Talga Updated and Discussion thread

[Semmel]

Completion of Vittangi Anode Project FEED Study delivers strong results

https://talgagroup.eu-central-1.linodeobjects.com/app/uploads/2024/04/15091050/20240415FeedCompleted_ASX.pdf

Battery materials and technology company Talga Group Ltd (“Talga” or “the Company”) (ASX:TLG)
is pleased to announce the completion of the front-end engineering and design (“FEED”) for its
integrated Vittangi Anode Project (“Project”), located in northern Sweden. Highlights include:

• Optimised equipment and process design reduces the number of purification and anode production
lines required at the Refinery, reducing the building footprint and improving energy needs
• Anode production process configured and qualified to customer requirements, facilitating battery
maker and automotive OEM offtake negotiations
• Positive update to capital expenditure to a total of €560m (excluding €39m contingency) amid
inflationary macro environment
• Identified near term initial Refinery capacity expansion opportunity subject to further technical and
commercial work underway

 

[JNRB]

only bit I care about.
mmm some extra Talnode -Si sounds good.

 

[teilenswert]

I submitted some questions to Mark:

1. It would be amazing if Mark could address Bell Potter's latest broker research report and comment on what parts of the analysis he agrees with and where he thinks Bell Potter's assumptions are too positive or too defensive.
2. Do you expect to be able to generate significant revenues with Talnode-SI, even if you cannot use your own graphite for this, or are the two interlinked? If the former, why are you apparently not pushing ahead with it, but waiting for approval of the graphite mine?
3. 1.5 years ago you signed letters of intent with ACC and Verkor, so you should be in agreement regarding an arrangement for a future offtake agreement. Why is it not possible to produce the maximum output of anode material in your EVA facility and sell it to ACC, Verkor or other interested parties and thus cover at least a large part of the running costs?
4. If the Supreme Court makes a positive decision and the permit for the mine is granted, can we finally get started, or do we have to wait until the municipality also adopts its local plan? Do you assume that there will be additional resistance from the population (Samis; concerned citizens; people who want to benefit financally)?
5. How many months will it take to reach first production and full production? Is 2026 still realistic for both if we get the go by August 2024, or will all the delays lead to a later start? What are your further expansion plans (timing, scale)?

 

[curiousmagpie]

How many months will it take to reach first production and full production? Is 2026 still realistic for both if we get the go by August 2024, or will all the delays lead to a later start?

Good luck getting an answer to this. I've asked the same question regarding time to full production in every webinar Q&A for at least a year. All very well announcing 18-24 months to first production, but the company has been very vague about how much qualification time needed for the full plant and how long the ramp-up phase is to get to 19500tpa run rate. I suspect it will be ignored again this time sadly.

 

[cosors]

"UBS Group Acquires Significant Stake in Talga Group​

TipRanks Australian Newsdesk
Apr 26, 2024, 10:38 AM
Talga Group Ltd. (AU:TLG) has released an update.

UBS Group AG has become a substantial holder in Talga Group Ltd, with a 5.21% voting power through various entities engaged in stock borrowing and lending activities as well as fund management. The shares are held across multiple custodians and nominees, with Credit Suisse Funds AG being one of the substantial shareholders. The detailed consideration for these holdings, acquired over the past four months, can be found in an appendix to the notice."

UBS Group Acquires Significant Stake in Talga Group - TipRanks.com

Talga Group Ltd. (AU:TLG) has released an update. UBS Group AG has become a substantial holder in Talga Group Ltd, with a 5.21% voting power through various entitie...

www.tipranks.com

Their 'activities' are not new.
The page is somewhat offensive and asks you to register after a few seconds. But I can't find any more on the subject there.

 

[cosors]

"UBS Group Acquires Significant Stake in Talga Group​

TipRanks Australian Newsdesk
Apr 26, 2024, 10:38 AM
Talga Group Ltd. (AU:TLG) has released an update.

UBS Group AG has become a substantial holder in Talga Group Ltd, with a 5.21% voting power through various entities engaged in stock borrowing and lending activities as well as fund management. The shares are held across multiple custodians and nominees, with Credit Suisse Funds AG being one of the substantial shareholders. The detailed consideration for these holdings, acquired over the past four months, can be found in an appendix to the notice."

UBS Group Acquires Significant Stake in Talga Group - TipRanks.com

Talga Group Ltd. (AU:TLG) has released an update. UBS Group AG has become a substantial holder in Talga Group Ltd, with a 5.21% voting power through various entitie...

www.tipranks.com

Their 'activities' are not new.
The page is somewhat offensive and asks you to register after a few seconds. But I can't find any more on the subject there.

As long as it doesn't keep hovering around 5% like with the shorter and WBT and the mandatory notifications, it would still be tolerable for me.

 

[Diogenese]

As long as it doesn't keep hovering around 5% like with the shorter and WBT and the mandatory notifications, it would still be tolerable for me.

Does UBS have an inside line to the Swedish courts?

 

[cosors]

Does UBS have an inside line to the Swedish courts?

At least with UBS we can assume that if they are serious and not short sighted, they will never ever go bankrupt. Like the fund recently that sold off Talga shares en masse, presumably triggering the erosion of the SP.

 

[Semmel]

Quarterly earnings report:

Quarterly Activities and Cashflow Report 31 March 2024

Reactions/discussion please in the Discussion thread. Updates thread should be as condensed as possible only stating significant information. No opinion or reaction to said information. You can quote posts from here by the following method:

1. hit the reply button
2. hit the two brackets " [ ] " button top right of the text field to see the raw text
3. mark and copy all of it
4. go to the Discussion thread
5. paste all what you copied in the text box
6. write your reaction and reply in the Discussion thread
7. Discard all text in the Updates thread

This will link your reaction correctly to the Updates thread.

 

[cosors]

Quarterly Activities Review For period ending 31 March 2024

 

[cosors]

While we are waiting:

PDF:

https://talgagroup.us3.list-manage.com/track/click?u=1a2e5ea9e48ad0ef892e97b8f&id=ef05bb68a4&e=041e967f32

 

[Semmel]

Vittangi Anode Project Expansion: Interim Scoping Study paves way to scale

 

[curiousmagpie]

This study addresses the expansion potential of mining and processing at mine site only, not refining (Lulea). Eg:

And looking at the assumptions:

I'm confused by this table. Is the company saying that Talphite is the end product from the mine and concentrator?

My understanding is that at the mine they'd produce a graphite concentrate, and anything more specialised from there would be done in Lulea after it gets trucked from the mine.

From what I can tell Talphite is a purifed graphite concentrate, a step between a more rough concentrate (like Syrah sell for US$600/t) and anode.
So if it's a specialised high purity concentrate is it made at the mine concentrator or at a part of the refinery process?
And if the latter, why would they put the $4,000/t sales price in this table as a "mine optimisation product" if it is not being made at the mine?
Or is it being made at the mine for a cash cost of US$600/t (according to table 4 below)?

The Talga website says little, but this:

Help. I'm confused.

 

[curiousmagpie]

This study addresses the expansion potential of mining and processing at mine site only, not refining (Lulea). Eg:


View attachment 64140

And looking at the assumptions:

View attachment 64138

I'm confused by this table. Is the company saying that Talphite is the end product from the mine and concentrator?

My understanding is that at the mine they'd produce a graphite concentrate, and anything more specialised from there would be done in Lulea after it gets trucked from the mine.

From what I can tell Talphite is a purifed graphite concentrate, a step between a more rough concentrate (like Syrah sell for US$600/t) and anode.
So if it's a specialised high purity concentrate is it made at the mine concentrator or at a part of the refinery process?
And if the latter, why would they put the $4,000/t sales price in this table as a "mine optimisation product" if it is not being made at the mine?
Or is it being made at the mine for a cash cost of US$600/t (according to table 4 below)?



View attachment 64139


The Talga website says little, but this:

View attachment 64141



Help. I'm confused.

Anyone?

Are they going to be producing Talphite at the mine concentrator?
VRC just sold a batch of high-purity graphite for almost US$3,000/t (albeit only 40t)

 

[Monkeymandan]

Anyone?

Are they going to be producing Talphite at the mine concentrator?
VRC just sold a batch of high-purity graphite for almost US$3,000/t (albeit only 40t)

Yes Taphite is the output from the mine site contractor that is shipped off to the refinery

 

[mpk1980]

Yes Taphite is the output from the mine site contractor that is shipped off to the refinery

This talphite price could be a "basket" price noting that its the precursor to talnode-c anodes as well as graphene products (inc talnode-si) & cathode additives.

 

[curiousmagpie]

Yes Taphite is the output from the mine site contractor that is shipped off to the refinery

Is there a way to confirm this because I don't think that's the case.




The DFS says concentrate in moist filter cake will be trucked to the refinery for processing, which is where it reaches >99% purity.

I'm assuming Talphite is after the "purification" process in the flowsheet?

My understanding: as part of the JORC reporting rules they've used the US$4,000/t price of Talphite to determine that it is economical to mine 2Mpta ore for 425ktpa concentrate. Assuming that Talphite price is achievable (a can of worms in itself) it would seem to need multi-billion dollar capex to be spent on the refinery to get it (purification is about 1/3 of the refinery costs in the DFS, with coating 2/3).

Every time I look at this I'm left with more questions than answers.

 

[Semmel]

Can we please NOT do discussions in here? It would be super useful to have this thread ONLY contain UPDATES from Talga, not dicussions, opinions or analysis. I value all these things greatly but can we please do them in the Discussion thread? I realize it may be too late in this case, but none of us has admin rights in here and we cant keep the place clean otherwise.

 

[curiousmagpie]

I won't bother in future. Good luck with the discussions in other threads.

 

[Semmel]

Vittangi Expansion Interim Scoping Study – Clarification