Graphite Miners News For The Month Of December 2021

Summary

• Graphite prices were higher the past month. BNEF forecasts graphite prices likely to stay elevated in 2022.
• Graphite market news - China EV, battery makers grapple with graphite squeeze. BMI sees a roughly 20,000 tonne graphite deficit in 2022.
• Graphite company news - Tirupati Graphite commercial production commences at Vatomina. Gratomic acquires 100% interest in Brazilian Graphite Exploration Project.
• Triton Minerals review of Ancuabe Graphite Project reduces CapEx to US$32m to $52m. Magnis Energy Technologies signs binding graphite offtake agreement with Traxys. Northern Graphite to acquire two graphite mines from Imerys Group.
• I do much more than just articles at Trend Investing: Members get access to model portfolios, regular updates, a chat room, and more. Learn More »

andresr/E+ via Getty Images

Welcome to the December edition of the graphite miners news. December saw higher graphite prices and talk of a graphite "squeeze" (shortage) in China and a potential 2022 graphite deficit.

Graphite price news

During the past 30 days the China graphite flake-194 EXW spot price was up by 9.50% and China Flake-195+ EXW was up 0.99%. 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 up 3.87%.

Fastmarkets graphite prices as of December 9, 2021

Source: Fastmarkets

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.

Graphite demand and supply forecast charts

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 (2020 chart)

Source: Triton Minerals courtesy Roskill

BloombergNEF EV metals demand forecast

Source: BloombergNEF (January 2021 article)

UBS's EV metals demand forecast (from Nov. 2020)

Source

UBS forecasts year battery metals go into deficit (2021 chart)

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

Graphite market news

On November 29 Fastmarkets reported:

The critical need for synthetic and natural graphite to meet EV sector growth... While debate persists around cathode chemistries, with LFP cathodes gaining ground in China in recent months at the expense of NCM cathodes, these various lithium-ion battery chemistries are all utilizing graphite anodes. In the coming years, exponential growth from the EV sector will propel the industry's graphite requirement far above demand from the traditional consuming sectors, including the refractory industry, which is now the largest graphite-consuming sector... Synthetic graphite, however, is costly, power intensive and environmentally unfriendly, with supply centered in China at odds with North American and European automakers' desire for more localized supply... Natural graphite enjoys a cost advantage relative to synthetic graphite, with natural graphite roughly half the cost of synthetic graphite. The increased use of silicon in anodes is still largely under development, but in future, if this technology is more widely adopted, natural graphite performs better than synthetic graphite with silicon in the anode... Reflecting the rapid-demand growth forecast for the sector, both synthetic graphite and natural graphite will remain critical materials for anodes in the EV battery industry, with supply of both materials forecast to rise to meet surging demand from the EV sector.

On November 29, Ceylon Graphite announced:

Graphene Batteries could make charging faster. Elecjet claims its upcoming Apollo Ultra battery can top up its 10,000mAh capacity in a half hour. The batteries use graphene to deliver ultra-fast charging and long service life. It's part of the steadily evolving battery technologies that could improve everything from phones to electric cars...

On December 1 Reuters reported: "VW expects battery, raw material drive to cost up to $34 bln."

On December 8 Fastmarkets reported:

Carmakers focus on securing EV battery cathodes, but graphite anodes also critical... Fastmarkets has highlighted previously that, with more than 90% of graphite active anode material capacity currently in China, the anode market remains at risk to supply chain disruptions, such as have been seen in the semiconductor chip sector... While the automotive industry has expressed interest in localized graphite supply chains, and there are a number of graphite projects under way around the world, no carmakers have yet committed to joint ventures with any of these projects. Although about 50% of an EV battery is composed of graphite, the cost of the anode is significantly lower than the cost of the cathode, with the graphite anode cost estimated at just 7-10% of the total EV battery cost.

On December 10 Benchmark Mineral Intelligence reported:

Western EV makers face up to China's grip on graphite market. China's dominance of the graphite market could pose problems for western automakers as demand for anode material is set to rise by over seven times this decade. Automakers will need to diversify their sources of graphite to reduce the risks of relying on one country for a critical battery material, according to Benchmark Mineral Intelligence. "China has become the central participant in all steps of this anode supply chain," George Miller, an analyst at Benchmark Mineral Intelligence told Benchmark Week.

On December 15 Fastmarkets reported:

IMF report suggests possible 85% shortfall in graphite supply by 2050... In the case of graphite, around 60% of supply is based in China, with a further combined 20% coming from Mozambique and Brazil... In our view, the most likely initial increases to graphite supply to meet soaring demand will come from established producers, primarily in China and Mozambique. In Mozambique, Syrah Resources' Balama project is producing at less than its maximum capacity for 350,000 tonnes per year, with output estimated at closer to 100,000-150,000 tpy. Output could be increased if warranted by market conditions, which we do expect to see in the coming years. Natural graphite production projects of various sizes and at various stages are under way in countries around the world including Madagascar, Malawi, Tanzania, South Korea, Finland, Norway, Sweden, Ukraine, Canada, the United States and Australia, but we do not expect to see a significant contribution to global graphite supply from these new projects until 2024-25.

On December 15 Reuters reported:

China EV, battery makers grapple with graphite squeeze... Chinese producers have their work cut out keeping up with global demand for graphite, which has surged along with rapid growth in the battery market in recent years... Consultancy Benchmark Mineral Intelligence [BMI] sees a roughly 20,000 tonne graphite deficit in 2022, versus a similar-sized surplus last year... Top global EV battery maker Contemporary Amperex Technology Co Ltd (CATL) (300750.SZ) is "desperate" to secure supply of key ingredients such as graphite to keep up with rising orders, said a person with knowledge of the matter. "There's not enough graphite in the market for domestic players to grab," said the source, who asked not to be identified... "Graphite is in severe shortage and all companies are snapping up purchases," said the source... Anode-grade graphite flake prices on the Chinese domestic market are up almost 40% year-to-date at 4,500 yuan ($707) per tonne.

China EV metal prices (as of December 2021)

China flake graphite prices (as of December 2021)

Source: Reuters courtesy of Benchmark Mineral Intelligence

On December 17 Fastmarkets reported:

Luobei county graphite operations halted after reports of environmental violations. Graphite production operations in the major production hub of Luobei county, in China's Heilongjiang province, have been shut down after reports were filed by the central ecological and environmental protection supervision group, alleging unregulated construction and operations.

On December 18 Bloomberg reported:

Metals key for EVs will be pricier for longer after record year... Battery metals are in the throes of an unprecedented boom as the global push toward a greener future fires up demand for materials such as lithium, cobalt and nickel... "The new Covid-19 variant has thrown a cog in the wheel of the global recovery," said Kwasi Ampofo, head of metals and mining at BloombergNEF. "We expect the supply-chain constraints that impacted the movement of materials this year to remain well into 2022." Prices of lithium, graphite and cobalt are likely to stay elevated, potentially easing only in 2023, he added, though nickel could see a decline in prices by the second half of next year.

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, Qingdao Black Dragon, National de Grafite, Shanshan Technology, and LuiMao Graphite.

Note: Imerys Graphite and Carbon (OTC:IMYSF) and AMG Advanced Metallurgical Group NV [NA:AMG] [GR:ADG] (OTCPK:AMVMF) are also "diversified producers", producing graphite. SGL Carbon (OTCPK:SGLFF) (ETR:SGL) (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 December 23 Syrah Resources announced:

Binding Active Anode Material Offtake Agreement with Tesla... to supply natural graphite Active Anode Material ("AAM") from its vertically integrated AAM production facility in Vidalia, USA ("Vidalia"). Tesla will offtake the majority of the proposed initial expansion of AAM production capacity at Vidalia at a fixed price for an initial term of four years commencing from the achievement of a commercial production rate, subject to final qualification. Tesla also has an option to offtake additional volume from Vidalia subject to Syrah expanding its capacity beyond 10kt per annum AAM. The Agreement provides a compelling foundation to proceed with the initial expansion of Vidalia's production capacity and Syrah plans to make a final investment decision for construction of this expanded facility in January 2022, subject to financing commitments.

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 25, Ceylon Graphite announced: "Ceylon Graphite announces approval to amend convertible debentures and warrants."

On December 6, Ceylon Graphite announced:

Ceylon Graphite files NI 43-101 technical report with initial mineral resource estimate for K1 Mine... Total Indicated and Inferred Resources of 274,489 Tonnes at a grade of +90% Cg. Ceylon CEO, Don Baxter commented: "We are very pleased with this strong resource estimate for the K1 Mine. K1 is the first of potentially 10+ mining prospects of similar potential contained within our land package, covering 30,000 acres containing many of the 3,000 abandoned mines. We are seeing a global recognition of Critical Raw Materials necessary for the energy transition to a carbon zero society. Natural graphite is on the list as it nearly half the volume of active materials in electric vehicle batteries as it is used in the anode. Benchmark Mineral Intelligence projects graphite demand for anodes to reach 4 million tonnes by 2030. Ceylon will continue to add resources to inventory of the now globally significant Sri Lankan Vein Graphite Deposits."

On December 13, Ceylon Graphite announced:

Ceylon Graphite to clarify technical disclosures. Ceylon Graphite Corp. announces that, as a result of a review by the British Columbia Securities Commission (the "BCSC") of the Company's technical disclosure under National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") and its Form 43-101F1 (the "Form"), the Company is issuing this news release to clarify certain disclosures previously made by the Company. The technical report failed to follow the Form and does not provide the information required by the Form and it does not appear that the mineral resource estimate was prepared following industry standard practice in accordance with Form 43-101F1 and must be revised to follow the 2014 CIM Definition Standards. As a result of the review by the BCSC, the technical report reported on December 6, 2021 is contrary to NI 43-101, including the mineral resource estimate, and should not be relied on until an amended independent technical report is filed.

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 December 15, Mineral Commodities Ltd. announced: "Successful Electrochemical results on Skaland Anode Material." Highlights include:

• "High first cycle efficiency of 90.6% for Uncoated Skaland Spherical Graphite purified using proprietary, environmentally sustainable process developed with CSIRO.
• Steady-state capacity of 369 mAh/g for uncoated purified Skaland spherical graphite - close to theoretical maximum (372 mAh/g) for graphite.
• Skaland Anode material performed comparably to commercially available reference material in key performance benchmarks of efficiency and capacity.
• Additional testing, including Munglinup samples and coated samples, in progress."

Tirupati Graphite [LSE:TGR] (buying Battery Metals Mozambique graphite assets)

On December 2, Tirupati announced:

Unaudited half-yearly results. Shishir Poddar, Executive Chairman of Tirupati Graphite, said: "We have continued the strong progress made since our IPO in December last year investing in and establishing new capacities for increased production from our low cost, high margin flake graphite operations in Madagascar, furthering the proof of concept established with the 3,000 tpa upstream operations and 1,200 tpa expandable graphite operations established prior to IPO. We have also continued to develop our sustainable new age materials making a mark in the world of advanced materials. With two projects having been commissioned in the period under review and a further three under investment and development, we will be adding significant production capacities across our upstream and downstream businesses from the next financial year onwards, which will be a game changing transformation for us becoming a globally significant supplier of primary flake graphite and speciality graphite...

On December 2, Tirupati announced: "Commercial production commences at Vatomina." Highlights include:

• "Vatomina Project, which was commissioned in September 2021, has the capacity to produce 9,000 tonnes per annum ("tpa") of flake graphite..."

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 March, 2022.

On December 14, NextSource Materials Inc. announced:

NextSource Materials announces fabrication and assembly of the Molo Graphite Mine processing plant has been completed and factory acceptance testing initiated...

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 December 6, Greenwing Resources Limited announced: "Graphmada Mining Complex - Commencement of drilling program. " Highlights include:

• "A 3,000-metre diamond drilling program has commenced at the Graphmada Mining Complex building on the recently completed 180 hole augur program.
• The current drilling campaign aims to grow the mineral resource at Graphmada to underpin a proposed production facility with capacity of up to 40,000 tonnes per annum production of graphite."

You can view the latest company presentation here.

Walkabout Resources Ltd [ASX:WKT]

On November 29, Walkabout Resources announced: "Lindi Jumbo Project update:National grid power to be delivered to site."

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 December 8, Gratomic Inc. announced:

Gratomic acquires 100% interest in Brazilian Graphite Exploration Project... the "Capim Grosso Property" comprising mineral claim 870.180/2012 (426.03 Ha) located in Capim Grosso, BA, Brazil pursuant to the Agreement with Zumbi Mineração Brazil ("Zumbi") and the shareholders of Zumbi (collectively the "Vendors")...

On December 9, Gratomic Inc. announced:

Gratomic announces initial exploration results on Capim Grosso graphite project in Brazil. Results for the initial sampling and subsequent trenching programs from Capim Grosso have been returned from SGS Geosol in Minas Gerais, Brazil ranging between 3.87 to 41.79% Cg. These samples, retrieved by Nico Scholtz, the Company's QP, have confirmed that the Capim Grosso project is highly prospective for large scale High-Grade graphite mineralization.

On December 15, Gratomic Inc. announced: "Gratomic announces over-subscription and increase of non-brokered private placement to $27 million."

On December 20, Gratomic Inc. announced:

Gratomic announces engineering update for its Flagship Aukam Project in Namibia... The final concentrate of the three tests resulted in grades between 94.8 and 97.3% C[T]. The open circuit total carbon recoveries remained high, ranging between 86.7 and 87.5%... Considering the amount of graphite units in the intermediate tailings' streams, and experience with similar projects, the closed-circuit graphite recovery is expected to increase from approximately 87% to 94-95%.

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.

No news for the month.

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 November 26, Triton Minerals Ltd. announced: "Compelling desktop study results on proposed Commercial Pilot Plant at Ancuabe Graphite Project." Highlights include:

Desktop study by CPC Project Design who have been engaged by Triton to assist with the investigation into the development and construction the Commercial Pilot Plant [CPP] at the Ancuabe Graphite Project which has returned positive results:

• "The CPP Desk Top Study envisages a 250,000 tpa plant capable of producing 10,000tpa of graphite concentrate.
• Initial Capital expenditure of between US$32m to $52m which is significantly less than the US$99m estimate for the 60ktpa plant in the DFS.
• Operating costs estimated of between $711 to $750 per tonne of concentrate, which compares to a unit cost of $634/tonne in the 60ktpa plant in the DFS. This is a very pleasing result as it is still significantly lower than the basket prices used in the 2017 DFS1 of US$1,435/tonne.
• Triton will seek to significantly reduce this capex by investigating the use of alternative funding models rather than 100% equity purchase, such as the use of contractors (crushing and screening), vendor financing arrangements for certain parts of the processing plant and leasing for mobile equipment.
• Modular design and construction of the CPP is expected to enable significant efficiencies when scaling up from CPP to larger scale 60ktpa plant.
• CPP provides a shorter time frame to production and revenue generation - development and construction is expected to take 18 months and have other positive benefits such as providing validation of the process for potential funding partners and to generate further interest from potential offtake partners across a number of industries and geographical locations."

Significant progress has been made since the Strategic Review of Ancuabe Graphite Project commenced in late October 2021, focused on bringing the Company's flagship project into production in the short term, at a small scale, low capex and on a commercially viable basis:

• "Offtake: Signed Binding Offtake Agreement for up to 100% of CPP graphite production, with a binding offtake agreement executed with Chinese graphite products specialist battery anode manufacturer and one of the largest producers of high value expandable graphite globally - Yichang Xincheng Graphite Co Ltd.
• EPC contractor: Secured the support of Metallurgical Corporation of China [MCC] - for construction of the CPP..."

On December 7, Triton Minerals Ltd. announced: "Significant potential production capacity increase at proposed commercial pilot plant. Further studies delineate up to a 70% increase in capacity to 17,000tpa at no additional capital expenditure.

• ...Refinement of the CPP Desktop Study is continuing and along with the Strategic Review is expected to be completed in early Q1 CY2022, with Definitive Feasibility Study for the CPP and final investment decision by Q2 CY2022 and first production by Q3 CY2023."

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] (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 December 20, Magnis Energy Technologies announced: "Binding graphite offtake agreement signed with Traxys." Highlights include:

• "Magnis signs Binding Offtake Agreement with Traxys for the supply of natural graphite concentrate from its Nachu Graphite Project in Tanzania.
• Traxys is a leading international physical commodity trader and merchant in the metals and natural resources sectors.
• Offtake Agreement allows for the delivery by Magnis of natural graphite concentrate for a 6-year period starting in late 2024.
• Offtake Agreement allows for the delivery of 600,000 tonnes of natural graphite covering all flake sizes.
• Pricing of graphite concentrate to be delivered by Magnis under the Offtake Agreement is based on market prices of graphite concentrate at the time of delivery."

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 December 20 Mason Graphite announced:

Mason Graphite Inc. ("Mason Graphite" or the "Company") (TSX.V: LLG; OTCQX: MGPHF) is pleased to congratulate its graphene partner, Black Swan Graphene Inc. ("Black Swan"), for entering into a binding letter of intent with Dragonfly Capital Corp. ("Dragonfly") (NEX: DRC.H) whereby Dragonfly will acquire all of the issued and outstanding common shares of Black Swan Graphene Inc. pursuant to a business combination.

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 December 2, Northern Graphite announced:

Northern Graphite to acquire two graphite mines from Imerys Group. Northern Graphite Corporation announces that it has signed binding purchase and sale agreements to acquire 100% ownership of the producing Lac des Iles graphite mine ("LDI") in Quebec from a subsidiary of Imerys Group (collectively with any subsidiaries "Imerys") and the Okanjande graphite deposit/Okorusu processing plant in Namibia from Imerys and its joint venture partner (the "Transaction") for approximately US$40 million...

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 November 30, Talga Group announced:

Tripartite LOI update. Talga Group Ltd provides an update on the non-binding Letter of Intent ("LOI") executed with Mitsui & Co. Europe Plc ("Mitsui") and Luossavaara-Kiirunavaraa Aktiebolag ("LKAB") [ASX:TLG 2 November 2020] and expiring 30 November 2021. Following advanced and productive discussions towards Vittangi project level funding, the parties at this stage were not able to complete a satisfactory transaction and the formal LOI has now lapsed. Mitsui and Talga continue to advance their project development discussions under the separate and existing Memorandum of Understanding ("MOU") [ASX:TLG 20 March 2020].

On December 9, Talga Group announced:

Vittangi continues to deliver World-Class graphite grades. Spectacular graphite results continue from 2021 Vittangi depth extension and resource infill drilling. Downhole intercepts include: 90m @ 30.8% Cg (from 155m) NUS21008 incl. 25m @ 40.0% Cg (from 156m). 43m @ 30.9% Cg (from 154m) NUS21007. 36m @ 25.3% Cg (from 80m) NUS21013. 26m @ 37.6% Cg (from 159m) NUS21012 incl. 19m @ 42.5% Cg (from 162m).

On December 13, Talga Group announced:

Mitsui extends and expands MOU with Talga for Swedish Battery Anode Project. The extension of the MOU to 31 August 2022 builds on discussions to date under the MoU agreement executed between the parties in 2020 (ASX:TLG 20 March 2020). The extended MoU between Talga and Mitsui continues the intent to advance potential co-development of Talga's Vittangi Anode Project in Sweden through Joint Venture, and is expanded to include marketing, sales and partnership opportunities across Talga's portfolio of lithium-ion battery products.

You can view the latest investor presentation here.

SRG Mining Inc. (OTCPK:SRGMF) [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.

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.

No news for the month.

You can view the latest investor 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 26, Renascor Resources announced: "Higher yields and higher prices for Siviour Purified Spherical Graphite." Highlights include:

• "Commercial-scale testing of downstream milling equipment using Siviour Graphite Concentrates has delivered spherical graphite yields in excess of 60%(versus the 50% yield adopted in Renascor's Battery Anode Material Study).
• Locked cycle tests using Renascor's eco-friendly purification process have confirmed the ability to exceed lithium-ion battery anode purity specifications, with results of up to 99.99% Carbon [C] (versus anode industry standard of 99.95% C).
• Purified Spherical Graphite[PSG], which is used in the production of anodes for lithium-ion batteries, is experiencing substantial upward price improvement, with Fastmarkets reporting a+40%increase in the price of PSG over the last 12 months.
• Good progress with POSCO, with confirmatory due diligence progressing well in conjunction with constructive discussions on commercial terms for strategic cooperation and offtake of 20,000 to 30,000tpa of PSG from Renascor's planned Battery Anode Material operation in South Australia."

On December 13, Renascor Resources announced: "Completed locked cycle program confirms efficiency of Renascor's HF-Free purification process."

You can view the latest investor presentation here.

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

On December 6, EcoGraf Limited announced: "Patent accepted for HFfree Battery Anode Material Process."

You can view the latest investor presentation here.

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

On November 29, Zentek Ltd. announced: "Zentek receives medical device establishment license from Health Canada."

On November 30, Zentek Ltd. announced: "Zentek Awarded ISC testing stream contract to test ZENGuard™-Coated HVAC filters."

Black Rock Mining [ASX:BKT] (BKTRF)

On December 6, Black Rock Mining announced:

Black Rock completes 500 tonne qualification campaign... Large volume of product already shipped to existing and potential offtake partners in North America, Asia and Europe aimed at securing binding offtake agreements. Outcomes from plant operations provide high confidence with customers and financiers in the Company's ability to supply qualified product over the long term."

On December 14, Black Rock Mining announced: "Black Rock Mining signs framework agreement with Government of Tanzania." Highlights include:

• "..Agreement confirms Government of Tanzania's 16% Free Carried Interest shareholding and commitment to jointly develop the world-class Mahenge Graphite Mine.
• JV Co established, Faru Graphite Corporation, with existing licences and permits to be incorporated into a Special Mining Licence.
• Development financing process commenced, with existing project execution activities to continue in parallel.
• Positive market outlook continues as graphite demand remains one of the highest of all minerals required for clean energy storage technologies.
• First mover advantage, Black Rock only Tanzanian Graphite Developer with a Framework Agreement and Free Carried Interest resolved."

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

South Star Battery Metals owns the Santa Cruz Graphite Project in Brazil with a Phase 1 commercial production target for Q4 2022. Plus, the right to earn-in to up to 75% for the Graphite Project in Coosa County, Alabama.

On December 2, South Star Battery Metals announced: "South Star Battery Metals announces extension of the earn-in and option agreement for graphite project in Coosa County, Alabama."

On December 7, South Star Battery Metals announced:

South Star Battery Metals announces binding final agreement for Graphite Project in Coosa County, Alabama. Under the terms of the Agreement, South Star will have the right to earn-in to up to 75% of the Project. The transaction is subject to the final approval of the TSX Venture Exchange (the "TSXV").

On December 20, South Star Battery Metals announced:

South Star Battery Metals provides further details on the Coosa County, Alabama Graphite Project... A comprehensive preliminary exploration program including mapping, trenching and sampling (both surface and bulk) was previously completed and provides a sound basis for South Star to move quickly toward a maiden resource estimate. The Project's location is in the heart of a booming regional center focused on the electric vehicle industry.

Sovereign Metals [ASX:SVM] [GR:SVM] (OTCPK:SVMLF)

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 December 7, Sovereign Metals announced:

Outstanding metallurgical results at Kasiya. High-grade, coarse flake graphite by-product, with 60% +150μm, recovered from rutile gravity tails fractions using a conventional graphite flowsheet.

On December 16, Sovereign Metals announced:

Kasiya indicated resource to support scoping study. MRE also contains ~4.0Mt of graphite in the Indicated category and ~3.5Mt of graphite in the Inferred category - a valuable by-product."

You can view the latest investor presentation here.

Other graphite juniors

Armadale Capital [AIM:ACP], BlackEarth Minerals [ASX:BEM], Black Rock Mining [ASX:BKT], DNI Metals [CSE:DNI] (OTCPK:DMNKF), Eagle Graphite [TSXV:EGA] [GR:NJGP] (OTC:APMFF), Electric Royalties [TSXV:ELEC], Focus Graphite [TSXV:FMS][GR:FKC] (OTCQB:FCSMF), Goldcore Resources Ltd. (CZSVF) [TSXV:GEM], Graphite One Resources Inc. [TSXV:GPH] [GR:2JC] (OTCQX:GPHOF), Graphite Energy Corp. [CSE:GRE] [GR:GOA] (OTCPK:GRXXF), Lomiko Metals Inc. [TSXV:LMR] (OTCQB:LMRMF), New Energy Metals Corp. [ASX:NXE], Volt Resources [ASX:VRC] [GR:R8L].

Synthetic graphite companies

• SGL Carbon
• Novonix Ltd

Graphene companies

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

Conclusion

December saw higher graphite prices.

Highlights for the month were:

• The critical need for synthetic and natural graphite to meet EV sector growth.
• VW expects battery, raw material drive to cost up to $34 bln.
• Carmakers focus on securing EV battery cathodes, but graphite anodes also critical.
• Western EV makers face up to China's grip on graphite market as demand for anode material is set to rise by over seven times this decade.
• China EV, battery makers grapple with graphite squeeze. BMI sees a roughly 20,000 tonne graphite deficit in 2022. CATL desperate for graphite.
• BNEF forecasts prices of lithium, graphite and cobalt are likely to stay elevated, potentially easing only in 2023.
• IMF report suggests possible 85% shortfall in graphite supply by 2050. New graphite supply to come from Syrah Resources then potentially from others after 2024/25.
• Luobei county graphite operations halted after reports of environmental violations.
• Metals key for EVs will be pricier for longer after record year.
• Syrah Resources signs Binding Active Anode Material Offtake Agreement with Tesla.
• Tirupati Graphite commercial production commences at Vatomina.
• NextSource Materials announces fabrication and assembly of the Molo Graphite Mine processing plant has been completed.
• Gratomic acquires 100% interest in Brazilian Graphite Exploration Project... the "Capim Grosso Property".
• Triton Minerals review of Ancuabe Graphite Project reduces CapEx to US$32m to $52m based on 10,000tpa graphite concentrate production, targets first production by Q3 CY2023. Binding Offtake Agreement for up to 100% of CPP graphite production with Yichang Xincheng Graphite Co Ltd.
• Magnis Energy Technologies signs binding graphite offtake agreement with Traxys, 600,000 tonnes over a 6-year period starting late 2024.
• Northern Graphite to acquire two graphite mines from Imerys Group.
• Mitsui extends and expands MOU with Talga for Swedish Battery Anode Project.
• Renascor Resources higher yields and higher prices for Siviour Purified Spherical Graphite.
• South Star Battery Metals announces binding final agreement for 75% earn-in of the Graphite Project in Coosa County, Alabama.

As usual, all comments are welcome.

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.