Triton Minerals has set the sharemarket alight and burst back through the $100 million market value barrier after trumpeting a binding offtake deal that should underpin development of its Mozambique graphite project.

Hot on the heels of signing a strategic alliance with Dutch-listed graphite company AMG, Triton followed up yesterday with news of an offtake deal with Yichang Xincheng Graphite, which the Perth junior said could be worth at least $2.6 billion over 20 years.

It sent Triton shares up 20 cents, or 59 per cent, to 53.5 cents, valuing the company at $111 million.

"Triton considers the initial binding offtake agreement with Yichang, which is possibly one of the largest and longest materials supply contracts made in the graphite market, to be an encouraging major milestone in the development of (its) Mozambique graphite (projects)," Managing Director Brad Boyle said.

Triton expects to finish a feasibility study on its most advanced asset, Nicanda Hill, by year's end.