Graphite Miners News For The Month Of December 2022

Welcome to the December edition of the graphite miners news.

December saw generally flat graphite prices; however, we also saw many analysts forecasting a strong graphite outlook in 2023 with forecasts of rising graphite prices ahead.

Graphite price news

During the past 60 days the China graphite flake-194 EXW spot price was up 0.05%. The China graphite flake-195 EXW spot price was up by 0.03%. 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 spherical graphite 99.95% min EXW China price was down 0.84% the past 30 days.

Fastmarkets (see below, not updated) shows China graphite flake 94% C (-100 mesh) prices at US$830/t and Europe graphite flake 94% C (-100 mesh) prices at US$920/t. Note: Fastmarkets stated recently: “The most recent price assessments for graphite flake, 94% C, -100 mesh, cif Europe, and graphite flake, 94% C, -100 mesh, fob China, were $800 and $810 per tonne respectively on September 22.”

Fastmarkets graphite prices the week ending June 16, 2022 (not updated)

Note: You can read about the different types of graphite and their uses here.

Graphite demand and supply forecast charts

BMI graphite-market-balance benchmark week-2022 (source)

Trend Investing v IEA demand forecast for EV metals (Trend Investing) (IEA)

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.

2022 – BMI forecasts graphite deficits to begin from 2022 as demand for graphite grows strongly

2022 – BMI forecasts we need 330+ new EV metal mines from 2022 to 2035 to meet surging demand – 97 new 56,000tpa natural flake graphite mines

Graphite market news

On November 24, Investing News reported:

Graphite market at a “Turning Point” as demand for EV batteries rises. Demand for graphite used in electric vehicle (EV) batteries is set to soar in the next decade, and even though prices haven’t yet rallied as much as lithium, the market might be at its turning point……In order to meet this unprecedented demand, Benchmark Mineral Intelligence estimates that up to 150 new operations across natural and synthetic graphite are needed by 2035. “When you look towards the tail end of the decade, what you can see is both natural and synthetic graphite are facing serious structural issues to meet that type of demand and fall into a significant deficit,” Miller said.

On November 29, Reuters reported:

Indonesia says lithium, anode plants are being built to support EV ambitions. Indonesia is building a lithium refinery and an anode material production facility to complement its nickel-based battery materials industry, an official said, as it aims to set itself up as a hub for making electric vehicles (EVs).

On December 1, Fastmarkets reported (article + video):

What is the outlook for graphite in 2023?…….An impending graphite shortage, driven by phenomenal demand growth from the EV battery sector and delays to new capacity, as well as rising power costs, the drive by new entrants to develop renewable power supply sources, and the need to meet increasingly stringent environmental controls and restrictions will all lead to significantly higher graphite prices in the coming years. This will reflect both incredible underlying market demand and higher costs associated with graphite production. Fastmarkets expects to see an increasingly dynamic graphite market in 2023, demonstrated in our forecasts for notably higher prices next year……

On December 13, Investing News reported:

“Caspar Rawles: Cathodes, anodes and what to expect in 2023….. “Fundamentally, one of the challenges that potentially plays into all of this, is that you can build the battery plants, you can build the EV plants, you can build the cathode plants, but if you don’t have the raw materials to feed them, they’re just expensive weights on your balance sheet,” Rawles said.

Note: In the video Caspar speaks very positively towards future graphite demand and forecasts some tightness in the market in 2023.

On December 23, Fastmarkets reported:

Tight supply to underpin China graphite market in 2023. Chinese graphite flake prices are at historic highs. And supply is likely to remain tight in the new year, given a swiftly expanding downstream anode material industry and rapid growth of the new energy vehicle (NEV) industry. Prices for 94pc graphite flake have been assessed at 5,200-5,800 yuan/t ($743-829/t) ex-works since 28 November — the highest since Argus assessments began in October 2018. China’s average domestic graphite flake price was Yn5,097t ex-works in 2022, up by 32.3pc from 2021, according to Argus assessments. The flake price was pushed to a record high by tight supply and winter stockpiling by spherical graphite and anode material producers…….BTR New Material — China’s largest lithium-ion battery graphite flake anode material producer — is building a 200,000 t/yr anode material plant at Dali city in southwest China’s Yunnan province. The 50,000 t/yr first phase is due on line in 2023. The firm expects global demand for anode materials used in lithium-ion batteries to increase to 2mn t in 2025 from less than 1mn t/yr at present.

Graphite miners news

Graphite producers

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, Elcora Advanced Materials Corp. [TSXV:ERA] (OTCPK:ECORF), Qingdao Black Dragon, National de Grafite, Shanshan Technology, and LuiMao Graphite.

Note: AMG Advanced Metallurgical Group NV [AMS:AMG] [GR:ADG] (OTCPK:AMVMF) is also a “diversified producer”, producing graphite, vanadium, and lithium. SGL Carbon (OTCPK:SGLFF) is a synthetic graphite producer and Novonix [ASX:NVX] (OTCQX:NVNXF) is commercializing their synthetic graphite product. Graphex Group Limited [HK:6128] (OTCQX:GRFXY) makes spherical graphite.

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 December 23, Syrah Resources announced:

Update on Vidalia offtake agreement…..The AAM specifications in the Agreement have been updated……Further to the 8ktpa AAM offtake obligation from the 11.25ktpa AAM Vidalia facility, Tesla has exercised its option to offtake an additional 17ktpa AAM from Vidalia at a fixed price and for an initial term of no less than four years, subject to the expansion of Vidalia’s production capacity to 45ktpa AAM. Syrah will work towards finalising the detailed terms of this additional offtake obligation in an offtake agreement. A Definitive Feasibility Study (“DFS”) on the expansion of Vidalia’s production capacity to at least 45ktpa AAM, inclusive of 11.25ktpa AAM, is underway. Detailed engineering, procurement, and construction phases for the subsequent expansion of Vidalia will follow the DFS sequentially, subject to Syrah Board approval and customer and financing commitments.

You can view the latest investor presentation here.

Catalysts:

• September 2023 quarter – First Stage 11.25ktpa AAM Vidalia facility targeted to start production.

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.

No significant news for the month.

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 November 28, Mineral Commodities Ltd. announced: “Mineral Commodities Limited 02 – Declaration of unacceptable circumstances and undertakings.”

Tirupati Graphite [LSE:TGR]

On November 24, Tirupati Graphite announced:

Operations and development update. Shishir Poddar, Executive Chairman, said: “We have come a long way in a short time and have effectively brought under control the impacts of the adverse conditions experienced in Madagascar earlier this year. Our innovative and cost-effective solutions have started to bear fruit. Market conditions for graphite are very positive, and this is the ideal time for us to be increasing production of this critical material. With the turnaround of the Madagascan projects now complete, we are again progressing towards our aim of providing approximately 8% of global flake graphite demand.”

On December 5, Tirupati Graphite announced:

Successful £5 million fundraise and variation to SPA in relation to the proposed acquisition of Suni Resources SA fundraise….

On December 19, Tirupati Graphite announced: “Clarification and update regarding Acquisition of Suni Resources…..”

Northern Graphite [TSXV:NGC][GR:ONG] (OTCQX:NGPHF)

Northern Graphite purchased from Imerys the Lac des Iles producing graphite mine in Quebec and the Okanjande graphite deposit/Okorusu processing plant in Namibia. They also own 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 30, Northern Graphite announced: “Northern Graphite announces third quarter 2022 results.” Highlights include:

• “3,068 tonnes of graphite concentrate produced with a recovery of 89.3%.
• Concentrate purity averaged 96.9%, flake size distribution was 13.5% +50 mesh, 22.3% -50 by +80 mesh, 20.5% -80 by +150 mesh and 43.7% -150 mesh.
• Revenue of $4.5 million generated based on 2,184 tonnes sold at an average realized sales price per tonne of graphite concentrate sold of $2,053/tonne (USD$1,572/tonne) ^(1).
• Cash costs $1,537 (USD$1,177) per tonne of graphite concentrate sold ⁽¹⁾
• Income from mine operations of $0.8 million.
• An operating loss of $0.9 million was recorded which includes general & administrative expenses, project evaluation, acquisition and integration costs and a foreign exchange gain.
• A net loss of $4.8 million ($0.04 per share) was recorded which includes a non-cash, $3.1 million foreign exchange loss on financial instruments.
• Cash and equivalents of $4.7 million as at September 30, 2022 and current restricted cash of $9.1 million (out of which $7.6 million was released subsequent to September 30, 2022).
• Working capital of $27.5 million as at September 30, 2022.
• Total assets of $106.5 million as at September 30, 2022.”

On December 20, Northern Graphite announced:

Northern Graphite announces amended Stock Option Plan and DSU/RSU Plan and RSU grants under DSU/RSU Plan…..

On December 21, Northern Graphite announced:

Northern Graphite announces LOI with Graphex Technologies to produce natural graphite anode material. Companies plan to build a mine-to-battery supply chain in North America and Europe…..

You can view the latest investor presentation here and the latest Trend Investing article on Northern Graphite here or the very recent and excellent Trend Investing CEO interview here.

Graphite developers

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 December, 2022.

No significant news for the month.

Investors can view the latest company presentation here or the latest Trend Investing article 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 November 30, Talga Group announced:

Talga and ACC graphite anode offtake update…..The parties continue to use commercially reasonable efforts and are now at advanced stages of negotiations and completion of legally binding documentation, which is in accordance with the commercial terms contained in the non-binding Offtake Term Sheet (ASX:TLG 27 September 2022).

On December 14, Talga Group announced: “Talga silicon anode demand drives progress.” Highlights include:

• “Talnode®–Sisilicon anode achievesTier–1 automotive and battery customer targets in qualification tests to date.…..
• German pilot plant to be expanded Q1 2023 and commercial production options advanced.
• Commercial negotiationswithTier–1EVand battery manufacturers commenced.”

You can view the latest investor presentation here.

Westwater Resources (NYSE:WWR)

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 December 6, Westwater Resources Inc. announced:

Westwater Resources announces completion of Technical Report Summary for its Coosa Graphite Deposit in Alabama….. Terence J. Cryan, Westwater’s Executive Chairman, stated: “We are pleased to achieve another milestone in advancing our graphite business with the completion of a technical study on the graphite resource at the Coosa Deposit. We believe the results of the technical study indicate that the Coosa Deposit is capable of supplying graphite concentrate to our Kellyton Graphite Processing Plant, and we continue to believe that the vertical integration of the Coosa Deposit and our Kellyton Graphite Processing Plant will create future shareholder value.”

On December 20, Westwater Resources Inc. announced:

Westwater Resources responds to unsolicited proposal…..the Company had received an unsolicited proposal from Idaho Strategic Resources (NYSE American: IDR) (“IDR”) on December 15, 2022…..Westwater responded to IDR that, at this time, it was not in the best interests of the Company to pursue the proposal further.

You can view the latest investor presentation 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 December 1, Magnis Energy Technologies Ltd. announced:

Clarification to media article. Magnis Energy Technologies Ltd (“Magnis”, or the “Company”) (ASX: MNS; OTCQX: MNSEF; FSE: U1P) refers to an article published in today’s Australian Financial Review with the title “HSBC chases big number for Magnis’ Energy’s iM3NY Plant”. The Company can confirm that iM3NY has commissioned HSBC to assist with its funding requirements for the expansion at its lithium-ion battery plant in Endicott, NY. The Magnis board has not made any decision as to whether or not it will participate in iM3NY’s funding requirements.

On December 22, Magnis Energy Technologies Ltd. announced:

Magnis Advances its AAM Project in the US……Orders placed for key AAM Demonstration Plant equipment.

Gratomic Inc. [TSXV:GRAT] [GR:CB82 ] (OTCQX:CBULF)

Gratomic’s Aukam Graphite Project is located in Namibia, Africa. The Project is undergoing ‘operational readiness‘. Gratomic also 100% own the Capim Grosso Graphite Project in Brazil. Gratomic is also collaborating with Forge Nano to develop a second facility for graphite micronization and spheronization.

On December 20, Gratomic Inc. announced:

Gratomic announces disposal of non-core assets and pending VAT refund for total of NAD 6.35 million (CDN$498,431)…..announces that it has disposed of non-core assets in Namibia for total proceeds of NAD 3.20 million (CDN$251,178). On December 19, 2022, the Company received notice from the Namibian government that a Valued Added Tax (VAT) refund applicable to two VAT periods previously filed had been processed. The Company anticipates the refund of NAD 3.15 million (CDN$247,253) will be received within the next two weeks.

Black Rock Mining [ASX:BKT]

On December 5, Black Rock Mining announced: “Black Rock signs MOU for grid power supply to Mahenge.” Highlights include:

• “…..Grid power differentiates Black Rock: Positions the Mahenge Graphite Project in the lower quartile of the cost curve via, diesel free low-cost grid power. Renewable, hydro sourced power will reduce carbon footprint enhancing green credentials. Regional electrification supports external funding options.
• Black Rock is progressing discussions with several parties to explore funding for the power line infrastructure outside of the Mahenge Graphite Project.”

Nouveau Monde Graphite [TSXV:NOU] (OTCQX:NMGRF) (NYSE:NMG) and Mason Graphite [TSXV:LLG] [GR:M01] (OTCQX:MGPHF)

Nouveau Monde Graphite (“NMG”) own the Matawinie graphite project, located in the municipality of Saint-Michel-des-Saints, approximately 150 km north of Montreal, Canada. NMG (51%) and Mason Graphite (49%) have agreed to JV (subject to approvals) on the Lac Guéret Project.

On December 1, Nouveau Monde Graphite announced: “NMG engages Hybrid Financial and announces cancellation of options…..”

You can view the latest investor presentation here.

Greenwing Resources Limited [ASX:GW1] (OTCPK:BSSMF) (formerly Bass Metals [ASX:BSM])

No significant news for the month.

You can view the latest company 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 two large graphite projects in Mozambique, not far from Syrah Resources Balama project.

On December 1, Triton Minerals announced: “Triton re-commits to large scale development of Ancuabe Project.” Highlights include:

• “Triton’s Board of Directors, with the support of proposed cornerstone shareholder Shandong Yulong, have formally re committed to the large-scale development of the Ancuabe Project as per the 2017 Definitive Feasibly Study (DFS)1, which established the project as a globally significant graphite development project, boasting strong returns (US$298m, IRR 37%), targeting production of 60ktpa of high purity large flake graphite concentrate over a long mine life (27 years), with short payback period (3.7 years).
• Shandong Yulong confirms that its proposed cornerstone shareholding in Triton will be a strategic asset in its battery metals portfolio and follows the successful Mozambique due diligence site visit4, which is a condition precedent to its A$5.0 million conditional investment in Triton2,3.
• Triton’s decision to move straight to large scale development is driven by increasing demand for graphite from both battery and industrial applications and the potentially exceptional returns that the Ancuabe Project is expected to generate, as well as the support from proposed cornerstone shareholder Shandong Yulong.
• Shandong Yulong have the ability to provide potential project development synergies by support with key project development inputs such as engineering, mining technology and construction, marketing and finance.
• Triton is currently completing a revised project plan, including an update of the 2017 DFS with results expected in coming months, focused on updated basket pricing, upfront capital expenditure, operating expenditure and sustaining capital expenditure.“

On December 2, Triton Minerals announced: “Triton re-commits to large scale development of Ancuabe Project – amended…..”

You can view the latest investor presentation here and the latest article on Trend Investing here.

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.

SRG Mining Inc. [TSXV:SRG] [GR:18Y] [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.

No news for the month.

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.

Renascor Resources [ASX:RNU]

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 November 28, Renascor Resources announced: “PEPR approval for Siviour Graphite Mine and Concentrator. Receipt of key approval paves the way for development of the Siviour Battery Anode Material Project Upstream operation.” Highlights include:

• “Renascor is pleased to announce that it has received approval from the South Australian Department of Energy and Mining (DEM) for the Program for Environment Protection and Rehabilitation (PEPR) for its proposed Siviour Mine and Concentrator in South Australia.
• The PEPR approval permits Renascor to process up to 1.65 million tonnes per annum, which would allow Renascor to produce up to 150,000 tonnes of Graphite Concentrates per year.
• Approval of the PEPR, which is the second step (following the previous grant of the Siviour Mineral Lease3) in South Australia’s two-stage assessment process, permits Renascor to move forward with the development of the upstream Graphite Mine and Concentrator portion of the Siviour Battery Anode Material Project – a vertically integrated battery anode material manufacturing operation located wholly within South Australia.
• PEPR approval follows a process of extensive stakeholder engagement, independent expert audits and comprehensive studies undertaken to incorporate designs and management plans to comply with conditions outlined in the Siviour Mineral Lease granted in 2019.
• The conditions of the approved PEPR are in line with Renascor’s expectations after a period of consultation with DEM since submission of the PEPR in September 20215.
• PEPR approval satisfies a fundamental condition of the Australian Government’s A$185 million loan facility to fund Renascor’s integrated Siviour Battery Anode Material Project.“

On December 8, Renascor Resources announced:

Renascor successfully completes A$70million fully underwritten institutional placement. Institutional raising to accelerate development of the Siviour Battery Anode Material Project…..

You can view the latest investor presentation here.

EcoGraf Limited [ASX:EGR] [FSE:FMK] (ECGFF)

On December 20, EcoGraf Limited announced:

MTB Group partnership supports battery recycling in France. Lithium-ion anode recycling to support reduced carbon emissions for new gigafactories.

On December 21, EcoGraf Limited announced:

Framework agreement. Epanko Graphite Project Development. The Government of Tanzania is currently completing its approval processes to enable signing of the Framework Agreement, which is expected to occur early next year and represents an important requirement for the financing and development of the Project.

You can view the latest investor presentation here.

Lomiko Metals Inc. [TSXV:LMR] (OTCQB:LMRMF)

Lomiko has two projects in Canada – La Loutre graphite Project (flagship) (100% interest) and the Bourier lithium Project (70% earn in interest).

On November 28, Lomiko Metals Inc. announced: “Lomiko announces further results from the infill and extension exploration drill program at its La Loutre Graphite property in Québec, including a large interval of 4.49% Cg drilled over 144.3m including 8.43% Cg over 55.5m in the Battery Zone.” Highlights include:

Assay results from the first six of 26 holes drilled at Battery Zone:

• “Consistent, near surface graphite mineralization in mid-north section of Battery Zone.
• High-grade graphite values and significant widths in all six drill holes.
• Best interval: 4.49% Cg over 144.3m from 46.7 to 191.0m in hole LL-22-054 including 8.43% Cg over 55.5m from 46.7 to 102.2m.
• Multiple graphite layers encountered in holes LL-22-056, LL-22-057, and LL-22-058.
• Flake graphite mineralization is visually coarse-grained, indicating that the flake sizing may be bigger than in the EV zone.”

On December 6, Lomiko Metals Inc. announced: “Lomiko announces further results from the exploration drill program at La Loutre Graphite property in Québec, drills up to 6.00% Cg over 45.0m along southwestern margin of Battery Zone.” Highlights include:

Assay results from the second 10 of 26 holes drilled at Battery Zone:

• “Consistent, near surface graphite mineralization along the southwest margin of the Battery Zone.
• Strong graphite values and significant widths in all 10 drill holes.
• Best interval of 6.00% Cg over 45.0m from 55.0 to 100.0m in hole LL-22-062 including 7.41% Cg over 33.0m from 65.5 to 98.5m.
• Second best interval of 5.62% Cg over 27.0 from 31.5 to 58.5 in hole LL-22-060 including 6.58% Cg over 21.0m from 36.0 to 57.0m.”

On December 13, Lomiko Metals Inc. announced: “Lomiko announces remaining results from the exploration drill program at La Loutre Graphite property in Québec, drills up to 10.37 % Cg over 64.0m at end of Battery Zone along southeastern margin.” Highlights include:

Assay results from the third and last batch of 10 of 26 holes drilled at Battery Zone:

• “Consistent, near surface graphite mineralization along the southwest margin of the Battery Zone.
• Strong graphite values and significant widths in all 10 drill holes.
• Best interval of 10.37% Cg over 64.0m from 27.0 to 91.0m in hole LL-22-074 including 14.15% Cg over 40.5m from 45.0 to 90.0m.
• Second best interval of 11.42% Cg over 26.5m from 48.0 to 74.5m including 15.01% Cg over 13.5 from 51.0 to 64.5m and 17.16% Cg over 5.5m from 69.0 to 74.5m in hole LL-22-073.
• Battery zone remains open on the south end.”

Focus Graphite [TSXV:FMS][GR:FKC] (OTCQB:FCSMF)

On November 30, Focus Graphite announced:

Focus Graphite completes 2022 Exploration and Resource Definition Drilling Program at its Lac Tétépisca Project, Québec ahead of schedule and under budget. The Company has completed 14,900.5 metres of core drilling from 74 holes, including 6,640.2 metres of definition drilling from 27 deep holes on its Manicouagan Ouest Graphitic Corridor (“MOGC”) deposit.

Metals Australia [ASX:MLS]

No graphite news for the month.

You can view an August 2022 Metals Australia update video here.

Sovereign Metals [ASX:SVM] [GR:SVM][LSE:SVML] – Plan to demerge graphite assets to a 100% owned subsidiary NGX Limited

On December 7, Sovereign Metals announced: “Sovereign to demerge standalone graphite projects.” Highlights include:

• “Sovereign to demerge standalone Graphite Projects (being the Nanzeka, Malingunde, Duwi and Mabuwa Projects) into a wholly owned subsidiary, NGX Limited.
• The Demerger seeks to unlock the value of the Graphite Projects for Sovereign shareholders and separate its Kasiya Rutile Project and its standalone Graphite Projects into two distinct companies.
• The demerger of the Graphite Projects will be subject to shareholder approval and will involve an in-specie distribution to Sovereign shareholders on the basis of one (1) NGX Share for every eleven (11) Sovereign Shares.
• NGX is proposing to pursue an ASX listing through an initial public offering of NGX Shares ([IPO]pursuant to a prospectus following the completion of the Demerger……..
• The Demerger allows Sovereign and the existing management team to focus on its flagship Kasiya Rutile Project, the largest natural rutile deposit in the world.
• Sovereign will retain all graphite co-product from the Kasiya Rutile Project.
• Kasiya Pre-Feasibility Study currently advancing and on track for completion in H1 2023.”

You can view the latest investor presentation here.

Sarytogan Graphite [ASX:SGA]

Sarytogan Graphite has a 209mt @ 28.5% TGC Inferred Resource (60mt contained graphite) in Central Kazakhstan.

On December 6, Sarytogan Graphite announced: “Breakthrough: 99.87% graphite purity.” Highlights include:

• “Low-temperature alkaline roasting improved to 99.70% Total Graphitic Carbon (TGC).
• Alternative chemical purification process separately achieved 99.70% TGC.
• Combining both alkaline roasting and chemical purification achieved 99.87% TGC.
• Next Steps for Q1 2023 include further optimisation, spheroidization test-work, Mineral Resource upgrade, and commencement of economic studies.“

On December 9, Sarytogan Graphite announced: “Mineralisation extended up to 1km outside existing resource.” Highlights include:

• “Thick high-grade graphite intercepts returned outside of the existing 209Mt @ 28.5% TGC Inferred Mineral Resource1. Significant intercepts above 25% TGC include: 75.1m @ 34.6% TGC from 2.0m incl. 51.1m @ 36.8% in ST-85. 47.4m @ 33.4% TGC from surface….
• Mineralisation now extended beyond the existing Mineral Resource up to: 1,000m south-west of the Northern Graphite Zone [NGZ]. 800m south-east of the NGZ. 150m north of the NGZ. 300m north of the Central Graphite Zone (CGZ).
• 2022 drilling program now complete with 46 holes drilled for 3,044.6m.
• Further results expected from the CGZ ahead of a Mineral Resource Upgrade in Q1 2023 targeting Indicated classification to inform economic studies.“

Evion Group NL [ASX:EVG] – (Formerly BlackEarth Minerals [ASX:BEM])

On December 1, Evion Group NL announced:

New Company Name and ASX Code “Evion Group NL – ASX : EVG”. On 25 November 2022, BlackEarth Minerals NL (“the Company”) (ASX: BEM) advised that a special resolution had been passed by the Shareholders at the 2022 Annual General Meeting approving the change of name of the Company to Evion Group NL. This change will take effect on the ASX from commencement of trading on Thursday, 1 December 2022 at which time the ASX code will migrate from BEM to EVG.

On December 19, Evion Group NL announced:

Evion signs pivotal offtake agreement with leading graphite technology group Urbix Inc., USA. Non-binding deal covers ~40% of Maniry’s forecast production and would see Evion become a key supplier to the lithium battery industry…..

On December 21, Evion Group NL announced: “Evion’s Graphite highly suitable for Lithium Batteries…..”

On December 23, Evion Group NL announced: “Update – Evion’s graphite suitable to lithium batteries…..”

Zentek Ltd. [TSXV:ZEN] (ZTEK)(formerly ZEN Graphene Solutions Ltd.)

On December 7, Zentek Ltd. announced: “Zentek’s ZenGUARD™ Patent Application granted by the Canadian Intellectual Property Office…..”

On December 15, Zentek Ltd. announced: “Zentek announces successful Phase 2 results of HVAC testing…..”

Other graphite juniors

Armadale Capital [AIM:ACP], BlackEarth Minerals [ASX:BEM], DNI Metals [CSE:DNI] (OTC:DMNKF), Eagle Graphite [TSXV:EGA] [GR:NJGP] (OTC:APMFF), Electric Royalties [TSXV:ELEC], Graphite One Resources Inc. [TSXV:GPH] [GR:2JC] (OTCQX:GPHOF), Green Battery Minerals Inc. [TSXV:GEM] (OTCQB:GBMIF), International Graphite [ASX:IG6], New Energy Metals Corp. [ASX:NXE], Volt Resources [ASX:VRC] [GR:R8L], South Star Battery Metals [TSXV:STS] (OTCQB:STSBF), Walkabout Resources Ltd [ASX:WKT].

Synthetic Graphite companies

• SGL Carbon
• Novonix Ltd [ASX:NVX](OTCQX:NVNXF)

Graphene companies

• Archer Materials [ASX:AXE]
• Black Swan Graphene Inc. [TSXV:SWAN]
• Elcora Advanced Materials Corp. [TSXV:ERA](OTCPK:ECORF)
• First Graphene [ASX:FGR] (OTCQB:FGPHF)
• Graphene Manufacturing Group Ltd [TSXV:GMG]
• NanoXplore Inc. [TSXV:GRA] (OTCQX:NNXPF)
• Strategic Elements Ltd [ASX:SOR]
• Zentek Ltd. [TSXV:ZEN] (ZTEK)

Conclusion

December saw generally flat flake and spherical graphite prices.

Highlights for the month were:

• Fastmarkets forecast is for notably higher graphite prices in 2023.
• Graphite market at a “Turning Point” as demand for EV batteries rises.
• Indonesia says anode plants are being built to support EV ambitions.
• Tight supply to underpin China graphite market in 2023. China’s average domestic graphite flake price was Yn5,097t ex-works in 2022, up by 32.3pc from 2021.
• Syrah Resources – Tesla has exercised its option to offtake an additional 17ktpa AAM from Vidalia at a fixed price and for an initial term of no less than four years….
• Northern Graphite announces LOI with Graphex Technologies to produce natural graphite anode material.
• Talga Group commercial negotiations with Tier–1 EV and battery manufacturers commenced.
• Magnis Energy Technologies advances its AAM Project in the US. Orders placed for key AAM Demonstration Plant equipment.
• Triton re-commits to large scale development of Ancuabe Project.
• Renascor Resources receives SA Gov. approval for Siviour Graphite Mine and Concentrator. PEPR approval satisfies Australian Government’s A$185 million loan facility condition to fund Renascor’s integrated Siviour Battery Anode Material Project.
• Lomiko drills 4.49% Cg over 144.3m from 46.7 to 191.0m, 6.00% Cg over 45.0m from 55.0 to 100.0m, and 10.37% Cg over 64.0m from 27.0 to 91.0m.
• Sovereign Metals to demerge standalone graphite projects into a wholly owned subsidiary, NGX Limited.
• Sarytogan Graphite combined alkaline roasting and chemical purification achieved 99.87% TGC.
• Evion signs pivotal non-binding offtake agreement with leading graphite technology group Urbix Inc., USA.

As usual all comments are welcome.

Editor’s Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.