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#BRES Blencowe Resources PLC – Hydropower Study Confirms Sustainable, Low-Cost Power Supply for Orom-Cross
Blencowe Resources Plc (LSE: BRES) is pleased to announce the completion of an initial hydropower study for its Orom-Cross Graphite Project in Uganda. The study confirms the availability of abundant, low-cost, and renewable hydropower from the Ugandan national grid, providing a strategic advantage for the Project’s future mining and processing operations. This marks a major step towards Blencowe’s commitment to sustainability and its ambition to deliver a net-zero graphite operation.
Key Findings of the Hydropower Study
· Plentiful renewable energy: Two high-capacity power transmission spurs extend to the regional grid near to Orom-Cross, one from the Bujagali Hydroelectric Dam in Jinga and the other from the Isimba Hydroelectric Dam, both located on the Nile River. This ensures a reliable supply of renewable energy to Orom-Cross, including redundancy.
· Low Cost Advantage: Uganda’s hydropower tariffs are significantly lower than regional African comparisons, positioning Orom-Cross as one of the lowest-cost graphite producers globally.
· Ample Capacity: Uganda currently has over 1,000 MW of installed hydropower capacity, with additional hydro-projects underway. Orom-Cross’s power demand of 12MW (Phase 2) rising to 40MW at full production can be comfortably accommodated.
· Advancing towards Power Purchase Agreement (PPA): The Company is now working towards securing a long-term PPA with Uganda Electricity Transmission Company Limited (UETCL) to formalise the supply of low-cost hydroelectricity for the Project.
· Net-zero Potential: Access to 100% renewable energy for strengthens Blencowe’s ability to achieve net-zero production, making Orom-Cross one of the most environmentally responsible graphite projects globally, a critical factor for funding providers and offtake partners in Europe and North America.
Strategic Importance of Hydropower for Orom-Cross
Reliable, green, and cost-effective energy is a major advantage as Blencowe moves towards first production in 2026. Orom-Cross will require 12MW for Phase 2 commercial scale production, scaling to 40MW at full ramp up, making power a critical cost factor. The study reinforces confidence that Orom-Cross can operate with one of the lowest carbon footprints in the graphite sector, aligning with global ESG and sustainability standards.
Hydropower access strengthens Blencowe’s appeal to OEMs, battery manufacturers, and critical mineral end-users seeking to secure sustainable supply chains. It also enhances discussions with potential offtake and funding partners, particularly in Europe and North America where securing non-China supply is a priority.
Downstream Beneficiation
A key differentiator for Orom-Cross is Blencowe’s plan to develop a beneficiation facility near the Karuma Power Station, (190kms from site) in partnership with one of the most world’s leading SPG producers (“SPG Partner”). This facility will upgrade 96% small fines graphite concentrate to 99.95% SPG (spheronised purified graphite) significantly increasing value and returns.
A low-cost, high-capacity power source is essential for this process. Blencowe intends to leverage its SPG Partner’s proven thermal purification technology which requires considerable energy. This technology eliminates the need for acid leaching and avoids associated environmental concerns.
The availability of abundant, cost-effective hydropower makes this downstream processing strategy viable and highly competitive, reinforcing Orom-Cross’s position ahead as a premier graphite supplier.
Next Steps
Blencowe will continue discussions with UETCL and the Ugandan Government to finalise a PPA and integrate renewable energy planning into the ongoing Definitive Feasibility Study (DFS). Additional studies will be conducted to assess potential power demand scenarios as Orom-Cross scales up production.
Executive Chairman Cameron Pearce commented:
“Access to abundant, low-cost hydropower directly from Uganda’s national grid represents a major strategic advantage for Orom-Cross. This will enable us to operate sustainably with one of the lowest carbon footprints in the graphite sector while keeping production costs highly competitive.”
“We are committed to building one of the world’s most ESG-friendly graphite projects, and securing clean energy is a critical milestone towards that goal. With work now progressing to formalise a PPA, we are securing ensuring a long-term, sustainable power solution that aligns with our development timeline.”
Conclusion
The integration of hydropower into the Orom-Cross development plan underscores Blencowe’s strategic vision to establish a low-cost, high-purity, and net-zero graphite operation. As the Company advances its DFS and project financing discussions, securing sustainable energy further enhances Orom-Cross’s appeal to global investors, end-users
Blencowe remains focused on delivering a world-class graphite project with industry-leading sustainability credentials and looks forward to providing further updates as the PPA process advances.
Figure 1: Isimba Hydroelectric Power Station, Uganda
For further information please contact:
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Blencowe Resources Plc Sam Quinn |
www.blencoweresourcesplc.com Tel: +44 (0)1624 681 250
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Investor Relations Sasha Sethi |
Tel: +44 (0) 7891 677 441
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Tavira Financial Jonathan Evans |
Tel: +44 (0)20 3192 1733
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Twitter https://twitter.com/BlencoweRes
LinkedIn https://www.linkedin.com/company/72382491/admin/
Background
Orom-Cross Graphite Project
Orom-Cross is a potential world class graphite project both by size and end-product quality, with a high component of more valuable larger coarse flakes within the deposit.
A 21-year Mining Licence for the project was issued by the Ugandan Government in 2019 following extensive historical work on the deposit. Blencowe completed a successful Pre-Feasibility Study on the Project in July 2022 and is now within the Definitive Feasibility Study phase as it drives towards first production.
Orom-Cross presents as a large, shallow open-pitable deposit, with an initial JORC Indicated & Inferred Mineral Resource of 24.5Mt @ 6.0% TGC (Total Graphite Content). This Resource has been defined from only ~2% of the total tenement area which presents considerable upside potential ahead. Development of the resource is expected to benefit from a low strip ratio and free dig operations together with abundant inexpensive hydro-electric power off the national grid, thereby ensuring low operating costs. With all major infrastructure available at or near to site the capital costs will also be relatively low in comparison to most graphite peers.
In 3Q 2024 Blencowe introduced a Joint Venture concept with experienced downstream graphite processing partners to ultimately produce upgraded 99.95% SPG in Uganda. This strategy has several key advantages plus substantial cost savings which will assist deliver a world class project once DFS is completed.
Kavango Resources #KAV – Kavango appoints leading financial adviser to push forward KSZ JV discussions KAV) – Will Schafer
Tuesday saw Botswana-focused explorer Kavango Resources double down on efforts to secure a partner or partners for its flagship Kalahari Suture Zone (“KSZ”) project.
In an update, the company reported that it has engaged global natural resources adviser Tamesis Partners in respect of a possible corporate transaction involving the KSZ.
It said it already has in place a number of non-disclosure agreements with interested parties, and will now advance discussions with additional parties alongside Tamesis.
To aid in this, Kavango has established an extensive data room to share information relating to the KSZ project, where it is exploring licences covering more than 8,000km2.
The KSZ is thought to be geologically favourable for mafic-ultramafic mineralisation, including massive nickel, copper, and PGE sulphides. This is because deep-seated structures are repeatedly activated and may enable the ascent of fertile mantle-derived magma to surface. Specifically, Kavango is looking for mineralisation associated with two large rock layers–the Karoo Large Igneous Province and the regionally extensive Proterozoic (Tshane Complex).
In Tuesday’s update, Kavango highlighted Tamesis’ strong track record of mining sector transactions, adding that its team boasts extensive financial and technical expertise. It said this would assist in its search for potential partners as well as guiding what sort of structure a deal would take.
Kavango’s current thinking is that a corporate transaction for the KSZ could involve a joint venture, an earn-in, direct investment, or another similar mechanism. Whatever ends up being the case, the explorer made it clear that its goal is to maximise its exposure to the potentially large value of the KSZ while minimising dilution to shareholders.
As pointed out by Kavango’s chief executive Ben Turney, Tuesday’s news follows last week’s publication of a technical review for the KSZ authored by industry veteran Richard Hornsey. Following the release of the documents, “Kavango is now ready to engage formally with potential partners for future development of this large-scale exploration project,” he said.
This is because Hornsey’s report included significant geochemical proof of magmatic nickel, copper, PGE mineralising processes throughout the KSZ. These processes, which include depletion and enrichment, were found in intrusions located in both Karoo and Proterozoic rock. Hornsey’s work also confirmed previously unrecognised PGE potential in the KSZ South.
Kavango is exploring primarily for two different styles of mineralisation at the KSZ.
The first is in the same style as the Norilsk project, which accounts for 90% of Russia’s nickel reserves, 55% of its copper and virtually all of its PGMs. The company’s licences display a geological setting with numerous similarities to the project.
The second centres around the KSZ’s Great Red Spot anomaly, where recent drill holes appear to support a late 1990’s theory that the area could host a form of Iron Oxide-Copper-Gold, or “IOCG”, style mineralisation.
IOCG systems can host highly valuable copper, gold and uranium ores. The large size and relatively simple metallurgy can produce extremely profitable mines. Specifically, the Great Red Spot exhibits similar geophysical signatures to the world-renowned Olympic Dam IOCG ore deposit in Australia.
As confirmed in today’s release, Kavango’s ground exploration at the KSZ project will continue as its efforts to secure a JV partner step up. 
“Our main focus in the coming months will be to act on the recommendations made in the Technical Review and build on the project’s growing momentum,” said Turney. “We have a number of leads to pursue immediately and will continue advancing the B1, B3 and B4 conductors to drill ready status.”