Mars_2050
09 Jul 2016
Tesla: Nickel-Graphite batteries ELON MUSK: OUR LITHIUM ION BATTERIES SHOULD BE CALLED NICKEL-GRAPHITE…5th June 2016 Benchmark Mineral Intelligence… Yet Tesla executives fail to allay lithium shortage fears //Tesla CEO Elon Musk and CTO JB Straubel have attempted to play down the role of lithium in a lithium ion battery, but could have inadvertently given themselves further supply headaches.In response to a question of whether there is enough lithium supply, Musk diverted it onto two other key battery raw materials of nickel and graphite in an attempt to allay fears that there will not be enough lithium for an operational Gigafactory, which is set to become world’s largest lithium ion battery plant.“Our cells should be called Nickel-Graphite, because primarily the cathode is nickel and the anode side is graphite with silicon oxide… [there’s] a little bit of lithium in there, but it’s like the salt on the salad,” the CEO explained.Musk said that the amount of lithium in a lithium ion battery is about 2% of its total volume and that “lithium in a salt form is virtually everywhere… there is definitely no supply issues with lithium.”Tesla also explained that it has been working with a number of lithium producers “from tiny start-ups to large name lithium companies all around the world and working with them to figure out the most economical or efficient ways … to have the capacity ready when we need it”.Lithium’s most severe shortage Despite Musk’s confidence, the lithium market is in its most severe shortage of modern times, a shortage that has seen internal Chinese prices for hydroxide reach $30/kg while rest of the world contract prices have risen to up to $14/kg (FCL).While Tesla has said that it does not expect any shortage for the Gigafactory, it also revealed that the battery megafactory will be producing complete cells, from scratch, ahead of schedule in Q4 2016.“We need to make sure we have the [lithium] extraction and processing capacity [ready] but it’s not that much different to lining up other supply chain components for the car it just has long lead time,” Straubel explained.However, with limited new lithium supply set to hit the market within the next 18 months, the shortage of both carbonate and hydroxide is set to continue particularly as China’s electric bus production and electric car output surges.This timing will also coincide with Tesla’s Gigafactory expansions in 2017 and 2018.It is, however, important to note that new short term lithium supply will be coming from hard rock lithium sources in Australia destined for China.As stressed by Tesla, lithium is an immature market that is not exchange traded. Last year, only 15,000 tonnes of lithium hydroxide was used in batteries.Tesla alone will need at least a third of this quantity in 2017, its first year of Gigafactory operation.While FMC Lithium were the latest to announce plans to triple its lithium hydroxide production by 2019 to 30,000 tonnes, the question remains whether there will be enough feedstock product available to supply this.Graphite overlookedWhen downplaying the lithium supply issue, Tesla explained that the most important cost factors to a lithium ion battery included the cost of nickel and the graphite anode.“The main determinants on the cost of the cell are the price of the nickel in the form that we need it… and the cost of the synthetic graphite with silicon oxide coating,” explained Musk.Graphite has not experienced the price spikes that lithium is going through primarily because the price is driven by the materials’ consumption in steel, a globally depressed market.As a result, graphite’s supply situation has fallen under the radar.At present, Tesla uses Panasonic manufactured cells which use both synthetic graphite and natural spherical graphite for anode material, all of which is sourced from China.For the Gigafactory, however, Tesla has had to source all raw materials itself a
Mars_2050
09 Jul 2016
CEO reply Brett was kind enough to reply to my concerns via email and has allowed it to be shared.Stratmin is continuing with their collaboration with Tirupati India and are going ahead with the Vatomaina joint venture as advertised. Shishir Poddar is going to be actively involved in Graphmada to ensure Stratmin gets to the milestones and secures the follow on payments. Selling Graphmada to Bass gives Stratmin the funding to clean up the balance sheet and fully fund the development of a purpose built 12,000 tpa graphite operation in joint venture with Tirupati. STGR will take ownership to over 50% and potentially even acquire 100% and therefore maintain the listing on AIM.They will also have follow on funding of A$8m coming through from Bass over the next 12-18 months. So they have swapped a mine and pilot plant that has permanent limitations due to original design flaws for a comparable resource and brand new purpose built plant that will likely be the lowest CAPEX and OPEX per ton graphite producer in the world, operated by graphite experts in Tirupati with more than 30 years experience, that have a proven ability to sell every ton they produce.They will be assisting Bass every step of the way to maximise the value of their equity position. In addition, from Q1 next year STGR will be taking 2.5% royalty payments. This gives them a risk free revenue source while they progress Vatomaina to production and sales.The excess capital will be applied to other projects and, as advertised, they have been flat out analysing other opportunities, including further partnership with Tirupati to develop advanced graphite product manufacturing with them in India.Once this deal settles after the EGM, Shishir and Brett will be making good on their commitment to take all their fees in equity so shareholders can see they are fully committed and fully aligned.He also apologised for the length of time it has taken to get this deal done and knows it has been a frustration for all of the shareholders. He suspects there will be the usual sceptics in the market, but being in a position where they are internally funded they can afford to ride them out. They will also discuss in the near future with media and brokers the plan to rebuild STGR and capturing all the value on the table.Hope this helpsGreat welcome to new investors arriving on this board!GLA
stressboy
09 Jul 2016
Re: 5.8p package future graphite produ... Hi Novy, thanks for the comments.I am not thinking of attending the AGM, and I'm not currently a shareholder, but I have my eye on this as it's clearly undervalued. One day, like a lot of shares, it will start to get attention and it will recover. Chart wise the downtrend looks to have been broken- but you never really know until later down the road! If the downtrend has been broken this could bump along at this price for a while, if I start to see more volume in shares bought and more posters on here then that will start to give confidence and make me think of investing ... Typically these things take time but this is on my watchlist for further down the If anyone reading here goes to the AGM, any feedback would be appreciated.
pally66
09 Jul 2016
still here Hi Guys I am still here and still invested .I still like the STGR story. It's up to their brokers / nomads to get the story out there and generate some fire.Keep it coming mars. Our time will come here for sure.Cheers all Pally
Novy kluk
08 Jul 2016
Re: 5.8p package + future graphite produ... Hi stressboy,I agree with you sentiments both in terms of the future upside in the STGR stock price, but also this being a "one man band" BB.Appreciation of Mars_2050's long time interesting and valuable Posts has been mentioned by a number of Posters in the past, some with the occasional question - though I've never seen a response?The point of my Post though; Do you plan to attend the AGM in London on Friday 29th July? I do not have a large holding of stock here (though I have been think of adding.......patience will be rewarded I feel!) so cannot really justify the time to attend. But that will clearly be an excellent opportunity to get 1-1 with Brett Boynton!!Regards, NK.
stressboy
08 Jul 2016
Re: 5.8p package + future graphite producer Yep definately a compelling argument. My porblem is the lack of interest in stgr. A quiet bulletin board tells. You everything.Chartwise this has been in 'dont touch this territory' but i think we are beginning to find the bottom. I am looking on from the sidines with interest. ...More people posting would be nice to see / reassuring
Mars_2050
08 Jul 2016
5.8p package + future graphite producer Bass Metals is offering us a total bid package in cash, shares and royalties valued at A$16.3 million. Thanks to the improved exchange rate this deal is now valued at £9.4 million ~5.8pBut looking at recent explosive performance of Bass (up +200% on tranche1!) this will increase further. Bass metals is raising A$5.5 million so will be fully funded going ahead, which is needed to quickly expand graphmada's production. Which means Stratmin will receive a further Bass share package worth A$8 million (tranche 2 and 3) within the next 12-18 months.Experienced Aussie Graphite investors are loving the Graphmada/Stratmin asset.Just visit the Bass metals bb[link] posts and already 2400 views in 24hrs before deal completionMarket caps 8th July, Bloomberg Bass......$14m ~£8.1m!! +200% for tranche 1, now worth £1.3mSTGR................£2.45m!Non-producing Graphite companies in Australia ASX on a Bull runHexagon Resources..A$36m - £21mTalga Resources.......A$54m - £31mKibaran Resources....A$48m - £28mTrading at close to all time highsVolt Resources........A$104m - £60mMagnis Resources...A$400m! - £231mSyrah Minerals.........A$1.5 BILLION! - £916m Bass/Graphmada will be valued way above $100million imowhich bodes well for tranche 1.Furthermore we now know that Stratmin will use the millions of pound worth of Bass shares to fund the 12kt Vatamaina project see RNS, which will be operated by Graphite Experts Indian Major Tirupati. They have a proven ability to sell every ton they produce.As always DYOR GLA
stressboy
07 Jul 2016
Re: $15.25 million VS £2.65 million MC... For me this is a fantastic RNS. it shows the SP undervalues this company and payment is in shares in an Australian company (Aussy dollars), meaning some buffer to any Brexit exchange rate sBut for the SP to move you need people to buy.... and one look on this BB tells you everything, not many people are following this stock, we have predominantly one person posting. Until more people sit up and take notice I'm not too sure that STGR will go anywhere.
stressboy
07 Jul 2016
$15.25 million VS £2.65 million MCPA The Company today has entered into a conditional sale and purchase agreement to sell the Graphmada Mauritius Shares to Bass. The consideration for the Disposal is for up to A$15.25 million. The consideration is payable through a combination of cash, shares in Bass and a net smelter royalty.MCAP = £2.6million .....
Mars_2050
05 Jul 2016
Graphite stocks exploding Gains since february to date!Bass metals +200% before Stratmin deal completion Syrah Resources +97%Northern Graphite +160%Mason Graphite +180%Hexagon Resources +200%Volt Resources +235%, +1000% over a yearMagnis Resources +250%Flinders Resources +480%As always DYOR
Mars_2050
01 Jul 2016
Weak pound, strong Bass Dare we hope it but what a time if the BSM deal can complete early July.There's huge interest in Stratmin's Graphmada, Bass bulletin board registered a record 14000 views and over 100 posts in 24 hours!With the pound still around 10% weaker due to Brexit the tranche 1 cash sum of AU$1.5m is nearly £850k on today's exchange rate.Plus with BSM rallying at 3c assuming our shares are still priced at 1c as per the original proposal the AUD750 of Bass shares is today worth around £1.25m - granted that will be relatively illiquid at that price but still it's a boost.Point taken about the tortuous path this year. Won't pretend it has been comfortable but as in investor you have choices and if one takes the choice to maintain faith then it's just a case of watching, waiting and continually re-assessing.
Mars_2050
30 Jun 2016
Deal on - back to 5p Today we see the omens are good for the deal though. Accountants have accounted as though the deal is on. Bass bagged last night to 0.3c on a presentation that hinted the deal was still on. My contacts are all convinced the deal is still on.Also the first tranche shares we are getting at 0.1c valuation are worth triple if Bass can hold its sp up there. So all is actually looking good if not quite at conclusion.Of course some here will be holding to see what the new business deal is - I'm told it might be coming with its own capital partner so that could be good also. We'll have to wait and see for that bit as the notice posted today is the obligatory annual AGM not the EGM and circular for disposal.
Mars_2050
30 Jun 2016
RNS 2x Despite a significant deterioration in flake graphite prices however, the company was able to achieve operational breakeven by the year end through a partnership with Tirupati Carbons and Chemicals Limited ("Tirupati"
that enabled a move to 24x7 production with diversified sales into the higher priced European and Asian markets.The transaction has progressed through formal due diligence and is expected to close on schedule in July subject to final shareholder approval. At the completion of this transaction, StratMin will have a holding in Bass that will have a lower cost of capital and a better funding platform to undertake the necessary refurbishment and expansion of operations in Madagascar. It will also strengthen the StratMin Balance sheet and position the Company to pursue the other projects such as Vatomaina and broader diversification into the renewable energy and energy storage industry, which is a growing consumer of graphite.
Mars_2050
30 Jun 2016
Bass +150% Bass published presentation 'Bass set to become Australia's only graphite producer' overnight and immediately bags to 3c.+150% with high volume buying.57 million total trading volume.Market cap now already $13.8 millionSpeeding ticket led to suspension, now awaiting imminent announcement.Bass deal must be close.7900 views and 100 posts on bass bulletin board within hours.STGR re-rate imminentAfter execution of Bass deal:$1.5 million cash ~£833000 andStratmin tranche 1 at 1 cent which now already triple bagged.$750k worth now $2.25 million ~£1.25 millionSTGR current market cap £2.2m, Bass £7.7mExpect Bass Mcap way above $100 million with Stratmin becoming a major shareholder via three tranches.New asset to be announced before the vote.
Mars_2050
29 Jun 2016
Bid package 5.3p Bargain at all time low.New asset to be announced before the vote and further Bass deal update (bid package of £8.6m ~5.3p).Market caps 29th June, Bloomberg Bass ......$5.5m ~£3.1m!! STGR................£2.1m!Non-producing graphite companies in Australia ASX on a Bull runMost trading close to all time highs despite market turmoilHexagon Resources..A$37m - £20mTalga Resources.......A$54m - £30mKibaran Resources....A$51m - £28mVolt Resources..........A$100m - £56mMagnis Resources...A$430m! - £238mSyrah Minerals.........A$1.63 BILLION! - £914 Million!Funding for the only producing graphite mine on ASX will be no issue. Bass/Graphmada/Stratmin will be valued way above $50million or more imoGains since Feb to date!Syrah Resources +97%Hexagon Resources +140%Magnis Resources +250%Volt Resources +290%, Aussie Graphite junkies ready to start buying frenzy once deal completes. 10c target possible, 10x bagger for Stratmin's first tranche at 1c. $750.000 then worth $7.5 million +$1.5m cash with deal completion.As always DYOR
