Right will start with the Top of the Heap King Market Cap of all the ASX in fact World Gunner Be a 2017 Mine SYRah.
They have 2 Offtakes/ Future Sales Agreements
one for 80kts to the Dragon for Large+ Flake
and another to Asmet for 100kts of high grade Fine for Recarb Pellets
AND still under negotiation a plan to open their own 2x25 kt spherical graphite refineries/plant for supplying 'product' to probably a Japanese Major Trading House AND to the US Market. 2x25kts 50kts of Spherical will take approx 125kts of FeedStock fine.
I think this works out to approx a 300kt plant is required but the SYR DFS will give the Definite Figure Calculations/Budget.
So the article above was based on Flinders TSE first LISTED new natural flake mine to open for business. I think it does 5kts and hopes for 15kts NOT absolutely sure on that but KNOW it does NOT do 50kts let alone SYR's projected 300kts
So even though the Companies aren't Comparable Production Size wise, the article does have some cross reference points.
Breaking into the Historic 50/60 year Supply Chain of End Users. By Relationship Building. Getting Year Supply Contracts that you hope to Renew on either a More Volume or better Price basis BUT being mindful that your End User must also be growing it's Industry, Market Share.
Just Business 101, hey? Back scratching but how often do we see posts lauding their share and proclaiming End User 'Desperation" to get their hands on XYZ's Graphite in preference to all others?
Natural Flake Graphite is a BUYERS Market. Yes it's cost sensitive but ALSO specific, qualities required.
There's only a "few" endusers in the Market for Bulk 50kt offtakes to a Single End User.
The 80kt/100kt offtakes are NOT to Single End Users when they are to SOE's. They are to DRAGON Industries with many divisions and interlocking State Owned Enterprises [SOE's] and it is known that the Dragon makes 'losses' in the first part of the chain so as to make 'super' profits in the last link 'division'.
I see it like Woolworths and the Farmer Suppliers. Big screws little but with the Dragon, Gov't Mandarin approved and Organised.
Anyhow it's amusing to me to see the SuperPits proposing to be SuperMarkets of Graphite gunner swamp the Whole Market every End User will be "on their books" Even the High Tech ones wanting 5/10kts this year?
Supermarket to the World out of East Africa ? Maybe to China, note maybe.
I want the SYR Asmet Deal CONFIRMED as New Demand. The Chinalco one 'muddied' the Aluminium New Demand for 2017/20
so I want Confirmation out of Asmet.
Ideally such confirmation would be as per this article Ca$h up Front part financing 'contribution'.
Failing that, the same Confirmation of the Jap Trading House Deal on the Spherical
and of course if and how the Chinalco 80kts fits into Capex Financing
Is Asmet and the Japs going to 'free carry' Chinalco. Is SYR going to carry them?
Is Chielco building the Graphite Plant or just the future Vanadium one ?
Yes the SYR DFS and subsequent Finance Raising is Pivotal for the Graphite Sector especially Dancers with the Dragon.
