http://docplayer.net/6686145-Mrl-about-to-be-one-of-world-s-highest-grade-graphite-producers.html
http://www.mrltd.com.au/attachments/article/136/20151112-NewLicences-Final.pdf
http://www.mrltd.com.au/attachments/article/136/20151030-SeptemberQuarterly-Final.pdf
http://www.asx.com.au/asxpdf/20151021/pdf/43280mhggknptq.pdf
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As MRL Corporation changes its name and speaks in London. I think it is important to really take stock of the data and really understand what it means...
MRL on cusp of being one of world’s highest-grade graphite producers
http://resourcesrisingstars.com.au/infopage/7471
With the ASX awash with graphite hopefuls but very few producers, this week’s announcement by MRL Corporation (ASX: MRF) that it is just months away from churning out the material of the moment caught the eye of industry watchers.
And not only is MRL about to start mining, but it will be one of the highest-grade graphite producers in the world.
MRL revealed it was entering the final phase of preparations for the start of high-grade graphite production at its Aluketiya project in Sri Lanka, with the civil works underway for the installation of headframes.
This ensures MRL is on track to start production from early next calendar year.
MRL’s vein graphite boasts spectacular grades of up to 93 per cent total graphitic carbon. This means the waste-to-ore ratio is low and the mined product requires very little processing. These factors reduce both capital and operating costs.
Graphite of this grade and quality currently sells for around US$1750 (A$2400) a tonne.
The grade of the MRL vein graphite is three to four times greater than that contained in typical flake and jumbo flake graphite projects around the world, highlighting the immense commercial potential of MRL’s graphite.
MRL’s graphite has also been found to be highly suitable for producing premium-priced graphene. Tests conducted by the University of Adelaide found the quality of the prepared graphene from MRL’s graphite was outstanding and comparable with the quality of graphene prepared by synthetic routes.
They showed that MRL’s graphite has very high crystalline carbon content not observed in any other previously tested graphite materials.
As MRL makes the final preparations for the start of production at Aluketiya, it is also awaiting final environmental approval for its second project, Pandeniya.
This will pave the way for the issue of a full Industrial Mining Licence, with Pandeniya scheduled for first production early in 2016.
Aluketiya and Pandeniya are both typical Sri Lankan graphite projects which will be mined using shafts and airleg miners.
MRL aims to establish up to 20 such mines producing a total of 5000 tonnes a year of high-grade graphite over the next production.
MRL Managing Director Craig McGuckin said the Company would be producing some of the highest-grade graphite in the world by early next year.
”Half of the graphite mined in the world has a grade of less than 6 per cent,” Mr McGuckin said. “Our graphite grades are more than 90 per cent.
“We will be mining graphite from 25m below the surface, using low-cost airleg mining methods to selectively mine the best grades.
”Each shaft costs about $200,000 to rehabilitate and bring back into production and there is virtually no above-ground processing cost.
“We are confident that this strategy will see MRL become one of the highest-grade graphite producers in the world by early 2016.
”We will also have a strong growth profile, with about 20 mines earmarked for production over the next two years or so.”
Broker Far East Capital says “historical records and economic assessments show sound profits are possible from long life small scale mining in the first instance, offering excellent returns on minimal capital outlays”.
“MRL is the most recent, genuine graphene stock to emerge. It can use the one-step electrochemical exfoliation production method to produce high quality, low cost graphene.
“MRL sits in contrast with (fellow graphite company) Talga Resources due to its extremely high grade ore, with ROM grades of 90-99% compared to Talga’s expected grade of around 25%.
“The benefits of this super grade are compounded by the yield to graphene which has been demonstrated to be 50-80%, whereas Talga has released figures of 2-10%.
“Put simply, MRF has to move much less ore to achieve sizeable quantities of graphene. This minimises both capital expenditure outlays and operating costs.”
Far East said the market had already re-rated Talga, which has a market capitalisation of $53 million, in recognition of its exciting potential. But MRL, which is capitalised at just $14 million, has not yet seen its share price appreciate in the same way.
“It is time that it did so,” the broker said. “Both companies have an exciting future but the spread between their market capitalisations is currently too great.”
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Imagine Intelligent Materials closes sales and certification agreement with Australian high-grade graphite miner
http://entsun.com/doc/10636018
SYDNEY, Australia - Sept. 4, 2015 - EntSun -- Imagine Intelligent Materials Pty Ltd (Imagine IM) has executed a sales representation and materials certification agreement with MRL Corporation Ltd (ASX:MRF). Under the agreement, Imagine IM will provide characterisation analysis and certification of MRL's graphite and graphene products with the objective of identifying the optimum applications and customers for their graphene and securing supply agreements with Imagine IM's customers and licensees.
MRL will pay Imagine a commission on sales of MRL's Certified Graphene and other graphite products that carry Imagine IM's Certification Mark. The certification and licence agreement comes as MRL prepares its first production output from its high - grade graphite projects in Sri Lanka.
Imagine IM has research and development agreements under way with leading graphene research groups in Australia at UOW, Monash, Deakin and CSIRO.
The company has the exclusive commercialisation rights to a number of patents for a process to manufacture graphene without surfactants, licensed from the University of Wollongong. The company has filed a number of additional graphene-related patent applications in its own right.
About Imagine IM
Imagine is forging a pioneering position in Australia in the development of commercial products using graphene in high volume markets, with a particular focus on graphene-enhanced polymers. Graphene is attracting global interest because of the potential it has for providing disruptive solutions in electronics, aerospace, medicine, transportation, construction, water treatment and smart textiles.
About MRL (ASX:MRF)
MRL is aiming to develop an underground mining operation to extract high-grade,crystalline vein graphite, which is unique to Sri Lanka. The Company holds exclusive rights to exploration licenses covering approximately 6,300 hectares in area, with historical workings located within nearly all license grids.
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goldinvest.de: MRL Corporation – The first new graphite producer in 2016?
http://or-politics.com/finance-mess...e-first-new-graphite-producer-in-2016/140898/
November 10, 2015
At the latest after the scooter manufacturers Tesla Motors announced a so-called
Build “Gigabatteriefabrik” which is to establish by 2020 lithium-ion batteries with a capacity of 35 gigawatt hours (GWh) per year, pushed the topic into the focus of graphite
Commodity investors worldwide. Because graphite is one of the most important components of these batteries and should thus greatly from the expected, significant increase in demand in particular in the field of
Total electric mobility benefit.
The wish to numerous mining Juniors who is currently working to bring a graphite mine to production. A little known in this country, small but fine company from Australia named MRL Corporation (WKN A1T7RQ /ASX MRF) could be the race for the first new graphite mine outside China to win.
And MRL has a distinct advantage over many other candidates in the graphite market. Because MRL has been active in Sri Lanka. And only there one finds the extremely high grade
Graphiterzadern, for which the country is known.
Extremely highly in this case means levels between 90 and 99% total carbon graphite, while the average contents are world only at 10 to 20%. 50% of all graphite mines even further
with less than 6%! This means MRL needs to invest in contrast to its competitors not millions of dollars in a treatment plant. When the Graphiterz is taken out of the ground, falls at most
yet to sort the material, which can initially be carried out at low cost by hand. Only at a later increase in production is expected to a mechanized process are necessary.
This is an enormous cost advantage over other graphite producers who need to concentrate while MRL so-called DSO (Direct Shipping Ore) – ie material that almost no
further treatment may be delivered – produced
.
In addition, the ultra-pure graphite from Sri Lanka is extremely popular with the end customer. In recent years, in comparison with the common flake graphite, a significant premium
paid for DSO material from Sri Lanka.
And MRL will – also in contrast to most potential graphite producer – go into production at the beginning of next year. You want over a period of 18 to 24 months at first
on the Aluketiya project, which already has a mining license, and the Warakopola project take up to 20 wells in operation in order to gain access to the Graphiterzadern. There MRL has with
Holes already proved grades of up to 99.2 and 99.3% total carbon graphite. Here, the focus is on old shafts, the lack of capital and insufficient ventilation due
and water control were abandoned and takes these with conventional but modern methods into operation again.
Analysts at Far East Capital go in a base case scenario assumes that MRL could achieve an output of 5,000 tons of graphite per year with 20 producing wells. In order to,
believes Far East Capital, the company could achieve an EBIT margin of 7.5 million AUD and an EBIT of 3.8 cents per share (not diluted). With a market capitalization of not
Diluted just 12.8 million AUD …
The costs for the startup of a well lie loud MRL at around $ 150,000 and the company has already selected 12 wells that you want 2015 and 2016 full production. According to
MRL should the break-even can be achieved in 11 producing wells. Until then, MRL is well funded because you receive 4 million dollars in fresh capital recently
could. It is still pending a final approval, then MRLs can this year (December) go ahead and take the first slot on the Alukatyia project into operation. The first ore could
will consequently be funded in January 2016th
So far so excellent. But there is still quite significant in MRL upside potential over said far beyond. Because the ultrahochgradige graphite material the company is loud
a study by the University of Adelaide outstandingly suitable for producing the “miracle material” graphene. Graphene conducts data better than silicon, heat is better than copper and beyond tensile strength than steel and at the same time only one molecule thick.
As the analysts of Far East Capital cite as an example, can be produced at the graph of a given quantity of graphite graphite MRLs projects 50 to 80%, while at Talga
Resources (WKN A1C0Q2) for example, only 2 to 10% would be. This therefore means MRL has significantly less graphite used for producing graphene than its competitors and has such a significant
Cost advantage.
The market for graphene applications is still relatively small – although it strong growth is predicted – and could be a glut of new material not currently afford.
Therefore Far East Capital has designed a second production scenario for MRL, it is considered in the of an output of 4,000 tons of graphite, and “only” 500 tons of graphs per year (50%
“Loss” in the preparation). Thus, the profitability of the operated by MRL shafts would rise explosively Analysts. Because in this case comes from a Far East Capital
EBIT margin of 33.4 million AUD and an EBIT of 17 cents per diluted share, from not!
Although MRL Corp. will remain a small producer compared: Given the still low market capitalization and the excellent outlook, risk-conscious investors here provides a
excellent chance at a relatively cheap price and time – shortly before the start of production – to join a very promising company
The ultrahochgradige graphite material that wins MRL makes production on the one hand extremely cost – in terms of both OPEX and CAPEX – and scored on the other premium prices. About that
, it is ideal for the production of graphene, which again opens up additional potential for companies and share.
So if the considerable risk associated with the investment in a junior mining exploration company – especially since no formal MRL identifies resource but and to the bores
leaves by historical data obtained information – does not shrink, is likely to see a very interesting investment opportunity MRL. The management is the way with about 10% of the company
involved and so benefited greatly from the company&s own success.
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Review of MRF
http://www.newingonstocks.com/review-of-mrf/
Wednesday 12 August
MRL Corporation Ltd is looking to produce graphite and graphene from its Sri Lankan deposits. I bought some shares (ticker MRF, price 7.2¢, undiluted mkt cap $14.2m) on Monday at 5.6¢ and thought it would be useful to outline the fundamentals.
There are 196.6 million shares outstanding, comprising 191.7 million shares listed on ASX and 5.0 million shares escrowed until 24 December 2015. There are also 49.4 million thinly traded ASX-listed options (ticker MRFOA) exerciseable at 20¢ by 17 October 2016 (they last sold at 1.1¢ a week ago, with the current quote spread being 0.6¢-1.1¢). Finally there are some unlisted options, being 54 million exerciseable at 10¢ by 21 May 2017 and 12 million exerciseable at 9.2¢ by 31 October 2017.
MRL had a cash position of $1.05m at 30 June 2015 after spending $0.5m on operating and investing activities in the quarter. The company had raised $1m of equity capital in May by placing 25m shares at 4¢ to “sophisticated” investors.
The MRL board of directors has been relatively constant since its ASX listing in January 2013. The major personnel are mining professional Craig McGuckin (CEO) being the managing director and Peter Yound (CFO) being the other executive director (albeit that Yound stepped down for a period due to bankruptcy proceedings).
There is one substantial shareholder, being Peter Peterson, head of Corporate division for Perth stockbroker CPS Capital. He owns 10.9 million shares or 5.3%. Other significant shareholders are Craig McGuckin and family with 7.1 million shares and Peter Yound and family with 6.9 million shares. Both executives also own a swag of options.
MRL Corporation bought into Sri Lanka in 2013 after it had to give up on coal in Mongolia because the government there had turned against foreign investment (the name MRL is derived from Mongolian Resources Ltd). MRL has since acquired additional tenements in Sri Lanka and currently its many licences cover some 12,000 hectares on my reckoning.
The Sri Lankan deposits were mined some decades ago when the country supplied a significant proportion of the world’s markets for graphite, but operations were interrupted due to the civil war which ran for 26 years until 2009. Sri Lanka currently produces about 5,000 tpa.
The graphite is highly crystalline and is contained within narrow (20-30cm) steeply-dipping, exceptionally high grade (92-99% Cg) veins. This type of deposit is thought unique to Sri Lanka. The veins have to be accessed from underground using overhead retreat stoping and, to allow for a working width, a certain amount of waste rock must be removed to expose the graphite. The graphite can then be stripped off the stope wall and hauled to surface, whilst the waste rock can be left in the stope to support the walls.
A number of veins would have to be mined to supply a central process plant in order to get sufficient scale of operation.
No resource estimates can be made with any confidence without a huge amount of drilling, and MRL considers that could not be justified on cost grounds. It drills for structure (and currently, to obtain samples for metallurgical testing), not grade. So there are no estimates of mineral resources, let alone ore reserves.
The cost of mine development prior to production will be low because of the presence of old shafts and workings, which can be rehabilitated. The work is well advanced and extraction of graphite is scheduled by the end of this calendar year.
Mining cost and underground operating risk will be relatively high, but processing cost and capital cost will be low because of the high grade of the ore. Indeed, the ore could be sold in its raw state, if desired; Sri Lankan graphite in this form fetched US$1,750 in 2013/14. MRL expects to incur cash costs of US$290/t for extraction of bulk samples, and full cost including amortisation of capital is put at US$600/t.
Processing the graphite would deliver higher prices than selling it raw. In January it was demonstrated that acid leaching can upgrade 93% purity raw graphite to 99.95% purity, which is battery grade and could fetch over US$5,000/t. Further processing could produce spherical graphite which sells at a much higher price again.
MRL has stated that it expects to make commercial sales of graphite this year from its underground mining operations (and presumably the material will also be used for larger scale metallurgical testing and provision of samples to potential customers). The company has not yet provided any information on intended mining rate, nor capital cost, nor the overall production and sales strategy.
In the absence of such information from MRL, a 19 page report on MRL published in November 2014 by CPS Capital (written by Peter Peterson?) is included on the company’s website and provides some guidance. A table apparently sourced from MRL contains some interesting information. For a basic small-scale operation selling 5,000t run of mine raw graphite of less than 95% purity from a number of mining operations, the assumptions included a capital cost of under US$5m, an operating cost of US$600-650/t and a product price of US$1,700-2,000/t, implying annual EBITDA of at least US$5.5m.
Not bad for a company with a market cap of under $20m.
Another scenario outlined was production of 11,000 tpa run of mine graphite, upgraded to 10,000 tpa of 99.99% purity, thence upgraded to 5,000 tpa spherical graphite on an assumed yield of 50%. Capital cost was put at US$31m, operating cost at US$1,200/t and product price at US$9,000/t, implying annual EBITDA of US$39m before royalties. The after-tax NPV was put at US$158m using a discount rate of 10%.
These scenarios have been superceded somewhat by subsequent MRL announcements on the potential to produce graphene, which is the holy grail for graphite producers because it could sell for in excess of US$50,000/t once a market is established.I had thought that because of its graphene potential Talga Resources Ltd (ticker TLG, price 35¢, mkt cap $49m) would be the best performer of all of the ASX-listed graphite companies, but MRL now looks far superior. Here is a quick comparison:
The one niggling factor in the back of my mind is that Sri Lanka is far more risky than Sweden. Although economic policies are broadly supportive of business and economic growth, as evidenced in GDP statistics of recent years, ethnic tensions remain a threat, the political system is fragmented with generally weak coalition governments, large fiscal deficits are occurring, public debt is high and corruption is endemic.
Expert Euler Hermes puts Sri Lanka on a C3 (sensitive) rating, the C being for medium term country risk on a scale from AA to D, and the 3 (sensitive) rating being for short term risk on a scale from 1 (low) to 4 (high). For perspective, PNG and Mozambique both have the same rating as Sri Lanka, while it would come as no surprise that Australia and Sweden are both rated AA1 (low). It helps that the legal system is based on the British common law system and that English is taught and spoken as a second language.
Political risk aside, I know which share I would prefer to own. TLG looks great but MRF looks phenomenal.
I still need to do a bit more work on MRL and on graphite and graphene markets and their potential, not having had time to do so at this point. Among questions I would want answered are:
So there are likely to be updates made to this review over time.
Finally, looking at the chart, it can be seen that yesterday the shares jumped from the previous close of 5.7¢ to as high as 9.1¢ before settling at 7.2¢, a rise of 1.5¢. That was in reaction to the announcement on graphene yields. The shares have now established support on the uptrend line I have drawn, while resistance is apparent in the 12-14¢ range. Dare I state that a breakout above that level would suggest a target of about $1 per share?
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PLUS this insightful reply...
"It’s true that on the linked table Nunasvaara has the highest grade, but completely ignoring Sri Lanka could fairly be described as misleading. Of course MRL does not have a JORC resource but I don’t think that matters terribly (except it should not be given as high a PE rating as those with a JORC resource).
It is analogous to a bonanza-grade gold mine with nuggetty gold. You cannot accurately estimate grade through drilling. Given the history of Sri Lankan production there can be no doubt that minor production is achievable, and that is all that MRL needs.
It would have been better for Talga to have stated that Nunasvaara has the highest grade of all known deposits with a JORC or equivalent resource, but that nothing beats the grade of Sri Lankan deposits.
Graeme"
SOURCE: http://www.newingonstocks.com/sale-of-tlg-purchase-of-more-mrf/
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So many data points to consider but I think it is full steam ahead until Smurf is a GRAPHENER !!!
I think GRAPHENER's are worth double the best GRAPHITER's but I have held this contention for years now ....
The ORE into GRAPHENE results were historic and very significant in my opinion towards the GRAPHENER Path !
What do you think?
Is MRL Corporation on the right track ?
http://www.csaglobal.com/wp-content...x-Steps-to-Striking-Success_IMMag_Dec2014.pdf
Kind Regards
DYOR !!!!
