andresr/E+ via Getty Images
andresr/E+ via Getty Images
Welcome to the November edition of the graphite miners news. November saw further price gains for natural graphite and some solid progress, and lots of news from the graphite juniors.
During the past 30 days, the China graphite flake-194 EXW spot price was up by 4.53% and China Flake-195+ EXW was up 2.93%. Note that 94-97% is considered best suited for use in batteries; it is then upgraded to 99.9% purity to make "spherical" graphite used in Li-ion batteries. The China pre-baked anode 3% price was down 2.06%.
Supply woes push fob China spherical, flake fines graphite prices higher..... Fastmarkets assessed the price for graphite spherical 99.95% C, 15 microns, fob China at $2,800-3,000 per tonne on Thursday, narrowing upward by $50 per tonne from $2,750-3,000 per tonne a week earlier. The latest midpoint, of $2,900 per tonne, is the highest since August 2014.
Flake, amorphous and spherical graphite prices surge on high costs and solid demand.......Fine flake prices surged by 16.67% this past week, the largest change within a one-week period in three years.
Fastmarkets graphite prices as of November 18, 2021
In an April 25, 2021 report from Leading Edge Materials, they stated:
A recent price assessment produced by Benchmark Mineral Intelligence for the Company shows average pricing in 2020 for uncoated natural spherical graphite at around US$3,000 per tonne and for coated natural spherical graphite between US$7,000 per tonne (domestic China and non-EU) and US$12,000 per tonne (high-end applications), with an average price of around US9,500 per tonne for material used in cells for Western OEMs.....
A reminder of a 2016 Elon Musk quote:
Our cells should be called Nickel-Graphite, because primarily the cathode is nickel and the anode side is graphite with silicon oxide.
Source: Syrah Resources (Courtesy Benchmark Minerals - 2019)
Benchmark Mineral Intelligence - Simon Moores's - forecasts (total demand)
Source: Benchmark Mineral Intelligence Twitter
Graphite demand versus supply forecast
Source: Triton Minerals courtesy Roskill
BloombergNEF EV metals demand forecast
UBS's EV metals demand forecast (from Nov. 2020)
UBS forecasts Year battery metals go into deficit
Source: UBS courtesy Carlos Vincens LinkedIn
2021 IEA forecast growth in demand for selected minerals from clean energy technologies by scenario, 2040 relative to 2020 - Increases Of Lithium 13x to 42x, Graphite 8x to 25x, Cobalt 6x to 21x, Nickel 7x to 19x, Manganese 3x to 8x, Rare Earths 3x to 7x, And Copper 2x to 3x
Source: International Energy Agency 2021 report
On November 4, Seeking Alpha reported: "New VanEck Green Metals ETF will invest in metals used in eco-friendly energy production.
Posco Chemical acquire 15% stake in China's Sinuo New Materials Technology.....an integrated anode producer owned by Shenzhen Sinuo.
On November 15, Reuters reported: "Biden signs $1 trillion infrastructure bill into law."
The House passed Biden's massive social safety net and climate bill. Here's what happens next. The plan would also put roughly $550 billion into programs designed to curb climate change......The bill invests $555 billion in climate programs, largely through providing tax incentives for low-emissions energy sources......The bill's biggest climate spending components include 10-year tax credits to expand and accelerate investments in renewable power, including wind, solar and nuclear. The bill also includes a proposal to raise the electric vehicle tax credit to up to $12,500 for vehicles made at a unionized factory in the U.S.
On November 25, Yahoo Finance reported:
(Research and Markets) Global $26.8 Bn graphite market analysis & forecasts, 2017-2020 & 2021-2025.....The global graphite market is expected to be worth US$26.8 Bn by 2025 from US$16.4 Bn in 2017, registering a CAGR of 8.5% during the forecast years......The demand for graphite will be determined by its usage across applications such as construction, electric vehicles, foundries, refractories, and lubricants amongst others.
I have not covered the following graphite producers as they are not typically accessible to most Western investors. They include - Aoyu Graphite Group, BTR New Energy Materials, Qingdao Black Dragon, National de Grafite, Shanshan Technology, and LuiMao Graphite.
Note: Imerys Graphite and Carbon (OTCPK:IMYSF) and AMG Advanced Metallurgical Group NV [NA:AMG] [GR:ADG] (OTCPK:AMVMF) are also "diversified producers", producing graphite. SGL Carbon (OTCPK:SGLFF) is a synthetic graphite producer, and Novonix [ASX:NVX] (OTCQX:NVNXF) is commercializing their synthetic graphite product.
Syrah Resources Limited [ASX:SYR][GR:3S7](OTCPK:SYAAF)(OTC:SRHYY)
Syrah Resources Limited owns the Balama graphite mine in Mozambique. Syrah is also working to become a vertically integrated producer of natural graphite Active Anode Material ("AAM") at their Vidalia facility, Louisiana, USA.
On October 28, Syrah Resources Limited announced: "Quarterly activities report - Period ended 30 September 2021." Highlights include:
You can view the latest investor presentation here.
Ceylon Graphite [TSXV:CYL] [GR:CCY] (OTC:CYLYF)
Ceylon Graphite has 'Vein graphite' production out of one mine in Sri Lanka with 121 square kilometers of tenements.
On November 23, Ceylon Graphite announced:
Ceylon Graphite's anode graphite in full cell lithium-ion batteries outperforms leading commercial synthetic graphite.
Mineral Commodities Ltd. ("MRC") [ASX:MRC]
Skaland Graphite is 90% owned by MRC. Skaland is the highest-grade flake graphite operation in the world and largest producing mine in Europe; with immediate European graphite production of up to 10,000 tonnes per annum with regulatory approval to increase to 16,000. MRC plans to demerge its Norwegian graphite assets into a newly incorporated Norway company branded as Ascent Graphite.
On October 29, Mineral Commodities Ltd. announced: "Quarterly activities report-September 2021." Highlights include:
On November 16, Mineral Commodities Ltd. announced: "Maiden ore reserve and 92% increase in measured and indicated resources at Trælen."
Tirupati Graphite [LSE:TGR] (buying Battery Metals Mozambique graphite assets)
On October 28, Proactive reported: "Tirupati Graphite says well positioned to 'make net zero a reality'."
On October 29, Proactive reported: "Tirupati Graphite publishes inaugural sustainability report."
On November 4, Proactive reported: "Tirupati Graphite to start trading on OTCQX today...."
Tirupati Graphite says Mozambique grants mining licence for Balama Central. Tirupati Graphite PLC said the Mozambican government granted a mining licence for the Balama Central graphite project for the production of 50,000 tonnes per year of graphite concentrate. Tirupati is in the process of acquiring Balama Central, and the Montepuez graphite project, from ASX-listed Battery Minerals Ltd.
NextSource Materials Inc. [TSX:NEXT] [GR:1JW] (OTCQB:NSRCF)
NextSource Materials Inc. is a mine development company based in Toronto, Canada, that's developing its 100%-owned, Feasibility-Stage Molo Graphite Project in Madagascar. The Company also has the Green Giant Vanadium Project on the same property. The Molo mine is fully funded and scheduled to commission in March 2022.
On November 15, NextSource Materials Inc. announced: "NextSource Materials adds proprietary and established coating process to its battery anode facility collaboration." Highlights include:
On November 23, NextSource Materials Inc. announced:
NextSource Materials awards contract to power its Molo Graphite Mine in Madagascar with hybridized Solar-Thermal Energy.....It will be located adjacent to the Molo mine site and is expected to be operational at the same time as the Molo mine is expected to commission in Q2 of 2022.
Investors can view the latest company presentation here. You can watch the company's Senior Vice President Brent Nykoliation video interview here.
Greenwing Resources Limited [ASX:GW1] (OTCPK:BSSMF) (formerly Bass Metals [ASX:BSM]
On October 26, Greenwing Resources Limited announced: "Commencement of exploration at San Jorge Lithium Project, Argentina."
On October 29, Greenwing Resources Limited announced: "Quarterly activities report - September 2021 Quarter." Highlights include:
On November 3, Greenwing Resources Limited announced: "Exploration update at Graphmada Graphite Complex, Madagascar." Highlights include:
On November 16, Greenwing Resources Limited announced:
Appointment of CEO. Greenwing Resources Ltd is pleased to advise that it has appointed Mr Craig Lennon at Chief Executive Officer, effective immediately.
On November 19, Greenwing Resources Limited announced: "Graphmada Mining Complex - Mineral resource update." Highlights include:
You can view the latest company presentation here.
Walkabout Resources Ltd [ASX:WKT]
No news for the month.
Gratomic Inc. [TSXV:GRAT] [GR:CB82 ] (OTCQX:CBULF)
Gratomic's Aukam Graphite Project is located in Namibia, Africa. The Project is in process of plant commissioning for full operational capabilities and an open pit operation in Q4 of 2021 to produce high-grade vein graphite. Gratomic is also collaborating with Forge Nano to develop a second facility for graphite micronization and spheronization.
On November 1, Gratomic Inc. announced:
Gratomic signs Definitive Agreement to acquire 100% interest in Brazilian Graphite Exploration Project..... the "Capim Grosso Property" (the "Acquisition") comprising mineral claim 870.180/2012 (426.03 Ha) located in Capim Grosso, BA, Brazil....
Westwater Resources Inc. is developing an advanced battery graphite business in Alabama. The Coosa Graphite Plant (2023 production start) plans to source natural graphite initially from non-China suppliers and then from the USA from 2028.
On November 11, Westwater Resources Inc. announced:
Westwater Resources, Inc. announces third quarter 2021 results, reports on continued activities at its Coosa Graphite Processing Plant. Definitive Feasibility Study completed - Contractor proposals initiated. Coosa graphite deposit exploration to continue for remainder of 2021.
On November 17, Westwater Resources Inc. announced:
Westwater Resources, inc. announces letter of intent.....to sell 125-250 metric tons of Coated Spherical Purified Graphite [CSPG] for lithium-ion batteries in 2023 with an option on an additional 16,000 metric tons for delivery in 2025, all subject to customary conditions and quality and packaging specifications, which can be expected to be included in a future definitive agreement. These deliveries are expected to be made from Westwater's planned Coosa Graphite Project and are subject to the execution of definitive agreements that are expected to be negotiated over the coming months.
You can view the latest investor presentation here.
Triton Minerals [ASX:TON][GR:1TG]
Triton Minerals Ltd. engages in the acquisition, exploration, and development of areas that are highly prospective for gold, graphite, and other minerals. The company was founded on March 28, 2006, and is headquartered in West Perth, Australia. Triton has three large graphite projects in Mozambique, not far from Syrah Resources Balama project.
On October 29, Triton Minerals Ltd. announced: "Quarterly activities report for period ending 30 September 2021." Highlights include:
On November 4, Triton Minerals Ltd. announced: "Engagement of CPC project design for commercial pilot plant...."
On November 9, Triton Minerals Ltd. announced: "Binding Offtake Agreement secured for Ancuabe Commercial Pilot Plant." Highlights include:
On November 12, Triton Minerals Ltd. announced: "Capital raising update." Highlights include:
You can view the latest investor presentation here, an excellent video here, and my article on Trend Investing here.
Magnis Energy Technologies Ltd. [ASX:MNS] (OTCQX:MNSEF)
Magnis is an Australian based company that has rapidly moved into battery technology and is planning to become one of the world's largest manufacturers of lithium-ion battery cells. Magnis has a world class graphite deposit in Tanzania known as the Nachu Graphite Project.
On October 28, Magnis Energy Technologies announced: "Quarterly activities report to 30 September 2021." Highlights include:
On November 18, Magnis Energy Technologies announced: "New York Lithium-ion Battery Plant update." Highlights include:
On November 23, Magnis Energy Technologies announced: "US trading in Magnis shares to begin tonight." Highlights include:
Eagle Graphite [TSXV:EGA] (OTCPK:APMFF)
The Black Crystal Project is located in the Slocan Valley area of British Columbia, Canada, 35km West of the city of Nelson, and 70km North of the border to the USA. The quarry and plant areas are the project's two main centers of activity.
No news for the month.
Mason Graphite [TSXV:LLG] [GR:M01] (OTCQX:MGPHF)
Mason Graphite is a Canadian graphite mining and processing company focused on the development of the Lac Guéret project located in northeastern Quebec, where the graphite grade is believed by management to be among the highest in the world. Mason will also soon own 66.67% Black Swan Graphene, subject to the transaction completing.
On November 1, Mason Graphite announced:
Mason Graphite announces testing results for silicon-graphite composite anode material. The work program was conducted by Sicona Battery Technologies ("Sicona"), one of Mason Graphite's strategic partners, using its patent pending process of combining Si nanoparticles, carbon, SPG and/or synthetic graphite in producing a cost effective, high performance next-generation Li-ion battery anode material.......435 mAh/g capacity, an increase of 19% compared to a typical capacity of 365 mAh/g for natural graphite......
You can view the latest investor presentation here.
Northern Graphite [TSXV:NGC][GR:ONG] (OTCQX:NGPHF)
Northern's principal asset is the Bissett Creek graphite project located 100km east of North Bay, Ontario, Canada and close to major roads and infrastructure. The Company has completed an NI 43-101 Bankable final Feasibility Study and received its major environmental permit.
On November 11, Northern Graphite announced:
Northern Graphite concentrates demonstrate excellent performance in battery testing.....ProGraphite concluded that Northern's anode material is very well suited for the manufacture of high capacity, durable, long-life lithium-ion batteries.
You can view the latest investor presentation here.
Talga Group [ASX:TLG] [GR:TGX] (OTCPK:TLGRF)
Talga Group is a technology minerals company enabling stronger, lighter, and more functional materials for the multi-billion dollar global coatings, battery, construction, and carbon composites markets using graphene and graphite. Talga 100%-owned graphite deposits are in Sweden, proprietary process test facility is in Germany.
On October 29, Talga Group announced: "Quarterly activities review for the period ending 30 September 2021." Highlights include:
On November 17, Talga Group announced:
Long Time Technology and Talga Battery Anode Agreement. The non-binding MOU follows successful initial tests of Talga's natural graphite Talnode®-C product and LT Tech's synthetic battery anode products, and contains the criteria for scaled up supply and evaluation of joint anode materials and blends....
On November 24, Talga Group announced: "Exceptional Graphite results from first holes of 2021 Vittangi drilling."
On November 24, Talga Group announced:
EVA Plant construction progresses. Talga's Electric Vehicle Anode (EVA) qualification plant, Europe's first Li-ion battery anode production facility, on track for full commissioning in Q1 2022.
You can view the latest investor presentation here.
SRG Mining Inc. [TSXV:SRG] [GR:18Y] (OTCPK:SRGMF) [Formerly SRG Graphite Inc.]
SRG is focused on developing the Lola graphite deposit, which is located in the Republic of Guinea, West Africa. The Lola Graphite occurrence has a prospective surface outline of 3.22 km2 of continuous graphitic gneiss, one of the largest graphitic surface areas in the world. SRG owns 100% of the Lola Graphite Project.
On November 5, SRG Mining announced:
SRG Mining Inc. announces closing of fully subscribed CAD$4,800,000 equity financing.
You can view the latest investor presentation here.
Leading Edge Materials [TSXV:LEM] (OTCQB:LEMIF)
Leading Edge Materials Corp. is a Canadian company focused on becoming a sustainable supplier of a range of critical materials. Leading Edge Materials' flagship asset is the Woxna Graphite Project and processing plant in central Sweden. The company also owns the Norra Karr REE project, and the 51% of the Bihor Sud Nickel-Cobalt exploration stage project in Romania.
No news for the month.
Investors can view the latest company presentation here.
Nouveau Monde Graphite [TSXV:NOU] (OTCQX:NMGRF) (NYSE:NMG)
Nouveau Monde Graphite own the Matawinie graphite project, located in the municipality of Saint-Michel-des-Saints, approximately 150 km north of Montreal, Canada.
On October 28, Nouveau Monde Graphite announced:
Nouveau Monde Awarded 'Entrepreneur of the Year' by the Québec Mineral Exploration Association, as the company commissions its Phase-1 purification anode material production facility.....
On November 16, Nouveau Monde Graphite announced: "Nouveau Monde provides corporate update on the development of its mine-to-market battery material business." Highlights include:
You can view the latest investor presentation here.
Renascor Resources Ltd. is an Australian exploration company, which focuses on the discovery and development of economically viable deposits containing uranium, gold, copper, and associated minerals. Its projects include graphite, copper, precious metals, and uranium.
On October 29, Renascor Resources announced: "Quarterly activities report for the period ended 30 September 2021." Highlights include:
You can view the latest investor presentation here.
EcoGraf Limited [ASX:EGR] [FSE:FMK] (ECGFF)
On October 29, EcoGraf Limited announced:
Quarterly activities report. EcoGraf™ battery anode material outperforms Benchmarks in product qualification battery testing.......Cash at bank at end of quarter of $51.4 million.
On November 5, EcoGraf Limited announced: "EcoGraf conducts Global Bi-Product Development Programs."
On November 24, EcoGraf Limited announced: "Innovative lithium-ion battery coatings program commenced."
On November 25, EcoGraf Limited announced:
POSCO and EcoGraf enter into battery anode material agreement. EcoGraf Limited is pleased to report that it's entered into a non-binding Memorandum of Understanding with POSCO International (POSCO Intl), a multinational industrial company headquartered in South Korea and a key subsidiary of POSCO Group. Under the agreement, the parties will work together in relation to EcoGraf supporting POSCO's anode production expansion plans through the supply of EcoGraf™ HFfree battery anode material products from the Company's new Australian Battery Anode Material Facility and its planned facility in Europe.
You can view the latest investor presentation here.
Zentek Ltd. [TSXV:ZEN] (OTCPK:ZENYF) (formerly ZEN Graphene Solutions Ltd.)
On October 27, ZEN Graphene Solutions Ltd. announced:
ZEN Graphene Solutions announces name change to Zentek Ltd....The Company's symbol will remain "ZEN".....
On November 2, Zentek Ltd. announced: "Zentek develops new carbon-based nanotechnology-enhanced icephobic coating to reduce ice accretion."
On November 4, Zentek Ltd. announced:
Zentek wins ISC challenge to develop a portable detection device for SARS-CoV-2 in wastewater. ZEN has received a $148,000 award from ISC to develop its first prototype.
On November 9, Zentek Ltd. announced: "Zentek provides update on rapid detection technology." Highlights include:
On November 11, Zentek Ltd. announced:
Zentek provides corporate update. In response to the challenges facing global supply chains, Zentek has reached an agreement to secure the necessary supply of graphene oxide [GO] to produce enough ZENGuard™ to coat the equivalent of 3 billion masks. Shipments are scheduled to begin in December 2021 and continue through the first 6 months of 2022.....
On November 16, Zentek Ltd. announced:
Zentek announces C$20 million bought deal Public Offering and C$12.5 million non-brokered private placement.....
On November 24, Zentek Ltd. announced:
Zentek Ltd. announces filing of preliminary prospectus in connection with $30,010,172 offering. Zentek Ltd., is pleased to announce that, further to the news release of November 16, 2021, the Company has filed a preliminary prospectus dated November 22, 2021 in order to qualify the distribution of 5,129,944 common shares of the Company (the "Common Shares") at a purchase price of $5.85 per Common Share (the "Offering Price") for aggregate gross proceeds of $30,010,172 (the "Prospectus Offering").
Lomiko Metals Inc. [TSXV:LMR] (OTCQB:LMRMF)
No news for the month.
Black Rock Mining [ASX:BKT] (OTCPK:BKTRF)
On October 27, Black Rock Mining announced: "September 2021 quarterly activities report." Highlights include:
South Star Battery Metals [TSXV:STS] (STSBF)
South Star Battery Metals owns the Santa Cruz Graphite Project in Brazil with a Phase 1 commercial production target for Q4 2022.
On November 3, South Star Battery Metals announced:
South Star Battery Metals announces proposed earn-in for graphite project in Alabama, joins the Critical Metals Institute and retains Market Digital. South Star Battery Metals Corp., today announces that it has agreed to the key terms of a proposed earn-in to the Ceylon Graphite Project ("Project") in Alabama with Hexagon Energy Materials Limited ("Hexagon") [ASX: HXG] and U.S. Critical Minerals LLC ("USCM"), a privately-held exploration company incorporated in the United States. South Star and the vendors intend to negotiate the terms of a formal agreement which will allow South Star to earn-in up to 75% of the Project. The transaction is subject to customary conditions, including preparation, finalisation and execution of formal agreements and the receipt of all necessary approvals, including the approval of the TSX Venture Exchange (the "TSXV").
On November 24, South Star Battery Metals announced:
South Star Battery Metals announces successful LiB results from completed cycle testing and premium dispersion products for alkaline battery markets superior to leading synthetic graphites. South Star's cycle testing program is complete and exceeded 100 cycles for the LiB cells. One cycle consists of 10 hours of charge and 10 hours of discharge, therefore 100 cycles equal approximately 2,000 hours total. The tests indicate very stable results with approximately 2.2% degradation through 100+ cycles while maintaining reversible capacity on the order of 342 - 345 mAh/g throughout.
Sovereign Metals [ASX:SVM] (OTCPK:SVMLF) [GR:SVM]
Sovereign Metals Ltd. is an exploration company, which engages in the explorations of graphite, copper, and gold resources. It operates through the Queensland, Australia, and Malawi geographical segments. Sovereign Metals has world's biggest graphite saprolith resource of 65m tonnes at 7.1% TGC at their Maligunde project in Malawi.
On November 17, Sovereign Metals announced:
Sovereign to dual list on AIM. Sovereign Metals Limited (the Company or Sovereign) is pleased to announce it is in the process of dual listing on the AIM market of the London Stock Exchange [AIM] to extend the Company's exposure in the northern hemisphere.
You can view the latest investor presentation here.
Armadale Capital [AIM:ACP], BlackEarth Minerals [ASX:BEM], Black Rock Mining [ASX:BKT], DNI Metals [CSE:DNI], Eagle Graphite [TSXV:EGA] [GR:NJGP], Electric Royalties [TSXV:ELEC] (OTCQB:ELECF), Focus Graphite [TSXV:FMS][GR:FKC] (OTCQB:FCSMF), Goldcore Resources Ltd. [TSXV:GEM] (CZSVF), Graphite One Resources Inc. [TSXV:GPH] [GR:2JC] (OTCQX:GPHOF), Graphite Energy Corp. [CSE:GRE] [GR:GOA], New Energy Metals Corp. [ASX:NXE] (OTCPK:NEMCF) (OTCPK:NEMCD), Volt Resources [ASX:VRC] [GR:R8L].
November saw higher flake graphite prices.
Highlights for the month were:
As usual all comments are welcome.
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Disclosure: I/we have a beneficial long position in the shares of SYRAH RESOURCES [ASX:SYR], TRITON MINERALS [ASX:TON], AMG ADVANCED METALLURGICAL GROUP NV [AMS:AMG], MAGNIS ENERGY TECHNOLOGIES [ASX:MNS], ZENTEK LTD [TSXV:ZEN], LEADING EDGE MATERIALS [TSXV:LEM] either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Additional disclosure: The information in this article is general in nature and should not be relied upon as personal financial advice.