Was hoping you'd turn up Happy Cats.
Also to be considered is that it's an AVERAGE 100kts/year for 20 years. That doesn't necessarily mean that Year 1 to 5 2017/2021 that 100kt/year will MUST be taken.
It could be a "Balloon Contract"
First 5 years 40kts; Next 5 70kts ;next 5 120kts; last 5 160kts. 2032/37
think that works out to 2million kts in 20years?
Anyway for 2017 to 2037 it illustrates Supply to the Anticipated Demand Growth in Flake Graphite.
It's more logical than thinking First Up in 2017 100kts is coming in the door to this China Company,
that they have the Dragon Demand to 'cope' with this and what's more have no ability to expand themselves in the future markets beyond their 100kts 'raw material'.
Oh they can just order more. yukyuk?
Sorry it has to be established what the first Order Requirement is for at least the DFS.
Remember the DFS is being prepared on different Production Volume Scenarios. A DFS is a much more Serious and Substantant Document than a Scoping Study and I would not think this contract today could be used ON IT's OWN a 100kts First Up 2017/2020 Annual Production Forecast.
I also spotted that low current production tonnage, Happy Cats but Fibo has come back with the list of Other Things.
However the questions are
How many Kt's of Flake Graphite is being used NOW?
Is this proposed 100kts, a "reasonable" offtake to meet a foreseen increase in Demand?
or is it a Substitution of current Supply?
I don't know. Would like to know but suppose it's "commercial confidentiality" or behind the Bamboo Curtain like most info about the Real China Graphite Market.
but I suspect that with the Known 5000 tonnes of expanded graphite. [ expanded graphite market put at 40kts world but recently upped by
@Tylemahos to 100kts]
Their 5kt production "suggests" to me that this company uses TOTAL now about 100kts/a for ALL their products and that this contract is probably for 30/40kts in first years.
I leave you Happy Cats to glean the Flake Size outputs from TGC/to Metallurgy to calculate how much dirt has to be processed to give Tonnages of whatever the specifications are. The latest Nicanda Hill JORC is still not been UpDated but no doubt will be issuing soon, next week?
So to summarise- This Off Take gives the POTENTIAL for 100kt+ Production. It does NOT Confirm 100kts in the 2017/20 period [if you do the maths behind the headline
]
(20min delay)