Graphite Miners News For The Month Of February 2024

Summary

• China flake graphite prices & spherical graphite prices were mixed the past month. Flake graphite prices remain very low near the marginal cost of production.
• Graphite market news - BMI forecasts supply/demand of the flake graphite market to likely remain in relative equilibrium in 2024. US moves to restore stockpiling "panic button" in EV metals.
• Graphite company news - Syrah commences AAM production at Vidalia. Westwater Resources announces first Off-Take Agreement with SK On.
• Nouveau Monde Graphite announces Offtake Agreement with GM for 18,000tpa of active anode material and US$150 million equity investment. Sarytogan Graphite drills 60.1m @ 33.81% Total Graphitic Carbon [TGC] from surface.

Welcome to the February edition of the graphite miners news.

February saw flake graphite prices mixed but generally at very low levels near or below the marginal the cost of production.

Graphite price news

During the past 30 days, the China graphite flake-194 EXW spot price was down 3.89%. The China graphite flake +195 EXW spot price was up 0.33%. 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 0.46% the past 30 days.

Benchmark Mineral Intelligence 2023 flake graphite and spherical graphite price chart (source)

Graphite demand and supply forecast charts

Macquarie Research (March 2023) forecasts flake graphite deficits starting in 2025 and growing larger to 2030 (source)

Trend Investing vs. 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 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

In February the Benchmark 2024 Price Outlook Whitepaper Battery "Raw Materials: Due for a Recharge" report stated:

....market prices for flake graphite reached near parity with production costs for numerous domestic graphite producers in China...Benchmark forecasts supply and demand of the flake graphite market to likely remain in relative equilibrium for the remainder of the year, tipping towards a marginal material oversupply by the end of 2024.

On February 2, Bloomberg reported:

Germany invests €1 billion to counter China on raw materials... As Germany’s parliament approves Scholz’s 2024 budget on Friday, the billion-euro fund is to be set up for four years. Investments will be coordinated with Italian and French initiatives in the raw materials sector, the people said. Policymakers will focus on mineral projects defined as critical in the European Union’s Critical Raw Materials Act...“The raw-material fund can be an element, but it won’t be a enough,” Grimm told Bloomberg.

On February 9, Mining.com reported: "EU, US to align global minerals push against China’s supply grip."

On February 19, Mining.com reported:

US moves to restore stockpiling ‘panic button’ in EV metals fight with China...the US faces serious shortages of the raw materials needed to execute the energy transition at the scale envisioned by Biden and his team...In December, Congress passed a new National Defense Authorization Act, which gives the logistics agency greater freedom to make long-term purchases without the congressional approval it had previously needed. It also guarantees $1 billion a year in future funding.

Graphite miners news

Graphite producers

We 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: AMG Critical Materials N.V. [AMS:AMG] [GR:ADG] (OTCPK:AMVMF) is also a "diversified producer", producing graphite, vanadium, and lithium.

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 January 31, Syrah Resources announced: "Quarterly activities report for the three months ending 31 December 2023." Highlights include:

• "...China export licensing controls implemented from 1 December 2023 severely limited natural graphite demand in China – licensing progress will determine near-term Balama sales profile.
• Campaign production of 20kt at 77% recovery over December 2023 quarter.
• Balama C1 costs (FOB Nacala/Pemba) of US$534 per tonne in operating periods and C1 fixed costs (FOB Nacala/Pemba) of US$4 million per month in the non-operating period.
• Lower quarter on quarter natural graphite sales with lower demand from Chinese anode customers – ~17kt natural graphite sold and shipped to 3rd party customers and ~3kt shipped to Vidalia in USA.
• Weighted average sales price of US$490 per tonne (CIF)2 lower quarter on quarter due to China fines sales prices.
• Syrah is commercially engaged with ten ex-China natural graphite anode projects for long-term natural graphite supply from Balama and aiming to execute further significant binding offtake in the March 2024 quarter.
• Safely commissioning or operating all areas of the 11.25ktpa AAM Vidalia facility in Louisiana, USA (“Vidalia Initial Expansion”) – total installed capital costs revised to US$209 million.
• Ramping up AAM production from February 2024 to begin product qualification toward commercial AAM sales.
• Progressing offtake and project readiness for Vidalia’s expansion to a 45ktpa AAM, inclusive of 11.25ktpa AAM, production capacity (“Vidalia Further Expansion”) – financing considerations will determine FID timing.
• MOU signed with Tees Valley Graphite for joint venture development of a large-scale AAM facility in the United Kingdom.
• Completed final ~US$32 million advance of US$102 million loan from US Department of Energy (“DOE”) for the Vidalia Initial Expansion project3 and potential US$350 million loan with DOE for the Vidalia Further Expansion project.
• Targeting completion of US$150 million loan for Balama from US International Development Finance Corporation in H1 2024.
• A$50 million (US$34 million5) series of new convertible notes with AustralianSuper issued, following shareholder approval, on 23 October 2023.
• Quarter end cash balance of US$85 million, including restricted cash of US$38 million."

On February 9, Syrah Resources announced: "Syrah commences AAM production at Vidalia, USA." Highlights include:

• "Syrah commences Active Anode Material (“AAM”) production at its 11.25ktpa Vidalia facility in Louisiana, USA.
• Vidalia is the first vertically integrated natural graphite AAM supplier outside China, processing natural graphite from Syrah’s Balama Graphite Operation in Mozambique.
• Natural graphite is a critical mineral due to its use in the lithium-ion battery supply chain.
• Syrah will supply 8kpta AAM from Vidalia to Tesla under the existing offtake agreement, subject to production ramp-up and finalizing qualification.
• Syrah is progressing expansion of Vidalia to 45ktpa AAM capacity, inclusive of 11.25ktpa AAM to readiness for a final investment decision.
• US Department of Energy is undertaking due diligence for an additional ATVM loan for the Vidalia’s further expansion."

Catalysts:

• 2024 - Outcome of the U.S Gov. ATVM loan application to help fund Vidalia expansion.

Natural graphite and AAM demand will increase three and five times, respectively, over the next 10 years

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 news for the month.

Mineral Commodities Ltd. ("MRC") [ASX:MRC]

Skaland Graphite is 100% 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 January 31, Mineral Commodities Ltd. announced: "Quarterly activities report – December 2023." Highlights include:

• "Rights Issue completed, raising A$8.8 million.
• Recommencement of operations at Skaland Graphite mine.
• Final tranche payment made to acquire 100% ownership of Skaland graphite mine.
• Agreement signed with CSIRO for Anode pilot plant collaboration..."

Corporate and Cash

• "Available Cash: US$2.1 million as at 31 December 2023 (US$1.4 million as at 30 September 2023).
• Borrowings: US$9.0 million as at 31 December 2023 (US$7.9 million as at 30 September 2023).."

Tirupati Graphite [LSE:TGR]

No significant news for the month.

Northern Graphite [TSXV:NGC][FRA: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 January 31, Northern Graphite announced: "Northern Graphite launches battery materials group to spearhead mine-to-battery strategy." Highlights include:

• "Acquires state-of-the-art laboratory and expertise in carbon materials, electrochemistry and Lithium-Ion batteries.
• Licenses proprietary, patented technology for use in both solid-state and Li-Ion batteries."

NextSource Materials Inc. [TSX:NEXT] [GR:1JW] (OTCQB:NSRCF)

NextSource Materials Inc. 100% owns the Molo Graphite Mine in Madagascar. The Company also has the Green Giant Vanadium Project on the same property.

On February 5, NextSource Materials Inc. announced:

NextSource Materials provides update on Molo Graphite Mine commissioning...Since announcing first graphite production in June 2023, the Company has progressed methodically through debottlenecking and optimization activities to achieve the plant nameplate capacity of 17,000 tonnes per annum of SuperFlake® graphite concentrate. During this ramp-up process, the Company further identified and is rectifying underperforming equipment in the screening circuit. These constraints have delayed the point at which NextSource expects to reach plant nameplate capacity...Notwithstanding a slower than expected commissioning process, the Company has produced SuperFlake® concentrate with a carbon [C] content of over 95% and concentrate is being stockpiled at the mine and at a third-party warehouse facility at the Port of Tulear for shipment as qualifying material for prospective customers. To date, the Company has completed the shipment of almost 60 tonnes of qualifying material to our Battery Anode Facility [BAF] Technology Partner for testing and conversion into coated, spheronized, purified graphite (“CSPG”).

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

Gratomic’s Aukam Graphite Project is located in Namibia, Africa. 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.

No Gratomic news to be found.

Graphite developers

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

On January 25 Evion Group announced: "Commissioning commences ahead of first production in India."

On January 31, Evion Group NL announced:

Quarterly activities/appendix 5B cash flow report...As at 31 December 2023, the company held strong cash reserves of $2.95m - sufficient funds to meet all immediate development and growth plans and nil debt...

South Star Battery Metals [TSXV:STS] (OTCQB:STSBF)

South Star Battery Metals' Santa Cruz Graphite Mine (in Bahia Brazil) Phase 1 commercial production is planned to begin in Q1, 2024.The Company also owns the BamaStar Project in Alabama, USA.

On February 6, Southern Star Battery Metals announced:

South Star Battery Metals announces approval of the Environmental Permits for the Santa Cruz Graphite Mine Phases 2 & 3 in Bahia, Brazil... for up to 50,000 tonne per annum (“tpa”) of concentrate for eight mining claims. Following approval of the environmental permits, five of the principal claims were approved by the regional office of the National Mining Agency (“ANM”) and forwarded to the Ministry of Mines and Energy (“MME”) in Brasilia for final review of the life-of-mine permit applications. The Phases 2 and 3 environmental permits were approved with conditions generally in line with the Phase 1 permit and are consistent with the current environmental and community engagement programs already underway...

On February 13, Southern Star Battery Metals announced:

South Star Battery Metals announces closing of tranche 1 of oversubscribed non-brokered private placement...for gross proceeds of C$4,907,757.80. Proceeds from the Private Placement will be used for accelerating exploration, development, construction activities, as well as corporate G&A and general working capital requirements...

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 January 31, Renascor Resources Ltd. announced: "Quarterly activities report for the period ended 31 December 2023." Highlights include:

• "Renascor acquires the freehold rights to the site of the upstream portion of its proposed Battery Anode Material [BAM] Project. With the completion of the purchase, Renascor has now commenced on-site planning activities to conform with its obligations under its Mineral Lease and to permit preparatory works in anticipation of the construction phase.
• Independent environmental consultancy Minviro Limited completes a Life Cycle Assessment [LCA] of the environmental footprint of the BAM Project...
• Renascor continues to accelerate the development of its planned phase one production of graphite concentrates, with recent and on-going work programs including more detailed engineering and procurement activities designed to minimize the planned phase one construction period and discussions with potential partners regarding offtake terms and potential equity investments to help meet the BAM Project’s capital requirements.
• China, which supplies ~70% of the global supply of graphite and 90% of global supply of anodes for lithium-ion batteries2, announces graphite export restrictions, highlighting the need for new ex-China supply sources, such as from Renascor’s BAM Project.
• Renascor’s cash position as of 31 December 2023 was approximately A$125 million."

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 January 31, Talga Group announced: "Quarterly activities review for period ending 31 December 2023." Highlights include:

Commercial and project development

• "$31 million environmental bond facility secured for Vittangi Anode Project.
• Vittangi Anode Project update."

Resource development and exploration

• "Vittangi Graphite Project exploration update and successful definition of large new targets.
• Aero Lithium Project update and partner discussions underway."

Product and technology development

• "Talga joins Polestar 0 project.
• Battery market shows continued high growth.
• China graphite export restrictions increases EU auto OEM focus on localization."

Corporate and finance

• "Talga strengthens European leadership.
• Talga completes upsized and oversubscribed Share Purchase Plan.
• Talga presenting and exhibiting at globally significant industry events.
• Cash balance of A$32.9 million as at 31 December 2023."

On February 7, Talga Group announced:

Talga strengthens global leadership – CEO Europe becomes Group CEO. Battery materials and technology company Talga Group Ltd (“Talga” or “the Company”) [ASX:TLG] is pleased to announce the appointment of Mr. Martin Phillips as Talga Group CEO, bolstering the Company’s leadership as it executes on its Vittangi Anode Project and advances expansion plans...

Westwater Resources (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 February 5, Westwater Resources announced: 'Westwater Resources announces first Off-Take Agreement for sale of graphite from its Kellyton Plant." Highlights include:

• "Westwater contracts to supply natural purified graphite anode material to SK On, a leading manufacturer of EV batteries, at its plants in the U.S.
• Off-Take Agreement a critical element to obtaining financing for construction of Kellyton Phase I."

Magnis Energy Technologies Ltd [ASX:MNS] (OTCPK: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 January 31, Magnis Energy Technologies announced: "Quarterly report for quarter ending December 2023." Highlights include:

• "Meetings in Tanzania conducted for potential offtake and investment.
• 31 Families resettled into the new Eco-Village.
• Long term financing discussions for Magnis and all of its projects continue to progress with various potential investors."

On February 15, Magnis Energy Technologies announced:

Magnis financing update for IM3NY...Since late 2023, the Company has been working closely with Price Waterhouse Coopers (PWC) to refinance iM3NY’s existing $100M USD credit facility. PWC has been running an orderly process with multiple investors who are interested in the iM3NY asset. Several institutional investors are in detailed diligence. As part of this process, management meetings have been completed and investors are working on providing term sheets. Each Investment Manager involved can provide funds sufficient to allow for a complete refinancing of the $100M USD debt with the necessary funds to execute the revised business plan...

Black Rock Mining [ASX:BKT]

No significant news for the month.

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 and the Lac Guéret Project.

On January 31, Nouveau Monde Graphite announced:

NMG announces the successful closing of the previously announced acquisition of Mason Resources’ Lac Guéret Graphite Deposit/Uatnan Mining Project – One of the world’s largest graphite projects in development...NMG acquired 100% of Mason’s Lac Guéret property, which consists among other things of 74 map-designated claims totalling 3,999.52 hectares...

On February 15, Nouveau Monde Graphite announced: "NMG announces Offtake Agreement with GM for Canadian graphite and US$150 million equity investment." Highlights include:

• "NMG and GM have agreed to sign a multiyear supply agreement for 18,000 tonnes per annum of active anode material, covering a significant portion of NMG’s expected Phase-2 integrated production, from graphite ore to battery materials.
• GM commits to a US$150 million investment in two tranches, subject to certain closing conditions, to support advancement and ultimately construction of NMG’s Phase-2 operations.
• Announcement coincides with parallel offtake agreement with Panasonic Energy, which combined with GM’s Supply Agreement, covers approximately 85% of NMG’s planned active anode material production at its Phase-2 Bécancour Battery Material Plant.
• GM’s Tranche 1 Investment and Supply Agreement support NMG’s execution plan for its Phase-2 Matawinie Mine and Bécancour Battery Material Plan, marking a significant milestone toward a subsequent tranche investment of up to an additional US$275 million in the aggregate from anchor customers, subject to certain conditions.
• Collaboration provides GM with a source of carbon-neutral active anode material to support its EV production, adding to GM’s progress in developing a more sustainable and resilient North American-focused EV supply chain.
• Graphite is a key battery raw material, making up more than 95% of the anode side of lithium-ion batteries for EVs and clean energy storage systems..."

Greenwing Resources Limited [ASX:GW1] (OTCPK:BSSMF)

On January 31, Greenwing Resources Limited announced: "Greenwing secures a 4 year $8 million funding facility." Highlights include:

• "Greenwing enters $8 million ‘At-the-Market’ (ATM) funding facility with Alpha Investment Partners.
• The ATM facility has been secured following further encouraging results from the program at the San Jorge Project in Catamarca Province, Argentina and ahead of targeting delivery of a maiden resource at San Jorge in Q1 CY2024.
• The facility provides Greenwing with access to cost-effective standby equity capital during its four-year term.
• Maturity of existing debt facility extended to 30 June 2024."

On January 31, Greenwing Resources Limited announced: "Quarterly report period ending December 2023." Highlights include:

Graphmada Graphite Mining Complex, Madagascar:

• "Continued preliminary progression regarding the attraction of Strategic Investment in Graphmada Stage 2, focusing on establishment of the mine with higher production volumes.
• Auger drilling commenced at the Andapa prospect (approximately 60klms closer to the country’s main port of Tamatave), aiming to expand GW1’s graphite asset base in Madagascar."

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. Triton has two large graphite projects in Mozambique, not far from Syrah Resources Balama Project.

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. SRG and C-ONE plan to develop an anode material facility in Morocco.

On February 26, SRG Mining Inc. announced:

SRG update on redomiciliation and strategic partners...Following a comprehensive review of various jurisdictions the Company has selected the Abu Dhabi Global Market (the “ADGM”) in the United Arab Emirates (the “UAE”) as the preferred jurisdiction for redomiciliation (the “UAE Redomiciliation”). The UAE Redomiciliation will provide the Company with expanded strategic optionality. Additionally, the UAE has a double taxation treaty and a bilateral investment treaty with the Republic of Guinea, where SRG’s main asset, the Lola Graphite Project, is located... Concurrently, the Company has been advancing discussions with multiple high-quality parties who have expressed interest in providing financing to advance SRG towards first production.

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.

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

On January 31, EcoGraf Limited announced: "Quarterly activities report." Highlights include:

EcoGraf Natural Graphite Projects

• "German Government confirms Epanko eligibility for cover in principle for the Untied Loan Guarantee (“UFK”) scheme based on the support of German offtakers for the Company’s initial 73,000tpa Epanko development.
• KfW IPEX-Bank Mandated for UFK Loan of up to US$105m for Development of Epanko.
• Completion of pre-development field programs consisting of land delineation, preliminary asset valuation and socio-economic surveys completed for the updated Resettlement Action Plan (RAP) and pre-development drilling.
• A total of 1,835m of diamond drilling (DD), 3,009m of reverse circulation [RC] drilling and 191m of trenching was completed..."

EcoGraf™ Anode Material Recycling

• Testwork with battery manufacturers and electric vehicle OEMs continued."

Corporate

• "Cash and deposits as at $30.5m."

On February 21, EcoGraf Limited announced: "Collaboration with BASF on anode recycling." Highlights include:

The agreement follows an initial positive testwork program and provides for EcoGraf to:

• "Utilize its proprietary purification process to recover anode material from BASF’s leached black mass generated from production scraps and end-of life lithium-ion batteries, to produce product samples for customer evaluation within the battery and industrial markets.
• Support the anode recycling program with blending the recycled anode with its high purity and high-performance Tanzanian graphite to increase re-use and uptake with customers.
• Utilize the testwork results to refine the recycling flowsheet and plant design."

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 February 15, Lomiko Metals Inc. announced:

Lomiko announces collaboration with Femina Collective and upcoming PDAC events. Lomiko Metals Inc. (TSX.V: LMR) (“Lomiko Metals” or the “Company”) is pleased to announce the start of a collaboration with Femina Collective (“Femina”) to build on and provide momentum for a more strategic approach to responsible critical minerals development and energy security in North America...

Metals Australia [ASX:MLS]

On January 31, Metals Australia announced: "Quarterly activities report – to 31 December 2023." Highlights include:

Corporate

• "The Company’s cash balance at the end of the Quarter was $14.97 million following net outflows of $605k, including $465k (77%) on exploration and metallurgical testwork (see Appendix 5B)."

Projects

Lac Rainy Graphite Project, Quebec, Canada (100% MLS) (see location, Figure 1)

• "During the Quarter the Company announced extensive high-grade graphite sampling results highlighting the enormous potential for resource growth at the Lac Rainy project.
• The results included an exceptionally high-grade sample containing 64.3% graphitic carbon (Cg)4. Sampling also produced 10 results of over 20%Cg and averaged 11%Cg across a 36km strike-length on 10 graphitic trends identified within the project (see locations, Figure 1)2. This represents an over 35 times multiple of the 1km of drill testing to date which defined the Mineral Resource of 13.3Mt @ 11.5%Cg (Indicated: 9.6Mt @ 13.1%Cg and Inferred: 3.7Mt @ 7.3%Cg).
• The Company has planned an extensive drilling program designed to extend and further define to the previously outlined Mineral Resource and test other high-grade trends to increase understanding of the enormous potential of the project for further resource expansion. Drilling will commence immediately following approval by the Quebec Ministry of Resources.
• In parallel with the drilling program, the Company will commence a pre-feasibility study [PFS] into developing high-grade flake-graphite production from the Lac Rainy Graphite Project. A shortlist of internationally recognized engineering companies are providing proposals for the PFS which will commence during Q1 2024.
• The Company will also carry out an initial study into the production of premium battery-grade spherical graphite, the key component of lithium-ion battery anodes. This will build upon the outstanding results from downstream spherical graphite and battery testwork which demonstrated that Lac Rainy spherical graphite exceeds lithium-ion battery physical property and electrochemical specifications...

On February 2, Metals Australia announced: "Clarification announcement. Metals Australia welcomes new CEO Paul Ferguson..."

On February 21, Metals Australia announced:

Metals Australia raises A$3.5M at a 40% premium to accelerate Lac Rainy high-grade graphite project. A$3,500,000 to be raised utilising the “Flow-Through Shares” provisions under Canadian tax law. The Flow-Through Shares will be placed at A$0.042 (4.2c) per share, representing a 40% premium to the Metals Australia Ltd [ASX:MLS] last closing price...

NGX Limited (100% owned subsidiary of Sovereign Metals [ASX:SVM] [GR:SVM][LSE:SVML])

No news for the month.

Sarytogan Graphite [ASX:SGA]

Sarytogan Graphite has an Indicated and Inferred Mineral Resource of 229Mt @ 28.9% TGC in Central Kazakhstan.

On February 26, Sarytogan Graphite announced: "High-grade graphite assays from geotech drill holes." Highlights include:

• "Assays received from eight 2023 geotechnical drill holes totaling 471.3m.
• High-grade graphite mineralization in 92% of all meters drilled, including: 60.1m @ 33.81% Total Graphitic Carbon [TGC] from surface to EOH in GT01. 50.0m @ 30.88% TGC from surface to End of Hole (EOH) in GT02. 60.0m @ 30.46% TGC from surface to EOH in GT05."

Albany Graphite Corp. (100% owned subsidiary of Zentek Ltd. [TSXV:ZEN] (ZTEK)

On January 30, Zentek Ltd. announced:

Zentek announces positive therapeutic results achieved by Triera Biosciences for C19HBA...

Other graphite juniors

Armadale Capital [AIM:ACP], Castle Minerals [ASX:CDT], DNI Metals [CSE:DNI] (OTC:DMNKF), Eagle Graphite [TSXV:EGA] [GR:NJGP] (OTC:APMFF), Elcora Advanced Materials Corp. [TSXV:ERA] (OTCPK:ECORF), Electric Royalties [TSXV:ELEC], E-Power Resources [CSE:EPR], Evolution Energy Minerals [ASX:EV1] (OTCPK:EVMIF), Focus Graphite [TSXV:FMS][GR:FKC] (OTCQB:FCSMF), Graphite One Resources Inc. [TSXV:GPH] [GR:2JC] (OTCQX:GPHOF), Green Battery Minerals Inc. [TSXV:GEM] (OTCQB:GBMIF), Infinity Stone Ventures [CSE:GEMS] (OTCQB:GEMSF), International Graphite [ASX:IG6], New Energy Metals Corp. [ASX:NXE], Volt Carbon Technologies [TSXV:VCT] (OTCQB:TORVF), Volt Resources [ASX:VRC] [GR:R8L], Reflex Advanced Materials Corp. [CSE:RFLX] (OTCQB:RFLXF), Walkabout Resources Ltd [ASX:WKT].

Spherical Graphite companies

• Aoyu Graphite Group
• Battery Minerals Ltd [ASX:BAT]
• Graphex Group [HKG: 6128] (GRFX)
• Imerys Graphite & Carbon [FR:NK](OTCPK:IMYSF) (OTCPK:IMYSY)
• Jixi BTR graphite Industrial Park
• Qingdao Black Dragon Graphite Group
• Qingdao Yanxin Graphite Products Co.
• Syrah Resources Limited [ASX:SYR] (OTCPK:SYAAF)
• Yingkou Botian Material Technology Limited Comp

Synthetic Graphite companies

• GrafTech International (EAF)
• Resonac Holdings [TYO:4004)
• BTR New Material Group [BJSE:835185]
• Lianyungang Jinli Carbon
• Shanshan Technology (SHA:600884)
• SGL Carbon [ETR:SGL] (OTCPK:SGLFF)
• Novonix Ltd [ASX:NVX](NVX)

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

February saw China flake graphite prices and spherical graphite prices mixed, remaining at very low levels near the marginal cost of production.

Highlights for the month were:

• BMI - Market prices for flake graphite reached near parity with production costs for numerous domestic graphite producers in China.
• BMI forecasts supply and demand of the flake graphite market to likely remain in relative equilibrium in 2024, tipping towards a marginal material oversupply by the end of 2024.
• Germany invests €1 billion to counter China on raw materials.
• EU, US to align global minerals push against China’s supply grip.
• US moves to restore stockpiling ‘panic button’ in EV metals fight with China.
• Syrah commences AAM production at Vidalia, USA.
• NextSource Materials continues to optimization activities to achieve Molo Mine plant nameplate capacity of 17,000tpa, despite some delays.
• Evion Group commissioning commences ahead of first production at JV expandable graphite facility in India.
• South Star Battery Metals announces approval of the Environmental Permits for the Santa Cruz Graphite Mine Phases 2 & 3 in Bahia, Brazil.
• Westwater Resources announces first Off-Take Agreement for sale of natural purified graphite anode material from its Kellyton Plant to SK On.
• Nouveau Monde Graphite announces Offtake Agreement with GM for 18,000tpa of active anode material and US$150 million equity investment.
• SRG Mining plans to re-domicile to Abu Dhabi Global Market in the UAE.
• EcoGraf Limited to collaborate with BASF on anode recycling.
• Sarytogan Graphite drills 60.1m @ 33.81% Total Graphitic Carbon [TGC] from surface, 50.0m @ 30.88% TGC from surface, and 60.0m @ 30.46% TGC from surface.

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.