Ann: Syrah Signs MOU with BTR New Energy Materials Inc., page-30

SYR forecast annual production at 241,000 tonnes for <150 micron flake size. This agreement only takes 40,000 tonnes with an earlier sales intent with Hiller Carbon take up to 35,000 tonnes, leaving an overhang of 166,000 tonnes.

Likewise SYR forecast annual production of 114,000 tonnes of >150 micron flake size and this agreement covers 40,000 tonnes of that. Marubeni are taking 50,000 tonnes for Japan and Korea, leaving 31,000 tonnes for the rest of the world.

If BTR take 31,000 tonnes of >150 micron then the order book can be closed for this product range. I can't see it being a problem with growth in demand from the battery industry.

There are a couple of other small sales intents in place, but it still leaves about 160,000 tonnes of <150 micron products to be forward sold into the industrial graphite market. This will have other players worried that SYR might just dump it onto the market at around $300/tonne. I therefore don't expect much of a profit on anything <150 microns.