The geology of the project area comprises metamorphic rocks of the Xixano Complex, dated at 735 Ma. Lithologies include schists, mica-schists and psammites, of granulite and upper amphibolite metamorphic grade. The graphite mineralisation is mostly contained in stratiform graphitic schists. The flake size of the graphite is up to 4mm. The strike of the mineralised lithologies at Balama is generally north east. The layering of lithologies to the east at Balama East is disrupted by the emplacement of a granite intrusion.

The mineralisation interpretation extends over a strike length of 1,050 m and 1,450m at Balama West and Balama East, respectively. The mineralisation is open to the west, east and north.

Syrah proposes to mine the Balama resource using conventional open pit mining methods. Some of the softer material in the oxide zone is identified as free-dig, meaning no drilling and blasting is required for this material.

The processing plant was designed by Chalieco and Changsha Engineering and Research Institute Ltd of Nonferrous Metallurgy with a feed rate of 2 million tonnes per annum using conventional processes including:
- crushing and screening;
- grinding;
- flotation;
- filtration and drying;
- classification and screening;
- bagging.