Tirupati Graphite Share Discussion Threads

[pwal] 01/12/2023 09:07

Good post.Not much said about TGR but at least it was mentioned. The fact that the graphite in batteries can't easily be reused points to an ever increasing demand.

[richie1218] 30/11/2023 18:55

I found this interview that was posted today that mentions TGR .

Miton UK MicroCap Trust (LON:MINI) Co-Fund manager Gervais Williams joins DirectorsTalk Interviews to discuss the markets and investment opportunities in the UK smaller companies sector.

[pwal] 30/11/2023 18:30

Nice to see 1.5 rise but not sure why.Hopefully see some big buys in the morning.

[richie1218] 29/11/2023 19:28

Toyota axes hydrogen for a battery-powered future.

[flc] 29/11/2023 16:08

Nice tick up near close

[pwal] 29/11/2023 14:10

High volumes today.

[pwal] 29/11/2023 11:56

IMHO the result of the following:-- The Company intends to further the development arranging debt funding for the same alongside the targets outlined above.will determine where the share price will go. Waiting for news. Hoping it's good.Too many eggs in my basket. Only good if it arrives in the kitchen without any breaking.

[pwal] 29/11/2023 09:57

It's all promising. Adding.

[richie1218] 28/11/2023 20:08

While we await news from TGR - A bit of lite reading to remind us as to what is happening regarding China export controls on some Graphite products from Friday.

China’s New Graphite Restrictions.

In recent years, export controls have moved to the forefront of foreign policy, and not only in the United States. The week of October 16, 2023, was marked by moves and countermoves that may have profound geopolitical implications. the Bureau of Industry and Security (BIS) released an updated tranche of rules aimed at complementing the October 7 semiconductor export controls, which significantly expands restrictions on artificial intelligence (AI) chips and semiconductor manufacturing equipment and adds 13 Chinese firms to the U.S. Entity List. With this expansion, the Biden administration took more sophisticated steps to limit China’s military advanced AI capabilities.

On October 20 and in response to the widened U.S. controls, China announced a new set of export restrictions on certain graphite products. As of December 1, Chinese exporters will be required to apply for permits to ship two types of the material, including “high-purity, high-hardness and high-intensity synthetic graphite material and natural flake graphite and its products.” The move comes two months after China restricted germanium and gallium products critical to semiconductor manufacturing, which came in the aftermath of another announcement by the Netherlands that it would support the United States’ chip controls with its own equipment curbs.

In both cases, China is leveraging its dominance of the global critical minerals and raw materials supply chain to respond to expanded economic security policies in the West. China produces 90 percent of the word’s gallium and 60 percent of germanium. Likewise, it is the world’s number one graphite producer and exporter and refines more than 90 percent of global graphite. However, while the August controls were aimed at the chips sector, China’s graphite controls have more bite in electric vehicle (EV) battery manufacturing since the material is used as a key input for anodes, the negatively charged portion of the EV battery.

The graphite controls are not specifically targeted at either bloc but are instead country-agnostic, meaning they could impact any of the country’s top customers, such as Japan, the United States, India, and South Korea. It could also be true that, similar to the gallium and germanium controls, China is initiating new licensing requirements but continues to facilitate most—if not all—exports under a presumption of approval. This would indicate Chinese use of controls as a geopolitical signaling device rather than a rote retaliation tool.

Supplying the Graphite Demand
Regardless, policies like the graphite controls crystallize the utility of the friendshoring agenda—moving supply chains to jurisdictions that do not pose serious geopolitical risks. In terms of U.S imports, China is also not the only source, although, at 33 percent of imports, does account for the largest single source of imports. Mexico (21 percent) and Canada (17 percent), as well as India (9 percent) are other large exporters of graphite to the United States. Other U.S. allies are in more challenging situations when it comes to dependence on Chinese EV inputs, however. About 93 percent of Korea’s anode materials, and 90 percent of Japan’s graphite, comes from China.

While China is the current top graphite producer, it is not the only option for obtaining a sufficient supply. According to the United States Geological Survey, Turkey (27.3 percent) and Brazil (22.4 percent) account for half of the world’s natural graphite resources. China is third, with 16 percent, followed by Madagascar (7.9 percent), Mozambique (7.6 percent), Tanzania (5.5 percent), and Russia (4 percent). The inevitability of having to secure non-Chinese graphite supplies also highlights the utility of traditional trade policy, which can anchor existing and new international partnerships through the conclusion of concrete deals.

Automakers are accelerating production to satisfy a large uptick in orders, although carmakers recall the supply chain contractions due to the pandemic, battery materials importers have learned the risks of overreliance on one country. In order to stay ahead, large automotive industry players have been investing in mining projects to ensure a more steady supply of battery inputs. However, getting these mines ready for operations takes between 5 to 10 years, and these projects are still largely in preproduction.

This latest episode is yet another impetus for governments and the private sector to diversify away—or “de-risk”;—from dependencies on China. According to the International Energy Agency, global sales of EVs are soaring. Sales exceeded 10 million units last year, growing 55 percent from 2021.Sales are slated to grow even further, potentially reaching 14 million vehicles this year. The market for graphite used in batteries has also rise exponentially, growing by 250 percent in the past five years as carmakers try to lock in enough supplies of critical inputs to satisfy demand.

China’s new controls are set to incentivize Canada and Mexico to continue ramping up their own domestic capacity to satisfy U.S. demand as the Inflation Reduction Act’s incentives continue to attract EV producers. Governments of countries particularly dependent on Chinese exports are already racing to find alternative sources of supply. South Korea’s trade minister Ahn Duk-geun asserted that his country “is prepared to look for alternative sources of graphite if China’s newly strengthened export controls on the key material used in electric-vehicle batteries cause a severe shortage.” He also pointed to the U.S.-led Indo-Pacific Economic Framework for Prosperity (IPEF): “One difference is the 14 IPEF countries now established the supply chain agreement and the mechanism to protect us,” he said. “As soon as we have a problem, within two weeks we need to share the information and we will coordinate our response mechanism.”

Conclusion
China’s control policies come during increased pressure from the United States and its allies to move supply chains out of China, while enhancing mutual trade and defense tools. The European Union has launched an investigation into whether to levy tariffs on Chinese-made EVs, and the United States is likely to follow with a Section 301 investigation. The European Union and United States are also engaged in ongoing negotiations to conclude a deal on critical minerals, which came up during a recent leaders’ summit in Washington, D.C., and are likely to pursue concurrent trade defense measures to safeguard against overcapacity of steel.

The nature of recent controls has demonstrated how economic security can sometimes invite significant costs. For now, the U.S. government has made a determination that the costs of controls are outweighed by the benefits. A major risk in this economic security escalation is that China’s controls on raw materials seriously disrupt the ability to produce critical, emerging, and green technologies. Furthermore, these weapons can easily produce greater economic and geopolitical bycatch as the net expands, potentially touching a host of other critical inputs for U.S. and allied supply chains.

[flc] 28/11/2023 12:32

You would to expect that TGR's customers have also ramped up orders before the restrictions come in to play 1st December. Also, would be amazed if they've not picked up new ones during this interim period.

[pwal] 28/11/2023 09:21

Posted Monday:Tokyo-based Fuji Graphite Works imports the mineral from China to process it and supply manufacturers.All of the spheroidal graphite the firm needs to produce lithium-ion batteries comes from China.Fuji Graphite is concerned that import procedures may take longer after the restrictions start and this may affect its output schedule.So the firm has imported one-and-a-half times more graphite from China than usual in November to increase its stocks.The company says it will continue to import graphite from China, but may consider increasing shipments from Africa.

[flc] 27/11/2023 12:35

They have suggested the next fundraise would be debt rather than dilutive but we should find out soon. Interims are due over the coming few weeks and we may get an update on TSG which would put a lot of PSs minds at rest.

[petersinthemarket] 27/11/2023 11:59

why do they need a second broker?
Is there ever any link to a future placing?

[flc] 27/11/2023 11:17

There's a £1m VAT repayment due to land anytime and probably a few more prepayments on the way so the timing wouldn't be great if they were looking at issuing more shares.

[farrugia] 24/11/2023 12:06

this is probably going to get a placing.

[pwal] 24/11/2023 10:50

Spread increased.NISSAN on TV talking about only making EVs by the end of the decade.

[pwal] 22/11/2023 10:42

The restrictions come into force on the 1st Dec. There may be more news coverage of the looming graphite shortage of supply. I'm in for the long term but would like to see an initial meteoric share price rise. Big smiley face.

[pwal] 21/11/2023 17:29

I'm writing to Shishir ( not really). News please!

[pwal] 21/11/2023 10:25

News today:According to ChemAnalyst, the price of Graphite would remain on a rising trend in the European spot market as the inventory levels in the European warehouses will stay on a lower edge. Meanwhile, the rising technological advancement from the electric vehicle sector and battery industries created a more dependent market area for Graphite usage. It's just a matter of time until the share price rises.

[topazfrenzy] 20/11/2023 16:41

I grabbed a few more on this dip

[pwal] 20/11/2023 14:08

Hope you don't miss out. Just need to hear the price per tonne is upProduction volumes are upDemand is upAnd hopefully the share price will follow.

[flc] 20/11/2023 13:36

Sold this morning and happy to sit on the sidelines and wait for further developments. I think it may drift back a little further tbh so hopefully jump back in at a lower level when things start to hot up.