StockWatch
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Major Chemicals
Project UpdateAug 10, 2026, 08:34 AM

Zentek Albany Graphite PEA: $3.85B After-Tax NPV, 27.4% IRR

AI Summary

Zentek Ltd. announced the results of a new Preliminary Economic Assessment (PEA) for its Albany Graphite Project, revealing robust economics. The project boasts an after-tax Net Present Value (NPV) of $3.85 billion at a 5% discount rate and an after-tax Internal Rate of Return (IRR) of 27.4%. Targeting ultra-high-purity graphite for nuclear and defense sectors, the PEA outlines an initial capital cost of $817 million, a 4.4-year payback period, and a 30-year mine life, utilizing an acid-free purification process.

Key Highlights

  • After-tax NPV at 5% discount rate: $3.85 billion.
  • After-tax Internal Rate of Return (IRR): 27.4%.
  • Initial capital cost estimated at $817.0 million.
  • After-tax payback period: 4.4 years.
  • Project mine life: 30 years.
  • Average annual net revenue projected at $639.3 million.
  • Indicated Mineral Resources: 23.1 Mt grading 4.14% Cg.
  • Inferred Mineral Resources: 13.3 Mt grading 2.88% Cg.