CATL to build electric car battery cell factory in Thuringia, page-19

Magnis has secured one sales agreement for 25,000 tpa. The BFS for Nachu has a production target of 240,000 tpa (initial production of 140,000 tpa). With an enormous CAPEX requirement of US$269m (apologies if that figure is incorrect, I’m working off memory) it’s hard to see them funding Nachu until more sales/offtake agreements are signed. No update on the Rosatom MOU, so we’ll assume that is dead until an announcement is made stating otherwise.

Magnis are in the process of updating the BFS for Nachu as well as the graphite processing facility (that will fall under the SEZ Licence). IMO the revised BFS for Nachu should be for production of no more than 80,000 tpa. I think they could reduce the production output target now without plundering the SP as I think they’ve done a decent job of pushing the LiB narrative and I suspect anyone that was invested in MNS purely as a graphite play has probably moved on.

The SP continues to re-test the 52-week low of 36c. IMO it’s just a matter of time before support at 36c fails. With announcements/updates seemingly not having the same positive impact on the SP as they used to, I wouldn’t be surprised if we see a large CR sooner rather than later.