News: Syrah Resources receives significant graphi, page-7

re: News: Syrah Resources receives significan... Unawares

Don't worry about initial TGC too much. It might be important for other projects (because they are small) but for one of Balama's size, the economies of scale make such things irrelevant.

Regardless, I could go on a bit about this, but I'll put it briefly.

When it comes to metallurgy, what's important is not the end result, but the costs of achieving that end result. You can have rubbish pre-processed ore that is fine if the metallurgical costs of processing that ore are cheap. On the other hand, you can have good pre-processed ore but which is not economical since the costs of processing is too high.

Using gold projects as an example, consider mid grade projects that are amenable to extremely cheap processing methods (to extract the gold) compared to a high grade but refractory orebody that is extremely expensive to process. The former will probably be viable, while the latter probably won't be.

FWIW my expectation is that SYRs ore will be extremely cheap to process (simple flotation with probably a kerosene collector)...however take that with a grain of salt until official met work has confirmed it.

Cdchi1