My thoughts are that there has been a break over the holiday period after some busy to-ing and fro-ing between Melbourne and Sri Lanka in November and December! The deal with the government is not only unique but it must have been a surprise to other graphite operators in the country who are more advanced. Who would have thought that a new ASX listed company would, within a few months, be doing a deal to become the Sri Lankan government's graphite operator and producer! That has to be a major feather in the cap of management to get the government to such an MOU. Also , I think we should remember that the licences cover old mines that were producing almost PURE graphite. Sampling has shown the high grade to be better than 99.7%. Do you know what price that will bring on the graphite market?! I estimate more than $10,000 per tonne given synthetic is priced at $20,000 per tonne.
There has been good news flow in the past few months - i don't expect this pattern to change in the coming months.
R
LGR Price at posting:
12.5¢ Sentiment: Buy Disclosure: Held
