With SYR shareprice now at $3.10 and graphite sentiment improving I've updated my extrapolation from above to the following:
price target, bottom end $1.48 (up from $1.31) @ Q2 2019 (start of flake production)
price target, top end $3.71 ( derived from top-end target for Syrah @ $7.80 based on broker estimate by Credit Suisse in Feb 2017 )
This is on simple assumption that BAT units of production for graphite have same value as SYR units of production when BAT get to the same project development status SYR are at now (SYR are at 90% project completion status with production schedule to commence in August 2017).
Note - this does not take into account value-add from the proposed PSG operation in the US. Production date Q2 2019 from BAT June 2017 Investor presentation.
BAT Price at posting:
6.9¢ Sentiment: Buy Disclosure: Held
(20min delay)