Last Call before Finance is announced...Go Ton, page-11

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jaguar68

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04/07/20

13:56

Post #: 45643263
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Originally posted by Amryan: ↑

Syrah have the advantage of being up and running.
but cash burn and being caught between western world and China is a world were supply chains are bifurcating is an issue that needs addressing. I have read that China is actively looking for opportunities to avoid becoming dependent on Syrah in the future.

I think TON would have the advantage of
- higher margins on profit graphite for initial mine
- closure relationships with China supply chain
- a multi-billion dollar strategic partner that is there to manage and mitigate issues with construction, financing and cashflow.
- and the ability when the time is right to build a bigger Syrah type mine.
- it is likely that governments will begin to stimulate the economy with infrastructure projects and graphite for building is likely to see demand growth. battery graphite will increase in the future but demand for next two years could go either way.

TON has not had to burn cash for the first 6 months of 2020....where as SYR has. Cashflow burn for next 12 months will be on a well planned mine build.

and saying that SYR is a stock that is probably significantly undervalued at the moment. the price is being impacted by shorters who are looking at cashflow over next 18 months. if SYR manages cashflow they are probably going to be worth multiples of current prices in 3-5 years. If TON do the right things and graphite market conditions improve they could be worth even more.

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Agree the 30 cent Syr price is where Ton is heading in the next 6 to 12 months time and Syr will be multiples as well as demand for Graphite flake picks up as Tesla
and Bda will need 100s of tonnes of graphite for Lithium batteries.

TON Price at posting: 5.9¢ Sentiment: Buy Disclosure: Held
5 Upvote

1 Great analysis

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