World's Largest Known Graphite-Vanadium Deposit Found In Mozambique, page-31

The big question is what to do with the biggest graphite and vanadium deposit

Why play to the format the little guys use when you could grow into a giant? By that i mean, why look at these MOUs and offtakes for 20-50-100ktpa?

As the broker report said there are advantage to having a large despoit, such as being able to cherry pick. The other imo is with vanadium and possible zinc credits you dont nessisarly need to make the most from the graphite just a high turnover.

What if TON went about another way......im just throwing out some ball figures for an out of the box idea

what if they went BIG pulling a deal no small graphite player could ever play one that would no doubt rock the market place........

An agreement with a big recarburiser player that saw them stump up the cost of a 1mtpa plant and from that they receive 750ktpa of 92%+ graphite that it requires. Say at $400/t for 10 years. SYR is selling at $1000/t into this market. TON then keeps 250,000tpa of the largest flake to on sell into the traditional markets which fetch the premium prices.

Ballpark-ish numbers:

SYR's 1.2mpta processing plant was said to cost $90m, TON would require 10mtpa - given it costs less as you scale up lets say thats $500m plant cost.

Reduces cost to $300/t and sells 750,000 at $400 (or say 35% over cost)

Recarburiser player saves 750k x $600 per year which is $450m/year for 10 years. (not bad for a 500m outlay)

TON makes 75m from the 750ktpa, plus makes a profit of close to $1000/t ($1300/t av with $300/t cost) on the remaining 250kt of large flake graphite for another $250m. Anyone care to guess the money that would be made vanadium when you're processing 10mtpa? Plus possible zinc.

With that sort of cash flow TON can easily finance the vanadium plant themselves and expand the graphite plant as they see fit. I know it seems crazy, 1mpta....but a recourse this big - well just on the 12.5% cut off thats 56 year of mining the current indicated.

Massive numbers, i guess my main point is it serves no one having all the recourse sitting in the ground so why not be aggressive and create a massive win/win with a key partner.