Hi Semi another great day for Walkabout Resources as they move towards development subject to Mining licence. What an amazing achievement by management whom historically had to achieve lots on limited funds. Well these guys deserve a pat on the back.
"Well done Management"
From Reiners post on another forum and have used the same slide below.What we know is expandable markets are limited in nature and a reliable supply of material is required. WKT is very much focusing on expandable and high end niche market products as apposed to other graphite company's hoping to supply the battery and refractory markets.
Four discrete products is all WKT intend on supplying the end user market in the 94-97% purity range. This is where the best value is achieved with more certainty of reliability of material to end user supply contracts as per specification requirements. I have know doubt WKT could do much more with there product but keeping it simple on start up is a considered balanced approach.
Mesh size and why is larger flake more valuable?
Calculating Mesh size to flake size is some times just a number but in a market it has value and increasing number.
Larger flake is more valuable because it is limited in nature
Example purpose only A4 size sheet of paper.
(Super jumbo) + 48 mesh.If we were to drill out the A4 sheet with 2mm holes assume 1000 drill holes all touching each other would be made.
Fine flake/Amorphous.A 1mm hole would give you 2000 smaller holes on the same size sheet of A4 paper
With this example used as a template on a heavy sheet metal screen basic mechanics will not allow the larger flake to pass thru the smaller holes as it moves a long the screen.The smaller flake will pass thru the screen and separation of larger and smaller flake occurs.Mesh size equals flake size....
Smaller flake size is more abundant in nature and thus has the lowest selling price.
Larger flake size is limited in nature and receives a premium (Niche markets) Not all graphite is expandable and today an important point of difference for WKT/ to the lower priced refractory and battery markets is being suitable for premium expandable markets.
Walkabout Resource have 75% of there graphite distribution in the high end premium market range and rated best in class. Valuable Vanadium reports to the tailing where a study is now being done to extract this hidden value not captured in the DFS. Estimates are this could bring substantial further revenue.
Expandable market prices increasing higher than battery markets a market now only just being chased as others now re model and follow WKT/GPX
(Red box example only to show larger drill hole equals smaller mesh size) Higher value
Walkabout Resource have a lot to forward to as the company moves to development and also expands it's diversity program in Ireland and Namibia. Hard to believe we have 90 km of surface lithium bearing pegmatites to be explored with everything going on...
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