Yeah I am starting to lose faith in this Company and the graphite space in particular especially when I look at the way demand is swinging towards synthetic. TLG looks great on paper in fact absolutely fantastic and a great wealth creator but the reality of the real world is completely different.
As Mike Tyson said "Everyone has a plan until they get punched in the face"
If it's this difficult to get permits on what is after all a tiny plot then that plus the lower cost of synthetics (let's forget about emissions but also remember China is building a plant in Sweden) the future does not look too great.
Frankly ...................it's all too fxxking hard.
F**k I wish Vittangi was in Central Australia
Syrah is getting smashed by synthetic and the demand for graphite might be so large that natural could become a nice after thought because synthetic might be the only way to really meet demand. Dont forget they dont need to use needle coke to make it anymore.
The excuse will be
"Sure to make your EV battery we need to burn XYZ to make the graphite...... but hey after that you don't need to use petrol..........so it is better for the environment and cheaper in running costs anyway"
1. VOLUME - demand is going to be huge. Almost impossible the supply outside Talga is going to become big enough to impact Talga's success.
2. EMISSIONS - no, can't just forget about emissions. Especially seeing as soon this will have a direct financial impact with Carbon Border Adjustment Mechanism. As for China's synthetic plant in Sweden - see 1 & 3
3. QUALIFICATION - Has anyone else been fed up with how long this process takes? We've been going at it for YEARS! And you know what? So everyone else will have to do that too, giving us a massive head-start with customers.
4. BLENDS - a blend of points 1 & 3 pardon the pun. To meet volumes, and because we've already worked a long time with customers, they are asking Talga to take charge of the processes of producing blended Anodes.
So all up I'm not too worried about the real world. There may be a lot of people waving arms around but no one has come close to anything I would describe as a punch in the face.