Media

[Monkeymandan]

Good video! Comms definitely seem to be ramping up.

Pretty certain he means 1000% of Vittangi DFS, which is the formal ‘planned production’ currently. This would align with the recent slide in the Oslo Battery Days presentation, where they refer to expressions of interest exceeding 20k/t anode by an order of magnitude, which typically refers to 10x.

That said, MT has now alluded to a new scoping study that is constrained only by size of the drilled out resource, as demand appears to be almost unlimited, anecdotally at least.

So let’s say the current drilling campaign brings about the same resource increase as realised from the 2021 campaign (there is a limit to how fast and much they can drill this summer). That increase was 2.4m/t contained graphite give or take. Add to Vittangi’s 7.2m/t contained graphite, that gives 9.6m/t contained graphite.

Based on a 24 year life of mine, that would give 400k/t anode p/a.

I know this is pretty conservative compared to others projections, and this current drilling campaign could easily surpass 2021 results, which I assume would have been curtailed by Covid, however this kind of volume feels a little more realistic for the next step up, and it ties in with MT’s comments around drilled resource informing a future scoping study.

My investment thesis was based on Niska volumes, so to be honest 400k/t would blow my mind - and hopefully the SP out the water!

 

[cosors]

I was surprised by the statements in the interview about mixing NG and SG. I think I understood him to say that Talga of course takes care of the mixing and presumably also the ratio according to specifications since they coat the films with it. Nevertheless, I found it interesting how openly he said what we had only suspected before (LT Tech). I also assume that the ratio is shifting more and more towards our NG. I guess that doesn't mean that everything is a mix. The companies are just used to it. In the end maybe the price will decide.
I would be interested to know if Talga selects and orders the SG or if it is provided. Working in logistics in Lulea would be very interesting right now.

 

[Diogenese]

So did we have a visit from the tooth fairy after closing?

 

[Semmel]

Ok, I might be overinterpreting what Mark said... so rolling back my interpretation. If he means to extract graphite to the extent of currently drilled (or lets say soon to be drilled by the end of the year) and exploit all that resource instead of the previously planned Niska Expansion, this would mean we are looking at 3 project expansion phases instead of the two I mentioned above. It also is more realistic to do it this way, with completing the current drilling efforts by the end of the year and then issuing a new scoping study based on these drills. It would be, as @Monkeymandan sais, in the 300 to 400 ktpa Talnode-C range. Which is already huge if pulled off before 2030. So the three phases would be

* 20ktpa (nunasvaara south)
* 300-400ktpa (all of nunasvaara south to niska north)
* 1-2mtpa exploiting the entire ring of graphite as shown in the image above

Also, w.r.t. the 'insider' comment, I dont think he meant literally 'insiders' as in people on the Board or inside the company. I think he meant people that properly researched the company, as we did. There are plenty of financial 'researchers' (and I use the name very losely here, hence the ' ' ) that only look very shallow on companies and see at best a graphite mining project, maybe the anode but compare it to chinese anode. Which is completely false as chinese natural anode comes as a bland from multiple mines with different properties and a very wasetful production process. Its nothing like Talgas product. My understanding is, that Talgas Anode is best compared to synthetic rather than chinese natural due to its properties.

I dont know why we are so surprised that Talga is doing the cell production for customers. I think we knew that already and it might boil down to the fact that customers (like car OEMs) dont really have the facilities or experience to do this them selfs. For them, dealing with batteries is completely new and the battery is a black box for them at best. You see that in the fact that they use pouch cells, which is in my opinion a sign of insufficient research and experience. (Its like using hydrogen for rockets. While it has the highest efficiency, its also a pain in the backside to work with and in the end the tradeoff doesnt make sense) If you look at oouch cells them in isolation, they are great. But as a part in a car, they are terrible compared to prismatic or cylindrical cells. Such customers have not done the legwork and I am not surprised they need Talga to produce the cells for testing.

 

[Semmel]

So did we have a visit from the tooth fairy after closing?

View attachment 15981

I have observed tat effect a few times in the past. No idea whats going on. I even asked our friends at the BRN part of the forum about it but didnt get anywhere with it at the time. No idea why this sometimes happens.

 

[Diogenese]

I have observed tat effect a few times in the past. No idea whats going on. I even asked our friends at the BRN part of the forum about it but didnt get anywhere with it at the time. No idea why this sometimes happens.

It looks like someone was just sweeping up some unmarketable leftovers, the fag-ends 6 parcels. But if they boost the SP by 5% at a time, I'm all for it.

 

[cosors]

It looks like someone was just sweeping up some unmarketable leftovers, the fag-ends 6 parcels. But if they boost the SP by 5% at a time, I'm all for it.

Reads plausible. By the way, not a single share has been sold here today. That is the least trading as far as I know. But there are still 8 hours to go.

 

[Gero]

 

[cosors]

I was surprised by the statements in the interview about mixing NG and SG. I think I understood him to say that Talga of course takes care of the mixing and presumably also the ratio according to specifications since they coat the films with it. Nevertheless, I found it interesting how openly he said what we had only suspected before (LT Tech). I also assume that the ratio is shifting more and more towards our NG. I guess that doesn't mean that everything is a mix. The companies are just used to it. In the end maybe the price will decide.
I would be interested to know if Talga selects and orders the SG or if it is provided. Working in logistics in Lulea would be very interesting right now.

Either way, there won't be enough to go around. The more I look at it the clearer it is to me. The early movers will win and the hesitant ones will be nocket out by the sustainability label at the latest. I don't want to be too political. Allow me the opinion that in 3-4a at the latest we will see the purchase from China differently. Europe has in no case enough to cover the demand. I will add the next short months whenever I can.

 

[Vigdorian]

I'm thinking you might see a bit of a jump due to a few announcements (maybe a conditional offtake) being made shortly and then a snap credit raise to keep the lights on for another say 3 quarters which would see us through until this time next year. No one will give us $ unless we have permits.

That's the cynic in me talking

Offloading the legacy mining tenements would be a master stroke to avoid a capital raise .

 

[TentCity]

Offloading the legacy mining tenements would be a master stroke to avoid a capital raise .

Agreed - i remember writing a post on here, maybe 4-5 months ago about that as there was a corporate presentation by Talga that referenced commercialising the non-core assets/tenements.

Haven’t heard anything on that front since and would certainly be a welcome surprise if they could monetise/spin them off to a partner to see us through to a decision on permits, financing and MOU expiry.

MT has a long term vision but as usual always keeps his cards close to his chest - so i look forward to seeing what role (if any) these assets have in Talga’s long term plans.

The other one that was on a slide that we haven’t seen yet is ‘first graphene offtakes’ for this year. Once again, there has been no news on this since. So i wonder how close that is. Will the anode offtake come first and then graphene…..

Lastly, we were supposed to get Niska drilling results in August - so expecting they’ll come through this month. Hopefully some more nice high grade intercepts to go with the vision of really ramping this up for the new expanded scoping study!

 

[Semmel]

Agreed - i remember writing a post on here, maybe 4-5 months ago about that as there was a corporate presentation by Talga that referenced commercialising the non-core assets/tenements.

Haven’t heard anything on that front since and would certainly be a welcome surprise if they could monetise/spin them off to a partner to see us through to a decision on permits, financing and MOU expiry.

MT has a long term vision but as usual always keeps his cards close to his chest - so i look forward to seeing what role (if any) these assets have in Talga’s long term plans.

The other one that was on a slide that we haven’t seen yet is ‘first graphene offtakes’ for this year. Once again, there has been no news on this since. So i wonder how close that is. Will the anode offtake come first and then graphene…..

Lastly, we were supposed to get Niska drilling results in August - so expecting they’ll come through this month. Hopefully some more nice high grade intercepts to go with the vision of really ramping this up for the new expanded scoping study!

Do we know what Talga has and what it is worth? I remember there was some Vanadium, but I dont remember any details.

And we DID get some updates on graphene as an additive to both anode and cathode. But offtakes were not mentioned in this scenario. The concrete additive and ship coating seemed to have been shoved under the rug. I dont expect much from it.

 

[cosors]

Iron, nickel and cobalt.
Yes there was something. I had a closer look at the southern graphite field Jalkunen a long time ago. I think it is quite unfavorably located. But that is not my point.
I think of the timing factor. At the moment, the exploration rights are worth something to those who are willing to go through the permitting and investment hell in Sweden. So little I would think. It was different a decade ago and will be again. An investigation has been commissioned by the government on what to do to speed up the permitting process. If I owned the rights I would not give them away now but wait for facts that would increase the value considerably. Besides, they are only worth what someone is willing to pay. Even as an interested party I would wait to see if the measures point in the right direction. I am less worried about the financing than others apparently. When I think of a capital raise I inevitably think of a musty beach that has run out of arguments. Nothing against you Vigdorian is just my association and has nothing to do with you.

 

[Vigdorian]

Iron, nickel and cobalt.
Yes there was something. I had a closer look at the southern graphite field Jalkunen a long time ago. I think it is quite unfavorably located. But that is not my point.
I think of the timing factor. At the moment, the exploration rights are worth something to those who are willing to go through the permitting and investment hell in Sweden. So little I would think. It was different a decade ago and will be again. An investigation has been commissioned by the government on what to do to speed up the permitting process. If I owned the rights I would not give them away now but wait for facts that would increase the value considerably. Besides, they are only worth what someone is willing to pay. Even as an interested party I would wait to see if the measures point in the right direction. I am less worried about the financing than others apparently. When I think of a capital raise I inevitably think of a musty beach that has run out of arguments. Nothing against you Vigdorian is just my association and has nothing to do with you.

That’s perfectly fine with me cosors
I’ve made my investment decision and am quite content with my holdings but who wouldn’t like to avoid dilution no matter the size.
I’m optimistic about the financing options long term , I’m just raising a dark yellow , light amber flag in the short term due to the trivial financial position until the permit process has been completed.

 

[Semmel]

That’s perfectly fine with me cosors
I’ve made my investment decision and am quite content with my holdings but who wouldn’t like to avoid dilution no matter the size.
I’m optimistic about the financing options long term , I’m just raising a dark yellow , light amber flag in the short term due to the trivial financial position until the permit process has been completed.

That is perfectly justified in my opinion. The current financial position of Talga is not healthy and something needs to happen. If its another share offering, ok. If its something else, probably better. But whatever it is, I dont see a reason to divest.

 

[Rayster]

MT has confirmed we wouldn’t continually hand out samples from the EVA for free. I like to think MT is a smart man and knows very shortly if not already he/we will be earning 13k+ a ton. Just my opinion here but I don’t see another CR.

 

[Semmel]

The proceeds from the EVA plant cant carry Talgas expenses. Its too low volume. I think it was like ~1t per month.

 

[Rayster]

No one really knows the throughout of the EVA. Some have said 200t p.a. I don’t see 1t p/m demonstrating mass production for 30+ customers and then what is the plan for the 5k/t of actual graphite they have just pulled out of the ground if they are only processing 1t p/m. I would also assume they will also start receiving funds from the sample of graphene also being processed. We will see the quarterly late October before anything else will happen and that should give us all a lot more clarity. But I think the talk of CR is just wishful thinking from you guys.

 

[Semmel]

No one really knows the throughout of the EVA. Some have said 200t p.a. I don’t see 1t p/m demonstrating mass production for 30+ customers and then what is the plan for the 5k/t of actual graphite they have just pulled out of the ground if they are only processing 1t p/m. I would also assume they will also start receiving funds from the sample of graphene also being processed. We will see the quarterly late October before anything else will happen and that should give us all a lot more clarity. But I think the talk of CR is just wishful thinking from you guys.

believe it or not, its what Talga said it in the rhomotion presentation. I have it in my notes here:

Media

Oh yes. Forgive me that is my bad.

thestockexchange.com.au

If that number is wrong than the presentation was wrong. I double checked it when the presentation happened. Should have made a screenshot.

 

[cosors]

From a purely technical point of view I mean the EVA would have to or could process exactly one third of the factory's capacity as planned in the DFS. The furnace or the plant corresponds exactly to the type of the factory in the planning which will have three of these plants. Have posted somewhere here if you are looking for the source or that matters. By the way, I posted a job application in the Sweden thread for the head of business.

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The setup times must also be taken into account. With 23 interested parties currently being served this is an important factor.