Comments on "Graphite Sector Research - Pattersons Report", page-5

good post by you as always Pav but can I say what a rubbish report by Patterson's, looks as if its based on a mash up of company presentations and google search results.

their comparisons are over simplified and downright misguided. I'll add that flake size is absolute king and grade in regards to what is 'measured' one affects price the other affects cost, there are other more qualitative measures that impact those two critical factors too which are more difficult to compare an quantify.

High flake size equals high price, most purchasers of graphite will in fact be resellers and have their own purification methods and technologies established, high flake size will allow them the flexibility to do anything they want with the raw material they receive. Saying that purity of KNLs is less that SYR but on the other hand saying that KNLs flake size is significantly larger is ridiculous, don't get me wrong its good for SYR that they can achieve the mimimum level of purity through flotation but due to better flake quality of KNLs it means they can at least beat it, optimum purification is a just a result of tweaking with the process and the term sheet which SYR has probably had more time and effort invested into it. KNLs raw stuff is better it will hence sell for better price.

In regards to cost grade is probably the best comparable measure you have, but there are few other important ones too like how shallow the resource is and the soil structure. There are better graphite mine sat this than KNLs but KNL does well enough, better than TON and SYR in that regard.

ANd im still waiting for Lamboo the biggest joke of the graphite sector to vanish from these comparisons. SIgned an MOU with themselves essentially, only their management are capable of such behaviour.