THE BOURSE WHISPERER: Valence Industries (ASX: VXL) has produced a graphite product mix including larger proportions of large flake graphite than expected from metallurgical analysis at the company’s Uley graphite plant during the first stage of the commissioning.
Valence said it was pleased with the results indicating the larger flake graphite generally commands a higher price in the graphite market.
The product mix includes more than 71 per cent in larger flake sizes with size distribution including:
9 per cent reported as extra-large coarse flake graphite (+500 microns (μm) or +35 to 24 mesh) (Super-Jumbo flake)
24 per cent reported as large-coarse flake graphite (+300μm or +50 to 35 mesh) (Jumbo flake)
28 per cent reported as coarse flake (+180μm or +80 to 50 mesh) (Very large flake) and
10 per cent reported as medium flake (+150μm or +100 to 80 mesh)
Purity levels achieved ranged between 90 per cent and 95 per cent based on the production processing runs to meet different customer needs.
“The results from production processing at our existing plant demonstrate the unique quality and value of the flake graphite from our Uley graphite project,” Valence Industries CEO and managing director Christopher Darby said in the company’s announcement to the Australian Securities Exchange.
We can produce very coarse flake in volumes and sizes that will demand premium pricing in the graphite market.
“Multiple customer contracts and multi-year MoUs signed for up to 37,000 tonnes per annum attest to the demand for our quality products.”