Getting back to Skaland,In November MRC released its maiden ore...

Getting back to Skaland,

In November MRC released its maiden ore reserve for the Skaland graphite project.
It detailed the following table showing its flake distribution and TGC grade.



The average TGC for the graphite produced at the mine was 91.2%. MRC's QTR report detailed the TGC grade has now increased the TGC to 93%, it is unclear if this is the result of the change of the grinding medium or if this is from the 4th stage of grinding/polishing. If it is without the 4th stage being installed this improvement is significant as previous months we were seeing an average TGC grade of only 87%, (Blue image 3), If we see a further improvement to the TGC, this should assist in increasing the average graphite price.

The average price per tonne of graphite MRC received for the December QTR was US$721 per tonne, which is slightly under the NPV's average basket price of US$742 per tonne.



The Post Tax project NPV of US$38.3mil - $54mil AUD (Green highlight in image 2). this is based on 10ktpa of graphite production and the average basket price of US$742 per tonne. The December QTR report detailed our QTR production had now increased to 2763 tonne (Yellow) giving us an annual production of 11,000tpa.

When you consider MRC's MC is $77mil. we either have no value for our graphite project that should warrant an MC of $54mil (NPV). or we have a total value for Tormin of only $23mil. I can certainly see why MRC management are intending to spin Skaland into a newly listed company.