Northern Graphite Restructures US$22M Debt to Restart Okanjande Mine in Namibia for Battery Supply Chain Expansion
Northern Graphite Corporation has moved a step closer to restarting its Okanjande Mine in Namibia after eliminating approximately US$22 million in secured debt and accrued interest, removing a key financial constraint on the project.
The company said about US$16 million in senior secured debt, which matured on 29 April 2026, along with roughly US$6 million in accrued interest, will be settled through a restructuring agreement with Sprott Streaming.
As part of the deal, Northern will issue 12.5 million common shares, giving Sprott a 9.9% stake and making it the company’s largest shareholder.
Chief Executive Officer Hugues Jacquemin said the restructuring significantly strengthens the company’s financial position.
By removing the debt and interest burden, he said Northern Graphite has reduced near-term financial pressure and created a clearer path to advance its development strategy.
With its balance sheet strengthened, the company plans to focus on restarting production at both the Lac des Iles mine in Canada and the Okanjande Mine in Namibia.
These operations are intended to supply feedstock for Northern’s planned Battery Anode Material facility in Yanbu, Saudi Arabia.
Although no specific restart date has been announced for Okanjande, the latest update signals that the Namibian asset remains central to the company’s long-term growth plans.
The restructuring also expands Sprott’s involvement in the project. The previous streaming agreement, which had been limited to 350,000 tonnes of graphite concentrate, has now been extended to cover all future production. Sprott also retains an option to convert the stream into a 1% royalty.
Northern Graphite said the transaction removes immediate repayment pressure, improves financial flexibility, and enhances its ability to access capital markets and secure funding for future expansion.
Okanjande is one of Namibia’s most advanced graphite assets and is seen as a potential supplier to global battery supply chains, driven by growing demand from electric vehicles and energy storage markets.
The company describes the mine as fully permitted, with the potential for lower-cost production and a faster restart timeline compared to many competing graphite projects.
It has been on care and maintenance while the company evaluated financing and downstream development options.
If restarted, Okanjande would strengthen Namibia’s position in critical minerals by supporting diversification beyond uranium and diamonds, while linking its graphite resources to emerging battery and industrial markets in the Middle East and beyond.
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