Freehold
Explaining the SYR bubble to a graphite sniffing treehugger is difficult, just as it would be to convince a vegetarian that that particular diet is not logical for humans.
You see, one can only provide opinion, it is for others to decipher the words, then make judgement via their own opinion.
However let me start by saying this.
SYR has a couple of drill holes, $30m in the bank and a MC of some $800m plus.
Would you like me to say that again?
TON, the dirty cousin that catches a cold every time SYR sneezes, has even less of value.
It also does not matter how big your resource is.
You need to:
a) Produce at low cost
b) sell at a sustainable profit (this means using realistic pre bubble prices and allowing for oversupply), and c) continual volume of sales over an extended period.
These two low grade stench piles are so overpriced my head continually hurts.
They will have to sell ongoing to the Chinese below market prices,less costs and freight tax, so good luck with that, unless they achieve their own offtakes, which is highly unlikely considering the market size, there simply is no demand for such oversupply as it is.
Dont be fooled by the latest CR either, oh but some big dude just sunk in $8m.
Please do not ever go there.
RE market, graphite market, yellow cake market, same shite, different name, don't believe the hype.
PS: Watch SYR drop like a sack this week after Glencoe rumours finally come to roost as nothing more than fluff and dribble. TON will follow suit as the ugly cousin, as will MTA.
Yes electric cars, more batteries, blah blah, the graphite market can never actually rise imo, I propose it will decrease quicker than it increases, due to recycling technology advancement and many alternative sources required for all future car batterys etc, at much lower cost/price than graphite.
Speaking of which, the car electric battery diatribe is probably the biggest myth.
Over 50% of lithium batteries use synthetic graphite, thats right synthetic.
More importantly, the current electric car batteries are inadequate for their use as they only allow short distance driving, and my uneducated guess is the market will require a newly developed battery that will allow quick charge up and long distance driving, and whether these batteries will require any graphite at all is very debatable, and my logic and my research tells me no, they will be using a very different technology without graphite.
So the whole graphite market is somewhat of an oxymoron, it will grow yes, but unfortunately less graphite is then actually required due to newer tech and recycling advances.
Not great.
I'm a tad sleepy so will send you some factual info with links etc tomorrow, rather than my mumblings .
Youre welcome.
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