TLG - Media, page-13107

Normandy

Thank you for posting this slide from Syrah.

Two things stand out, the first is Talga is able to produce active anode material (AAM) to a 10 micron base and secondly the plant in Lulea will produce double the amount proposed for Vidalia in the USA.

Niska's underground operations should also be able to support more than double the proposed Vidalia expansion on the basis of the current scoping study. Talga's expansion proposals have already been submitted to the Swedish authorities. The expected imminent mining approval for Nunasvaara open pit will provide the foundation for a more streamlined approval process under improved procedures whilst still maintaining the highest environmental and social/cultural standards.

Finally, Syrah has yet to make a profit after 4 years of graphite production out of Mozambique that has been plagued with technical challenges and having to accept pricing from China and Tesla (fixed price contract). Syrah is heavily indebted and any capital raising will only dilute shareholders further. Syrah still has to ship base graphite material half way around the world to China and the US from a region that is subject to African style civil unrest. Syrah will eventually succeed on the back of the looming supply chain shortfall.