Basically Nasa, your saying there is going to be lots of demand for graphite - but we will probably need to get EV's and Batteries to be taken up globally first, which there is a good case for given how cheap solar has and will become.
But then there is also a good deal of supply incoming, one of the articles you posted stated that Graphite One has a proven resource of 18 million tonnes at 6% Cg. There are massive deposits in Tanzania and Mozambique. There is active graphite exploration on every continent. But most of these are juniors and so many of us investors in these juniors aren't going to be backing the winners even with JORC defined resources or Offtakes or Finance Deals in place many of these juniors are still a long way from actually mining - if they ever do.
The world seems to be sputtering along towards the abandonment of fossil fuels, I think the supply/demand balance for graphite will be somewhat of a seesaw over the next decade or so, which will probably see some wild swings on the price of graphite, and thus the SP for graphite miners. Throw graphene into that mix and some really hefty short term gains could be made - Poseidon Nickel like even, if the timing is right.
The emergence of the global graphite exploration boom is intimately tied to our now almost global recognition of the effects of climate change and pollution. That being the case, what is the environmental impact of digging up graphite at 6-15% Cg. They process this to 99.99% or thereabouts, and mostly they will be discarding the rest - discarding 85-94% of the material that they stripped from the earth and crushed and milled and dissolved or whatever but are still left with.
Enter First Graphite who plan to air leg and then initially hand sort their product, as far as graphite mining goes, i cant see how this could be any less impactful on the environment. With production imminent and first mover advantage about to be claimed, First Graphite should be well placed to capitalise on the flow of money into the renewable energy market, possibly as the Greenest Graphite Mine in the world! After all, with a product that is around 93% pure as dug from the ground, there is very little by way of waste.
If this goes pear shaped I will have much egg on my face
MRF Price at posting:
6.3¢ Sentiment: Hold Disclosure: Held
