Comments from the Iluka MD in the AFR yesterday reflect similar comments made by DC in the past re differential pricing:
“Neither we nor the customers are focused on the current prices that are published by the Asian Metals Index,” O’Leary said.
“Our customers are pretty focused on diversity of supply sources and security of supply. We are engaging with them on a price framework and I think we are getting good traction on that"
So I found it interesting that Fastmarkets reported "in January, fine flake graphite prices in China reached their lowest level since 2020 ... 47% lower than their peak values in 2022." (Link)
Yet only a few days ago, Woxna graphite mine in Sweden, which has been on care and maintenance since 2016, announced they are looking to restart production:
"The future is looking brighter ... in recent months, interest in restarting Woxna’s flake graphite production has grown ... [and] sees potential for moving downstream and collaborating with offtakers." (Link)
Doesn't this signal that pricing is becoming favorable for ex-China producers? Offtakers must be offering a significant premium on Chinese pricing.
It could all change for us very quickly.
Add to My Watchlist
What is My Watchlist?
