Titan Mining Corporation (TSX: TI, NYSE-A: TII) is advancing one of the most economically compelling graphite development stories in North America, with a 2027 construction start target for its Kilbourne Graphite Project in Gouverneur, New York — and the numbers behind the project are hard to ignore.
A Preliminary Economic Assessment (PEA) released December 1, 2025, outlines an after-tax net present value (NPV) of $513 million at a 7% discount rate, a pre-tax NPV of $581 million, and an after-tax internal rate of return (IRR) of 37.0%. The payback period clocks in at just 2.7 years — a relatively tight timeline for a mining development of this scale. Average annual EBITDA is projected at $125 million, with margins ranging between 58% and 69% over the project's 13-year mine life.
Strategic Positioning in a Critical Supply Chain
The Kilbourne project is not simply a mining play. It sits at the intersection of two of the most consequential industrial trends of the decade: the electrification of transport and the reshoring of critical mineral supply chains. Graphite is an essential component in lithium-ion battery anodes, and the United States currently imports the vast majority of its supply from China.
At nameplate capacity, the Kilbourne project is designed to produce 40,000 tonnes of graphite concentrate annually — equivalent to approximately 50% of current U.S. natural graphite demand. That makes it a material contributor to domestic supply security, not merely an incremental addition.
Federal Backing Adds Weight to the Timeline
The project has attracted meaningful federal financial support. The U.S. Export-Import Bank has issued a non-binding Letter of Interest for $120 million in construction financing — covering the majority of the initial construction CAPEX of $156 million. Additionally, Titan secured $5.5 million in non-dilutive EXIM Make More in America (MMIA) funding to finance the upcoming Feasibility Study, making Kilbourne the first EXIM-funded domestic feasibility study of its kind.
The company is also positioned to benefit from Section 45X Advanced Manufacturing Tax Credits, applicable to both anode material and critical mineral production — a further tailwind for project economics as Washington deepens incentives for domestic battery supply chains.
Phased Production With a Premium Product Mix
Total capital expenditure across construction, expansion, and sustaining phases reaches $431.7 million. Titan plans a staged production ramp: initial output will focus on standard purity flake concentrate and micronized natural flake graphite, before adding Coated Spherical Purified Graphite (CSPG) anode-grade material starting in year five. CSPG commands a weighted average price of $11,193 per tonne — nearly seven times the $1,575/t realized for standard flake concentrate — significantly enhancing long-run revenue potential.
The project's inferred mineral resource stands at 22.4 million tons grading 2.91% carbon graphite (Cg), containing an estimated 653,000 tons of graphite. Critically, only 30% of the deposit's strike length has been drilled to date, leaving substantial resource upside on the table.
Milestones to Watch
The path to 2027 construction runs through several near-term catalysts. Customer qualification sales production began in Q4 2025, with formal customer qualifications targeted for Q1 2026. The Feasibility Study is expected to be completed during 2026 — a pivotal de-risking milestone that will determine final project sanction and financing terms.
CEO Rita Adiani leads the Augusta Group-backed company, which also operates the Empire State Mine in New York, supplying zinc concentrate. With 160 additional permanent positions planned at Kilbourne and a total projected workforce exceeding 300 across combined operations, the project carries regional economic weight alongside its supply chain significance.
For investors and market watchers tracking the critical minerals space, Kilbourne represents a rare confluence of strong standalone economics, federal backing, and strategic alignment with U.S. industrial policy — with a construction trigger now firmly in sight.