Sydney, January 28th (Argus) - Australian mining company Syrah Resources produced 34,400 tons of natural graphite at its Balama mine in Mozambique from October to December 2025, higher than the 25,700 tons produced in July to September. There was no production during the same period a year ago.
Syrah stated in its quarterly report on January 28th that the company plans to produce at least 30,000 tons of graphite in January to March this year. If demand increases, the company has the capacity to further expand production.
Syrah's sales and inventory also increased significantly year-on-year in the period from October to December 2025. It sold 28,800 tons of graphite during the quarter, a 230% increase compared to the previous year. During the same period, the graphite inventory increased by 550% to 13,000 tons.
Due to the civil unrest in Mozambique, Syrah announced a force majeure for the shipment from Balama in December 2024. From September 2024 to May 2025, non-violent demonstrators blocked the mine access, forcing Syrah to suspend production. The company resumed operations at Balama in mid-June 2025.
The realized price of Syrah's graphite in the period from October to December 2025 increased by 11% compared to Nacala FOB, reaching $506 per ton. Syrah produces fine and coarse-grained graphite at its 11,250-ton/year AAM (active negative electrode material) plant in Vidalia, Louisiana. Coarse-grained graphite accounts for 14% of Balama's production and is sold at over $1,000 per ton.
Syrah extended the qualification deadline for its 8,000-ton/year AAM purchase agreement with American automaker Tesla to March 16th. The qualification was originally scheduled to be completed on May 31, 2025, and was subsequently extended to February 9, 2026.
Syrah aims to increase its AAM production capacity to 45,000 tons/year by 2029 and eventually increase it to over 100,000 tons/year through the expansion of Vidalia and the construction of new AAM plants.
