RE:RE:RE:Focus Graphite - Compareable PEA?bigask2013 wrote: Yes and enough to suspect that Zen will not end up being worth 10 to 30 times more than Focus Graphite, even after release of PEA. When you guys are doing your envelope numbers, you are forgetting to NPV of those numbers and the lead time (3 years) it takes to get the ZEN mine even producing. So we wait for PEA or see what someone is actually willing to possibly pay. All I am saying is quotes of $10 to $27 per share for Zen is a real stretch. Tesla isn't even built yet. A lot of factors, not being considered and pie in the sky stuff, IMO.
I really do not think you do understand the difference between lump and flake. To give you an example Sarah Resoures has a flake deposit that if developed could feed the entire world with flake without one other mine being opened?
There are approximately 300 flake stocks at varying stages of going into production of flake.
Yet you use a flake stock to compare to ZEN? Why would you do that, what purpose does it serve? Its like comparing a copper stock to a gold stock? Two different markets for both?
The purist of lump can access the $13billion Synthetic Market. Flake at best will be able to be used in low end Li-on batteries. Not sure you are aware of this bigask but to create access to the Li-on market which Focus is claiming. 2 things occur of significance.
1) They lose 70% of their feedstock to create Spherical when at bulk production.
So the first thing you must do is redduce the size of Focus's resource by 70%
The reason they do not mention these numbers is because they would never get financing for their mine. So they work the flake portion for other uses, when talking to bankers and then use Li-on when talking to shareholders.
2) The second thing you should understand is Spherical comes from the way the flat flakes take to the processing of the flake graphite. It literally rounds the edges. Creating voids between layers and therefore reducing conductivity(increased resistance) in the graphite
ZEN loses nothing when processing their graphite. So the recovered graphite if at 95% is what they get. Their is no wastage or loss to the cooking process.
Speaking of the cooking process. ZENs process is environmentally friendly and the caustic solution they do use is 100% recyclable to contnue processing.
So just in case you think I am answering you, I really am not. I am posting on the board so others remember these facts. Facts at this stage you should know. I think you do but you either ignore them for nefarious reasons, or you really do not understand what makes ZEN unique?
So run the numbers for Focus and decrease their deposit size by 70% and see what you get.