Syrah Resources (SYR) has announced its second major MoU for Off-take of 100-150ktpa graphite concentrate with European trader Asmet
Luke Smith
Canaccord Genuity Australia
Syrah Resources (SYR) has announced its second major MoU for Off-take of 100-150ktpa graphite concentrate with European trader Asmet. Total MOU's for Off-take now total 180 - 250ktpa. Importantly Asmet intends to use the graphite fines from Balama as a recarburiser in foundry applications and high quality steel production. The MoU for off-take with Asmet is set at an approximate price of US$1,000/t over an initial five year period. We have increased the modelled size of the initial project from 240kt to 350ktpa as we believe this is likely to be the optimal size for the logistics chain and initial market size opportunity. Furthermore we have increased the capital cost estimate to A$150m, however we have not included any vanadium as a by-product credit or co-product stream, this continues to remain an upside risk to the valuation. We maintain our BUY rating with target increasing to A$8.40 (previously A$7.80). (VIEW LINK)
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Luke Smith joined Canaccord Genuity in September 2012 as a Senior Analyst and Head of Australian Mining Research.\r\nLuke has spent the past nine years as an Analyst and Fund Manager in capital markets having most recently worked at Ord Minnett as a senior mining analyst. Prior to moving onto the sell side as an analyst, he was a fund manager and analyst for six years with the Lion Selection Group of companies. His roles at Lion included analyst for Lion selection, assistant Fund Manager for African Lion and Co-Fund Manager for Asian Lion private equity funds.\r\nLuke holds a Bachelor in Engineering (Mining, Hons), a Master in Commerce (Finance) and worked as a Mining Engineering consultant for several years before moving into funds management.
Luke Smith
Head of Mining Research
Canaccord Genuity Australia
Luke Smith joined Canaccord Genuity in September 2012 as a Senior Analyst and Head of Australian Mining Research.\r\nLuke has spent the past nine years as an Analyst and Fund Manager in capital markets having most recently worked at Ord Minnett as...
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Luke Smith
Head of Mining Research
Canaccord Genuity Australia
Luke Smith joined Canaccord Genuity in September 2012 as a Senior Analyst and Head of Australian Mining Research.\r\nLuke has spent the past nine years as an Analyst and Fund Manager in capital markets having most recently worked at Ord Minnett as...
Expertise
No areas of expertise
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