The hot commodities with leverage to the electric vehicles boom _ afr. com

PLS, the poster stock of Australia’s lithium boom, expects Pilgangoora to pay back its capital cost in 2.7 years. Electricity worksheets grade 6 Further, it says Pilgangoora should produce earnings before interest, tax, depreciation and amortisation of $4.2 billion over the mine’s 36-year life and deliver an internal rate of return of 38.1 per cent, based on life-of-mine operating costs of $US258/t and what the company says is a conservative spodumene concentrate price forecast of $US537/t, delivered to a customer’s port.

Two years ago, PLS shares were trading at about 5¢. Gas mask ark Today they are worth 47¢, capitalising PLS at $541 million. Gas monkey monster truck body The miner has about $100 million cash after a big raising at 38¢ in April.

About 1100km south-east of Pilgangoora, near the gold mining town of Kalgoorlie-Boulder, Neometals and partners Mineral Resources and China’s Ganfeng Lithium expect to ship the first spodumene concentrate from their Mt Marion project in November, ahead of a ramp-up to between 30,000tpa and 50,000tpa LCE. Electricity lessons grade 6 MinRes has a reputation for being a first-class operator able to keep costs down and exceed nameplate capacity, which it is expected to bring to bear at Mt Marion.

And in WA’s south, near Ravensthorpe – a region investors know best from BHP Billiton’s $US2 billion Ravensthorpe nickel fiasco – Galaxy Resources has dusted off the Mt Cattlin venture in the hope of producing LCE at a rate of 20,000tpa. Impact of electricity in the 1920s The first shipment is due in December.

Combined, these three entrants to the global lithium market could add production capacity of up to 114,000tpa of lithium carbonate equivalent from 2018.

The three WA projects are just the tip of a big lithium-powered iceberg that has seen dozens of ASX-listed explorers shift their focus from base metals, gold and iron ore to the Tesla-inspired rechargeable battery boom.

Most focus on WA, though some have ventured overseas. Gasket t 1995 Birimian announced a maiden resource at its Mali project in October, saying it was “the highest-grade lithium resource held by any ASX-listed company today”.

Meanwhile, Orocobre, a Brisbane-based company that produces lithium from brine evaporation ponds in Argentina, is getting close to its proposed 17,500tpa LCE capacity and has talked about the expansion potential of its brine assets.

Whereas there is agreement that global LCE demand will soar, it is clear there are abundant lithium resources. Electricity synonyms Turning the resource into LCE at a profitable rate remains the challenge, which is why this boom is no different to other minerals booms that have engulfed the ASX.

The lithium market is a difficult beast to comprehend for numerous reasons: China is the biggest user of lithium products and its push into lithium-ion batteries and the electric vehicle market is massive. Gastronomia y cia However, like any market in China, there is little reliable see-through, not helped by the fact that the pricing of lithium products is opaque at best, and varies significantly from China-sold product to cargoes that are traded elsewhere.

The players in Western Australia use a spodumene concentrate price, based on the SC 6.0 benchmark specifications, and trading between $US550/t and $US600/t – which they can contrast to forecast operating costs – while analysts often look further downstream, to realised prices for lithium hydroxide or battery-grade lithium carbonate. Electricity and magnetism worksheets 4th grade This lack of pricing transparency further muddies the water.

Confused? You should be, though the situation merely highlights that emerging LCE producers will be price takers, and that, because Australian players will largely sell into the Chinese market, they will be subject to similar pricing regimes.

Like iron ore a decade ago, demand is growing, but the commodity’s price strength will depend on the supply-side response. Electricity billy elliot karaoke with lyrics Bubble speculation

Without the benefit of lithium’s clear identification with the EV boom, and investor confusion over the rankings of graphite based on flake size – the bigger or coarser, the better – carbon content, its expandability and potential to be turned into higher-value spherical graphite, these stocks have so far largely missed out on the Tesla spark. Gas 66 Graphite pricing, too, is even more opaque than lithium.

Much of the graphite riches being pursued by ASX companies are in east Africa, though not all graphite is earmarked for the EV battery market. Gas leak chicago As Somers & Partners mining and metals analyst Duncan Hughes explains, “Not all graphite is the same,” adding: “Niche coarse flake, high purity products that have good expandability or spherical attributes, should find a market.”

“Offtake is key. Arkla gas pay bill Exploration is easy, development is relatively easy as it is not complex processing to concentrate. 6 gases But funding and offtake will sort the men from the boys,” Hughes says.

This is not to say the EV boom will pass graphite by. Electricity in the 1920s Like lithium, graphite prices are expected to rise – though how much depends on the supply-side response.

Industrial Minerals has estimated each EV contains 56kg of graphite. Electricity physics definition It has also done the numbers on Tesla’s Gigafactory, which will produce batteries for its EVs, and estimates the plant’s annual demand will be 28,000t of spherical graphite and 93,000t of flake. Gas after eating Or, as IM says, enough to require six new graphite mines.

As with lithium, Tesla is merely the highest profile and most transparent player in the EV market and hence is used as a benchmark for broader industry activity.

Medium flake has a grade between -100 and +80 mesh and can be used to produce spherical coated graphite – it attracts a premium price but also incurs higher processing costs – while large flake (desirable) is rated +80 mesh.

ASX industry leader Syrah Resources, whose $US185 million Balama project in Mozambique is under construction, aims for 355,000tpa of graphite concentrate. Electricity wikipedia simple english The mix includes 241,000tpa of -100 mesh product to turn into spherical graphite, and 84,000tpa of product with +80 to +100 mesh.

Magnis Resources has spelt out the pricing differentials. Electricity invented timeline Targeting about 240,000tpa of flake concentrate from its Tanzanian project, Magnis broke it down into 22,000tpa of super jumbo flake (+35 mesh, +500 microns) for the aerospace and composites industry where the prevailing cost plus freight (CFR) price was $US4000 to $US6000/t; 77,000tpa of jumbo flake (-35 to +50 mesh) with a CFR price of $US2500 to $US3000/t; and 141,000tpa of -50 mesh battery feedstock or spherical graphite material, with a free-on-board value of about $US2100/t.

The upshot is that, similar to most commodities, the better the grade, the higher the price, though that can ignore the benefit of big and efficient production volumes. P gasket 300tdi Supercharging the electric engine