World's Largest Known Graphite-Vanadium Deposit Found In Mozambique, page-71

I hope TON management arent so unimaginative as you, or i wouldnt be so pro TON. All they'd need is 1mt resource selling 50ktpa.

But TON have a ginormous resource so may as well think like a giant rather than with a minnow mentality.

SYR just released an update on the recarburiser market in which they plan to sell into at $1000/t. They project the market to be around 3mtpa - hmm probably want a large resource to deliver consistent quality and supply which clients demand when talking those numbers.

Then of course theres the carbon market which GMP stated was 50mt. Which generally uses low quality recarburisers such as calcined petroleum coke which can sell between $400-$500/t. SYR are not looking at getting into that market since the price is too low.

But lets just look at the market SYR identified, 3mtpa. Hey, that appears greater than the worlds current consumption of natural graphite! DANGER DANGER IT DOES NOT COMPUTE! Ok lets imagine for moment it does compute

TON can run around trying to get binding agreements that no one is getting or MOU which market doesnt value at all. A few things they should want to advantage of a large resource with vanadium is high turner driving home that low cost producer advantage. That means larger plant, which means lots of money, with a current MC is just over $100m that is huge dilution. Or think outside the box a bit which may bypass unsettle any first mover advantage.

Which one will move TONs value the most. A couple of binding agreements for 100ktpa then dilute for plant? Or.....

In the scenario i posted earlier (which btw im not saying WILL happen) said client pays for $500m for a 1mtpa graphite plant. For which they get 750,000t of the smallest flake graphite (they only need 92%+) and use it in the 3mtpa recarburiser market.

For it be any chance it would that be appealing to the client, half a Bill is a lot. So a 10 year....hell lets make it 20 im feeling super generous tonight. 20 years of 750,000t/pa supply of consistent high quality graphite locked in for only $400/t for the mere cost of $25m/year (500m/20) or we can look at it on a per tonne cost of around $433/t which SYR plans to sell for $1000/t.

At that $433/t you could just about replace some of that petcoke if you really wanted or needed and not be out of pocket. Seems a pretty good deal for a client who already supplies and/or is in the recarburiser market business does it not?

TON get their plant dilution free with around $325m EBIT (as per numbers earlier). Then theres 10mtpa of ore being processed from which to take vanadium from.

Think that'll get the markets attention? You bet, TON would be $3 on that news.

And what is the cost to TON? Well TON lose a meager15mt over the course of 20 years out of the estimated 155.9mt of contained graphite, which is Nicanda Hill alone.