Syrah Resources (ASX:SYR), already the beneficiary of Trump’s latest tariff threats announced last week around imports of Chinese graphite, has again climbed on Wednesday after lifting a force majeure at its Balama project in Mozambique.
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The timing couldn’t be better, especially now that Syrah has reported a fresh shipment of graphite (both coarse and flake) at the same time eyes are on the company’s potential to supply graphite to the U.S., if Trump is really serious about imposing tariffs.
Whether the tariffs are walked back or not remains to be seen, though it isn’t beyond the scope of imagination.
Regardless, it marks the start of what may be a renewed interest in the company from market watchers and traders alike. And the stats reflect that – one-month returns are up +48% for the graphite producer.
It’s taken eight months for the company to get here.
The company issued a force majeure under the mining agreement it holds with the Mozambique government back in December after civil unrest broke out in the country.
At the time, Syrah noted “government authorities” had been “unable to facilitate access” to the project – which sounds a lot like armed guards blocked access, or protestors did.
South Africa at the time sturdied up its border where Mozambique runs along it; and violence in the streets had been building since October 2024. Long story short, it was over a contested election. At any rate, it appears that things have settled to such an extent that the company can resume operations.
The issue at the time also forced South32 (ASX:S32) to pull forecasts on guidance surrounding its aluminium smelter in the country, which has come under fresh pressure, as in the last few weeks it’s been unable to ink a power supply deal with South Africa-based Eskom for 2026.
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