield sites are estimated at US$1.33 billion, with projected payback in five years. Financial metrics are reported in U.S. dollars to align with NMG’s expected revenue, project financing, and capital expenditures.

The Matawinie Mine will supply feedstock to the Bécancour Battery Material Plant, which will refine the material into advanced anode products tailored to customer specifications. The integrated flowsheet is designed for operational efficiency, carbon-neutral performance, and supply chain localization. The projects will be powered by Québec’s low-cost, clean hydropower.

Refined engineering, procurement planning, and feedback from anchor customers informed design and production planning, enabling a more competitive operational profile. The study also reflects applicable government incentives, such as Canadian clean technology and zero-emission tax credits, which enhance after-tax returns.

With most of its future production committed and infrastructure planned near major battery and EV manufacturing hubs, NMG’s integrated model aims to provide cost-effective, resilient, and responsible materials to the clean energy economy. The company is now preparing for a final investment decision (FID) and commercial production could begin within three years of approval.

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Filed Under: Technology News
Tagged With: nouveaumondegraphite
 

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