Titan Mining Corporation ( TSX:TI , NYSE-A:TII )'s wholly owned subsidiary, Empire State Mines, has signed a preliminary agreement with the US Army to develop a graphite processing facility at Anniston Army Depot in Alabama.
The term sheet covers an enhanced-use lease for about 97 acres, with Empire State Mines responsible for financing, building, owning and operating the proposed facility.
The plant would initially produce purified micronized graphite for defense, industrial and energy applications, with a potential second phase focused on coated spherical purified graphite used in lithium-ion battery anodes.
The agreement provides for an initial 50-year lease with two 25-year renewal options, potentially giving Empire State Mines access to the site for as long as 100 years.
The Army would have a right of first offer on certain uncommitted production, capped at 10% of the facility's annual output, giving the military potential access to domestically processed graphite.
The project is part of a broader US government effort to expand domestic processing of critical minerals and reduce dependence on China for materials used in defense, batteries and advanced manufacturing.
The Army selected Titan Mining in June for graphite processing facilities at Anniston and Pine Bluff Arsenal in Arkansas, with construction targeted to begin in the second half of 2027.
Titan Mining currently produces natural flake graphite at its graphite operation in upstate New York, but the material is sent to Germany for processing before being returned to US customers.
The Alabama facility would help establish a domestic graphite processing supply chain as the US seeks alternatives to China, which dominates global graphite production and processing.
