3.60 in 2 years, page-61

@Shellbell describes Syrah's data concerning its graphite as "misleading", and attempts to justify this claim by quoting CSA Global, who point out that "Not all producers report flake size according to equivalent sieve sizes". Is Syrah actually one of those?

Let's get a few facts here. How does Syrah report its product specifications and performance, and where is this documented?

The baseline head grade at Balama, as mined, is 16 - 18% graphite content (TGC). (Ref: SYR website, and Nov 16 announcement)
Standard product grade, from flotation only, is 95% TGC, and grade after processing through attrition cells is 98% TGC - a level which most graphite producers cannot achieve without expensive acid purification. (Ref: SYR website, and Nov 18 announcement)

Flake sizes are explicitly stated, both in terms of standard US mesh sizes, with the appropriate distribution, (and as flake diameter), on the website, as follows:

-100 mesh: 68% - primary use: spherical graphite production, for Lithium-ion batteries

+100 mesh: 12%)
+80 mesh: 12%) - primary use: traditional uses, in steel making, castings, lubricants, auto parts
+50 mesh: 8%)

While the highest prices are still being currently achieved for large-flake product, used in traditional, low-growth markets, there are no prizes for guessing which of these areas has the biggest potential for future growth in demand. Syrah is clearly focused on the high-grade, fine-flake market (though its production is so large that its volume of large-flake already exceeds that from any other graphite mine)

Syrah has set out in very clear terms what it is producing, and at what grade. When Syrah is using terms like "large", or "fine", they are also defining exactly what they mean by those words. They are open and transparent, and using industry-standard measures . As @moloch reminds us, arguments about flake size, and product grade, are really a rerun of ancient history, mainly from companies that would prefer not to face the glare of a genuine comparison.

Cheers,

Prime1